Taleem REIT gets tenant responses on appointment of financial advisor to assess COVID-19 impact

Logo of Taleem REIT Fund

Saudi Fransi Capital, fund manager of Taleem REIT Fund, received the response from all the tenants regarding the appointment of an independent external financial consultant to study and evaluate the impact of COVID-19 on the performance of its real estate assets in 2021.

The company said in a bourse statement that two of the fund’s tenants showed willingness to cooperate with the consultant to assess the financial impact caused by COVID-19 pandemic.

The third and final tenant, however, expressed reservation in providing the required financial information to the consultant to fully conduct an accurate assessment.

The fund manager is currently unable to determine the impact accurately, and is in continuous discussions with all the tenants in order to preserve the strategic contractual relationships that will be in the benefit of all stakeholders.

Saudi Fransi Capital will continue to announce any material developments in this regards in due course.

According to data compiled by Argaam, the fund’s board of directors approved that the rent increments due in 2021 will be postponed by one year and will be affected in 2022.

The fund’s board also approved, subject to tenant’s acceptance, appointing an independent financial consultant to assess the financial stress caused by the pandemic on the tenants.