Saudi Assistant Minister holds defense cooperation talks in Pakistan    GACA fines for civil aviation violations exceed SR5.3 million in Q1    NMDC showcases innovation and saustainability at AACE conference    Attack sends message to Iran but Israelis divided over response    Children among seven dead in Russian strike on Dnipropetrovsk region    US vetoes Palestinian attempt to gain statehood at the United Nations    Saudi Arabia expresses regret over UN Security Council's decision on Palestinian membership    Beijing half marathon: Top three stripped of medals after investigation    Taylor Swift releases surprise double album    Markets rocked as US says Israel has struck Iran    Centuries-old defensive moat and fortification wall unearthed in Historic Jeddah    Dhul Qadah 29 is the last day for Umrah pilgrims to leave the Kingdom 90-day duration of visa begins from the date of entering the Kingdom; Hajj Ministry clarifies    'Saudi hospitality sector to generate SR42 billion investments and 120,000 jobs by 2030'    Poignant shot from Gaza wins World Press Photo of the Year 2024    Saudi Pro League postpones Al-Hilal vs. Al-Ahli match; Al-Ahli rejects rescheduling    50% traffic fine reduction takes effect    Al Ain ends Al Hilal's record streak with a 4-2 win in AFC Champions League semi-final    'Zarqa Al Yamama': Tickets now available for Saudi Arabia's first opera premiering April 25    Turki Alalshikh announces groundbreaking 5 vs 5 Riyadh Season bout featuring international boxing stars    Diriyah Biennale Foundation announces shortlist for AlMusalla Prize, set to revolutionize musalla architecture    JK Rowling in 'arrest me' challenge over hate crime law    Trump's Bible endorsement raises concern in Christian religious circles    Hollywood icon Will Smith shares his profound admiration for Holy Qur'an    We have celebrated Founding Day for three years - but it has been with us for 300    Exotic Taif Roses Simulation Performed at Taif Rose Festival    Asian shares mixed Tuesday    Weather Forecast for Tuesday    Saudi Tourism Authority Participates in Arabian Travel Market Exhibition in Dubai    Minister of Industry Announces 50 Investment Opportunities Worth over SAR 96 Billion in Machinery, Equipment Sector    HRH Crown Prince Offers Condolences to Crown Prince of Kuwait on Death of Sheikh Fawaz Salman Abdullah Al-Ali Al-Malek Al-Sabah    HRH Crown Prince Congratulates Santiago Peña on Winning Presidential Election in Paraguay    SDAIA Launches 1st Phase of 'Elevate Program' to Train 1,000 Women on Data, AI    41 Saudi Citizens and 171 Others from Brotherly and Friendly Countries Arrive in Saudi Arabia from Sudan    Saudi Arabia Hosts 1st Meeting of Arab Authorities Controlling Medicines    General Directorate of Narcotics Control Foils Attempt to Smuggle over 5 Million Amphetamine Pills    NAVI Javelins Crowned as Champions of Women's Counter-Strike: Global Offensive (CS:GO) Competitions    Saudi Karate Team Wins Four Medals in World Youth League Championship    Third Edition of FIFA Forward Program Kicks off in Riyadh    Evacuated from Sudan, 187 Nationals from Several Countries Arrive in Jeddah    SPA Documents Thajjud Prayer at Prophet's Mosque in Madinah    SFDA Recommends to Test Blood Sugar at Home Two or Three Hours after Meals    SFDA Offers Various Recommendations for Safe Food Frying    SFDA Provides Five Tips for Using Home Blood Pressure Monitor    SFDA: Instant Soup Contains Large Amounts of Salt    Mawani: New shipping service to connect Jubail Commercial Port to 11 global ports    Custodian of the Two Holy Mosques Delivers Speech to Pilgrims, Citizens, Residents and Muslims around the World    Sheikh Al-Issa in Arafah's Sermon: Allaah Blessed You by Making It Easy for You to Carry out This Obligation. Thus, Ensure Following the Guidance of Your Prophet    Custodian of the Two Holy Mosques addresses citizens and all Muslims on the occasion of the Holy month of Ramadan    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Jadwa REIT Al Haramain Fund launched
Published in The Saudi Gazette on 17 - 04 - 2017

Jadwa Investment, a leading investment management and advisory firm in Saudi Arabia, announced the conclusion of the public offering of its first Shariah-compliant Real Estate Investment Traded Fund, Jadwa REIT Al Haramain Fund, which will invest in real estate properties in the holy cities of Makkah and Madinah.

The REIT, which has an initial size of SR660 million, offered SR360 million worth of units (36 million units with nominal value of SR10 per unit) to the general public through an initial public offer during the period of April 3, 2017 to April 9, 2017. The REIT received an overwhelming response from the investing public as over 5,800 individual and intuitional investors subscribed for SR4.53 billion during the offer period, resulting in a 1,257% coverage of the offered units. As per the terms and conditions of the REIT, Jadwa Investment announced full allocation of up to 1,000 units for each subscriber. Allocation for the remaining units has been done on a pro-rata basis, resulting in approximately 6.746% allocation above the minimum 1,000 units. Furthermore, Jadwa announced that the refund of the excess subscription amount to investors will be done before the end of next week.

Commenting on the success of the public offer, Tariq Al Sudairy, Managing Director and CEO of Jadwa Investment, said "Jadwa REIT Al-Haramain Fund is the first REIT Fund that offers investors the opportunity to invest in the attractive Al Haramain real estate markets through a liquid investment vehicle and without the need for a large investment outlay. This, along with the attractive expected yield of the REIT, were the reasons behind the tremendous response during the public offering. REITs in general and real estate investments in the two holy cities in particular are an integral part of Jadwa's growth strategy going forward."

Describing the REIT, Haitham Al Ghannam, Head of Alternative Investments at Jadwa, said "the initial portfolio of the REIT will comprise of two hospitality assets, a four-star hotel and a pilgrim accommodation. Both properties are located in Makkah with a combined capacity of 984 hotel rooms. The four-star hotel is located within 500 meters of Masjid Al Haram, while the pilgrim accommodation is located approximately 900 meters from Mina. At its initial offer price of SR 10 per unit, the REIT offers net initial yield of 5.2%, which is an attractive yield when compared with other similar investment opportunities focusing on Makkah and Madinah."

Launch of the REIT comes in line with the government's Vision 2030. The Kingdom plans to promote religious tourism with the aim to double the number of Hajj and Umrah pilgrims by 2020. "We are expanding our real estate offering to help our clients benefit from the expected growth in religious tourism in the Kingdom. The REIT will look to add more attractive properties in Makkah and Madinah in the near future," Al-Sudairy added.

Jadwa Investment offers wide-ranging investment services that support both individual as well as corporate financial goals.

With a proven track record in asset management, private equity, real estate, fixed income investments, investment banking advisory, and investment management advisory, Jadwa Investment is a comprehensive financial services firm. — SG


Clic here to read the story from its source.