Saudi Arabia Construction Industry Databook Series – Market Size & Forecast by Value and Volume (area and units) across 40+ Market Segments in Residential, Commercial, Industrial, Institutional and Infrastructure Construction, Q1 2022 Update

Saudi Arabia Construction Industry Databook Series – Market Size & Forecast by Value and Volume (area and units) across 40+ Market Segments in Residential, Commercial, Industrial, Institutional and Infrastructure Construction, Q1 2022 Update

Report Description

According to ConsTrack360's Q4 2021 Global Construction Survey, construction industry in Saudi Arabia is expected to grow by 14.0% to reach SAR 2,18,437 million in 2022.

Despite near-term challenges in certain construction sectors, medium to long term growth story in Saudi Arabia remains intact. The construction industry in Saudi Arabia is expected to grow steadily over the next four quarters. The growth momentum is expected to continue over the forecast period, recording a CAGR of 5.9% during 2022-2026. The construction output in the country is expected to reach SAR 2,99,214.3 million by 2026.

Government-backed infrastructure projects are expected to boost the construction industry’s growth in Saudi Arabia

The construction industry in Saudi Arabia is expected to see accelerated growth over the medium-term perspective. The government’s increasing focus on developing the overall infrastructure, utility construction projects, and energy projects will support the industry’s growth in 2022.

Under its vision 2030 initiative, the Kingdom announced several large-scale, complex, and multi-purpose infrastructure projects with the aim to transform the broader economy. Some of the major infrastructure projects currently undertaken by the Saudi Government include NEOM, Red Sea Project, and Qiddiya. All of these projects are expected to bring significant volumes of steady work to the construction sector in the long term. The increasing government spending on these large-scale infrastructure projects will keep supporting the growth of the Saudi Arabian construction industry over the next four to eight quarters.

Urban development projects leading the growth in the construction industry in Saudi Arabia

As of December 2021, there are more than 5,000 construction projects ongoing in the country at a total value of more than US$800 billion. Moreover, the urban construction sector in Saudi Arabia is the largest contributor to the growth of the industry. The sector has more than 3,000 active projects valued at nearly US$380 billion.

The urban sector is followed by the utility sector which is the second-largest contributor with more than 700 projects. This is followed by the transportation sector with nearly 500 construction projects. Notably, some of the major urban construction projects in the country include the King Abdullah Security Compounds (Phase 5) and the Grand Mosque (Holy Haram Mosque expansion).

With the population in the country estimated to be around 18 to 20 million by 2030, the need for infrastructure construction development will keep on growing, which will subsequently assist the growth of the industry from the short to medium-term perspective in Saudi Arabia.

Government initiatives are boosting homeownership rates across the Kingdom

The Saudi Arabian Government introduced various initiatives such as Sakani and Wafi, which are continuing to contribute towards an acceleration in the homeownership rates across the country. The efforts of the government to support the growth of the residential sector are delivering an exceptional active development market. For instance,
• By the end of 2023, 155,000 new homes are scheduled to be completed across Riyadh, Jeddah, and Dammam Metropolitan Area. Of these 155,000, Riyadh alone will have 100,000 new homes.

In Q2 2021, the number of residential transactions in Riyadh and Jeddah were up 76.7% and 43.8%, respectively, year-on-year, which shows the strong demand for housing units in the country. ConsTrack360 expects the trend to continue from the short to medium-term perspective, thereby offering support for the growth of the residential construction sector in Saudi Arabia.

This report from ConsTrack360 provides data and trend analyses on construction industry in Saudi Arabia, with over 100 KPIs. This is a data-centric report and it provides trend analyses with over 140+ charts and 110+ tables. It details market size & forecast, emerging trends, market opportunities, and investment risks in over 40 segments in residential, commercial, industrial, institutional, and infrastructure construction sectors.

It provides a comprehensive understanding of construction industry sectors in both value and volume (both by activity and units) terms. The report focuses on combining industry dynamics with macro-economic scenario and changing consumer behavior to offer a 360-degree view of the opportunities and risks.

Scope
• Market Data and Insights: This report provides market size and forecast across 40+ construction segments for a period of 10 years from 2016-2025 in Saudi Arabia. KPIs covered include the following:
• Market size by value
• Market size by volume of construction
• Number of units
• Saudi Arabia Residential Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Housing type (multi family, single family)
• Key cities (Tier – 1, Tier – 2, Tier – 3 segmentation)
• Price point / income level (luxury, mid-tier, affordable)
• Construction stage (new construction, re-development & maintenance)
• Saudi Arabia Residential Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Green building by Housing type (multi family, single family)
• Green building by Key cities (Tier – 1, Tier – 2, Tier – 3 segmentation)
• Green building by Price point / income level (luxury, mid-tier, affordable)
• Saudi Arabia Commercial Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Office (further broken down by Grade A, Grade B, and Grade C)
• Retail (further broken down by Grade A, Grade B, and Grade C)
• Hospitality (further broken down by Grade A, Grade B, and Grade C)
• Restaurant (further broken down by Grade A, Grade B, and Grade C)
• Entertainment
• Sports facility
• Construction stage (new construction, re-development & maintenance)

• Saudi Arabia Commercial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Office green building construction
• Retail green building construction
• Hospitality green building construction
• Restaurant green building construction
• Entertainment green building construction
• Sports facility green building construction
• Other commercial green building construction
• Saudi Arabia Industrial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units)
• Saudi Arabia Institutional Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Healthcare construction
• Educational construction
• Public sector
• Construction stage (new construction, re-development & maintenance)
• Saudi Arabia Institutional Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
• Healthcare green building construction
• Educational green building construction
• Saudi Arabia Infrastructure Construction Sectors: 10- year market size & forecast in value terms by
• Marine and inland water infrastructure
• Utility system construction (oil and gas infrastructure, communication infrastructure, power infrastructure, water and sewer infrastructure)
• Transportation infrastructure (highway, street and bridge construction, railway construction, airport construction, and tunnel construction)
• Construction stage (new construction, re-development & maintenance)
• Saudi Arabia Green Infrastructure Construction: 10- year market size & forecast in value terms

Reasons to buy
• In-depth Understanding of Construction Market Dynamics: Understand market opportunity, industry dynamics, key trends and drivers across 40+ market segments and sub-segments of building and infrastructure construction industry in Saudi Arabia.
• Volume and Value Data: Get detailed understanding of the market both from value and volume (both by activity and units) perspective for historical as well as forecast period
• Develop Market Specific Strategies: Identify growth segments and target specific opportunities to formulate your strategy; assess market specific key trends, drivers and risks in construction industry.
• City Level Insights: Get city level trend analyses by tier-1, tier-2, and tier-3 cities.