Friday 14 August 2020

Arzan plays key advisory role in sale of prime US property

DUBAI, November 11, 2019

Arzan Wealth, a Dubai-based advisory firm said it has successfully advised its clients on the sale of a fourth property from the Single Tenant Portfolio in US.  

The Single Tenant Portfolio was acquired in June 2017, consisting of 6 single-tenant net-leased buildings with a total of 760,533 sq ft, located in 6 states in the US, and sectorally diversified with healthcare, industrial, and office assets, and with tenants that enjoy strong credit ratings and reputations in their markets.

A key firm regulated by the Dubai Financial Services Authority, Arzan Wealth said that the sold property was an industrial facility, comprising 191,215 sq ft of office and industrial space, located at 8029 Dixie Highway in Florence, Boone County, Kentucky.

Since 1972, the property has served as the headquarters of Sweco, a wholly-owned subsidiary of Schlumberger, the world’s largest oilfield services company

The portfolio was acquired as part of Arzan Wealth’s yielding asset advisory platform with an objective of producing an average annual yield of 8.5% to investors, and an IRR of around 10% over a three-year holding period.

The sale of the Sweco asset is consistent with Arzan Wealth’s original strategy of identifying opportunities to break up the portfolio by selling off some of the assets, while enhancing value in the others.

Arzan Wealth acted as the sub strategic advisor on the structuring and sale of the properties and will continue in this role during the remaining holding period of the remaining assets.

With this asset the Dubai group has now advised on exists of four assets from this portfolio and 10 overall, reflecting its continued approach to not only identify and advise on properties that provide regular income but also profitable exits to investors.

CEO Muhannad Abulhasan said: "We are pleased that once again, we have been able to meet the return expectations of investors. This successful  transaction exemplifies the prudent approach of Arzan Wealth in terms of market selection and asset quality and reinforces our primary strategy to preserve and protect the wealth of investors, while producing an attractive and predictable monthly income."

"Our track record, with a total of ten asset sales, proves that investors who chose to  invest in all deals Arzan Wealth has advised on have benefited from this conservative approach, and will have achieved an average IRR, net of taxes and fees, of 14% per annum, which is inclusive of an average monthly yield equal to 8.25% per annum," he added.-TradeArabia News Service


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