Al Maather REIT secures SAR 400 mln funding

Al Maather REIT has signed Shariah-compliant facility agreement with Al Rajhi Bank worth SAR 400 million, Osool & Bakheet Investment Company, the fund manager, said in a statement to Tadawul on Monday.

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. 

The profit rate will be paid on a semi-annual basis, starting from the date of withdrawal and on a pro-rata basis depending on the withdrawn amount. The full amount of the facility will be paid upon maturity. 

No related parties or deal involving conflicts of interest in the agreement are involved, the fund manager said.