Riyadh – Mubasher: Derayah Financial, the fund manager of Derayah REIT, on Thursday said that it has acquired and transferred a real estate building of (Education & Skills International School) to Derayah REIT.

The transaction’s total cost amounted to SAR 41.17 million, fully funded by the available banking facilities for Derayah REIT, according to a filing to the Saudi Stock Exchange (Tadawul).

The building is located in the governorate of Diriyah, Northwest of Riyadh and in close proximity to King Khaled Road. 

Spanning 11,000 square meters, the property is composed of a ground floor, first floor, rooftop, and basement, the statement added.

Moreover, Derayah has completed all legal and technical procedures.

It is worth noting that the school building is entirely leased to a master tenant, not related to the seller of the property, with an annual rent payment of SAR 3.5 million for 25 years commencing in August 2016.

The company noted that the acquisition is expected to have a positive impact on Derayah REIT’s financial performance in the second half of 2018.