Riyadh Metro Spurs Residential Property Boom: Knight Frank
RIYADH: The opening of the Riyadh Metro has transformed the Saudi capital’s housing market, with villa prices near stations jumping as much as 78 percent since 2023, according to a new report.
An analysis by Knight Frank found that apartment prices increase by about SR96 ($25.60) per sq. meter for every 500 meters closer to a metro station.
The report, titled “The Value of Access: Measuring the Impact of Riyadh Metro on Real Estate,” underscores how improved transport connectivity is fueling demand in a city undergoing rapid transformation under Vision 2030.
The findings come as the metro network marked a major milestone — carrying 100 million passengers in August — since its launch in December. Designed to serve 3.6 million daily commuters, the Riyadh Metro operates a six-line network that connects business districts, residential communities, and cultural landmarks.
Faisal Durrani, head of research, Knight Frank for the Middle East and North Africa region, said: “Designed to generate change rather than react to it, the system will reshape residential patterns, business locations and the lived experience of the city’s residents.”
He added that the metro, as a flagship project under the Vision 2030 agenda, is not merely a transport initiative but a cornerstone of the Kingdom’s broader ambition to diversify its economy, enhance livability, and transform Riyadh into a global capital.
“Transport infrastructure is central to this vision, reducing car dependency, cutting emissions and enabling more sustainable patterns of growth,” said Durrani.
According to the report, villa values in Al Yarmuk surged by 78 percent since 2023, compared to 22 percent in peripheral areas.
In Tuwaiq and Al Malqa, homes within walking distance of stations rose by 20 percent between the second quarter of 2023 and June 2025 — double the rate of other locations.
The analysis estimated that around 1.5 million of Riyadh’s 8.3 million residents live within a 15-minute walk of a metro station — meaning roughly one in five, or 18 percent, of the population benefits from enhanced accessibility.
By comparison, in Dubai, approximately 13 percent of residents live within walking distance of the metro network.
The three stations with the highest surrounding populations are Al Bat’ha, Al Wizarat, and the National Museum in central Riyadh, each serving around 50,000 residents within a 15-minute radius.
“The direct correlation between house prices and proximity to metro stations that we found is consistent with the effect seen in other major cities around the world, reinforcing the conclusion that metro accessibility is a key determinant of real estate value,” said Harmen de Jong, regional partner — head of consulting, MENA at Knight Frank.
Looking ahead, Knight Frank noted that expansion plans — including the 65-km Line 7 corridor linking Qiddiya, King Salman Park, Diriyah Gate, New Murabba, and King Khalid International Airport — are set to extend these accessibility and sustainability benefits further, unlocking new areas for development.
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