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Muscat-listed Oman REIT has secured a Shariah-compliant term facility worth 16.2 million rial ($42.1 million), part of which was utilized on Tuesday to acquire a retail asset for a total consideration of OMR 4.1 million.
The acquisition includes a cash payment of OMR 3.6 million, funded through the newly secured facility. The remaining amount will be settled via a private placement of Oman REIT units at a price of 100 baiza per unit, to be issued following an upcoming extraordinary general meeting (EGM), Oman REIT said in a bourse statement.
Located in Wilayat Ibri, the newly acquired asset is single-tenanted by Lulu Hypermarket and carries an unexpired lease term of 20 years, offering long-term income stability, the REIT said.
The 14-year Islamic facility, provided by Muzn Islamic – National Bank of Oman, is backed by mortgages valued at twice the amount drawn.
Oman REIT became the country's first diversified multi-asset REIT to list in February 2021.
In April this year, it acquired a school building in Sharjah for 120 million UAE dirhams ($32.67 million) under a sale-leaseback transaction which also used existing credit facilities with Muzn Islamic – National Bank of Oman.
(Writing by Brinda Darasha; editing by Daniel Luiz)
