The approval unlocks the way for infrastructure construction, zoning allocations and future phases of residential and commercial development across the approximately 5 million square metres site. Dar Al Arkan has described Shams Ar Riyadh as a mixed-use project integrating housing, retail, healthcare, education and community amenities.
Officials say the approval follows a lifting of a prior regulatory embargo that had constrained progress on the site. The developer noted that all internal zones within Shams Ar Riyadh have been approved, allowing its phased rollout. The infrastructure in the Verde and Bella Vista zones is fully built; work in Giovane, La Casa and Palazzo is more than 55 per cent complete.
Dar Al Arkan’s financial disclosures show that release of the off-plan units began in 2018 under a government registry platform, and all of the 2,065 plots allocated by March 2025 had been sold or reserved, accounting for a total sale value of SAR 6.69 billion. The company sees the masterplan approval as a gateway to unlock the remaining development potential and begin vertical construction in earnest.
Yousef Al Shelash, chairman of Dar Al Arkan, has emphasized the significance of the approval for enabling planned infrastructure deployment and accelerating sales. The firm has also signaled that it intends to shift more toward off-plan and pre-finished home delivery models to reduce capital burdens.
However, challenges remain. The company must manage construction costs, contractor performance, and timely delivery of supporting utilities — all of which could disrupt project timelines. Its financial reports underline that delays in utility or regulatory approvals, or performance issues with contractors or subcontractors, pose risks to execution. Further, cost inflation in materials and labour might pressure margins if not passed on to buyers.
Dar Al Arkan is not resting on this achievement: it is also preparing new projects. It recently announced plans to launch a mega masterplan called “Manhattan” in Jeddah spanning about one million square metres along King Abdulaziz Road, anchored by a Trump Plaza development. That project is intended to become a premium, integrated district with residences, serviced apartments, offices and hospitality components.
Within its broader strategy, Dar Al Arkan is pursuing more recurring income through retention of commercial units and growing its property management and rental portfolios. Its balance sheet shows a development-properties book value of over SAR 20.5 billion as of March 2025, with its investment properties accounting for nearly SAR 972.8 million. The Al Qasr Mall remains its largest income asset, contributing about 78 per cent of its property portfolio value.
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