Jeddah, Saudi Arabia

Prime Corniche · Luxury towers & villas · Short-stay demand

Al Shati is Jeddah’s leading waterfront residential district, stretching along the northern Corniche with direct Red Sea frontage. It has the city’s highest concentration of branded residences, luxury towers, yacht clubs, and high-end dining, forming the core of Jeddah’s coastal luxury market. Short-term occupancy in well-managed buildings typically ranges from 55% to 70%, supported by leisure visitors and business travellers.

Diplomatic corridor · Expat demand · Furnished units

Al Hamra sits just south of Al Shati and hosts many of the city’s consulates and diplomatic residences. It is one of the main hubs for furnished apartments, attracting senior expats and corporate tenants on relocation packages. The district is also home to King Fahd’s Fountain, a key Corniche landmark and one of Jeddah’s most recognisable features.

Pricing is generally similar to Al Shati, with particularly stable long-term rental demand and consistently high occupancy for furnished units.

North Jeddah · Fastest-growing · Off-plan entry point

Obhur stretches along Jeddah’s northern coastline and is the city’s fastest-growing residential corridor. It is split into North Obhur, known for resort-style villas, private docks, and gated communities on the Red Sea, and South Obhur, where sea-view apartment towers offer more accessible pricing. Obhur Creek, a mangrove-lined inlet, separates the two and gives the area a more natural, less urban feel than the Corniche.

Most of Jeddah’s new large-scale developments are concentrated here. One of the most significant is ROSHN Group’s MARAFY, an 11 km canal-based community designed for over 130,000 residents. With entry prices well below the Corniche, Obhur has become the main off-plan growth area in the city.

Mid-market · Expat professionals · Long-term tenant demand

Al Rawdah is a well-established residential district located inland between Al Hamra and the city centre. It is closely linked to Tahlia Street, one of Jeddah’s main commercial and dining corridors, giving residents easy access to restaurants, cafés, retail, and services without waterfront pricing.

The area attracts corporate expats and families, particularly those working near King Faisal Specialist Hospital and international schools. Rental demand is steady year-round, especially for furnished units, with consistently low vacancy compared to other mid-market districts.

UNESCO World Heritage · Heritage hotels · Short-stay investment

Al Balad is Jeddah’s historic core, known for its dense network of 19th-century coral-stone buildings with traditional wooden roshan balconies. It reflects the city’s merchant past and remains the only surviving urban fabric of the Red Sea’s historic trading culture. The district was inscribed as a UNESCO World Heritage Site in 2014, and more than 600 buildings are currently being restored under a PIF-backed programme led by Al Balad Development Company.

The area is in active transition, with heritage boutique hotels already operating under the Albalad Hospitality brand and more planned in the coming years. Al Balad functions as a cultural and tourism destination, with short-stay demand driven by events and peak pilgrimage seasons.

Emerging · Off-plan · Phase 1 delivery end 2027

Jeddah Central is the city’s main emerging waterfront development and a major long-term investment corridor. It is anchored by a $20B PIF-backed giga-project covering 5.7 km² in the heart of the city. The masterplan includes a FIFA 2034 stadium, an opera house, an oceanarium, a large marina, and over 2 km of public beachfront. Phase 1, covering 45% of the project, is scheduled for completion by the end of 2027.

The residential component includes around 17,000 units across apartments, villas, and townhouses, alongside hotel inventory and mixed-use infrastructure. Once complete, the project is expected to add significant economic value to the city.

Transaction costs (foreign buyers) — approximately 10% of purchase price — 5% Real Estate Transaction Tax (RETT) plus a 5% REGA disposal fee introduced under the 2026 law

Income tax — none — Saudi Arabia has no personal income tax on rental earnings for individuals

Annual holding tax — none for individual owners

Rental contracts — must be registered through the Ejar platform regardless of owner nationality

Registration — all transactions must be recorded in the Real Estate Registry — unregistered purchases carry no legal protection for foreign buyers

The Corniche — 30 km Red Sea waterfront promenade with parks, cycling tracks, beaches, and restaurants running the full length of the city

King Fahd’s Fountain — the world’s tallest fountain at 312 metres, lit by 500 spotlights every evening on the Al Hamra Corniche

Al Balad — UNESCO-listed historic district with restored coral-stone tower houses, boutique heritage hotels, and cultural venues

Red Sea diving and watersports — direct access to reefs, dive clubs along the Corniche, snorkelling, sailing, and year-round warm water

International schools and healthcare — well-established expat infrastructure, particularly in the northern Corniche corridor

Proximity to Mecca — 80 km by road (approximately 45 minutes by car); also served by the Haramain High-Speed Railway from KAIA, significant for Muslim residents and Umrah visitors

Year-round sunshine — optimal outdoor conditions October through April; the Corniche and beaches are the city’s primary leisure infrastructure