Kuwait Projects Co (KIPCO), the largest investment company in Kuwait, announced that construction on its $2.0-$2.5 billion real estate project has started.
The project’s cost has been downsized to about half of the original estimate.
According to Tawfiq al-Jarrah, Executive Director of the Hessah Al Mubarak scheme, the project’s value was cut down from $5 billion because the estimate did not account for infrastructure area and government-required services.
The project will be built across an area of 227,000 square meters.
KIPCO will be funding half the real estate mixed-use project, while banks will cover the remaining half. Among the banks financing the project is Kuwait’s Burgan Bank.