SICO Saudi REIT signs SAR 49.1M leasing contracts for 3 towers, retail stores

SICO Saudi REIT Fund signed several agreements with Moro International Co. to lease three hotel towers—Eskan 4, 5, and 6—along with multiple retail stores, Al Wasatah Al Maliah (Wasatah Capital), the fund’s manager, said.

The contracts span three years, from Jan. 1, 2026, to Dec. 31, 2028, except for retail store No. 4, which will commence on July 18, 2026.

In a statement to Tadawul, the manager said annual rental values are set at SAR 6.05 million for Eskan 4 (including three retail stores), SAR 4.3 million for Eskan 5, and SAR 3.85 million for Eskan 6 (including five retail stores). Retail store No. 4 will be leased for SAR 22,750 in 2026, rising to SAR 50,000 annually in 2027 and 2028.

The total value of the agreements amounts to SAR 42.72 million net (excluding VAT) and SAR 49.13 million gross (including VAT).

The fund expects a positive financial impact, especially as the current leasing contracts for the hotel towers expire on Dec. 31.

The new agreements will raise the annual rental value of all towers and associated retail stores from SAR 9.65 million to SAR 14.25 million, representing a 47.67% increase, which will positively support the fund’s revenues throughout the contract period.