Riyadh – Mubasher: Abdullah Al Othaim Markets' board recommended selling a shopping mall in Ha'el city at a value of SAR 361.2 million ($96.32 million).
The mall was built on a land with a total area of 65,110 square metres and gross leasable area (GLA) of 61,368 square metres, according to a bourse filing on Wednesday.
The selling price has been determined in the light of the market price, based on the highest value among the appraisals conducted by three independent real estate valuation professionals, the statement said.
The company noted that the deal parties are: Abdullah Al Othaim markets and Abdullah Al Othaim for Investment and Real Estate Development (a related party to the Chairman of the Board Mr. Abdul Saleh Alothaim and a member of the Board Mr. Fahad Abdullah Al Othaim).
The book value of the sold asset is SAR 249.1 million,
and due to the fact that the company owns 13.65% in the capital of the buyer, the net financial impact after eliminating the unrecognized profit as a result of this ownership will be SAR 96.8 million, according to the statement.
The company expects to achieve gross capital gains of SAR 112.1 million of the deal. This impact will appear when necessary procedures are completed, which is expected to be in the first quarter of2017.
