Latest news with #Dh21.63
Al Etihad
05-05-2025
- Business
- Al Etihad
Dubai Residential REIT offers 12.5% stake in IPO
5 May 2025 10:20 REDDY (ABU DHABI) Dubai Residential REIT, the GCC's first pure-play residential leasing-focused REIT, has launched its initial public offering (IPO) on the Dubai Financial Market (DFM), offering 1.625 billion units, or 12.5% of its issued unit capital. The subscription period runs from May 13 to 20, with trading expected to begin on or around May conventional equity offerings, the REIT is issuing units rather than shares, as it is structured as a Shariah-compliant closed-ended trust. The offering has received Shariah compliance approvals from both the REIT's internal committee and Emirates NBD IPO is divided into two tranches. The first tranche is allocated to retail investors in the UAE and comprises 10% of the total offer—162.5 million units. Each successful retail investor is guaranteed a minimum allocation of 2,000 units. The second tranche, comprising 90% or 1.4625 billion units, is earmarked for qualified institutional a gross asset value (GAV) of Dh21.63 billion and a portfolio of 35,700 residential units across 21 communities, the REIT is set to become the largest listed REIT in the GCC. It caters to all housing segments—premium, community, affordable and corporate—with a tenant mix of 57% individuals and 43% corporates. Occupancy reached 97% in Al Malek, Chairman of the REIT's Investment Committee, said the IPO gives investors a chance to participate in a resilient, income-generating platform backed by Dubai Holding's broader real estate ecosystem. Dubai Residential REIT is owned by DHAM Investments, which will remain the majority unitholder post-IPO. DHAM Investments LLC is owned by DHAM LLC, which is a subsidiary of Dubai Holding. Stock Markets Continue full coverage
Gulf News
05-05-2025
- Business
- Gulf News
Dubai Holding to launch IPO for its real estate investment fund
Dubai: Dubai Holding is going for an IPO to launch its Real Estate Investment Trust (REIT) fund. The REIT will be a Sharia-compliant and represents a major development from one of Dubai's biggest names in the real estate development and investment space, with the likes of Nakheel, Meydan and Meraas in its fold. The IPO will be in the form of wholly owned subsidiary DHAM REIT Management llc. The subscription period is likely to be from May 13 to May 20. At the time of its DFM debut, the float is expected to be the GCC's largest listed REIT, with a gross asset value of Dh21.63 billion - this is 'almost double the combined GAV of the five largest REITs in the region'. "The REIT benefits from the broader residential ecosystem curated by Dubai Holding, a global investment leader with one of the largest land banks in the Emirate of Dubai," said a statement. Real estate investment trusts - or REITs - offer investors to put their resources into funds that own and operate multiple property-related assets. The DFM already has a REIT presence from the likes of Al Mal Capital. Dubai Residential 'The integration of Nakheel and Meydan's residential portfolios under Dubai Holding last year was a significant milestone in Dubai Residential's journey that enhanced its status as one of the region's largest residential leasing platforms.," said Amit Kaushal, Group CEO at Dubai Holding. "Dubai Holding Asset Management's residential leasing portfolio – Dubai Residential – has consistently delivered high-quality communities that meet the evolving needs of Dubai's diverse population. 'The IPO presents investors with a unique investment opportunity to participate in this success story while benefiting from the wider capabilities and opportunities within the broader Dubai Holding ecosystem." What the new IPO will provide The Dubai Holding entity will float 1.62 billion units, which will be 12.5% of Dubai Residential REIT's issued unit capital. There are two tranches - the UAE Retail Offer making up the first and targeting retail investors and those entities holding a National Investor Number (NIN) with DFM. The second tranche is for institutional investors. The first tranche has been allocated 10% of the offer units, making up 162.5 million units. Each successful subscriber in the first tranche will be guaranteed a minimum 2,000 units, 'provided that the total number of units issued under the minimum guaranteed allocation does not exceed the tranche size'. The second tranche gets 90% of the offer units, of 1.46 billion units.
