Real estate investment trusts drive market growth in Saudi Arabia

RIYADH The boom in real estate investment trusts or REITs listed on the Kingdoms stock exchange will be explored at an exclusive executive briefing ahead of Euromoney Saudi Arabia Conference, taking place this May.

Since the Tadawul market was opened to REITs in 2016, there have been multiple listings in the Kingdom of Saudi Arabia, as well as in the UAE and Bahrain. With new listings planned in 2018 including the possibility of a REIT from Kingdom Holding Company investors within the Kingdom and globally are watching this sector closely.

The Euromoney Saudi Arabia Conference hosted a sell-out REITs briefing as a pre-conference event last year to introduce delegates to the sector, and this years briefing on May 1 will examine the impressive growth over the past 12 months.

REITs are the hottest products in Saudi Arabia right now, and many delegates will be keen to gain insights into the best approach to investing in them, said Victoria Behn, Euromoney Conferences Head of Middle East and Africa.

The briefing will provide a focused morning of presentations, discussions and networking, enabling attendees to share ideas and information with some of the leading players in this space operating in the Kingdom.

Panellists will consider milestones in the markets expansion, challenges it has faced and how it might be improved. They will also offer a forecast of how REITs will perform moving forwards, and draw comparisons with REITs in other jurisdictions, including the United Arab Emirates.

Stefan Burch, Partner General Manager, Saudi Arabia at Knight Frank, will introduce the first session, which will provide an overview of the sectors expansion over the past two years. It will be presented by Burchs colleague Taimur Khan, Senior Analyst in Development Consultancy and Research at the real estate giant.

Also presenting will be two representatives of the Kingdoms Capital Market Authority (CMA). Abdulrahman Abdulaziz Almashal and Hassan Abdullah Alshuaiby, both from the CMAs investment products issuance department, will shed light on regulatory changes and other plans that affect the REITs sector.

The event will end with an interactive panel discussion looking at challenges and opportunities for 2018. Examining specific needs and how they will be met, it will cover topics such as valuation processes, asset management and the relative merits of developments versus acquisitions. Investor needs such as Waqf an inalienable charitable endowment under Shariah law will be on the agenda, as will net asset value discounts and premiums.

The Euromoney Saudi Arabia Conference, which runs from May 2-3, will include a special panel on real estate on the second day, with speakers from Amlak International, RAFAL Real Estate Development Company (CJSC) and Colliers International. SG