The public transportation network in Riyadh is poised to become an influential factor in the accounts of real estate investors, with the Kingdom’s trains recording more than 40.9 million passengers during the third quarter of 2026, of which the “Riyadh Metro” accounted for 30.4 million. This demand re-highlights the attractiveness of commercial locations close to stations, and the opportunities for cafés, restaurants, and retail stores to benefit from passenger traffic, at a time when specialists believe that measuring the actual impact of the metro on rents and occupancy requires comparing the performance of real estate before and after operation, taking into account other factors affecting the market.
In this context, the CEO of Manasat Real Estate Company, Khaled Al-Moubayed, told Asharq Al-Awsat that the Riyadh Metro has begun to transform the concept of a good commercial location, as the distinguished location is no longer limited to properties located on the main streets, but rather easy access via public transportation has become an additional factor in its investment attractiveness.
Al-Mubayed added that the average rents for major commercial centers in Riyadh amounted to about 2,650 riyals per square meter annually, with a growth of 1.2 percent, while the occupancy rate stabilized at 91 percent during the first half of 2026, indicating that these indicators cannot be attributed to the metro alone.
He pointed out that one of the practical indicators of the growing importance of commercial activity related to public transportation is the offering of 733 commercial units within the public transportation network, in addition to the opportunities available for cafes and financial services.
The metro enhances the attractiveness of commercial locations
Al-Moubayed expected that commercial activities that rely on daily customer traffic, especially cafes, restaurants, and quick services, would benefit from locations close to the most commonly used stations. He suggested that proximity to stations would receive greater attention from investors and developers when selecting locations and planning mixed-use projects.
He stressed that the value of a commercial site in the future will not only be measured by the number of cars that pass in front of it, but also by the number of people who can reach it easily without the need to use a car.
Measuring real estate impact requires market comparison
For his part, Khaled Al-Jasser, a specialist in real estate affairs and head of the “Akan International” group, told Asharq Al-Awsat that the operation of the Riyadh train represents an important development in the city’s infrastructure, and it is expected that it will gradually be reflected on the map of real estate demand, especially in commercial locations that benefit from easy access and high user traffic.
Al-Jasser explained that the property’s proximity to public transportation stations may enhance its investment attractiveness, but the size of the impact varies depending on the location, the nature of commercial activity, and the level of demand in the region, stressing that the rise in rents or occupancy rates cannot be attributed to the operation of the metro alone without analyzing the rest of the factors affecting the market.
He pointed out that measuring the actual impact requires comparing similar commercial properties near and far from the stations, before and after operation, in terms of average rents, occupancy rates, and volume of demand, which helps determine the impact of improved accessibility on real estate performance.
Ease of access enters into investors' calculations
Al-Jasser added that ease of access and connection to public transportation networks have become factors that deserve increased attention when studying investment opportunities, as the investor looks at the property’s ability to attract tenants and beneficiaries, and the ease of access for customers and employees, in addition to location and space.
He explained that cafes, restaurants, retail stores and daily services may benefit from locations that witness continuous pedestrian traffic near stations, while commercial offices may benefit from improved ease of access for employees and customers, as well as the possibility of enhancing the attractiveness of locations linked to public transportation to develop mixed-use projects that combine commercial, office and service activities.
Al-Jasser stressed that proximity to the station is not the only factor in the success of the investment, as the economic feasibility, rental levels, actual demand, nature of commercial activity, and quality of the location remain essential elements in decision-making, stressing the importance of studying the integration between public transportation and real estate development and evaluating its impact on expected cash flows and investment returns, instead of assuming that the value of all properties near the stations or their rents will rise at the same level.
Copper prices fell slightly on Thursday, but remained near their highest levels in two weeks, supported by tight actual supplies in China, the world's largest consumer of the metal, while expectations of a further US interest rate hike limited gains.
The three-month copper price on the London Metal Exchange fell by 0.36 percent to $14,425 per ton by 07:00 GMT, after hitting its highest level in two weeks at $14,517 on Wednesday. The benchmark index in London also recorded its highest closing in two weeks at $14,477.50 per ton on the same day.
On the Shanghai Futures Exchange, the most traded copper contract fell by 0.42 percent to close at 109,380 yuan ($16,408.64) per ton, according to Reuters.
Supplies remained tight in China, reflected by the sharp rise in copper price premiums. Yangshan's copper premium, an indicator of Chinese consumer demand for imports, had jumped to $205 a ton as of Wednesday, its highest level in more than a decade.
The domestic price premium also recovered from a rapid decline following inventory rebuilds ahead of the National Day holiday, rising to 1,085 yuan per ton as of Wednesday.
Weekly inventory data released by the Shanghai Futures Exchange showed inventories monitored by the exchange fell by more than 26 percent last week, after rising for two consecutive weeks.
However, the possibility of raising US interest rates again remained a potential pressure on copper prices, despite the scarcity of actual supplies in China.
The US Federal Reserve had left the benchmark interest rate unchanged, in a vote of 10 votes to two, as two members of the Council preferred to raise the interest rate by a quarter of a percentage point. Although the central bank raised its estimates of US economic growth, it maintained its concerns about inflation continuing at high levels, while markets continued to price in the possibility of implementing another increase in interest rates during December.
In other metal markets on the London Stock Exchange, aluminum fell by 0.18 percent, zinc fell by 0.10 percent, while lead rose by 0.37 percent, nickel rose by 0.54 percent, and tin fell by 0.33 percent.
On the Shanghai Stock Exchange, aluminum fell by 0.88 percent, lead fell by 1.10 percent, tin by 1.56 percent, while zinc rose by 0.04 percent, and nickel rose by 0.19 percent.
