Saudi Arabia Pauses Mukaab Project Amid Strategic Review

According to informed sources, Saudi Arabia has suspended planned construction on the Mukaab, a massive cubic skyscraper intended to be the centerpiece of a new downtown development in Riyadh. This move comes as the kingdom re-evaluates the financing and feasibility of its giga-projects, signaling a potential shift in its ambitious Vision 2030 strategy. This development is a significant piece of global news for the urban development sector.

A Shift in Vision 2030 Priorities

The Mukaab is the latest high-profile project linked to Saudi Vision 2030 to be scaled back or postponed. The nation’s $925 billion Public Investment Fund (PIF) is reportedly managing costs and reprioritizing spending. Sources indicate a strategic pivot away from futuristic projects like the Mukaab and “The Line” at Neom.

Instead, the focus is turning towards initiatives with more immediate and potentially profitable outcomes. These include developing the necessary infrastructure for Expo 2030 and the 2034 World Cup. Other priority projects now include the $60 billion Diriyah cultural district and the Qiddiya tourism and entertainment complex. This strategic re-evaluation reflects a broader analysis of the kingdom’s economic goals.

Interior rendering of the Mukaab project's central tower, surrounded by a digitally projected natural landscape on the cube's inner walls. — The interior would have featured a monumental tower enveloped by the world’s largest AI-powered projection dome, creating an immersive experience. (Courtesy of New Murabba Development Company)

The Mukaab’s Ambitious Design

The Mukaab was designed to be a monumental landmark. The plans detailed a colossal 400-meter-tall cube, making it one of the most ambitious buildings ever conceived. Its immense scale meant it could have housed 20 Empire State Buildings within its frame.

The core of the structure’s architectural design featured a 300-meter-tall, ziggurat-like tower. This tower would sit beneath a giant, AI-powered projection dome, which Michael Dyke, the project’s CEO, described as “another world” for visitors. The design called for approximately two million square meters of internal spaces, which would have made it the largest single building globally.

Construction Halted as Future Remains Unclear

Work on the project has been paused after the initial phases of excavation and pile-driving were completed. While the future of the Mukaab itself is now uncertain, development of the surrounding real estate in the New Murabba district is expected to continue. The halt in construction raises questions about the future of such large-scale structures in the region.

This latest update is the first indication that a major Riyadh-based project is undergoing a feasibility review. Saudi Arabia’s Minister of Economy, Faisal Al-Ibrahim, stated that the government would be transparent about any project adjustments or postponements, without naming specific developments.

An aerial perspective rendering of the Mukaab project, showcasing its geometric purity and relationship to the surrounding New Murabba masterplan. — The structure’s immense footprint was designed to be large enough to contain 20 Empire State Buildings. (Courtesy of New Murabba Development Company)

Economic Reassessment and Investment Focus

The PIF is reportedly shifting its investment strategy to generate more immediate returns. Sectors like logistics, mining, and artificial intelligence are now gaining precedence. The entire New Murabba district, which includes the Mukaab, was estimated to cost around $50 billion.

Initial government projections for the New Murabba project were highly optimistic. It was expected to be completed by 2030, add 180 billion riyals to the GDP, create 334,000 jobs, and provide 104,000 residential units. With this pause, the timeline and economic impact on the surrounding cities will likely be revised.

✦ ArchUp Editorial Insight

A systemic shift in capital allocation models is underway, driven by a national wealth fund’s pivot toward investments with shorter-term returns and fixed deadlines, such as event-based infrastructure. This creates a decision framework where projects with high capital expenditure and speculative timelines undergo intense risk-management reviews. The formal policy of “adjusting, postponing, or re-scoping” initiatives, as stated by economic leadership, operationalizes this new fiscal discipline.

The suspension of the Mukaab project is the logical architectural outcome of this framework. Halting construction after foundational site work is not a design failure but a physical symptom of a state-level portfolio adjustment. The incomplete structure becomes evidence of a system recalibrating the relationship between visionary architectural design and immediate economic pressures, a pattern visible across the archive of giga-projects.