Riyad REIT buys SAR 65 mln property in Riyadh

Riyad REIT has acquired an office building worth SAR 65 million in Riyadh by securing a Sharia-compliant facility, Riyad Capital said in a bourse filing on Tuesday.

The property was purchased from non-related party, and without any conditions.

It spreads on a total area of 2,555 square meters and is fully leased by a non-related party, generating an annual net income of SAR 6.5 million and a return of 10 percent.

The five-year period is valid until Sept. 16, 2023.

“This acquisition is a continuation of Riyad REIT strategy to expand and diversify its real estate portfolio through the acquisition of high quality properties located in strategic locations, with long term leases by credit-worthy tenants,” the statement added.