ENBD REIT announces sale of Remraam residential structures
This divestment marks a significant step by improving mix of the portfolio and strengthen financial foundations by reducing debt
ENBD REIT has announced the successful sale of the Remraam residential assets at a slight premium to market value. The decision to divest this asset with ENBD REIT’s turnaround strategy was to optimise its portfolio with a focus on dividend growth via proactive asset management. The proceeds from this sale will be utilised to reduce debt.
“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,” said Samir Kazi, Head of Real Estate at Emirates NBD Asset Management and CEO of ENBD REIT.
The two Remraam residential towers, Al Ramth 57 and 59, are in Dubailand and offer 105 units with a net leasable area of 112,154sqft. Acquired in September 2015, Remraam represents 4% of the REIT’s portfolio value.
As part of the sustainable turnaround journey, ENBD REIT continues to explore opportunities for investments and portfolio re-balancing. Despite challenges posed by a high-interest rate environment and pricing expectations, ENBD REIT.
