Ladun + Musharaka to launch SAR 525 mn real estate fund

Nomu-listed developer Ladun Investment and Musharaka Capital are planning to set up a SAR 525 mn real estate development fund to finance a SAR 1.5 bn real estate project at the Jabal Omar development in Makkah focused on the development of a residential and hotel tower, according to a disclosure to Tadawul. This is a related party agreement and will run for five years, with a potential two-year extension.

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The details: Ladun will assume the role of developer, marketer, and executor, while Musharaka will act as fund manager and work on securing project financing. Musharaka has already purchased a 3.8k sqm land plot in the Jabal Omar development area for SAR 660 mn. Meanwhile, Ladun’s board of directors approved a SAR 33 mn contribution to the fund.

ICYMI- Nomu-listed Ladun has been ramping up its projects in Makkah, inking an agreement last month to develop a SAR 827 mn mixed-use real estate project in Makkah including a high-end 25-story tower.