Saudi listed Horizon Educational secures long-term project in Riyadh

Riyadh – Mubasher: OFOQ Educational Company, which operates under the commercial name Horizon Educational, has announced the receipt of a contract award notice for a significant land lease in the Al Suwaidi district of Riyadh.

The agreement is between Horizon Educational and Digital Encyclopedia Trading Company, facilitated through the Tatweer Building Company and involves the construction and operation of a new educational complex to be branded as Horizon International Schools.

The total duration of the lease is set at 25 years and the contract award was formally announced on 13 May 2026, according to a bourse disclosure.

The contract is valued at SAR 739,000 and it pertains to a land parcel measuring 6,188.59 square meters.

Meanwhile, to ensure the contract remains aligned with long-term market conditions, the agreement includes a structured escalation clause. Under this provision, the annual rent will increase by 10% every five years throughout the duration of the lease.

Consequently, the total estimated value of the contract over its full 25-year term is projected to reach SAR 21.08, excluding value-added tax.

To facilitate the initial development and construction phases of the Horizon International Schools complex, the agreement provides the company with a two-year grace period.

During these first 24 months from the date of the contract signing, Horizon Educational will not be required to pay rent. This period is intended to allow the company to focus its resources on infrastructure and operational setup before the commencement of regular lease obligations.

Horizon Educational has confirmed that there are no related parties involved in this transaction, ensuring the agreement was reached on an independent basis.

The company emphasized that this project is a vital step in achieving its strategic objectives, particularly in terms of growing its student population and enhancing its service offerings in high-demand residential areas like Al Suwaidi.