Al Mashaar REIT acquires warehouses in Riyadh for SAR 129.15 mln

Muscat Capital signed a purchase agreement to acquire 8 warehouses in Riyadh for Al Mashaar REIT, for a total amount SAR 129.150 million, the company said in a statement to Tadawul.

The statement further noted that the specified period for completing the ownership transfer of the warehouse is three months from the date of signature, extendable with the consent of both parties.

The area of the warehouse is 85,000 square meters, and the facility will be fully re-leased for a period of 5 years with a compulsory annual tenancy contract and a total net rental of SAR 11.54 million.

The statement added that the transaction will be financed through bank facilities available to the fund.

The statement noted that the company expects a positive impact from the transaction, which will appear on the fund’s results for Q1 2020.