Top 10 Feasibility Study FAQs – Joujan Consulting

1. Is it profitable to build serviced apartments in Riyadh?

Yes. Riyadh is a booming hospitality hub driven by Vision 2030 and business tourism. Serviced apartments attract long-term stays and families. Occupancy rates reach 85% yearly with estimated ROI of 12–18% based on location and service level.

2. Is there current demand for residential masterplans in Taif?

Yes. Taif offers a moderate climate and strategic location near Makkah. Real estate prices have grown by 15%–25% in the last two years, and well-planned residential layouts reach 60–80% sales in their first year.

3. How much capital is needed for a general contracting business in Jordan?

Capital ranges from 500K to 5 million JOD depending on scope. Smaller firms need 500K–1M for licenses, equipment, and working capital. Large firms need 2–5M JOD to bid on government projects with bigger teams and guarantees.

4. What are the profit margins for raw land development in Khobar?

Estimated margins are 25%–50% over 3–5 years. Key factors include location, zoning, proximity to infrastructure, and development type (residential or commercial). High-demand areas like near corniche yield higher returns.

5. Do your studies include risk analysis for joint real estate investments?

Absolutely. We cover market risks (supply, demand), financial risks (liquidity, interest rates), operational risks (management, delays), and legal risks (permits, partnerships). We also provide mitigation strategies like insurance and structured agreements.

6. What are the investment requirements for a commercial building in Amman?

You’ll need permits from Greater Amman Municipality, compliance with building code, civil defense approval, and investment clearance for foreigners. Jordanian law allows 100% foreign ownership in most zones, with required financial disclosures and environmental assessments.

7. Is building a 4-star hotel in Jeddah a viable project now?

Yes, particularly near the airport or religious destinations. Jeddah benefits from rising pilgrim traffic and Red Sea tourism. Average room prices are SAR 300–600. Investment ranges from SAR 80–150M with ROI estimated at 12–20%.

8. What are the best Saudi cities to build and sell villas on finance?

Riyadh, Jeddah, Dammam, and Khobar are top cities due to population growth, buyer demand, and financing availability. Villa pricing ranges from SAR 1.5–4M. Programs like “Sakani” enhance buyer access.

9. What is the ROI on luxury retreats in Abha?

Return on investment is 15%–25% annually. High occupancy in summer and holidays due to cool weather and scenic mountains. Setup cost per unit ranges from SAR 2–5M including land and facilities.

10. Is there actual demand for student housing near Mutah University?

Yes. Mutah hosts 25K students, but official housing only covers 30%. Rents range from 80–150 JOD/month. The gap creates strong consistent demand. Key is proximity (within 5km), safety, and comfort.