al-gharaballi: gcc real estate fund to distribute dividends during q1
Global Investment House ‘Global’, a leading investment bank and asset management company, announced that its Global GCC Real Estate fund is excepted to distribute dividends during first quarter thanks to exceptional performance.
Mr. Sameer A. Al-Gharaballi, Executive Vice President at Global - the Fund’s Manager- informed that the GCC Real Estate Fund expects to start distributing dividends to the investors during the first quarter of 2008.
The plan, according to Al-Gharaballi, for 2008 – 2009 is to start liquidating the investments and return back the capital to the investors plus their profit.
He added that the fund was established in the year 2005 with the intention of taking advantage of the booming real estate market in the GCC region. All the investments in the fund are Islamic Shari’a compliant.
The fund has fully invested the capital in a number of exceptional real estate opportunities in Kuwait, Kingdom of Bahrain and the Sultanate of Oman. It had also invested in income producing properties in Kuwait and Bahrain, which are giving secured returns to the fund
In Kuwait, the fund has invested in a project located in Hadiya, which consists of 28 Villas. “The fund has sold 90% of the villas and is expecting to exit this investment during the 2nd Quarter of 2008.”
He pointed that the development projects are in partnership with Alargan International Real Estate or one of its fully owned subsidiaries and that the demand for the products that have been developed, has been excellent since the inauguration of the Fund.
The fund’s strategy is geared towards providing proper residential units for middle income families in the GCC. The positive results has proven the strategy a success as products saw high demands since their introduction.
On the other side, Mr. Fawaz Al Bader, Senior Investment Manager of the Real Estate Unit said the fund has also invested in Al Hail area in the Sultanate of Oman. This is a Residential project which consists of 100 Villas. The fund has successfully sold 100% of the project in a very short span.
Around 75% of the construction is now completed. Distribution is expected to commence by the end of March.
In addition, the fund has also invested in the Al Qurum gardens area in Sultanate of Oman. The construction permits are out and construction is expected to start very soon. The waiting list for the project reflects a demand that far exceeds the supply from the project.
Al-Bader ended by saying that the fund has made similar investment in Saar area in the Kingdom of Bahrain. The fund was able to sell 85% of phase one of the projects during the planning and initial stage of the construction process. About 20% of the construction work is now complete.
