Several organizations in Saudi Arabia contribute to enabling the advancement of the private sector in Saudi Arabian industrial development, such as the Saudi Industrial Property Authority (MODON), established in 2001. Focusing on providing the required infrastructure and services, MODON seeks to achieve “world-class and distinctive industrial cities and technology zones.” It encourages investors to invest in industrial cities and helps them maintain a stable business there.
Services MODON provides for investors
MODON is dedicated to developing industrial cities across the country; preparing the ideal environment for technology zones and making them attractive for investors. It welcomes investment projects in different areas, and has also succeeded in supporting investors with ready-built factories. Industrial, technical, service, residential, and commercial projects will find there are many advantages and incentives available. MODON helps facilitate investment projects by offering competitive rents on industrial land (for example, some cities can offer rents of one Saudi Riyal per square meter). In addition, investors can have support from government financial funds and banks. Customs support is also provided, in that MODON provides export support for businesses as well as being able to grant some exceptions in exporting materials and machinery.
MODON in numbers
Up to 2016, in an area of more than 182 million square meters, there were more than 3,054 productive factories; and more than 6,074 service and logistics contracts. However, today, investments exceed 500 billion Riyals. The industrial cities include many facilities, such as housing complexes, hotel apartments, schools, parks, commercial complexes, fire stations, and worker housing. There are specialized women-only industrial cities which are termed MODON Oases located in Al-Ahsa, Jeddah, Al-Jouf, and Yanbu.
If you are interested in available investment opportunities in the industrial cities, contact our team at T&S, who will help you start your business with a clear understanding of the process and the local market.