Service Delivered: Real Estate Development Advisory for a Healthcare-focused Mixed-use Development
Client: A Major Investment Company in KSA
Project Overview:
In the bustling city of Al-Khobar, our client envisioned an innovative healthcare-focused mixed-use development on a sprawling 17,250 sqm plot in Al-Aqrabiyah. The proposed project aimed to integrate a cosmetics clinic, fitness center, and retail strip, setting a new benchmark for healthcare and wellness infrastructure in the region. Advisory Corp was selected to spearhead this transformative real estate advisory project, navigating the complexities of market demand, financial feasibility, and strategic development under the guiding lights of Saudi Vision 2030.
Our Approach:
Our methodology was underpinned by a thorough evaluation of the healthcare sector’s landscape within the Kingdom, with a special focus on the burgeoning demand for cosmetic clinic services. This comprehensive analysis was supported by both primary and secondary research, setting the stage for a deep dive into market dynamics, service pricing, and competitive positioning.
As a premier real estate advisory firm, Advisory Corp undertook an extensive benchmarking exercise, scrutinizing existing cosmetics clinics, retail strips, and fitness centers integral to mixed-use developments. This evaluation included an analysis of rental rates, absorption rates, and tenant mix, crucial for ascertaining the project’s market fit and potential success.
In alignment with our commitment to providing top-tier real estate valuation advisory services, we formulated a strategic development concept. This blueprint encompassed detailed recommendations for development options, ensuring an optimal blend of each component within the overall project, reflective of market demands and investment potential.
A pivotal element of our service was conducting a rigorous feasibility study for real estate, embodied in our real estate feasibility study excel model. This tool was instrumental in assessing financial outcomes under various scenarios, calculating key indicators such as Net Present Value (NPV) and Internal Rate of Return (IRR) to gauge the project’s viability.
Results:
The collaboration culminated in a comprehensive development concept that resonated with current market trends and forecasted demands within the healthcare and real estate sectors. The client was equipped with a detailed financial analysis, providing clarity on project returns and setting a solid foundation for decision-making. This case exemplifies the potency of meticulous planning, market insight, and financial acumen, hallmarks of Advisory Corp’s real estate advisory prowess.
The project not only aligns with the strategic directives of Saudi Vision 2030 but also sets a precedent for integrated healthcare developments in the region, showcasing the value of a well-structured real estate feasibility study template in transforming visions into tangible success.
