Monday 22 February 2010

Al-Rajhi, Arcapita launch $500 mln Gulf property fund



Al Rajhi Capital, the investment arm of Saudi Arabia's Al Rajhi Bank 1120.SE and Bahrain's Arcapita Bank has launched a $500 million Gulf property income fund to capitalise on falling prices, the firms said on Monday.

The two companies will seed a joint investment of $50 million for the fund, which will focus on logistics warehouses, healthcare and education-related assets in Saudi Arabia and the Gulf Arab region, they said in a statement.

Saudi Arabia has earmarked around $400 billion to boost infrastructure over the next five years and is looking to cater for growing demand for new housing from the young population in the world's largest oil exporter.

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