Global Investment House "Global" announced it had received Euromoney magazine “Real Estate Investment” Award for its GCC Real Estate Fund, the first residential real estate investment fund in the region.
The magazine awarded Global last may the excellence award as the “Best Equity House in Kuwait” and it received the Gulf Excellence Award from the Gulf Excellence Company early this year.
In an event held last Sunday evening at the Dubai land, Dubai, UAE and attended by local and international media and business personalities, the magazine presented the award to Mr. Sameer Al-Gharaballi, Executive Vice President at Global, who expressed the his deep appreciation for this recognition.
Following the ceremony, Mr. Al-Gharaballi said, “I believe this award comes as a result of the industry’s recognition for our achievements in Real Estate sector.”
“Real estate is very high on our agenda for Structured Finance; it will remain so during next year.” “We base out investment decisions on disciplined research, due diligence and Investment committees,” he added.
“Our investors have recognized our success in launching and managing real estate investment opportunities, and have expressed their demand for new products.”
Mr. Al-Gharaballi affirmed that Global has specialized, experienced teams in real estate structuring, financing, and investing.
He followed by saying that Global, “Always creates unique products to meet the demands of our investors,” declaring that there will be “some interesting products in the coming months.”
Speaking about the GCC Real Estate Fund, Global’s EVP explained that the aim of the unique fund is to invest in middle-income residential housing and help alleviate the public housing problem in the GCC country.
“The fund aims to solve the housing problem in the gulf and generate good return on investment on the back of the high demand on end product.” He stressed that the award will “propel us to continue our positive move to introduce innovative and successful products.”
The GCC Real Estate fund aims to benefit from the real estate boom engulfing the region in past few years, one that is expected to grow even larger in both demand and capital.
Global and AlArgan International Real Estate Company, the fund’s investment advisor, noticed that most projects in the sector concentrate on corporate, business, up-scale housing property, and major government projects, whereas the low and middle-income housing segments are neglected. Thus, the GCC Real Estate fund aims to fulfill that niche by providing reasonably priced, proper housing to that market segment.
The USD100 million fund spans to five years, plus 2 one-year terms and it has a minimum investment cap USD 175,000.
The GCC Real Estate fund is expected to have a generous compounded annual internal rate of return and is expected to pay quarterly cash dividends.
Global is very active in other venues of the real estate sector. In addition to the GCC Real Estate Fund and U.S. Real Estate Fund, the company has been involved in real estate companies IPOs, listings, bond issues and more.
Launched early 2005, the U.S. Real Estate fund has already distributed 7.2% cash dividends shortly after making its first investments in the U.S. .
Global managed the private placement of real estate companies; First Bahrain Real Estate Development Company and First Qatar Real Estate Development Company. It lead managed the capital increase for Kuwait Business Town Company (KBT), Al-Waseela Real Estate Development Projects Company, and Al-Nawadi Holding Company.
The company also acted as the lead manager and listing advisor for several real estate companies; Mazaya Holding Company (Mazaya), Housing Finance Company (ISKAN), and Tijara & Real Estate Company (Tijara).
In addition, Global had lead managed three issues worth KD100 million for Alargan International Real Estate Company, Future Kid Entertainment, and First Qatar Real Estate Development Company. Furthermore, the company managed the reverse merger (Management Buy-in) of Future Kid Entertainment and Real Estate Company KSCC to acquire Future Kid for Toys and Games Co. WLL.
The company acted as the lead manager for ISKAN’s KD25 million, two-tranches, five years bond issue.
In conclusion, Mr. Al-Gharaballi thanked Euromoney magazine for the award and expressed his heartfelt pride in receiving the “Real Estate Investment” award. He stressed again Global’s commitment towards excellence to deliver financial and investments products and services that go beyond the market’s expectations.
