Saudi Arabia’s retail real estate sector is entering one of its most consequential periods in years, with Cenomi Centers — the country’s largest mall operator — preparing to open two landmark Westfield destinations in 2026 while simultaneously advancing a new project in Al Khobar developed in partnership with the Public Investment Fund. The company’s trajectory in the coming months is expected to reshape consumer retail on the east and west coasts of the Kingdom.
Westfield Jeddah and Riyadh Enter the Market
Westfield Jeddah is scheduled to open in the second quarter of 2026, with Westfield Riyadh following in the third quarter. Together, the two flagship properties represent Cenomi Centers’ most significant expansion in its history, carrying a combined EBITDA contribution expected to exceed SAR 800 million once operations fully stabilize. While the company will recognize initial contributions from the projects during this year, the fuller financial impact is expected to materialize over subsequent periods as foot traffic and tenant performance ramp up.
Cenomi Centers CEO Alison Rehill-Erguven described the company’s entry into 2026 with solid operating momentum, noting that occupancy across the existing portfolio stood at 94.2 percent at the end of 2025, with footfall rising 4.4 percent over the year. She attributed the revenue decline seen in Q4 2025 primarily to a planned revenue reset tied to the phased delivery of the Dhahran Mall project, clarifying that the company’s underlying operating performance remained stable throughout.
New Al Khobar Mall Partnership with PIF
On March 31, Cenomi Centers signed two agreements with Saudi Downtown Company — a wholly owned subsidiary of the Public Investment Fund — to develop a new shopping mall in Al Khobar. Under the first agreement, Cenomi Centers will oversee and manage construction of the mall until completion, expected within three years of obtaining the necessary regulatory approvals. The contract value exceeds 5 percent of the company’s annual revenues, which totaled approximately SAR 2.29 billion in 2025, placing the deal’s value above SAR 114 million.
A second agreement grants Cenomi Centers the right to lease and operate the Al Khobar mall for a period of 25 years once construction is complete. The lease agreement is currently non-binding but is expected to convert into a full operating contract upon handover of the finished development. Both agreements carry a three-year validity period, extendable by up to two additional years by mutual consent.
Retail Expansion as a Pillar of Vision 2030
The pace of Cenomi Centers’ expansion reflects broader momentum in Saudi Arabia’s retail real estate market, which is being driven by rising consumer spending, a young population, and the steady influx of tourists and business visitors arriving under Vision 2030. The company’s alignment with PIF on the Al Khobar project signals the continued integration of the sovereign wealth fund’s urban development program with the private retail sector — a partnership model that is becoming increasingly characteristic of large-scale mixed-use developments across the Kingdom’s major cities.
