Al-Gharaballi: Global GCC Real Estate Fund Invests In Kuwait
Global Investment House "Global" announced today the conclusion of two new real estate acquisitions in Kuwait, as part of its GCC Real Estate Fund investment strategy.
Mr. Sameer A. Al-Gharaballi, Executive Vice President at Global said that the fund acquired two properties one in Maidan Hawally area and the other in Salmiya area, adding that for this investment “we were able to utilize a very unique lease structure.”
“The fund was able to sell these two properties to a third party utilizing the “Lease To Own” structure,” he explained.
Al-Gharaballi also stated that the “Lease To Own” structure is one of the successful investment tools that allow the fund to increase its profit and reduce the risk in the same time. The lease structure is also in accordance with the Islamic Shari’a principles.
The first real estate is a residential building constructed on 734 square meters (sqm) and consists of 10 stories – ground level and 9 typical floors- with 27 apartments.
The property is located in Maidan Hawally area, and it can be easily accessed through the Fhaheel highway and/or the fourth ring road.
The second property is also a residential building constructed on 775 sqm and consists of 10 stories – ground level and 9 typical floors- with a total number of 20 apartments.
It is located in Salmiya area, nearby Souk AlSalmiya Mall, with direct entrance to the fifth ring road.
Al-Gharaballi pointed that both properties has currently 100% occupancy, securing a steady stream of income for the fund.
He followed by saying that with this investment, the GCC Real Estate fund has utilized all of its capital in different investment structures in GCC.
The GCC Real Estate Fund was launched in April 2005 with the objective of investing into development projects and income producing assets focusing on residential development assets for low-middle income end-users, and in accordance with Sharia’a Compliant Principles.
The fund aims to take advantage of the current boom in the real estate sector and the great demand for low-middle income houses in the GCC markets.
About Global Investment House “Global”
Global Investment House “Global” is a full-fledged investment company incorporated in 1998, and falls under the regulation of the Central Bank of Kuwait. Its underlying foundation is to meet the high expectations of local and international clients, and to enhance the investment service industry in Kuwait and the region. Today, Global stock lists on the Kuwait, Bahrain, and Dubai Stock Exchanges, with branches and affiliates in Bahrain, Dubai and Abu Dhabi (UAE), Jordan, Qatar, and Sudan. Global plays an important role in promoting investment opportunities in the Arabian Gulf Peninsula to investors through expert financial engineering, in-depth research and reports to advance the capital market in the region. Thus, Global’s achievements have been recognized on local, regional, and international levels. The company’s current assets under management reached KD 2.021 billion (USD 7 billion) as at 30 September 2006.