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Giga-projects under Vision 2030 are reshaping the Saudi Arabia facility management market. This creates immense demand for outsourced, technology-driven soft services, prioritizing sustainability and world-class user experiences across a rapidly expanding built environment.
Chicago, Aug. 08, 2025 (GLOBE NEWSWIRE) — The Saudi Arabia facility management market was valued at US$ 48.04 billion in 2024 and is expected to reach US$ 111.07 billion by 2033, growing at a CAGR of 10.16% during the forecast period 2025–2033.
The Kingdom of Saudi Arabia is undergoing a seismic economic transformation, and at the heart of this evolution lies a golden opportunity within its facility management sector. Driven by the colossal ambition of Vision 2030, the Saudi Arabia facility management market is no longer a secondary consideration but a critical enabler of national development. With the government committing approximately $1 trillion to diversify its economy away from hydrocarbons by 2035, the scale of development is staggering. This investment is creating entirely new cities, futuristic tourist destinations, and world-class infrastructure from the ground up.
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The recently published and updated report presents an unparalleled demand for sophisticated, technology-driven, and sustainable facility management solutions. As the Kingdom constructs projects on a giga-scale, the long-term operational and maintenance needs are immense, creating a robust, multi-billion-dollar pipeline for FACILITY MANAGEMENT providers. The opportunities extend across every vertical, from hospitality and healthcare to industrial and commercial real estate. For stakeholders and market players, the message is clear: the Saudi Arabia market is entering a phase of exponential growth, offering returns and partnerships on a scale rarely seen anywhere in the world. This is not just a market; it is the bedrock of a new, diversified Saudi economy.
Key Findings in Saudi Arabia Facility Management Market
Market Forecast (2033)
US$ 111.07 billion
CAGR
10.16%
By Service Type
Soft Services (74.33%)
By Mode of Service
Outsourced Facility Management (55.62%)
By Enterprise Size
Large Enterprises (67.55%)
By Service Delivery Model
Contract-Based (76.32%)
By End User
Business and Corporate (25.20%)
Top Drivers
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Vision 2030 giga-projects create massive infrastructure development demand.
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Government focus on economic diversification, tourism, and urban living.
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Increasing awareness of facility management’s role in operational efficiency, cost-saving.
Top Trends
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Rapid adoption of technology like IoT and AI.
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Growing demand for integrated facility management solutions.
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Strong emphasis on sustainability and energy-efficient green building practices
Top Challenges
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Significant shortage of skilled local facility management professionals.
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Navigating evolving government regulations and international service standards.
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Rising cybersecurity threats to integrated and smart building systems.
Vision 2030 Giga-Projects: The Unrivaled Catalyst for Unprecedented FACILITY MANAGEMENT Sector Expansion
The primary engine powering demand in the facility management market is Vision 2030’s portfolio of giga-projects. The government has already channeled an initial $500 billion into the futuristic NEOM project as of 2024. This monumental undertaking, alongside others, is supported by a 2023 infrastructure and transport budget of SAR 271 billion (approximately $72 billion), with development continuing through 2024. By 2024, total investments in the Kingdom’s infrastructure had soared to SR 4.9 trillion (approximately $1.3 trillion).
Qiddiya Investment Company is accelerating its entertainment and sports project by planning to award $2.66 billion (SAR 10 billion) in new contracts. Furthering this, the Diriyah Company began constructing a premier office complex in 2024, set to offer around 39,000 square meters of gross leasable area (GLA) with a total gross floor area (GFA) of nearly 47,000 square meters. The Kingdom’s National Industrial Strategy aims to increase the number of factories to approximately 36,000 by 2035, built upon over 800 investment opportunities valued at SR 1 trillion.
A New Era of Hospitality: Fueling Immense FACILITY MANAGEMENT Demand Across the Kingdom
A core pillar of Vision 2030 is the transformation of Saudi Arabia into a global tourism hub, creating a massive pipeline for hospitality-focused facility management market services. The Kingdom has boldly updated its tourism target, now aiming to attract 150 million visitors annually by 2030. In 2024 alone, the nation is expected to welcome over 30 million international visitors. To accommodate this influx, the country is on track to develop an astonishing 362,000 new hotel rooms by 2030, part of a wider 110 billion investment in the hospitality sector. As of April 2025, Saudi Arabia leads the Middle East and Africa with 42,800 hotel rooms under contract. Across the region, including KSA, 50,683 new rooms are expected to open in 2025.
The Saudi Arabia facility management market will directly benefit from the 319 hotel projects, totaling 85,416 rooms, in the Kingdom’s pipeline at the close of Q1 2025. Specific projects include a SAR 2.5 billion (approximately $666.6 million) pact signed in January 2024 for a Makkah hospitality project adding over 1,000 rooms. Moreover, hospitality Management Holding (HMH) is adding 1,314 new rooms, with the 104-room Corp Yanbu Hotel opening in 2025, the 150-room Corp Madinah Hotel opening by the end of 2025, and the 460-room Corp Makkah Al Naseem following in early 2026. Wherein, the luxury segment also expands with the Rosewood Red Sea (149 rooms) and Jumeirah Red Sea (159 rooms), both opening in 2025.
Healthcare and Real Estate Expansion: Foundational Pillars of Modern FACILITY MANAGEMENT Service Opportunities
The government’s commitment to enhancing citizen welfare is creating a parallel boom in healthcare and real estate infrastructure. The health and social development sector received a budget of SR 260 billion ($69.3 billion) for 2025. A total of $65 billion is planned for healthcare infrastructure under Vision 2030. This translates into tangible projects, with five new hospitals scheduled to open by 2025, adding 963 beds. In April 2025, Riyadh facility management market saw the launch of 28 new healthcare projects with an investment of over SR 7 billion, set to add more than 3,000 new hospital beds. Key developments include a new 500-bed tower at King Saud Medical City, 200-bed towers each at King Salman and Al-Iman Hospitals, and a new 300-bed hospital in Diriyah.
In 2024, the 200-bed Tabuk Heart Center and 200-bed Abha Psychiatric Hospital are expected to be completed, while the first stage of the $1.1 billion Jeddah Medical City will include a 200-bed private hospital. Emergency services will be bolstered with 568 new vehicles. Simultaneously, urbanization is fueling real estate growth. As of 2024, over 60,000 commercial buildings required facility management services. The pipeline includes over one million new residential units, 7 million square meters of office space, and 7 million square meters of retail space, with real estate transactions in H1 2024 valued at SR 127.3 billion. Critically, the Real Estate General Authority announced it would issue the first legislation for facility management in Q1 2024, professionalizing the sector.
Industrialization and Logistics: Powering Specialized Facility Management Service Growth Across KSA
The Kingdom’s push for industrial diversification is creating thousands of advanced manufacturing and logistics hubs, each demanding specialized facility management market expertise. In a clear sign of progress, 1,075 new factories began production in 2024 with a combined investment exceeding SR 48 billion. During the same period, 1,346 new industrial licenses were issued, attracting investments worth over SR 50 billion ($13.3 billion). This industrial surge is a major job creator; the factories that began production in 2024 created about 39,000 jobs, while the newly issued licenses are expected to generate over 44,000 more. This builds on a strong base, as Saudi Arabia was home to 11,549 factories by the end of 2023.
The geographic distribution highlights key industrial zones, with Riyadh hosting 4,502 factories, the Eastern Province home to 2,618, and the Makkah region containing 2,209 facilities. Each new facility represents a long-term contract opportunity for the Saudi Arabia facility management market.
The Green Imperative: Sustainability Driving Forward Next-Generation Facility Management Practices
Sustainability is no longer optional; it is a core requirement embedded within the Saudi Green Initiative, creating a specialized and lucrative niche in the Saudi Arabia facility management market. In 2025, the Kingdom launched a green financing program of SR 1 billion ($266.6 million) to support private-sector environmental projects. This commitment is reflected in the built environment, with the Kingdom leading the Arab world with 2,000 registered green building projects as of October 2024. The nation’s global standing is also impressive; as of June 2024, Saudi Arabia had over 1,190 LEED-certified projects, placing it fifth globally. The capital, Riyadh, is a major hub for this movement, accounting for 866 of the country’s LEED-certified projects. This green transition is part of the larger Saudi Green Initiative, which includes the ambitious target of planting 10 billion trees, further signaling a deep, long-term commitment to environmental stewardship that will require specialized FACILITY MANAGEMENT services.
Analyzing the Evolving Contract, Financial, and Competitive Market Landscape in FACILITY MANAGEMENT
The financial and competitive dynamics of the Saudi Arabia facility management market are shifting rapidly. Mega-contracts are defining the top tier of the market, such as Qiddiya’s SR 4 billion (approximately $1.1 billion) contract for the Prince Mohammed bin Salman Stadium. Further contracts for Qiddiya include an estimated SR 1.8 billion (around $480 million) for its Speed Park racetrack and an initial SR 7 billion (about $1.9 billion) for buildings around the track. Infrastructure contracts for the resort core were awarded for a combined SR 2.29 billion, while the Six Flags Qiddiya theme park construction contract is valued at SR 3.75 billion.
In a move that boosted market liquidity, the state injected $26.7 billion in 2024 to clear payment arrears to private companies. In this environment, market players are making strategic moves. Muheel Facilities Management showcases its scale with over 2,000 employees, a fleet of 208 vehicles, and a service presence across 13 cities. Consolidation and specialization are key trends, exemplified by Khidmah’s acquisition of green building enabler Pactive and Mace Macro Technical Services.
In October 2024, global facility management advisor Trascent formed a joint venture with Gulaid Holding to create Trascent Arabia, highlighting rising international interest.
Addressing the Critical Workforce Gap while Embracing Technology in Facility Management
The explosive growth of the Saudi Arabia facility management market presents two interconnected challenges: securing a skilled workforce and integrating advanced technology. As of 2024, the Kingdom faces an estimated shortfall of 50,000 skilled workers in the facility management field, a gap that requires urgent attention through training and development programs. The demand for labor is immense across all new sectors; tourism-related activities employed 983,253 people in Q1 2025, and the Qiddiya giga-project alone expects to directly employ approximately 17,000 people in its initial phase. To bridge the efficiency gap and meet the complex demands of modern smart buildings, technology is paramount. Recognizing this, SIERRA introduced its eFACiLiTY Enterprise Facility Management Software in 2024. This SaaS solution, hosted on Microsoft Azure, is specifically designed to provide the scalable, data-driven tools needed to manage the next generation of Saudi Arabian facilities.
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The Strategic Outlook: Capitalizing on Unprecedented Future Growth and FACILITY MANAGEMENT Market Demand
The confluence of giga-project development, economic diversification, and a government mandate for quality and sustainability creates a fertile ground for exponential growth. The data from 2024 and 2025 paints a clear picture of a market in rapid ascent, backed by trillions of dollars in state and private investment. For facility management providers, the strategic imperative is to align capabilities with the specific needs of these burgeoning sectors—be it the luxury demands of hospitality, the technical precision of healthcare, the green credentials of new urban centers, or the operational rigor of industrial hubs. The future of the Saudi Arabia facility management market is inextricably linked to the success of Vision 2030. Companies that invest in skilled local talent, embrace digital transformation, and demonstrate expertise in sustainable practices will not only thrive but will become integral partners in shaping the future of the Kingdom itself. The opportunity is here, it is immense, and it is happening now.
Saudi Arabia Facility Management Market Major Players:
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Initial Saudi Group (Alesayi Holding)
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EMCOR Facilities Services, Inc.
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Almajal G4S (Allied Universal)
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SETE Energy Saudia for Industrial Projects Ltd
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SAMAMA Holding Group
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ENGIE Solutions (Engie Group)
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Nesma United Industries Co. Ltd
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AL-YAMAMA Group
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Olive Arabia Co. Ltd
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Tamimi Group
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Facilities Management Company (FMCO)
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Al Suwaidi Holding Company KSA
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Khidmah
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ZOMCO
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EFSIM
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Other Prominent Players
Key Market Segmentation:
By Service Type
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Hard Services
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Asset Management
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MEP and HVAC Services
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Fire Systems and Safety
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Elevator and Escalator Maintenance
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Pest Control Services
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Building Fabric Maintenance
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Energy Management and Sustainability Services
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Other Hard FM Services
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Soft Services
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Office Support and Security
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Cleaning Services
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Catering Services
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Landscaping and Grounds Maintenance
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Waste Management
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Reception and Concierge Services
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IT and Tech Support Services
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Accommodation Management
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Other Soft FM Services
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By Mode of Service
By Enterprise Size
By Service Delivery Model
By End User
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