The Middle East Financial Investment Company’s Mefic Reit Fund on Tuesday announced that it has obtained a SAR 400 million ($106.7 million) sharia-compliant credit facilities from Riyad Bank.
The seven-year facilities are covered by a promissory note and real estate mortgage, according to a statement to the Saudi Stock Exchange (Tadawul).
The loans will be allocated to implement the fund’s investment objectives represented in acquiring income-generating properties and long-term usufruct contracts in accordance with the fund’s policy.
The financial charges will be paid during the contract’s term, while the credit amount is to be repaid at the end of the seven-year period.
Tadawul said in a separate statement that the listing and trading of Mefic Reit Fund’s units will start on Tuesday, 13 November 2018.
These units will be listed on the Real Estate Investment Traded Funds (REITs) sector, under code 4346 with a 10% daily fluctuation limit.