Riyadh – Mubasher: Alkhabeer Capital’s real estate investment traded fund Alkhabeer REIT will expand its asset portfolio through two acquisition transactions in the educational and industrial sectors, according to a press release on Monday.

The fund will acquire Vision Colleges under a 25-year binding leasing contract worth SAR 7.5 million annually. The second acquisition is Akun Warehouses, which will be executed under a five-year binding leasing contract worth SAR 16 million per annum.

Alkhabeer REIT will use proceeds from the second additional offering to acquire the assets that are located in Jeddah. At a share price amounting to SAR 9.03, subscriptions for the second additional offering, which started on 30 May, will end on 17 June.

The fund had concluded in 2020 its first additional offering, which was oversubscribed by 104% and registered a 70% increase in its assets under management to more than SAR 1.7 billion.

According to the latest evaluation reports, the two properties will be acquired “at less than their estimated value of SAR 313.4 million against the average estimated value of the two properties of SAR 316.3 million,” the statement highlighted.

It is worth mentioning that Alkhabeer REIT was listed on the Saudi Exchange (Tadawul)” on 20 March 2019.