The number of real estate investment traded funds (REITs) listed in the Saudi market has reached 20 funds, according to financial analysis. These funds are considered a high-distribution investment tool.
Riyadh is the most attractive city for real estate investments by these REITs.
Commercial properties account for 39% of the total properties managed by REITs, followed by industrial properties at 18%, then office and hotel properties at 13%.
The reason for the concentration of real estate funds in Riyadh is due to the city’s commercial density. As a result, approximately 118 managed properties are located in Riyadh, representing 64% of the total properties.
The remaining percentage is distributed between the Eastern and Western regions. Returns from other types of properties, such as industrial, hotel, or office properties, may be more attractive to investors. Therefore, expansion in these property types is expected in the future, particularly in industrial areas like the Eastern region or the hospitality sector in the Western region.
A report revealed that the number of REITs listed in the Saudi market has reached 20 funds.
The report noted that these funds own 118 properties in Riyadh, representing more than half of the total properties they manage.
The commercial sector accounts for about 32% of total assets, followed by the industrial sector with an 18% share.
