Saudi Arabia’s Public Investment Fund has launched Gulf Coast Development Co. to deliver a large integrated tourism and residential destination on the Al-Khafji coast in the Eastern Province.
The project will cover around 20 sq km and include a 10 km waterfront along the Arabian Gulf. Its location close to Kuwait and wider Gulf markets is expected to support demand for new hospitality, residential, leisure and commercial facilities in the northern part of the Eastern Province.
For visitor experience operators, masterplanners, hospitality groups and leisure suppliers, the announcement represents another major Saudi-backed development with the potential to create long-term opportunities across destination design, waterfront programming, guest services, cultural content, food and beverage, marina operations and mixed-use place management.
Residential, Hospitality And Tourism Uses Combined
Once complete, the destination is expected to include eight residential neighbourhoods with more than 16,000 housing units, alongside approximately 1,400 hotel keys. Plans also include commercial, tourism and educational facilities, with dedicated boat marinas forming part of the coastal offer.
The development will be delivered in three phases. The first phase, scheduled for completion in 2030, will include three neighbourhoods and establish the base for the wider residential and tourism community.
For B2B stakeholders, the phased structure is important. It allows supporting infrastructure, residential demand, hospitality capacity and leisure programming to develop in stages, rather than relying on a single opening moment. This model can reduce delivery risk, support private-sector participation and create a clearer route for operators entering the project over time.
The mix of homes, hotels, marinas and visitor-facing facilities also reflects the increasing importance of integrated destinations, where tourism and daily life are planned together. This can support year-round activity, rather than limiting commercial performance to short holiday periods.
Strategic Role Within PIF’s Development Portfolio
Gulf Coast Development Co. forms part of PIF’s Urban Development and Livability ecosystem under its 2026 to 2030 strategy. The focus is on real estate development, private-sector partnerships and long-term value creation.
Saad Alkroud, head of Local Real Estate Investments at PIF, has linked the project to Al-Khafji’s cultural and logistical strengths. He also noted the potential to create new opportunities for residents, improve infrastructure and increase private-sector involvement.
For international suppliers, the project adds another layer to Saudi Arabia’s expanding tourism and real estate pipeline. While many recent projects have focused on high-profile destinations on the Red Sea or in major cities, Al-Khafji presents a different type of opportunity, shaped by cross-border Gulf proximity, coastal living and regional market access.
Vision 2030 Momentum Drives Visitor Economy Investment
The launch comes as Saudi Arabia continues to grow its tourism and real estate sectors under Vision 2030. The Kingdom has already passed its original target of 100 million annual visitors and is now working towards 150 million visitors by 2030.
PIF’s financial position supports this direction. The fund reported revenue of $120 billion in 2025, up 9 percent year on year, while net profit more than doubled to $17 billion. Assets under management exceeded $900 billion, compared with around $530 billion in 2021 and $150 billion in 2015.
For the attractions and visitor experience sector, Gulf Coast Development Co. is another sign of sustained investment in Saudi Arabia’s destination economy. The Al-Khafji project could open new routes for collaboration across waterfront leisure, hospitality design, cultural interpretation, marina experiences and mixed-use tourism infrastructure.
