Derayah Financial, the fund manager of Derayah REIT, announces the acquisition and transfer of the real estate building of (Education & Skills International School) to Derayah REIT on Wednesday 16/01/1440H corresponding to 26/09/2018G after a successful completion of all legal and technical procedures. The purchase price is SR41.17 million which was funded through the available banking facilities for Derayah REIT
The Property is located in the governorate of Diriyah, Northwest of Riyadh and in close proximity to King Khaled Rd. The Property is an educational facility composed of ground floor, first floor, rooftop and basement. The Property’s total built-up area is 11,000 sqm built on a land area of 5,600 sqm. The Property was completed in 2016G.
The Property is entirely leased to a master tenant, not related to the seller of the Property, with an annual rent payment of SAR 3,500,000/- for 25 years commencing on August 2016G.
It is expected that the result of the acquisition will be positive on Derayah REIT’s financial performance in the second half of 2018. Derayah Financial confirms that there are no related parties in the acquisition. Derayah Financial will announce any material development as and when they occur.