Karachi: The Securities and Exchange Commission of Pakistan (SECP) on Wednesday gave approval for Dolmen City REIT, the country’s first Real Estate Investment Trust (REIT) Fund.
The fund, sponsored by Arif Habib REIT Management Ltd, is a component of The Harbour Front office building complex and Dolmen City Mall.
The scheme is a listed closed-end fund launched under the REIT Regulations 2015.
The fund size is Rs22.2 billion; 75 per cent of it (valuing Rs16.7bn) would be offered to strategic investors and high net worth individuals and the Initial Public Offering (IPO) portion would be Rs4.2bn of which 75pc would be offered through book building process and Rs1.4bn or 25pc in IPO to the general public.
Arif Habib Dolmen REIT Management Ltd Chairman Nasim Beg claimed that the fund was “South Asia’s first rental REIT fund”.
He said that the book building process would be carried out on June 8 and 9, while the IPO would be floated three days later on the strike price that works out in the book building process.
He said that the objective of the fund was to make investment in industrial, commercial or residential real estate with the purpose of generating rental income from it.
On the projected balance sheet of Dolmen City REIT, the land and building stands at Rs22.2bn.
