Bonyan REIT to debut today on Tadawul

Bonyan REIT Profile

Fund

Bonyan Real Estate Investment Traded REIT Fund, sharia-compliant REIT

Investment objectives      

Investing in income-generating real estate properties inside and outside where at eat 90% of the fund’s net profit shall be distributed to unit holders on a semi-annual basis

Fund size

SAR 1.628 bln

In-kind subscriptions

SAR 977.28 mln. The fund manager will issue 97.72 mln units representing 60% of the fund units for real estate properties sellers.

Targeted assets

Mainly acquiring 10 real estate assets in 4 Saudi cities and 1 UAE city with a total value of SAR 1.6 bln.

Unit’s price

SAR 10

Subscription fees

None

Management fees

0.5% annually from total fund value after deducting expenses

Custodian fees

- 0.025% annually from total fund value

- SAR 30,000 annually for Zakat declaration and financial statements

- SAR 60,000 one-time expense for establishing a facility with an objective

Fund manager

Saudi Fransi Capital

Fund term

99 yrs from the listing in Saudi market. The term is renewable to similar periods after obtaining approvals from the fund’s board and the CMA

Valuators

Knight Frank, ValueStart and Tathmen

Cash dividend

Semi-annual cash dividend of not less than 90% of fund annual net profit to be paid at the end of Q2 and Q4 of each fiscal year

Bonyan REIT Asset Base

Total no. of assets

10 real estate assets

No. of properties to be acquired (ownership)

9 real estate assets

No. of assets to be acquired (usufruct right)

1 property, and the fund will have the right to buy the property during the first five years of signing the contract at SAR 110 million

Developed assets

10 real estate properties

Total cost

SAR 1,604.74 million

Fund size

SAR 1,628.81 million

Geographical presence

Saudi Arabia (Riyadh, Abha, Jazan, Almadinah)

UAE (Dubai)

Total rent in 2018

SAR 127.8 million

Net income for 2018

SAR 118.2 million

Net income ratio

7.26 percent

Bonyan REIT’s Asset Base

Asset

City

Value

(SAR mln)

40% of asset value

Net annual rent 2018 *(SAR mln)

Percentage of the fund size

Residential sector

Ar Rafiah Villa compound

Riyadh

190.0

--

14.92

11.66%

Al-Maather Villa Compound

Riyadh

5.50

--

0.54

0.34%

City Walk building (2B)

Dubai

273.00

--

10.25

16.76%

Hotels

Courtyard by Marriot

Jizan

90.0

--

6.31

5.52%

Residence Inn by Marriot

Jizan

55.50

--

4.00

3.41%

Al Rashed Residences

Al Madinah

42.60

28.40

7.08

2.62%

Commercial centers

Al Rashid Mall

Jizan

206.00

--

15.65

12.65%

Al Rashid Mega Mall

Al Madinh

505.50

--

32.82

31.03%

Al Rashid Mall**

Abha

223.20

148.80

34.58

13.70%

Al Rashid Strip mall

Riyadh

13.44

8.96

1.64***

0.83%

Total

1,604.74

186.16

127.79

98.5%

Capital restructuring fees

24.07

1.5%

The fund’s total size

1,628.81

100%

Performance of Saudi REITs Since Listing

REIT

Fund Size

(SAR mln)

Listing Price (SAR)

Closing as of July 24 (SAR)

Variation

Aljazira REIT

118.0

10.00

15.18

+52%

Taleem REIT

285.0

10.00

11.06

+11%

Jadwa Saudi

1580.0

10.00

9.54

(5%)

Riyad REIT

1633.0

10.00

8.98

(10%)

Jadwa Al Haramain

660.0

10.00

8.72

(13%)

Al Rajhi REIT

1621.9

10.00

8.57

(14%)

Musharaka REIT

880.0

10.00

8.62

(14%)

SEDCO Capital REIT

650.00

10.00

8.37

(16%)

AlAhli REIT (1)

1375.0

10.00

8.20

(18%)

Derayah REIT

1172.0

10.00

8.09

(19%)

Mulkia REIT

600.0

10.00

7.94

(21%)

Al Ma’athar REIT

613.7

10.00

7.79

(22%)

Masha’ar REIT

572.4

10.00

7.73

(23%)

Bonyan REIT

1628.8

10.00

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