Staff Report
Dubai, UAE
Emirates NBD Real Estate Investment Trust (ENBD REIT) (CEIC) PLC, the Shari’a-compliant real estate investment trust managed by Emirates NBD Asset Management Limited, has sold its Remraam residential assets for a modest premium over their March 31, 2024 market value. This sale supports ENBD REIT’s turnaround strategy to optimize the portfolio and boost dividends. Proceeds will reduce debt, lowering the (loan-to-value) LTV ratio from 51 percent to 49.4 percent.
Samir Kazi, Head of Real Estate at Emirates NBD Asset Management and CEO of ENBD REIT, said, “Following a comprehensive review of the portfolio, we have identified a clear turnaround strategy to unlock value for our shareholders and maintain our position as a reliable dividend payer. This divestment marks a significant first step to streamline our future-facing portfolio by improving the overall mix of the portfolio and strengthen our financial foundations by reducing our debt.”
The two Remraam residential towers, Al Ramth 57 and 59, in Dubailand feature 105 units and 112,154 square feet of net leasable area. Acquired in September 2015, they constitute four percent of the REIT’s total portfolio value.
ENBD REIT is pursuing strategic investments and portfolio rebalancing as part of its sustainable turnaround strategy. Despite high interest rates and pricing challenges, it remains committed to delivering value through proactive asset management and prudent financial practices. Its focus is on generating income returns and capital appreciation from real estate assets to drive long-term growth and sustainability.
Ends
Also Read: ENBD REIT reports US$21 million net income in 2023
 PLC has sold its Remraam residential assets for a modest premium over their March 31, 2024 market value.){kind=link}