Saudi company SAL and Silah will work together to build a SAL Logistics Zone in Riyadh, investing $1.1 billion

BY THE ARAB TODAY Mar 19, 2025

Saudi company SAL and Silah will work together to build a SAL Logistics Zone in Riyadh, investing $1.1 billion

Saudi company SAL and Silah will work together to build a SAL Logistics Zone in Riyadh, investing $1.1 billion

Saudi companies SAL Logistics Services and Sila Company have agreed to work together to build the SAL Logistics Zone, which will be in the north of Riyadh. They plan to invest about $1.1 billion (4 billion Saudi riyals) in the project.

SAL Logistics Zone

A new logistics hub is being planned, covering over 1.5 million square meters. It will be built inside Falcon City, a real estate project north of Riyadh.

The agreement was signed by SAL CEO Omar Bin Talal Hariri and Dr. Rakan Al Harthy, the managing director of Sila. Saudi Transport Minister Saleh bin Nasser Al-Jasser and Investment Minister Khalid bin Abdulaziz Al-Falih were also present at the signing.

This deal supports both companies’ goals to strengthen their partnership, improve the logistics sector, and help Saudi Arabia become a global logistics center. This aligns with Saudi Vision 2030 and the National Strategy for Transport and Logistics.

Hariri said the new logistics zone shows SAL’s plan to offer advanced, all-in-one solutions that support local trade. He mentioned the zone will have a full range of services, especially to meet the growing need for customized warehouses.

The zone will be a major addition to SAL’s services. It benefits from its location close to King Khalid International Airport and near key roads and railways, making it a central hub for shipping and distribution across Saudi Arabia.

SAL’s Business Strategy

The creation of the SAL Logistics Zone fits SAL’s strategy to grow its role in the Saudi logistics sector. They aim to meet top international standards and provide high-quality warehouses and storage.

SAL also focuses on offering advanced services with safety features, climate control, and energy efficiency. They want to follow environmental rules and improve supply chain management.

Falcon City

Falcon City is a large, well-planned development covering 14.4 million square meters in the Molham area, north of Riyadh.

Its location makes it easy to access, and it includes key facilities like the Riyadh Exhibition and Convention Center, a modern logistics zone to attract big international companies, an aviation runway, and an aircraft maintenance area. These features help improve transportation and air cargo efficiency.

Falcon City also includes areas for business, homes, hotels, entertainment, and shopping, meeting the needs of investors, residents, and visitors.

Published: 19th March 2025

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