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Stadiums become main event for Saudi construction

15 August 2025

 

Saudi Arabia’s construction industry is preparing for a massive wave of development as the kingdom advances its plans to host the Fifa World Cup in 2034. With billions of dollars set to be invested, the scale of upcoming projects promises long-term opportunities for contractors.

Several local construction firms, working in joint ventures with international partners from Spain, Belgium and China, have already secured contracts for stadium developments. As more tenders are issued, additional contract awards are expected in the near future.

To meet Fifa’s requirements, Saudi Arabia must provide a minimum of 14 all-seater stadiums – at least four of which must be existing venues. The tournament also mandates an 80,000-seat stadium for both the opening and final matches, 60,000-seat venues for the semi-finals, and at least 40,000 seats for all other games.

According to Saudi Arabia’s bid book, 11 new stadiums will be built, bringing the total number of venues to 15. Most of these projects are anticipated to be brought to market over the next few years, with successful delivery requiring close collaboration between local firms and experienced global players.

Progress so far

Saudi Arabia has awarded contracts for the construction of four major stadiums in recent months.

In December 2024, the Ministry of Sport awarded a contract to the local Saudi Binladin Group for the redevelopment and expansion of the stadium at King Fahd Sports City in Riyadh. The upgrade will increase the stadium’s capacity from 68,752 to 92,000 seats, aligning with Fifa’s requirements for hosting key matches.

The largest of the stadium contracts was awarded in January 2024, when the Public Investment Fund-backed Jeddah Central Development Company signed an estimated SR6.7bn ($1.8bn) deal for the construction of the Jeddah Central stadium and its surrounding facilities. The project was awarded to a joint venture of China Railway Construction Corporation and the local Sama Construction for Trading & Contracting. The stadium will seat 46,000 spectators and is scheduled for completion by 2026.

In February 2024, Saudi Aramco awarded another major contract – valued at about SR3.7bn ($1bn) – for the development of a new football stadium in Dammam. The joint venture of Belgian contractor Besix and Saudi-based Albawani will deliver the project. Spanning 800,000 square metres (sq m), the stadium will have a capacity of 45,000 spectators and form part of a broader masterplan for the area.

Additionally, in October 2024, Qiddiya Investment Company – developer of one of the kingdom’s flagship gigaprojects – awarded a contract worth approximately SR3.7bn ($1bn) for the construction of the Prince Mohammed Bin Salman Stadium at Qiddiya City, near Riyadh. The project was awarded to a joint venture of Spain’s FCC Construction and local contractor Nesma & Partners. Designed to host 45,000 spectators, the stadium will feature a fully retractable pitch, roof and LED wall, highlighting the kingdom’s push for technologically advanced sports venues.

Future prospects

The biggest of the upcoming stadium schemes is the King Salman Stadium, which will be located north of Riyadh. The stadium, designed by the US architectural firm Populous, will be the showpiece venue for the tournament, hosting the opening and final games. It will cover about 660,000 sq m and have a seating capacity of over 92,000 spectators. Tendering activity is expected to begin by the end of this year, with construction anticipated to be completed by 2029.

Other stadiums in the pipeline include the New Murabba Stadium, Roshn Stadium, South Riyadh Stadium, Qiddiya Coast Stadium, King Abdullah Economic City Stadium and Neom Stadium.

In August, Saudi gigaproject developer Roshn received revised commercial proposals from contractors for a contract to build a new stadium adjacent to the National Guard facilities southwest of Riyadh. To be delivered on an early contractor involvement basis, it will cover an area of more than 450,000 sq m and accommodate 46,000 spectators.

Procurement has also started on the expansion of Prince Faisal Bin Fahd Sports City Stadium in Riyadh. On 14 August, the Ministry of Sport, in collaboration with the National Centre for Privatisation & PPP and the Riyadh Region Municipality, issued an expression of interest and request for qualifications notice for the project, which will be delivered as a public-private partnership (PPP) under a design, build, finance, operate and maintain model, with a contract duration of 20 to 30 years. The stadium will have a capacity of about 47,000 spectators.

The scheme is the first of several stadiums expected to be delivered on a PPP basis in preparation for the World Cup.

With Riyadh pausing its gigaproject spending to prioritise event-driven projects, there is a greater emphasis on PPP projects. This is leading to more openness about project plans as the kingdom seeks to attract foreign investment in sectors that have been traditionally closed for foreign investment.

The most striking development in this direction took place in July when the kingdom announced the winning bidders for the rights to own and operate three sports clubs in the kingdom.

The agreement marks the first time a foreign investor has owned a Saudi football club, with US-based investment firm Harburg Group winning ownership rights to Al-Kholood Football Club. 

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Yasir Iqbal

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