In 2025, global shopping centre icon Westfield, owned by Unibail-Rodamco-Westfield (URW), officially entered the Saudi Arabian market. This landmark move became possible through a strategic partnership with Cenomi Centers, the Kingdom’s largest retail property operator. The agreement includes the rebranding of flagship Cenomi malls under the Westfield name and a long-term collaboration on the development of new-generation lifestyle destinations across major cities including Riyadh, Jeddah, and Dhahran.
The deal not only marks Westfield’s debut in the Gulf region but also reflects Saudi Arabia’s continued push to elevate its retail and leisure infrastructure under its ambitious economic reform plan — Vision 2030.
Overview of the Agreement
The collaboration grants Cenomi Centers an exclusive license to use the Westfield brand in Saudi Arabia. The initial phase of the agreement involves the rebranding of several high-profile malls:
- Cenomi Mall Riyadh → Westfield Riyadh
- Cenomi Mall Jeddah → Westfield Jeddah
- Cenomi Mall Dhahran → Westfield Dhahran
Visible transformations are expected to begin by late 2025. An estimated €300 million will be invested into refurbishment, signage, interior design upgrades, digital enhancements, and branding transitions across the portfolio.
In addition to rebranding, both companies will jointly develop at least five new Westfield centres by 2030. Projected investment per property ranges from €150 to €250 million, bringing the total value of the initiative to approximately €1.2 billion.
Westfield: A Global Benchmark
Westfield is more than a brand; it’s a blueprint for modern retail and urban integration. With flagships in London, Paris, and Los Angeles, Westfield centres represent high-end retail destinations that combine shopping, entertainment, dining, culture, and digital experiences under one roof.
In 2024 alone, Westfield managed more than 2.7 million m² of gross leasable area across Europe. Rental rates ranged from €850 to €2,200 per m²/year, depending on city, footfall, and retail positioning.
Westfield’s entry into Saudi Arabia aims to bring this global-standard experience to a dynamic and underserved market.
Why Saudi Arabia?
Saudi Arabia is undergoing a profound transformation through its Vision 2030 plan — a strategic roadmap to diversify the economy and reduce reliance on oil. Retail, tourism, leisure, and culture have emerged as core sectors of development.
The country’s population exceeds 36 million, of which over 70% are under the age of 35 — a youthful, tech-savvy demographic with strong consumption patterns.
The retail sector was valued at €95 billion in 2024, with projections exceeding €120 billion by 2030. The number of annual mall visits already surpasses 450 million, and urbanization continues to drive demand for quality mixed-use environments.
Financial Structure of the Partnership
Key components of the deal include:
- Brand Licensing: Cenomi obtains exclusive rights to the Westfield brand within Saudi Arabia. Market estimates suggest the licensing agreement is worth approximately €75 million.
- Strategic Advisory: URW will provide ongoing consultation in design, architecture, marketing, and customer experience integration.
- Joint Investments: Both parties will co-invest in upcoming projects. In the case of Westfield Riyadh, capital allocation is expected to follow a 60/40 ratio in Cenomi’s favor.
Forecasted returns on investment are between 6–8% annually, making these assets attractive to institutional investors and sovereign wealth funds.
Benefits for Tenants and Consumers
For tenants:
The Westfield name offers a premium advantage. Expected lease rates in new Westfield locations may reach €1,500–1,800 per m²/year, particularly in anchor locations — above current Riyadh premium averages of €900–1,100 per m²/year. However, this increase is offset by significantly higher footfall, visibility, and international positioning.
For consumers:
Visitors can expect a comprehensive lifestyle environment, including luxury and fast fashion, fine dining, cultural events, children’s zones, and wellness experiences. User-centric design, intuitive navigation, and superior amenities are hallmarks of the Westfield format.
For global brands:
Westfield’s arrival provides a trusted platform for retail expansion in Saudi Arabia. Major international brands such as Apple, Sephora, Tesla, and H&M have already expressed interest in securing prime locations within the upcoming developments.
Technology and Sustainability
All Westfield centres in Saudi Arabia will be equipped with ESG-driven infrastructure, including:
- Solar energy systems and electric vehicle charging stations
- Smart building automation for lighting and HVAC
- Waste recycling and water-saving technologies
- Fully accessible environments for individuals with mobility challenges
A digital layer will underpin the physical space. Each mall will feature an app offering:
- Indoor navigation with AR support
- Real-time promotions and loyalty integration
- Click-and-collect and curbside pickup
- Parking guidance and mobile payment
- Smart queueing for restaurants and services
It’s expected that 35–40% of all user interactions will be digitally facilitated.
Impact on the Real Estate Market
Westfield’s entry is set to recalibrate Saudi Arabia’s retail property sector:
- Asset value uplift: Shopping centres branded as Westfield are projected to gain 20–30% in valuation within two years post-launch.
- Investor interest: Global funds, REITs, and sovereign wealth vehicles are likely to increase their focus on Saudi retail assets.
- Competitive pressure: Local operators may be pushed to modernize facilities and customer experience to remain competitive.
According to JLL and Knight Frank, over 500,000 m² of new retail space was delivered in Saudi Arabia in 2024, with another 2 million m² in the pipeline — much of which is expected to pivot toward lifestyle-centric formats.
Strategic Outlook
The partnership between Westfield and Cenomi is not just a branding deal — it lays the groundwork for regional expansion. Talks are underway to extend Westfield branding into the UAE, Bahrain, and Kuwait, leveraging Cenomi’s operational strength and URW’s international reputation.
Furthermore, the companies are exploring Westfield Urban Village concepts: compact urban districts combining residential, retail, offices, fitness, and leisure. These would support Saudi Arabia’s broader goals of livable, walkable, and sustainable cities.
A unified Westfield Digital Platform is also in development, offering e-commerce integration, real-time inventory browsing, localized content, and data-driven insights for tenants.
Conclusion
The launch of the Westfield brand in Saudi Arabia, via its partnership with Cenomi Centers, represents a pivotal moment in the transformation of the Kingdom’s retail and urban landscape.
More than a name change, this alliance brings global expertise, design, and technological innovation to a rapidly evolving market. It will redefine the shopping experience for Saudi consumers and attract a new wave of tenants, tourists, and investors.
As Vision 2030 accelerates, the presence of Westfield will symbolize a new era of commercial excellence — setting a benchmark not only for Saudi Arabia but for the entire Gulf region.
