Mulkia Investment Company, as a Fund Manager & Operator of Mulkia Gulf Real Estate REIT Fund (“the Fund”), announces signing an acquisition agreement to acquire a new real estate property for the benefit of Mulkia Gulf Real Estate REIT fund (“Malathak tower 2”) located in Al Maathar neighborhood, Riyadh city as per the following details:

Property information: A mixed use residential and commercial tower income generating property located in Al Maathar neighborhood, Riyadh city on King Saud Road, with a total build up area of 55,320.17 SQM on a land area of 6,217.47 SQM also a land of 3,069.37 SQM used as parking area.

The expected annual rental income for the property for the first to fifth years is 20,000,000 Saudi riyals based on a rental commitment contract. The property is distinguished by its presence in a central area surrounded by several government headquarters, such as the Ministry of Interior, the Presidency of State Security, the National Information Center, a number of hospitals and others, as well as a number of main headquarters of banks and major companies.

The value of the acquisition of the property: 200,000,000 Saudi riyals, not including the amount of tax and commission.

Effect of the fundamental event:

The fund manager expects a positive effect of the acquisition as this will lead to increasing the uses diversification as well as the geographical distribution, also the location of the property is close to a densely populated area and close to many ministries and services. Also, there is expected positive effect on fund’s revenues