Complete Guide: Makkah Development & Demolition Projects 2026 - Affected Neighborhoods, Compensation, and Future

Introduction: Makkah's Greatest Urban Transformation

Makkah Al-Mukarramah, the beating heart of the Islamic world, is witnessing an unprecedented urban transformation reshaping its features to become the city of the future. This transformation, led by the Royal Commission for Makkah City and Holy Sites, is not merely construction projects and roads, but a comprehensive vision targeting 30 million pilgrims by 2030, and transforming Makkah into a global civilized city combining sanctity and modernity.

But every major transformation has its price. Thousands of families received demolition notices, entire neighborhoods disappeared from the map, and rents increased by over 28% in one year. What is the truth about these projects? Which neighborhoods are targeted? How do affected people receive compensation? And what future awaits Makkah?

In this comprehensive guide, we provide everything you need to know about Makkah development projects, with official figures, future plans, and economic and social impacts, in clear and objective style.

First: Why Is the State Demolishing Entire Neighborhoods in Makkah?

Before discussing targeted neighborhoods, let's understand the real reasons behind these difficult decisions:

1. Lack of Infrastructure

Most neighborhoods targeted for removal completely lack basic infrastructure. Narrow streets that cannot accommodate ambulances, dilapidated sewage networks, frequent electricity and water outages, and absence of open spaces or gardens. These are not suitable living conditions for the twenty-first century.

2. Suffocating Population Density

Imagine living in a neighborhood with population density exceeding 500 people per hectare, in old unsafe buildings, without parking, and without emergency spaces. This is the reality of many old Makkah neighborhoods, an unsustainable situation.

3. Security and Health Risks

Old unreinforced buildings pose dangers in fire or earthquake cases. Narrow streets hinder emergency services access. Water accumulations in some neighborhoods cause diseases. The state is responsible for citizens' safety, and these neighborhoods are ticking time bombs.

4. Accommodating 30 Million Pilgrims

Vision 2030 targets increasing pilgrims to 30 million annually, compared to 8-10 million currently. This requires doubling hotel capacity, developing transport networks, and providing massive logistical services. Old neighborhoods cannot bear this burden.

5. Transforming Makkah into Economic Hub

Makkah is not just a religious city, but an exceptional economic opportunity. Urban development creates hundreds of thousands of jobs, attracts investments worth hundreds of billions, and contributes to diversifying Saudi economy away from oil.

Second: Already Demolished Neighborhoods (2015-2025)

Let's review neighborhoods that witnessed actual removal during past years:

Al-Kudwa: Demolition and Compensation Model

Al-Kudwa neighborhood was the first to witness extensive demolition under the Developed Neighborhoods program. Removal operations officially began on 15 Muharram 1444 AH (August 13, 2022). Compensations for property owners amounted to 7 billion riyals, reflecting the state's seriousness in fair compensation.

The neighborhood contained hundreds of old properties on approximately 686,000 square meters, located just 1.5 kilometers from the Grand Mosque. Plans include replacing it with an integrated urban development project including modern housing, service facilities, and open spaces.

Al-Nakasa: Heritage Gives Way to Development

Al-Nakasa neighborhood (or Qawz Al-Makasa historically) was among Makkah's oldest neighborhoods, named after its old use as location for collecting taxes from Yemeni pilgrim caravans. Despite its historical importance, its deteriorated urban condition and proximity to the Haram (only 1500 meters) made it a development target.

The neighborhood was completely removed, transformed from an area crowded with slum buildings to an open space prepared for integrated residential, commercial, and service projects. The neighborhood is now part of the central area development plan surrounding the Haram.

Al-Shawqiya and Al-Zuhoor Area

The Royal Commission announced in 2022 the start of developing and removing eastern areas in Al-Shawqiya neighborhood, especially the slum Al-Zuhoor area. No specific timeline was announced, but residents received official evacuation notices, with removal expected to complete by late 2025 or early 2026.

Other Neighborhoods with Partial Removals

Besides major neighborhoods, Makkah witnessed partial removals in several areas for specific projects:

• Northern and Western Courtyards Project: Hundreds of properties directly surrounding the Haram were removed to expand Tawaf and prayer courtyards.
• First Ring Road Project: Property ownership was taken along the route, some in Al-Hamra, Faisal, and Badr neighborhoods.
• King Abdulaziz Road Project (Parallel Road): Extends from Jabal Omar near the Haram to Jeddah-Makkah highway, requiring property removal along its path.

Third: Neighborhoods Targeted for Demolition (2024-2030)

Now for the most important question: Which neighborhoods are on the removal list in coming years?

Current Phase (2024-2025)

According to the announced plan from Makkah Municipality and Royal Commission, these are currently targeted neighborhoods:

• Al-Salama
• Al-Adl
• Umm Al-Qura
• Al-Awali
• Al-Raslat
• Al-Nuzha
• Al-Fadl
• Madain Al-Fahd
• Bani Malik

Advanced Phase (2025-2027)

The next phase targets larger, more complex neighborhoods:

• Northern and Southern Al-Sharaye
• Third Ring Road neighborhoods: Over 700 properties will be taken
• Al-Khaniya, Al-Utaybiya, Jarawl, and Al-Sulaymaniya

Very Important Note

Attention: The General Secretariat of the Holy Capital confirmed in official statements (November 2024) that the current demolition phase has ended, and any new plans will be officially announced with prior resident notices. Don't believe rumors! Official information only is the reliable source.

Fourth: Mega Projects to Be Built Where Demolished Neighborhoods Were

Demolition is not the end of the story, but the beginning of giant developmental projects exceeding 100 billion riyals in cost:

1. "Masar Destination" Project - 100 Billion Riyals

Masar Makkah project is the largest. Its total cost is 100 billion riyals, extending over several square kilometers. The project aims to:

• Provide safe pedestrian paths to/from the Grand Mosque
• Accommodate 60% of vehicle traffic to Makkah
• Serve 90,000 visitors per hour during peak times
• Provide world-class residential units
• Create integrated commercial and service centers
• Modern public transport network connecting all Makkah

17 billion riyals spent so far from 23 billion allocated for infrastructure, with 75% of Phase 1 completed.

2. Makkah Metro Project

Makkah Metro will be the main transport artery, connecting the Haram with Holy Sites and remaining Makkah neighborhoods. The project will facilitate millions of pilgrims' movement and drastically reduce traffic congestion.

3. Third Ring Road

A massive ring road surrounding all Makkah, aiming to organize traffic and relieve pressure on internal roads. Will require hundreds of properties but will solve chronic traffic bottlenecks.

4. Jabal Omar Project

Luxury development project overlooking the Grand Mosque directly, spanning 230,000 square meters, including 40 world-class hotel towers.

5. Thakher Makkah Project

On 320,000 square meters and 1.3 km from the Haram, targets hosting 200,000 people, including hotels, shopping centers, and service facilities.

6. Grand Mosque Expansions and Courtyards

Ongoing expansion projects to increase Haram capacity to 3 million worshippers simultaneously.

Fifth: How to Receive Your Compensation? Practical Step-by-Step Guide

If you are among affected property owners, here's the complete guide to receiving compensation:

Authority Responsible for Compensation

Compensations are disbursed through:

• Royal Commission for Makkah City and Holy Sites (main authority)
• Developed Neighborhoods Program (for slums)
• General Authority for State Properties (for assessment and disbursement)

Steps to Receive Compensation

Step 1: Receive Official Notice

You'll receive official notice from Royal Commission or Municipality specifying evacuation date (usually 6 months notice). Don't ignore the notice!

Step 2: Property Assessment

Independent assessment committees of 6 members (from 4 government entities + 2 certified appraisers) assess your property. Assessment includes:

• Land value (separate from building)
• Building value (by type: reinforced, traditional, warehouses...)
• Location, area, and use (residential, commercial, vacant land)

Those without land deed are compensated only for debris (building).

Step 3: Object to Assessment (If Necessary)

If you feel assessment is unfair, you have the right to:

• Submit official objection to assessment committee within 30 days
• Resort to Administrative Court if objection rejected
• Request re-assessment by independent committee

Note: Properties assessed and 2 years pass without owner receiving compensation are re-assessed at new price, with owner paid fair rent for delay period.

Step 4: Prepare Required Documents

To receive compensation, prepare:

• Copy of legal deed or document
• Owner data and clear national ID copy (PDF)
• Bank account IBAN number on bank prints (PDF)
• Clearances from: electricity company, national water company, social development bank, agricultural development fund, real estate development fund
• Power of attorney copy (if agent) + ID copy
• Electricity or water bill copy
• Building photograph (if available)
• Building evacuation documentation number

Step 5: Submit Application Electronically

Submit compensation application via:

• Royal Commission official website: www.rcmc.gov.sa
• Developed Neighborhoods portal (for slums)
• Makkah Municipality digital portal

Step 6: Receive Compensation

Compensation deposited directly into your bank account via IBAN. Disbursement period usually:

• 15 to 45 days after completing procedures
• Compensations disbursed in installments per schedule

Compensation Amounts (Real Examples)

• Al-Kudwa: 7 billion riyals for hundreds of properties (average 1+ million per property)
• Courtyards Committee: Assessments reached 20,000-30,000 riyals per square meter in locations near Haram
• Total disbursed compensations: Exceeded 120 billion riyals in recent years

What If You Don't Receive Compensation?

For inquiries and complaints:

• Unified Communication Center for General Authority for State Properties: 920022447
• Email: CS@SPGA.GOV.SA
• Partners Care account on Twitter: @spgacare

Sixth: Positive Impacts - How Will Makkah Benefit from Development?

1. Massive Economic Growth

Makkah projects estimated at over 100 billion riyals direct investments. This means:

• Creating hundreds of thousands of jobs (direct and indirect)
• Activating sectors: construction, hospitality, transportation, trade, services
• Increasing GDP for Makkah region by billions annually
• Attracting massive foreign and local investments

2. Accommodating 30 Million Pilgrims

By 2030, Makkah will receive 30 million pilgrims annually (vs. 8-10 million currently). This requires:

• Doubling hotel capacity (from 500,000 to over 1 million rooms)
• Developing transport infrastructure (metro, buses, roads)
• Increasing health and service facilities

Each additional pilgrim means additional revenue for local economy.

3. Improving Residents' Quality of Life

Current residents will benefit from:

• Modern infrastructure: Wide streets, lighting, sewage, pure water
• Public facilities: Parks, playgrounds, health centers, modern schools
• Advanced transport network: Metro, smart buses, pedestrian paths
• Greater safety: Reinforced buildings, fast emergency services
• Healthy environment: Water treatment, waste management, pollution reduction

4. Diversifying Economy

Makkah will become a hub for:

• Religious tourism (Hajj and Umrah)
• Cultural tourism (museums, historical sites)
• Real estate investment (hotels, residential towers, commercial centers)
• Technology (smart city, digital applications)
• Entrepreneurship (SMEs)

5. Raising Makkah's Global Status

Makkah will be a global model in:

• Sustainable urban planning
• Efficient crowd management
• Combining modernity and sanctity
• Investing in human capital

6. Population Increase to 10 Million

By 2030, Makkah region population expected to reach 10 million (from 8 million currently), meaning:

• Healthy, planned population growth
• Availability of jobs attracting competencies
• Population diversity (Saudis, residents, skilled labor)

Seventh: Temporary Negative Impacts - Challenges That Must Be Acknowledged

Cannot deny that massive development comes with temporary challenges and burdens on residents:

1. Crazy Rent Increases

This is currently the biggest problem. Here are shocking numbers:

• Makkah recorded highest rent increase in Saudi Arabia: 28.2% in one year (May 2024 - May 2025)
• In some neighborhoods, rents increased 30%-50%
• Apartment in Al-Kakiya (150m² - 3 bedrooms): increased from 30,000 riyals annually to 50,000 riyals
• Apartment in Al-Zaher: increased from 25,000 riyals to 35,000 riyals (40% increase)

Why Did Rents Increase?

• Supply shortage: Removing thousands of residential units without immediate alternatives
• Demand increase: Major project workers influx + visitors with visit visas
• Real estate speculation: Owners exploiting situation to raise prices
• Seasonal rental: Converting residential units to short-term pilgrim rental at higher prices

2. Severe Housing Shortage

Emergence of "No vacant apartments" signs on real estate offices. Families searching for months for suitable housing. Remaining old housing became "gold" despite modest condition.

3. Residents Leaving Makkah Center to Outskirts

Families living near Haram forced to move to:

• Al-Umrah, Al-Nawariya, and Al-Naba'a neighborhoods (on Makkah outskirts)
• Some moved to Jeddah or Taif
• Distance from Haram means difficulty reaching prayers, especially for elderly

4. Difficulty Reaching Haram Due to Construction Work

Roads closed, excavations everywhere, traffic congestion escalating. Journey taking 10 minutes now takes an hour or more.

5. Psychological and Social Impact

• Forced displacement: Leaving family home, memories, neighbors
• Local community disintegration: Old neighborhoods were families knowing each other for generations, now scattered
• Constant anxiety: "Will my turn come? When will they demolish our neighborhood?"

6. Pressure on Services in Alternative Neighborhoods

Neighborhoods receiving displaced people (like Al-Awali, Al-Shawqiya, Al-Umrah) suffer from:

• Crowding in schools and hospitals
• Parking shortage
• Pressure on water and electricity networks

7. Delay in Some Compensations

Although state committed to compensations, some cases delayed due to:

• Ownership disputes (lost deeds, undocumented ownership)
• Bureaucracy in procedures
• Assessment objections taking time

Eighth: How Does the State Deal with Negative Impacts?

Government is not oblivious to these challenges, with vigorous efforts:

1. Alternative Housing Program

• Ministry of Human Resources works with charities to provide alternative housing for social security beneficiaries
• Delivering 348 developmental housing units (Jeddah example)
• Housing over 21,000 families

2. Rent Support

• Disbursing 481 million riyals rent for developed neighborhood residents (Jeddah example)
• Direct support covering rent difference

3. Free Services

• 97,000 free services: food baskets, medicine, meals, furniture transport, baby milk
• Employing 269 citizens from affected in development projects

4. Accelerating New Residential Units Construction

Focus on completing residential projects fastest to provide suitable alternatives.

Ninth: Makkah's Future 2030 and Beyond - Complete Vision

Makkah 2030: Smart Sustainable City

By 2030, Makkah will be:

• Smart city: Digital applications for all services, IoT, big data for crowd management
• Environmentally sustainable: Renewable energy, smart waste management, green spaces
• Globally connected: Modern airport, Haramain train, highways
• Safe: Advanced surveillance systems, fast emergency services
• Inclusive: Services for disabled, cultural diversity, equal opportunities

Targeted Numbers 2030

• 30 million pilgrims annually
• 10 million population
• 3 million worshippers in Haram simultaneously
• Over 1 million hotel rooms
• Hundreds of billions GDP contribution

Beyond 2030: Sustainability and Continuous Development

Development won't stop at 2030:

• New second and third generation projects
• Continuous infrastructure updates
• Keeping pace with emerging technologies (AI, VR for remote pilgrims)
• Strengthening Makkah's position as global Islamic capital

Tenth: Practical Tips for Affected Makkah Residents

If You're in Targeted Neighborhood:

1. Don't sell your property below real value: Some sell cheaply out of fear, but government compensation is fair.
2. Keep all papers: Deeds, bills, ownership proofs.
3. Consult a lawyer: If your case is complex (shared ownership, disputes).
4. Stay informed: Follow Royal Commission official website, don't believe rumors.
5. Register your property electronically: ASAP to facilitate procedures.

If You're Looking for Alternative Housing:

1. Start searching early: Market crowded, delay means fewer options.
2. Look in slightly distant neighborhoods: Al-Awali, Al-Nawariya, Al-Umrah cheaper than center.
3. Consider shared housing: Some families share housing to reduce cost.
4. Negotiate firmly: Don't accept first price, owners exploit situation.
5. Request rent support: If you're affected, may deserve government support.

Frequently Asked Questions

Will government demolish all old neighborhoods?

No, goal isn't demolishing everything, but developing slums and unsafe neighborhoods only, and those blocking vital infrastructure projects.

How long does compensation take?

Usually 15 to 45 days after completing papers. In some complex cases may take longer.

What if I don't have legal deed?

You'll be compensated only for building (debris), not land. Try documenting ownership before too late.

Can I object to demolition?

You can object to assessment (compensation value), but cannot prevent demolition if property within official public interest plan.

What happens to tenants in demolished neighborhoods?

Tenants (non-owners) receive:

• Rent support for specific period
• Furniture moving assistance
• Social assistance (food baskets, medicine...)
• Priority in developmental housing (for security beneficiaries)

Does development include only neighborhoods near Haram?

No, projects include all Makkah: ring roads, metro, Holy Sites, and distant neighborhoods too.

When will development projects finish?

Major projects targeted for completion by 2030, but development is continuous process extending beyond 2030.

How do I know if my neighborhood is targeted?

Visit Royal Commission official website and enter your data in "Makkah Neighborhoods Demolition Map" service. Or call communication center: 920022447

Will rents increase more?

Expected to continue rising short-term (1-2 years), then gradual stabilization with new residential projects completion.

Are compensations fair?

Assessments done by neutral committees and certified appraisers, prices based on market. But some owners feel assessment lower than expected, have right to object.

Conclusion: Makkah Between Past and Future

Development projects in Makkah are not just construction and demolition, but an ambitious vision to transform the holiest place on Earth into a modern city befitting its status, without losing its spirit and sanctity.

Yes, there are temporary burdens: rent increases, housing shortage, family displacement. But the long-term vision is clear: Makkah 2030 will be a better city for residents and visitors, with more job opportunities, advanced infrastructure, and higher quality of life.

If you're affected, know your rights are protected. Compensations are fair (you have right to object if you feel otherwise), and state committed to providing alternatives. Phase is difficult, but temporary.

And if you're following developments from afar, know that Makkah you'll visit in 5 years will be completely different. More organized, more comfortable, more beautiful. Hajj and Umrah journey will be much easier, spiritual experience will be deeper.

Makkah is transforming, and we're witnessing history.

Share this guide with everyone concerned. Knowledge is power, awareness of your rights and duties protects you from exploitation and helps you make correct decisions.

🕋 May Allah protect Makkah and its people, and grant us visit to His Sacred House. 🤲