In line with the objectives of Saudi Arabia’s Vision 2030, more specifically toward achieving a sustainable and competitive economy in an inclusive and vibrant environment while following the growing concept of “destination-making”, Umm Al Qura for Development & Construction, owner and developer of Masar, a visionary landmark committed to enriching the quality of life through a diverse range of offerings; all while preserving the spiritual nature and cultural heritage of the holy city.
Yasser Abuateek, CEO of Umm Al Qura for Development & Construction, shares the blueprint of landmark destination.
What is Masar in summary and can you tell us a little about the Destination?
Masar Destination is a state-of-the-art integrated investment ecosystem with diverse and flexible opportunities located at the heart of Makkah; to be precise, it is in West Makkah, extending from the Third Ring Road (Othman bin Affan Road) to the West, and passing over the first Ring Road to end at the Western outskirts of the Grand Mosque.
In other words, it is strategically located 550 metres away from the Holy Mosque and 100 metres away from the Haramain Station. It extends over 1.2 million square metres and is distinguished by a central pedestrian boulevard that runs through the destination connecting all campus areas.
The main development idea of the destination is based on the concept of comprehensive movement of vehicles and pedestrians in parallel. With commercial and retail facilities, hotels, residential buildings, car parking, a hospital as well as public amenities, this signature urban destination will support religious, social and commercial activities to both Hajj and Umrah pilgrims, as well as to the other visitors and residents of the city.
What does the term “Destination-Making” mean to you, and how does it apply to Masar?
Destination-making focuses on designing and activating an interactive destination that continuously develops unique experiences that cater to humanity’s needs and the ever-evolving trends of the future. The concept of “destination making” is evidently embedded in Masar as it has planned the destination following leading global practices of urban planning and design that is fit for the next 100 years.
The role of a destination maker is different from that of a traditional real estate developer, which often ends with the delivery of the final product without considering the subsequent stages. Masar is a destination that allows you to live, work, and enjoy the heart of the holy city, meaning an integrated life system and a vibrant community (jobs, hotels, restaurants, cafes, museums, and a pedestrian walkway with a length of 3.5 kilometres and a width of 60 metres with different activities and events. Masar accommodates all residents and visitors means of comfort, housing, health, entertainment, mall facility and hospitality.
Talk to us about building sustainable best practices into the heart of Masar Destination?
Saudi leadership has a vision to accommodate 30 million visitors to Makkah annually; we started to create the destination based on visitor demand and needs. Therefore, Masar Destination is not a project; but an integrated investment ecosystem.
We at Umm Al Qura offer 205 development plots for investors to provide a state-of-the-art services within their sector, whether it is a commercial complex, a healthcare facility – hospital or residential complexes. We facilitate investors with services such as electricity, supplies and central cooling to assure global standards.
Masar Destination has prime sustainability targets and Umm Al Qura for Development & Construction is working with a developmental vision to elevate the urban and investment landscape of Makkah through establishing new avenues to help enhance the quality of life for residents, pilgrims and visitors.
You just position Masar Destination as a holistic investment ecosystem; can you kindly elaborate on that?
One of the core strategic pillars of Masar Destination is to attract institutional investments across multiple sectors. This system comes with various investment channels and flexible solutions aimed at attracting institutional investment in several pivotal sectors, supported by the quality of its facilities and services; this is to enrich the quality of life and enhance the experience of the residents and visitors of Makkah in accordance with the best standards of international destinations.
Makkah is already an attractive destination, Masar will further attract long-term institutional investment which will contribute to Makkah’s GDB as a new investment base. We are proud that this vision is now an on-ground reality; 2022 was an exceptional year, where the company transitioned from injecting funds into the infrastructure, to attracting a volume of investments that reached SAR 35bn ($9.32bn) in various sectors.
The first investment package constituted 21 percent of the total investment real estate plots. Masar allocated 690 square metres of land allocated for development. Investments in the destination include 11 residential and eight hotel towers with two international players, and two commercial centres with an area of closed shopping space exceeding 94,000 square metres. Financing also include a medical facility (hospital), a dialysis centre and a cancer treatment centre. Furthermore, investments are prolonged include a recreational area that extends up to 158,000 square metres that aims at enriching the experience of the visitors, pilgrims and residents of the holy city.
What impact will Masar have on Makkah’s job market?
According to conducted studies, the destination will contribute to the job market by providing more than tens of thousands direct and indirect jobs. With massive investments, Umm Al Qura is moving forward in developing the SAR100bn ($26.6bn) destination which is likely to raise Makkah’s GDP to unimaginable heights which contributing to the kingdom’s tremendous efforts to enrich the experience of Muslims around the globe as they step on the sacred land of the holy city. This is what ignites our passion at Umm Al Qura and what motivates us to focus on the smallest details.
What role is Masar playing in the development of Saudi Arabia’s tourism strategy in the context of Vision 2030?
Masar is creating an integrated destination that will contribute to achieving Vision 2030’s goals of providing the best services to Hajj and Umrah pilgrims while improving the lives of residents. We believe that real estate development is a fundamental pillar of Vision 2030 that tackles all elements to improve the quality of life.
Our goal at Masar is to improve the experience of the visitor and the resident by improving their holistic and spiritual experience. Hence, we are keen on creating a comprehensive and sustainable investment system. We did not rely on reinventing the wheel, instead we benefited from investors’ previous expertise in their field.
The year 2022 was a remarkable year, can you share with us the accomplishment till date on Masar Destination and how 2023 is shaping up?
As mentioned, 2022 was an exceptional year for Masar, as the destination transitioned from heavy investments in infrastructure to attracting investments in several sectors, including health, hospitality, housing, and commerce, in addition to investments aimed at enriching the quality of life.
We closed the year with great results: the completion rates of the infrastructure of Masar are at 92 percent by end of 2022; a vital achievement in the building of a landmark that will contribute to enhancing the quality of life of the residents and visitors of Makkah.
We started the construction work for the first premiere package of hotel projects with global operators; the agreement boasts the famous hospitality brand Kempinski and the international Taj chain for the first time in Makkah. They will be operating two five-star towers and one Kempinski residential tower.
This hospitality package occupies a select location in the central area of Makkah, which is only about 500 metres away from the Holy Mosque, an investment package value of nearly $2bn, which will of course contribute effectively to achieving the kingdom’s Vision 2030 goal. We look forward to more achievements in 2023 and some grand announcements.