NCB Capital successfully closes subscriptions to AlAhli SEDCO Residential Development Fund
NCB Capital, the GCC’s leading provider of wealth management services and Saudi Arabia’s largest asset manager, has announced that it has successfully closed subscriptions to the AlAhli SEDCO Residential Development Fund after exceeding the Fund’s target of SR350 million.
“We are delighted with the positive response to this new fund, which offers investors a timely opportunity benefit from the kingdom’s thriving real estate sector,” said Mr. Khaled AlBraikan, Head of Asset Management.
“Our success in reaching the targeted amount of subscriptions in such a short time reflects investor confidence in NCB Capital’s capabilities in managing real estate funds and SEDCO Development’s expertise as one of the most successful real estate developers in the region.”
AlAhli SEDCO Residential Development Fund is a public close-end Shariah-compliant fund that provides investors with capital growth by purchasing land plots in Jeddah for development, construction and sale of residential apartments targeting the middle income segment of the population. The Fund aims to have an internal rate of return of 10% per year.
SEDCO Development, the company appointed as the developer of the new fund and responsible for managing and conducting the project development, has already acquired a 100% interest in a 25,934 square meters site located in the Al-Salamah 2 district of Jeddah for the development of a medium density residential apartment project that is in accordance with the investment criteria of the Fund.
By collaborating to launch AlAhli SEDCO Residential Development Fund, NCB Capital and SEDCO are responding to the call from the Custodian of the Two Holy Mosques, King Abdullah bin Abdulaziz Al-Saud, and his government for the private sector to play a greater role in enabling Saudi citizens to achieve their aspirations of homeownership.
Concluding, Mr. Khaled AlBraikan said: “At NCB Capital we are committed to providing our clients with innovative products and investment solutions, as well as helping them to assemble investment portfolios that are tailored to suit their individual needs and investment objectives. Our record of continuous success is backed by the skills of our certified wealth managers whose extensive knowledge, experience and expertise is simply the best in the region.”