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Largest Off Plan Real Estate Purchase in Sultanate in the last 12 Months
Muscat - The Wave, Muscat signed a Memorandum of Understanding (MoU) with Bank Muscat to develop a mixed portfolio of real estate assets for a new property fund to be managed by the bank involving investments of up to OMR 75 million.
In the first tranche of a number of transactions planned at The Wave, Muscat, and the largest off plan real estate purchase in Oman in the last 12 months, Bank Muscat has agreed to purchase 230 residential apartments in 4 blocks to be known as 'Marsa Parklands' for OMR 30 million located between the marina and new Kempinski, The Wave, Muscat Hotel.
AbdulRazaq Ali Issa, Chief Executive of Bank Muscat, said: "The deal marks an important milestone in the development of the Omani real estate sector. The MoU aims to strengthen institutional participation in commercially sound and sustainable real estate projects."
He continued, "The Fund's first purchase of Marsa Parklands is consistent with the bank's strategy to offer investors a chance to participate in a relatively steady low risk investment with a healthy cash return over the long term. Bank Muscat is especially happy to further cement its relationship with The Wave, Muscat and aims to build a strong mixed portfolio of quality assets for clients."
AbdulRazaq Ali Issa added, "The market conditions are sound for investing in The Wave, Muscat as the project is well positioned to take advantage of the strength of Oman's economy as well as providing our Fund the opportunity to invest in multiple property asset classes, including residential, tourism, retail and commercial while ensuring that yields are attractive compared to alternative investment classes."
Announcing the deal, Hawazen Esber, CEO of The Wave, Muscat, said the transaction with the country's largest bank was an obvious step in capturing the increasing institutional investor interest in Oman's property market and specifically to introduce new development opportunities to investors at The Wave, Muscat. "Institutional investors are becoming more discerning in the type of assets and locations they are prepared to invest in and there has been a lot of interest for emerging opportunities. As one of the region's leading communities, The Wave, Muscat is an attractive destination to consider investing in, especially with the combined financial strength and acumen of Bank Muscat as fund manager."
He continued, "We have been looking for ways in which to enhance the delivery of the project and its public amenities to meet market demand from people as well as for those wanting to establish new businesses here. This deal will also help accelerate our development pipeline and open up new opportunities for people to live, work and invest here. "
"We have seen a significant increase in local demand since opening Almouj Golf and Almouj Marina in 2012 and more recently The Walk in 2014. As an integrated lifestyle destination and a professionally managed community, we are truly capturing the imagination of the market, and the time is now right for institutional investment in the project," added Esber.
He went on to explain that Oman's property market fundamentals should not be underestimated as the population demographics are shifting, creating an increased demand for quality properties and living environments, particularly from local buyers.
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About Bank Muscat
As the flagship financial institution in Oman with assets worth over USD 22 billion, Bank Muscat accounts for 37 per cent market share of assets. The bank enjoys investment grade credit ratings and is rated 'A1' by Moody's and 'A-' by Standard & Poor's. The bank's biggest footprint and presence across the Sultanate and world class products and services are helping to make the vital differentiation, with the focus on its 'Let's Do More' vision.
Bank muscat offers the complete range of innovative banking products and services to the largest banking family in Oman. The bank has an extensive network of 139 branches in Oman, as well as direct and indirect presence in all six GCC states, including a branch each in Saudi Arabia and Kuwait, as well as Representative Offices in Dubai and Singapore which focus on financial institutions and trade business. With the best and most knowledgeable team in the country, Bank Muscat remains committed to providing a world class banking experience.
About The Wave, Muscat
The Wave, Muscat, locally and internationally award-winning project, is the Sultanate's leisure and lifestyle destination and is a unique public-private venture between the Government of the Sultanate of Oman and the UAE-based Majid Al Futtaim Properties.
Spread along a stunning 6 km stretch of Muscat's coastline, this world-class Integrated Tourism Complex comprises a group of luxury residential properties including Villas, Townhouses and Apartments, commercial units, retail and dining facilities and Oman's only signature designed PGA Standard 18 hole links golf course, designed by Greg Norman. The Wave, Muscat is also home to the 400 berth Almouj Marina, Oman's largest private yachting hub and most recently The Walk, a 50 unit retail area which forms the commercial and leisure hub of the community.
The next phase of development will see luxury hotels, new residential leisure and hospitality offerings. The Wave, Muscat is a phased development which provides a world-class lifestyle destination.
For Media inquiries, please contact
Shaza Taher
Associate Director - Media Relations
TRACCS Public Relations
Tel: +968 24 649-099
Email: shaza.taher@traccs.net
© Press Release 2015
