Riyadh – Mubasher: Sumou Real Estate Company signed a secondary real estate development agreement with the National Housing Company (NHS) to develop area 2 of the Khayala residential project located in Jeddah's Al-Hamdaniya for SAR 300 million.

Sumou will build 404 villas on a land area of 105,000 square metres allocated by the Ministry of Housing to the company, according to a bourse disclosure on Sunday.

Work at the project is expected to begin within six months from the signing date and end after three years and a half.

Moreover, the project will be financed mainly through off-plan sales and partially from the company’s internal resources.

The transaction is likely to have a positive impact on Sumou’s financial results upon sales.