Jeddah Warehouse Expansion Construction Contract
- Value
- 9,800,000Excluding VAT
- Term
- 15 months2027-01-15 – 2028-03-311448-08-07 – 1449-11-05 AH
- Owner
- Majed Al-GhamdiOperations Manager
- Signature & renewal
- Qualified digital signatureDoes not renew
- Draft2026-10-10
- Review
- Approval
- Signing
- Active
- Expiring
- Renew or end
Term starts in 93 days
Next step
Finish the draft and send it for review
3 variable fields in clause 4 are still empty. Fill them, then send the draft to Legal.
Waqqa AI assistant
Executive summary
A first draft of the construction contract for a 9,000 m² expansion of Horizon's Jeddah warehouses with Modern Building Contracting, estimated at SAR 9,800,000 over 14 months. Critical risk: the contractor is not verified through Wathq, and its draft removes delay penalties and asks for a 25% advance with no bank guarantee.
Summarised from 13 pages — check the source before relying on it.
Automated suggestion — a human makes the final call
Key terms
Extracted by the AI from the text — each value linked to its clause
- CounterpartyModern Building Contracting Company
- Total valueSAR 9,800,000 excl. VAT
- Term15 months: 15 January 2027 to 31 March 2028
- Payment terms10% advance, monthly progress claims by completion, 10% retention
- Liability capCapped at 100% of value; delay penalty 0.1%/day up to 10%
- Renewal & noticeDoes not renew — ends on its end date
- Governing law & disputesSaudi law — arbitration at the Saudi Center for Commercial Arbitration, Riyadh
Risks
Commercial registration not verified through Wathq
We have not yet confirmed the CR is valid or that the signatory is authorised for the entity.
HighVariation orders without a clear ceiling
Clause 5.4 lets the value rise by up to 15% without the owner’s prior approval.
Critical
Key dates
Draft created
2026-10-1029 Rabiʻ II 1448 AH4 days ago
- Next up
Effective date
2027-01-157 Shaʻban 1448 AHin 93 days
Next payment — 10% advance
2027-01-2921 Shaʻban 1448 AHin 107 days
End date
2028-03-315 Dhuʻl-Qiʻdah 1449 AHin 534 days
Related
Visible to the owning department and Legal