Al Maather REIT says Al-Rabie GENX property leased for SAR 3.17 mln, occupancy at 100%

Logo of Al Maather REIT Fund

Osool & Bakheet Investment Co., the fund manager of Al Maather REIT Fund, announced that the total rental value of Al-Rabie GENX property in Riyadh is SAR 3.17 million, with 100% current occupancy rate.

The company said in a bourse statement that the showrooms were fully leased out during the previous months, adding that the last announcement of signing the lease contract for the hospitality units in the property was for a total value of SAR 2.2 million.

The previous lease contract with Gulf ELCON Company for Trading and Contracting consisted of hospitality units and four showrooms, from seven showrooms, in the same property with a total value of SAR 3.75 million.

According to data compiled by Argaam, the fund manager announced on May 26, 2021, the signing of a lease contract for hotel units in Al-Rabie GENX property in Riyadh, for a period of eight years. Rent for the first year is SAR 2.2 million and the value will increase by 10% as of the fourth year. The total rental values for the contract period will amount to SAR 18.7 million.

In August 2020, Osool & Bakheet Investment received a letter from Gulf ELCON Company for Trading and Contracting, the anchor tenant of Al-Rabie GENX assets, seeking to hand back the leased units with a rental value of SAR 3.75 million.

In March this year, the Judicial Department of Riyadh General Court issued a preliminary ruling obliging the tenant to pay SAR 4.25 million of the remaining rent to the defendant for 21 months, which was further upheld by the Court of Appeal.