Saudi Arabia Suspends Construction of the Mukaab Megaproject in Riyadh

Saudi Arabia has suspended construction of the Mukaab, a giant cube-shaped skyscraper planned for central Riyadh, as it reviews the project’s financing and feasibility, according to several sources familiar with the decision.

The Mukaab was designed as an enormous 400-meter-by-400-meter metal cube. Inside, plans called for a vast dome with an AI-powered digital display, envisioned as the largest of its kind and visible from within a ziggurat-style interior structure more than 300 meters tall.

Work beyond soil excavation and foundation pilings has been suspended, raising questions about the project’s future. However, development of the broader New Murabba district is set to continue, according to people familiar with the plans. New Murabba is still one of the kingdom’s biggest urban projects and is supported by Saudi Arabia’s Public Investment Fund (PIF).

Project CEO Michael Dyke has previously described the Mukaab as an immersive, “other-worldly” experience, while also pointing to major engineering challenges involved in delivering a project of this scale.

Real estate consultancy Knight Frank estimates the total cost of the New Murabba district at around $50 billion, which is roughly comparable to Jordan’s annual GDP. According to the consultancy, contracts awarded so far within the district amount to about $100 million.

Earlier plans aimed for completion by 2030, but the target has since been extended to 2040. The development was originally expected to include 104,000 residential units and to add SR180 billion ($48 billion) to Saudi Arabia’s GDP, while creating 334,000 direct and indirect jobs by 2030, based on previous government estimates.

For contractors tied directly to the Mukaab’s main structure, the suspension may mean delays, a re-scoping of work, and less visibility regarding near-term orders. At the same time, the wider New Murabba buildout is expected to move ahead, so many suppliers and subcontractors could still see demand, although it may be spread over a longer timeline and managed with more careful budget control.