Musharaka REIT to acquire new assets

Musharaka REIT’s manager announced that the fund will acquire commercial properties on a usufruct basis for a total value of SAR 146.09 million.

The new acquisitions will be financed by sharia-compliant facilities, and are set to have a positive impact on profitability, dividend payouts and cash flows, the manager said in a statement.

The assets are located at strategic locations around Riyadh, Al-Kharaj, Al-Jubail and Dammam, and will render a net yield of 16 percent of acquisition value. Details of the target assets are shown below:

1) Al Ouroba project:

The project is located in Riyadh and offers 11,057 sqms leasing space. Its acquisition value is SAR 42.9 million, and it renders an annual income of SAR 6.8 million.

2) Al Kharaj project:

The project is located at Al Kharaj, and offers 11,220-sqm leasing space. Its acquisition value is SAR 28.05 million and it renders an annual income of SAR 4.5 million.

3) Al Jubail project:

The project is located in Al Jubail, and offers 15,636-sqm leasing space. The project’s acquisition value is SAR 52.08 million, and it renders an annual income of SAR 8.33 million.

4) Al Faisalyia project:

The project is located in Dammam, and offers 7,495-sqm leasing space. The project’s acquisition value is SAR 22.98 million, and it renders an annual income of SAR 3.67 million.