Land bank activation and strategy development

The situation

A large listed company in Saudi Arabia with an unutilized land bank engaged Strategy& to determine four plot feasibilities for its real estate arm and develop its mandate, strategy, business plan, operating model, and financial forecasts over the next 10 years.

How we helped

The team collected aspirations from stakeholders, identified top real estate opportunities, and conducted a detailed gap assessment across the core real estate segments and associated sub-segments in the key regions. The mandate offered a clear evolution path, and the growth strategy combined market opportunities with the four land plots. The team defined the highest and best use for the plots, as well as asset mix and feasibilities. Ten-year financial projections were simulated; an organization structure and governance framework that support growth were developed; and manpower requirements across all functions were forecasted.

Results

In accordance with the team’s implementation plan, the company was set up and began to operate according to the recommendations.