Al-Baha’s unit buys SAR 24 mln industrial land in Riyadh

Logo of Al-Baha Investment and Development Co.

Al-Baha Investment and Development Co. announced that its subsidiary, Elegant Centers Ltd. purchased a land plot valued at SAR 24 million, excluding real estate transaction tax.

The land plot, on which an administrative building and a warehouse were built, is in Riyadh’s industrial area, the company said in a statement to Tadawul.

The deal was concluded on Nov. 16, with the sellers, Saudi Modern Factory Co. and Abdullah Alshaya.

The company stated that the land plot is 25,060 square meters (sqm), on which a building consisting of three administrative floors was built with areas of 4,500 sqm in addition to a warehouse built on an area of 16,000 sqm, pointing out that the deal terms include renting the site.

The deal will be financed through the proceeds of Al-Baha’s capital increase, the statement highlighted.

The deal aims at diversifying the company's investments and enhance its real estate portfolio for the group.

The deal’s financial impact is projected to boost investment real estate in noncurrent assets.