Real estate slump unlikely to dampen interest in #Oman’s Aman REIT IPO | ZAWYA MENA Edition

Real estate slump unlikely to dampen interest in Oman’s Aman REIT IPO | ZAWYA MENA Edition:

Notwithstanding the protracted slump in the real estate sector across the wider Gulf region, the promoters behind Omans maiden Real Estate Investment Trust (REIT) the Aman Real Estate Investment Fund (under formation) are optimistic that the promise of a healthy dividend yield will lure Omani, expatriate and international investors to buy shares in the Fund when it opens to the public on Thursday.

Around 100 million units, representing 50 per cent of the Funds capital of RO 20 million, are being offered via an Initial Public Offering (IPO) that opens on Thursday, January 2.

The balance 50 per cent of the Fund will be offered to Sandan Development LLC against the acquisition of 708 properties that are part of Madinat Sandan a light industry real estate project coming up at Halban just outside Muscat Governorate.

At a press briefing on Tuesday, Abdul Samad al Maskari, CEO of Thara Global Business LLC the Financial Adviser and Investment Manager of the Fund, said the ongoing downturn in the real estate industry is unlikely to dampen investment interest in Omans first sharia-compliant REIT.