Aljazira REIT says decline in value of property investments, provision for legal case affected 2020 results

Logo of Aljazira REIT Fund

Aljazira Capital, the fund manager of Aljazira REIT Fund, announced that the decrease in the value of the fund’s real estate investments and the addition of a provision for the lawsuit filed against a tenant negatively impacted the results in 2020.

The fund manager, in a statement on Tadawul today, April 1, 2021,  explained the following based on the fund’s audited financial statements for 2020 and published on March 31, 2021:

-  The fund’s net assets value fell by 21.22%, or SAR 22.15 million, compared to the net asset value for the mid-year 2020, due to a decline in the value of real estate investments by SAR 16.22, as well as the addition of a SAR 5.49 million provision for a lawsuit filed against a tenant, which was announced on Sept. 10, 2020.

- The fund achieved a total loss of SAR 1.24 million in 2020, compared to a total profit of SAR 3.6 million in 2019, down 133.66%, due to the addition of a SAR 5.49 million provision announced previously for a lawsuit filed against a tenant. 
 

Aljazira REIT Fund reported a net loss of SAR 23.9 million for 2020, compared with SAR 240,000 a year earlier, Argaam reported.