Smart city technologies could generate more than $5.8 billion in value in Riyadh as Saudi Arabia accelerates infrastructure and urban development, according to a report by real estate firm JLL.
Smart construction represents the largest share of the opportunity, at more than $3.8 billion. JLL estimates a 5.9-year payback period, with the technology helping reduce waste and delays across the city’s major construction projects.
AI-powered energy analytics could deliver more than $1.8 billion in net present value, with a 4.9-year payback period. The systems can optimize heating, ventilation and air conditioning, potentially reducing annual operating costs by 20% in Riyadh’s hot, arid climate, the report said.
Intelligent street lighting accounts for nearly $270 million of the projected value. It has the shortest payback period, at 1.3 years, and could support new walkways, parking areas and other pedestrian infrastructure.
JLL said the wider benefits could include stronger productivity, commercial activity, health and sustainability outcomes. The report also recommends that cities select technologies based on local needs rather than adopt a one-size-fits-all approach.
The findings come as Saudi Arabia advances large-scale development under Vision 2030, reshaping Riyadh’s infrastructure and built environment.
Source: Fast Company Middle East
