Dar Al Arkan plans new $2bn Jeddah project

Saudi Arabia's Dar Al-Arkan on Sunday announced plans to spend 7.5 billion riyals ($2bn) on a new residential project in Jeddah.

Construction on the new project, which will have more than 10,000 units, will begin in 2010, according to a statement from the company.

Shams Al-Arous will be located in the east of Jeddah city on an area of over three million sq m.

The Company said the new community would also include public parks, entertainments centres, shopping centres, offices, restaurants, schools, mosques.

Construction of the first phase will include 2,000 units and cost SR1.5bn while the entire project execution should last five years to complete.

Saudi Arabia's largest developer by market value on Sunday posted a 14.4 percent drop in net profit during the third quarter due to a slowdown in the property sector.

The company made a net profit of 616.2 million riyals ($164.3m) in the three months to Sept 30, down from 719.5 million riyals a year earlier, it said in a statement earlier on Sunday.

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