MAPIC in Riyadh highlights the Gulf’s retail potential

This week saw Innesco return to Saudi Arabia — this time on behalf of MAPIC — for the conference’s inaugural Middle East pre-event launch hosted at the French Ambassador’s residence in Riyadh.

Most will be familiar with the Kingdom’s most audacious (to use NEOM’s vocabulary) projects; everyone’s favourite linear city, a ski resort in the desert, and more recently the New Murraba — however the scale of development and rapid progress extends beyond these seemingly-fantastical projects and throughout the retail sector in the Kingdom.

For starters, Saudi Arabia is home to a (relatively) fast-growing economy and upwardly mobile young people, with an appetite for global culture. Additionally, upturns in Saudi and non-Saudi employment saw an impressive 14.8% increase in the number of people in work during the second half of 2022 (Source CBRE). It is clear these developments are sparking increased opportunity.

In Riyadh alone, Knight Frank predicts a significant increase in retail supply, with a +28% growth on existing stock (based on figures from Q1 2023). Market-wide, retailers are increasingly looking to locate entertainment-led developments — a global trend that can be seen across KSA and the GCC. Ultimately the confluence of these factors has forged a space in which property players can create and grow some of the world’s foremost retail and leisure concepts, with MAPIC offering the leading forum to facilitate this.

This week’s event in Riyadh saw introductions from the interim Charges d’affaires, Emmanuel Berard, Business France’s Country Director for Saudi Arabia, Rachid Boulaouine, and our very own Dan Innes, before Francesco Pupillo, MAPIC Markets Director, outlined the unrivalled opportunity MAPIC represents for the leading property players in the region. Insights for the evening closed out with a presentation from Robert Spinks, Executive Director of Development at SEVEN, on the PIF-owned-entity’s ambitious plans for 21 entertainment complexes in 14 cities across the country.