SICO Saudi REIT terminates deal to buy office property in Riyadh

SICO Saudi REIT Fund terminated an agreement to acquire a commercial office property Riyadh, fund manager SICO Capital said in a statement to Tadawul.

The termination came due to the unwillingness of the property owners to extend the agreement period, where the extension was crucial in order for the fund manager to fulfill all the acquisition conditions in a complete and compliant manner. 

There is no impact expected from this termination, the statement added.

On March 20, 2022, SICO Capital entered into a SAR 448 million agreement to acquire the new Riyadh property for the fund, exclusive of real estate disposal tax and acquisition expenses, according to Argaam’s data.

The fund manager extended the agreement several times, the latest of which was on Dec. 6, 2022, for 60 days.