Abstract

This qualitative study examines the financial drivers of sustainable real estate investment in Saudi Arabia, a unique market undergoing rapid transformation as part of Saudi Vision 2030. To address the knowledge gap regarding these changes in government-influenced economies, this study examines the relationship between financial drivers and the perceived long-term strategic benefits for various stakeholders. A rigorous content analysis of a broad corpus of documents (official reports, industry publications, and academic literature) is conducted, employing frequency, co-occurrence, and network analysis to understand stakeholder perspectives and market dynamics. The results reveal a distinctive, state-driven transformation, highlighting the crucial role of government in shaping these outcomes. Notably, the analysis reveals that the market is dividing into two distinct clusters: a “financial cluster” that prioritizes short-term benefits and a “sustainable cluster” focused on long-term value creation through reconfiguring market value and adapting to emerging markets. A more sophisticated approach to value assessment, prioritizing intangible benefits, risk reduction, and strategic advantages, is becoming increasingly important, as evidenced by several Saudi investors. The study represents the first in-depth qualitative study of these unique interactions and provides an innovative conceptualization of sustainable real estate investments in these distinctive contexts. The findings have important implications for policymakers pursuing a market-driven self-sufficient initiative and investors accessing new opportunities within the market, allowing coherence with current theoretical perspectives by situating a social market transformation initiated by state actors.

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