The vision
A $100bn coastal megacity for 2 million residents, anchored by the world's largest port and a financial district to rival Dubai — the flagship of Saudi Arabia's pre-Vision 2030 diversification push.
Context
Announced by King Abdullah and developed by Emaar EC on 173 km² of Red Sea coast, KAEC was meant to be the first of six 'economic cities' that would absorb Saudi youth unemployment.
What happened
Two decades in, KAEC houses an estimated 7,000–10,000 residents. The port and a few industrial tenants function; the rest is half-built marketing renders. Royal attention shifted to NEOM in 2017.
Why it fell short
- Population forecasts were marketing material, not demographic analysis
- Heavy emphasis on real estate over genuine industrial anchors
- Crashed alongside Gulf real estate after 2008
- Strategic priority swallowed by the larger, newer NEOM project