Seera contributes 3 real estate assets in Riyadh, Jeddah to set up Alinma REIT Hospitality Fund

Logo of Seera Group Holding

Seera Group Holding announced its contribution of three real estate assets in Riyadh and Jeddah to the establishment of a REIT, called “Alinma REIT Hospitality Fund,” to be managed by Alinma Investment Co., according to a statement to Tadawul.

The payment of the value of the real estate assets is by way of cash, equivalent to 40% of the value of real estate assets, while the remaining 60% will be settled in an in-kind payment by issuing units to the group in accordance with the Capital Market Authority’s (CMA) rules and regulations.

Seera indicated that the real estate assets contributed by the group are Clarion Hotel Jeddah Airport, Comfort Hotel Jeddah King Road and Comfort Inn Suites, Riyadh.

This step is in support of the group's strategy of converting real estate assets into a tradable investment and reflecting the fair value of these assets, according to the statement.

In September, Alinma Investment obtained the CMA's approval on offering Alinma REIT Hospitality Fund’s units on the Saudi Stock Exchange (Tadawul) as a REIT, Argaam earlier reported.

Last January, Seera announced the opening of Clarion Hotel Jeddah Airport and Comfort Hotel Jeddah King Road, as part of a previously-announced group of middle-range hotels, according to Argaam’s data.