Making Profit from Sale of Real Estate Asset, in the USA – Riyad Capital Announces

Riyad Capital (the “Fund Manager”) has announced the completion of the exit of Riyad REIT from an investment in a real estate asset in the United States of America (Two Washingtonian Building, Washington D.C. Metro Area), with a total return (ROI) of 51% and an internal rate of return (IRR) of 24.4%.

The returns included approximately 9.9% of annual cash dividends starting from the inception of the investment on December 8, 2019, in addition to capital gains of about 36%.

It is worth noting that in December 2019, Riyad REIT invested SR 350.8 million in a diversified real estate portfolio in the United States of America consisting of three Class-A real estate assets, and the investment in the Two Washingtonian offering is equivalent to SR52,508,513.

The Property is 100% leased to Leidos Holding (an investment grade Fortune 500 company considered one of the largest government contractors) under a 13-year lease.

The 27,287-square-meter property is located in the Washington metropolitan area within the Biotechnology Cluster – one of the best biotechnology clusters in the United States.

Since 2019, Riyad REIT has invested a total of SR675 million in a series of international property offerings in the U.S. and Europe.

The effect of the event. As a result of the sale of the real estate asset, Riyad REIT achieved an additional net profit of SR0.11 per unit.