Al-Maather REIT completes mortgage deeds of two Riyadh offices to Al Rajhi Bank

Osool and Bakheet Investment Co., fund manager of Al-Maather REIT Fund, announced the completion of the process of mortgaging the title deeds of 2 office properties in Riyadh, namely First Sahafa and Second Sahafa, to Al Rajhi Bank on Feb. 6.

The fund manager said in a bourse filing on Sunday that the transaction is a guarantee for the Shariah-compliant facilities to be secured from the bank.

With no relevant financial impact, the fund manager said the transaction included no related parties, adding that the fund didn't use associated facility.

In Aug. 2019, Al Maather REIT signed Shariah-compliant facility agreement with Al Rajhi Bank worth SAR 400 million, Argaam reported.

The five-year term facility, which is covered by a promissory note and a property mortgage, is aimed at financing the expansion plans of the fund through new acquisitions of income-generating properties.