SICO Capital Company, as the fund manager of SICO Saudi REIT, announced the signing of an agreement to acquire a new property for the Fund, which is a commercial office property located in Hittin District in Riyadh, according to the following details: The asset is located one of the most prestigious locations on Prince Turki bin Abdulaziz Al-Awwal Road At Hittin district in Riyadh. The property is a high-end plaza, housing both a mix of upmarket Retail Food & Beverage outlets, Restaurants as well as commercial offices, the land area is 11,489.69 square meters, and the building area is 36,495 square meters. The occupancy rate of the property is 100%, with a total rental income of 31.5 million riyals annually, and the property will start operating during the month of April of 2022 AD.

The value of the property purchase is 448 million Saudi riyals, excluding real estate tax, brokerage fees and acquisition expenses. The purchase of the property will be financed by increasing the value of the funds assets by accepting an in-kind contribution from the seller of the asset by 148 million Saudi riyals which makes up 33% of the property purchase value, and 300 Million riyals will be paid in cash through the bank facilities available to the fund. The agreement is conditional on completing the due diligence work of the new real estate asset from a legal and technical point of view, in addition to obtaining the necessary approvals according to the regulatory requirements.