| Element List | Explanation |
|---|---|
| Introduction | Riyad Capital (the “Fund Manager”), in its capacity as Fund Manager of Riyad REIT (the "Fund"), announces the successful completion of the sale of a property held by one of the Fund's international investments “Riyad International Real Estate (IV)” (the "Property"). |
| Description of the Event | Located in the city of Plano, Texas, United States of America, the Property is a Class A office building fully leased to FedEx — one of the world's largest express courier and logistics companies. Riyad REIT invested SAR 45 Mn in the Property during 2020. Net sale proceeds attributable to the Fund amounts to SAR 54 million. In addition to the aforementioned sale proceeds, the Fund received cumulative distributions from the Property throughout the holding period of approximately SAR 13 million, representing 29% of the original investment cost. Total proceeds from the investment accordingly reached SAR 67 million, generating a total Return on Investment (ROI) of 48% to the Fund. |
| The Impact Caused by the Event | The disposal is expected to enhance the Fund's liquidity position. The Fund Manager intends to deploy the proceeds across several strategic initiatives aimed at strengthening the Fund's financial position, including the enhancement of existing assets and reduction of the Fund's |
RiyadCapital Announces the Occurrence of Specific Event to Riyad REIT Fund
AI Summary
- Riyad REIT successfully completed the sale of a Class A office property in Plano, Texas, for net proceeds of SAR 54 million.
- The investment, originally acquired in 2020 for SAR 45 million, generated total proceeds of SAR 67 million including cumulative distributions.
- The transaction resulted in a total Return on Investment (ROI) of 48% over the holding period.
- The Fund Manager intends to use the proceeds to enhance existing assets and reduce the Fund's overall debt.
