Saudi Arabia’s sovereign wealth fund- The Public Investment Fund (PIF) has made the announcement of the launch of a new real estate company named “Roshn” with an aim to meet the growing domestic house demand in the nation.
The reliance on privately owned property developers has started to shift towards housing stock and the domestic market with many mortgage firms availing funds to interested property owners.
In a statement issued on Wednesday, Roshn was said to be helping in the creation of strategic partnerships between the Saudi private sector and private investors. By following international benchmarks, Roshn will assist in community planning and design through innovative techniques and construction methods.
With the initiative to increase home ownership in the kingdom, Saudi’s minister of housing has agreed to absorb the tax increase for first time buyers on units worth around 850,000 Saudi riyals. Several mortgage firms have joined hands to make funds available to interested property owners.
The establishment of the new real estate company marks PIF’s Investment Strategy to focus on the Vision 2030 by bolstering the kingdom’s house ownership levels to 70% and raise the standards of living.