Arbah Capital Company (the manager of Amaar fund for real estate opportunities) in Al-Khobar had declared about launching the development works of funded projects throughout Amaar fund for real estate investment opportunities which has been closed after the completion of fund private placement that estimated by (400) million Saudi Riyals throughout a strategic partnership gathered each of Ajlan Brothers Group, Amaar Real Estate Company and Arbah Capital Company at a private party in Al-Khobar city.
As fund aims to exploit the various real estate investment opportunities all over the Kingdom, especially those that are characterized by fast growth, which requires speed in investment decision-making , the real estate opportunities involve on the initial development of industrial, commercial, residential, agricultural and other territory in addition to superstructure development.
Head of the board of Amaar fund for real estate investment opportunities “Ajlan Bin Abdulaziz Al Ajlan stated that Amaar fund is closed real estate investment fund compatible with Islamic law ordinances and principals, It was established under the relatives regulations issued by the Capital Market Authority , Ajlan also indicated that initiative of launching the real estate fund came in response to investors’ need for investments compliant with legislation and regulations, and the nature of the real estate market in Saudi Arabia, one of the largest markets in the Gulf region and the fastest growing, Supported by factors of population , local and economic growth which constitute the basic foundation and driving force of the Saudi real estate market.
Ajlan indicated that growth volume at Saudi real estate sector has reached 7.50% of GDP, and which is expected to grow continuously at an annual average ranges from 5% to 7% until the year 2013, all of which are factors establish the need for a collective investment mechanisms like real estate funds managed by licensed financial companies ,its members are Characterized by expertise and professionalism and its work subject to observation from the legislator institutions such as CMA, this promotes the need to build common alliances among both of landlords and professional management that can manage such investments with transparency and within the legal framework which provides investment opportunities for those who have cash surpluses and need such safe investment channels That preserve their rights, in order to serve significantly the increased supply of land and prefabricated housing to meet the growing needs of the Saudi citizen, and accelerates the production of value-added projects and feasibility of the investor and the ultimate beneficiary.
Also Abdul Hadi bin Fahad Al Qahtany,the chief executive of Amaar real estate company, (the main founder and developer of the Fund) confirmed that Amaar real estate has a full record with expertise in developing varied real estate projects, and it has carried out successful development real estate projects and marketing those real estate projects in the region over the past years, until it occupied the leadership position in the field of innovating the most sophisticated and modern housing and real estate solutions taking advantage of that experience to enrich the work of Amaar Real Estate Fund and to be the added value offered by Amaar investors and end-buyers of real estate units.
Qahtani stressed the need to correct the path of the Saudi real estate market and shift it to universality matching with the large volume of the market and to encourage the supportive government considerations of market reform by adopting the concepts of formal real estate funds, which all are important for the ultimate beneficiary and the investor.
