Mulkia REIT board approves sale of some portfolio properties

Mulkia REIT board clears potential property sale for capital gains

Mulkia Gulf Real Estate REIT Fund’s (Mulkia REIT) board approved permitting fund manager and operator Mulkia Investment to take the necessary measures to sell one or more of the former’s portfolio properties that could generate capital gains upon disposal.

In a statement to Tadawul today, Sept. 18, Mulkia Investment said the sale proceeds will be used to partially repay the fund’s outstanding loan and distribute the realized capital gains as a one-time special dividend to unit holders.

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The company added that the relevant financial impact will be disclosed once any property sale is completed, with all details to be provided then.

However, any property sale is not guaranteed, as a minimum threshold will be set for the value of targeted assets; hence, transactions will only be executed at the upper limit, in line with the fund’s goal to generate capital gains.