Horizon Education signs 25-year lease for Riyadh school complex

Horizon Education Co. signed a lease agreement with Buildings Development Co. on June 22 for a plot of land in Riyadh's Al-Suwaidi district. The company will build and operate an educational complex called Horizon International Schools on the site, according to a statement to Tadawul.

The annual rent starts at SAR 739,000 and will rise by 10% every five contractual years. Over the 25-year term, the total lease value comes to SAR 21.08 million, excluding VAT. The land spans 6,188.59 square meters.

The agreement includes a two-year grace period during which no rent is payable. Horizon Education expects the financial impact to begin once construction finishes and operations start. It said it will disclose material developments on the project in due course. No related parties are involved in the deal.

The investment fits Horizon Education's strategy to expand its student base and support targeted growth and returns, the company said.

The company received an award notification for the same lease contract from Buildings Development on May 14, Argaam data shows.