Saudi developer Cenomi completes sale of Sahara Plaza
CONSTRUCTION NEWS
Cenomi Centers, a leading owner, operator and developer of contemporary lifestyle centres in Saudi Arabia, said it has completed the sale of Sahara Plaza - a milestone in Cenomi Centers’ non-core asset sale programme.
It is the fourth plot to be sold under this sale programme which is expected to raise SAR2 billion ($532 million) when completed.
It has generated a total of SAR1.14 billion to date, following the sale of a 17,700 sq m plot in the Olaya district in Riyadh for SAR230.5 million; a 115,000 sqm plot in the Al Raed District of Riyadh for SAR644.5 million as well as a 29,000 sqm plot in downtown Al Ahsa city for SAR62.5 million.
Sahara Plaza, which opened its doors in 2002, was the first of 22 operating assets of Cenomi Centers. The 12,540 sq m space, located in the King Fahd district of Riyadh, was sold for SAR200 million, representing significant progress in Cenomi Centers’ strategy to sell an identified portfolio of non-core assets.
Profits from the sale, based on the fair value of the property as of September 30, 2023, hit SAR79 million and will be recognized in Q1 24 reported results.
According to Cenomi, the land sale programme is an important pillar in its strategy to bolsters its financial strength, as the business drives forward an ambitious growth pipeline to deliver a number of next-generation retail and lifestyle assets in Saudi Arabia.
"The sale of Sahara Plaza represents another landmark moment in our strategic non-core asset sale program. We are excited to be making significant headway with this initiative as we look to bolster the financial standing of the business," stated its CEO Alison Rehill-Erguven.
"As we continuously strive to enhance our portfolio of assets, we look to optimize our footprint and invest in next-generation lifestyle destinations. With a further SAR800 million in sales proceeds expected, we remain committed to unlocking value in our portfolio," he added.-TradeArabia News Service
