Riyadh's retail real estate market is a vibrant and evolving landscape, using a huge selection of chances for savvy financiers. Based upon the thorough benchmarking report, here are some key dynamics shaping this market:
ask.com
Diversity in Residential Or Commercial Property Sizes: The market showcases a wide variety of residential or commercial property sizes, from large-scale malls like Granada Center Mall with a Gross Leasable Area (GLA) of roughly 100,000 m TWO, to smaller retail centers like Boulevard Mall, boasting a GLA of around 8,000 m TWO. This diversity accommodates a broad spectrum of customer needs and preferences.
Geographical Spread: Retail residential or commercial properties in Riyadh are not focused in a single location but are spread out across the city. This circulation allows for a different investment technique, targeting different demographics and socio-economic sections.
Growth Prospects: The retail sector in Riyadh is growing, driven by aspects such as increasing population, urbanization, and a shift in consumer costs routines. This growth trajectory suggests an appealing future for retail investments in the region.
Quality and Standards: The picked residential or commercial properties for the study are kept in mind for their high requirements and quality tenants. This element is vital as it influences foot traffic, occupant retention, and overall residential or commercial property value.
Catchment Areas

Catchment locations are an important element of retail real estate, particularly for malls, as they straight influence the potential success of these residential or commercial properties. In Riyadh's retail landscape, comprehending these areas is necessary for financiers.

Here's what the report reveals about catchment locations:

- Definition and Importance: A catchment location is the geographical area from which a shopping center or retail center draws its consumers. It's considerable due to the fact that it affects foot traffic, sales capacity, and eventually, the profitability of the retail residential or commercial property.
- Granada Center Mall: This mall stands apart with its catchment location covering an impressive 40.5% of Riyadh's population. This high percentage shows its significant effect and reach within the city.
- Al Nakheel Mall: With a catchment area that incorporates 35% of the city's population, Al Nakheel Mall is another crucial player in Riyadh's retail landscape. Its significant coverage demonstrates its significance as a retail location.
- Riyadh Park Mall: This shopping center has a catchment that consists of 32.1% of Riyadh's population, marking it as a major destination in the city's retail sector.
- Captive Population: Looking deeper into the numbers, Granada Center Mall has the greatest share of a captive population, amounting to 23.8% of Riyadh's total population. This suggests a strong faithful customer base that predominantly frequents this shopping mall over others.
Quotation from the Report:

- "The Granada Center Mall covers 40.5% of the population."
- "Al Nakheel Mall covers 35% of the population followed by Riyadh Park Mall with 32.1% protection."
- "The Granada Center Mall has the greatest share of captive population of Riyadh City with 23.8%.".
Lease Rates and Occupancy Trends

In the Riyadh retail property market, comprehending lease rates and occupancy trends is vital for making educated financial investment choices.

- Granada Center Mall: Since August 2022, this shopping mall, being one of the largest in Riyadh, shows a tenancy rate of 64%. It is necessary to note that some parts of the mall were under restoration at the time, which might have affected this figure.
- Riyadh Park Mall: This shopping mall, currently the biggest in terms of Gross Leasable Area, has an impressive occupancy rate of 91.2%, suggesting high tenant retention and consistent consumer traffic.
- Riyadh Gallery Mall: With a tenancy rate of 93.3%, this shopping center stands as another crucial gamer in the market, reflecting a strong and stable tenant base.
- Al Nakheel Mall: This residential or commercial property, essential to the Arabian Center Group, reported an occupancy rate of 82.0%, showcasing its robust standing in the market.
- Lease Rates: While particular figures for lease rates per m two per year aren't offered for each shopping mall, the report indicates that all the shopping centers consisted of follow a comparable pricing structure. This harmony recommends a market standard, which can be a crucial factor for investors when evaluating the prospective roi.
Quotation from the Report:

- "Occupancy (Aug 2022): 91.2%" [Riyadh Park Mall]
- "Currently the second biggest shopping mall in Riyadh according to the Gross Leasable Area." [Granada Center Mall]
- "Another large shopping mall in Riyadh. The occupancy is extremely great at 93.3%." [Riyadh Gallery Mall]
- "An essential residential or commercial property for the Arabian Center Group (Al Hukair Group)." [Al Nakheel Mall]
Investment Opportunities: Case Studies

Case Study 1: Riyadh Park Mall

Riyadh Park Mall stands as a shining example of an effective retail investment in Riyadh's dynamic market. Here's an extensive appearance at its attributes, making it a notable case study:

- Location and Area: Situated on Alamir Mohamed Ibn Saad Ibn Abdelaziz Road, Al Aqeek, Al Shimal, Riyadh Park Mall is tactically situated. It boasts an acreage of 139,118 m ², using adequate area for a varied variety of retail and entertainment alternatives.
- Size and Structure: The shopping mall includes a total built-up location of 241,220 m ² and a Gross Leasable Area (GLA) of 105,290 m ². This substantial size is distributed across 3 floors, offering a huge selection of .
- Leasable Area Distribution: The leasable area is divided as follows:.

• First Floor: 38,499 m TWO
  . -Ground Floor: 63,687 m ²
  . -Basement: 3,103 m ²
  . -This distribution enables for a different mix of retail, dining, and entertainment outlets.
  
• Tenant Mix and Anchors: Riyadh Park Mall accommodates a significant number of anchor shops, even more enhancing its appeal. The variety in its occupant mix deals with a broad spectrum of customer preferences.
  - Occupancy Rates: Since August 2022, the shopping center had a high occupancy rate of 91.2%. This is a sign of its popularity amongst retailers and customers alike, suggesting a consistent stream of foot traffic and consistent profits generation.
  - Investment Appeal: Given its strategic location, sizable GLA, diverse occupant mix, and high tenancy rate, Riyadh Park Mall represents a robust financial investment chance. Its success aspects serve as a guide for what investors need to try to find in prospective retail residential or commercial property investments in Riyadh.
  Quotation from the Report:
  
  - "Address: Parcel No 418, Riyadh Park Mall, Alamir Mohamed Ibn Saad Ibn Abdelaziz Road, Al Aqeek, Al Shimal".
  - "Land Area: 139,118 m2".
  - "Total Built-up Area: 241,220 m2".
  - "Gross Leasable Area: 105,290 m2".
  - "Occupancy (Aug 2022): 91.2%".
  Case Study 2: Granada Center Mall
  
  Granada Center Mall, a popular retail location in Riyadh, uses important insights into the city's retail realty market. Let's check out why it stands as a substantial case study for prospective financiers:
  
  - Prime Location: The mall lies in Dammam, Ash Shohda, Ar Rawdah, tactically positioned to attract a wide consumer base.
  - Extensive Area: Covering an acreage of 421,330 m TWO, Granada Center Mall is one of the biggest in Riyadh. It has an overall built-up area of 318,064 m ² and a Gross Leasable Area (GLA) of 102,080 m TWO
  . -Leasable Area and Structure: The shopping mall's comprehensive leasable location is attentively distributed over two floors, enhancing the shopping experience. The floor-wise distribution is as follows:.
  
• First Floor: 60,027 m TWO
  . -Ground Floor: 42,052 m TWO
  . -Tenant Diversity: The mall hosts a variety of renters, including local and international brand names, which caters to a broad group, increasing its appeal as a retail location.
  - Occupancy Rate: Despite being partially under renovation, the shopping mall kept a 64% occupancy rate as of August 2022. This figure is likely to improve post-renovation, making it an attractive prospect for future growth.
  - Investment Potential: Granada Center Mall's size, location, and renter mix position it as a strong competitor in Riyadh's retail market. Its large GLA and remodelling plans signal potential for worth appreciation, making it an appealing option for investors.
  Quotation from the Report:
  
  - "Address: Granada Center Mall, Dammam, Ash Shohda, Ar Rawdah".
  - "Land Area: 421,330 m TWO ".-" Total Built-up Area: 318,064 m TWO ".-" Gross Leasable Area: 102,080 m ² ".-" Occupancy (Aug 2022): 64% (some parts of the shopping mall under remodelling)".
  Case Study 3: Al Nakheel Mall
  
  Al Nakheel Mall, an essential retail residential or commercial property in Riyadh, emerges as an intriguing case study for investors. Here's an in-depth exploration of its functions:
  
  - Strategic Location: Located on Othman Bin Affan Road, Abi Sofian Ibn Harb, Mugharazat, Al Olaya, this mall take advantage of its position in a populated and affluent area of Riyadh.
  - Substantial Size and Offering: The mall covers a land location of 238,769 m ² with a total built-up area of 299,448 m two and a Gross Leasable Area (GLA) of 81,322 m ². This comprehensive size assists in a diverse series of retail and leisure offerings.
  - Leasable Area Distribution Across Floors:.
  
• Second Floor: 20,767 m TWO
  . -First Floor: 58,463 m ²
  . Ground Floor: 2,091 m ²- This circulation caters to various retail and leisure experiences, interesting a large customer base.
  
• Tenant Diversity: Al Nakheel Mall's renter mix includes a series of regional and international brands, attracting a varied group of consumers and making sure constant tramp.
  - Occupancy and Investment Potential: Since August 2022, the shopping mall reported a tenancy rate of 82.0%. This relatively high tenancy rate, integrated with its size and place, marks Al Nakheel Mall as an appealing investment opportunity in the Riyadh retail market.
  - Additional Considerations: The shopping center is part of the Arabian Center Group, contributing to its credibility and appeal. Its large GLA and diverse tenant mix position it well within the competitive landscape of Riyadh's retail residential or commercial properties.
  faqtoids.com