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JLL helped Al Rajhi Capial and Arcapita to exit real estate fund

A joint fund of the two companies had acquired seven assets in UAE and Saudi Arabia

Leading consultancy JLL today (December 16) revealed that it advised two real estate asset management firms, Saudi Arabia-based Al Rajhi Capital and Bahrain’s Arcapita, to sell joint property assets worth SAR1.35 billion.

In a statement on November 30, the two companies had said their joint venture, ARC Real Estate Income Fund, sold its portfolio of warehousing, logistics and retail assets in Saudi Arabia and the UAE.

JLL was appointed to advise both companies on the sale in April.

“Al Rajhi and Arcapita appointed JLL earlier this year to run an efficient sales process and as a part of it JLL reached out to a diverse group of investors from across the GCC and internationally,” says Gaurav Shivpuri, Head of Capital Markets for JLL MENA.

Since its launch in 2010, the fund acquired seven assets in Riyadh, Jeddah and Dubai.

The firms had earlier said they carried out the sale as they believed it was the right time to exit the fund to deliver maximum profits for their investors.

They also stated that the assets had delivered an average annual yield of 7.2 per cent and the fund recorded 18 per cent growth in net asset value during the five-year term.

Neither JLL nor the companies revealed whom they had sold the assets to.