Construction & Real Estate

Eshraq Investments sells all 58 apartments in Burj Daman for $44m

Eshraq Investments (Eshraq) has announced that it has entered into an agreement for the sale of all the 58 apartments it owns in Burj Daman-DIFC-Dubai for a total sale consideration of AED162 million ($44 million).
The transactions are a continuation of the company’s steady progress on its three-year land and low-yielding investment monetization programmme. 
As per the deal, the parties expect to complete all legal and administrative requisite processes for the transfer of the apartments in the coming weeks, said a statement from Eshraq. 
The company intends to deploy the sale proceeds for its upcoming dividend distribution to shareholders, debt repayment, new investments, and share buyback, it stated. 
Chairman Jassim Alseddiqi said: "We are very pleased with the strategic sale of the Burj Daman units. In spite of their strong demand, the units generated very low yield of 3% for the company."
"The sale of the units will unlock liquidity to better deploy in other profitable opportunities and returns to shareholders in the form of dividend and share buyback. We are also exploring sale and partnerships for the remaining plots and real estate assets to enhance shareholder returns," he added.-TradeArabia News Service