Bank Muscat, the leading financial services provider in the Sultanate of Oman, continues to uphold its remarkable contributions to executing various large investment transactions in Oman and the GCC region markets. In this context, the Bank is pleased to announce that its Izdihar Real Estate Fund has successfully concluded the sale of a prominent building at Emaar Business Park, a premier multi-tenanted Grade-A commercial property located in Dubai, U.A.E, generating attractive returns to its investors.
The Fund was incorporated in 2015 under the regulations of the Financial Services Authority and it is Oman’s first and amongst the largest Real Estate Investment Trust (“REIT”) funds in the Country, with assets under management in excess of US $ 230 million. The Fund has distributed an average dividend of c.7.3 per cent per annum since its inception, and its unitholders comprise large sophisticated investors such as sovereign and pension funds, corporate entities, and business family offices.
The investment objective of Izdihar Fund is centred on delivering sustainable and attractive long term returns to investors through investment in income generating, well-tenanted, marquee assets in the Sultanate and the GCC. The Fund has a well thought out strategy to structure investments that generate steady income from rentals and an upside from capital gains upon exit. In line with the stated objective, the Fund pro-actively focusses on investor value creation across the deal life cycle, from sourcing quality transactions, diligent evaluation, prudent investing and portfolio monitoring, and exiting these investments in a timely manner. The exit out of the building is a reflection of this philosophy of the Fund. Izdihar Fund is managed by the Asset Management team at Bank Muscat, comprising of highly experienced professionals with a combined work experience of over 100 years.
Speaking on the transaction, Khalifa Abdullah Al Hatmi, Deputy General Manager – Investment Banking and Capital Markets at Bank Muscat, said: “The sale of the building within the Emaar Business Park property is a landmark transaction and marks the first exit for the Fund, in line with Izdihar’s strategy to focus on investor value realisation and generation of steady and attractive long term returns for investors. In addition, we are pleased to report that Izdihar Fund has posted its highest ever annual net profits this year (2024), which is a testament to the consistent growth of the Fund since inception. Izdihar Fund continues to look for attractive new investment opportunities in Oman and the GCC region across commercial, residential, industrial (and logistics) and mixed-use asset classes.”
Situated in The Greens at Emirates Living, the building was acquired by Izdihar Fund in 2019 and it is a G+6 property featuring a distinctive granite-and-glass façade and offering approximately 153,000 sq. ft. of premium commercial and retail space. The building is fully tenanted by leading multinational and regional corporations, leveraging its strategic location near Dubai Internet City, Media City, Palm Jumeirah, and Dubai Marina, as well as excellent metro and road connectivity. The iconic property was bought by a prominent UAE-based group. Bank Muscat and Izdihar Real Estate Fund were assisted by Knight Frank MENA (exclusive sell side property consultant) and Al Tamimi and Company (legal advisor) on this landmark transaction.
