Riyadh – Mubasher: AlAhli REIT Fund 1 has announced signing a sharia-compliant Ijara loan agreement with the National Commercial Bank (NCB) at a value of SAR 650 million ($173.29 million).

The facility will be allocated for acquiring income-generating properties in a bid to diversify the fund’s assets, according to a statement to the Saudi Stock Exchange (Tadawul).

The 15-year loan will be guaranteed through a promissory note and the property must be titled, the statement added.

“There will be no principal repayment of the Ijara facility during the first five years,” the fund’s statement to the Saudi bourse further noted.

AlAhli REIT Fund’s stock edged up 0.13% to close Wednesday at SAR 7.88, while NCB’s stock remained unchanged to finish the trading session at SAR 44.50.