‎SICO Saudi REIT signs SAR 49.1M leasing contracts for 3 towers, retail stores

SICO Saudi REIT Fund signed several agreements with Moro International Co. to lease three hotel towers (Eskan 4, 5, and 6) along with multiple retail stores, AL Wasatah Al Maliah (Wasatah Capital), the fund’s manager, announced.

The contracts span three years, from Jan. 1, 2026, to Dec. 31, 2028, except for retail store No. 4, which will commence on July 18, 2026.

In a statement to Tadawul, the company said the annual rental values for the assets are as follows: Eskan 4 (with three retail stores) at SAR 6.05 million per year, Eskan 5 at SAR 4.3 million per year, Eskan 6 (with five retail stores) at SAR 3.85 million per year, and retail store No. 4 at SAR 22,750 for 2026, rising to SAR 50,000 annually for 2027 and 2028.

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The company added that the total value of the contracts for the full-term amounts to SAR 42.72 million net (excluding VAT) and SAR 49.13 million gross (including VAT).

It also noted that the financial impact on the fund is expected to be positive, particularly as the current leasing contracts for the hotel towers expire on Dec. 31, 2025.

The new agreements will raise the annual rental value of all towers and associated retail stores from SAR 9.65 million to SAR 14.25 million, representing a 47.67% increase, which will positively support the fund’s revenues throughout the contract period.

SICO Saudi REIT Fund signed several agreements with Moro International Co. to lease three hotel towers (Eskan 4, 5, and 6) along with multiple retail stores, AL Wasatah Al Maliah (Wasatah Capital), the fund’s manager, announced.

The contracts span three years, from Jan. 1, 2026, to Dec. 31, 2028, except for retail store No. 4, which will commence on July 18, 2026.

In a statement to Tadawul, the company said the annual rental values for the assets are as follows: Eskan 4 (with three retail stores) at SAR 6.05 million per year, Eskan 5 at SAR 4.3 million per year, Eskan 6 (with five retail stores) at SAR 3.85 million per year, and retail store No. 4 at SAR 22,750 for 2026, rising to SAR 50,000 annually for 2027 and 2028.

The company added that the total value of the contracts for the full-term amounts to SAR 42.72 million net (excluding VAT) and SAR 49.13 million gross (including VAT).

It also noted that the financial impact on the fund is expected to be positive, particularly as the current leasing contracts for the hotel towers expire on Dec. 31, 2025.

The new agreements will raise the annual rental value of all towers and associated retail stores from SAR 9.65 million to SAR 14.25 million, representing a 47.67% increase, which will positively support the fund’s revenues throughout the contract period.