QFIB acquires a landmark building in Doha
Qatar First Investment Bank (QFIB) has acquired a landmark building in a prime location in Doha from Al Jazeerah Islamic Company (AJIC), a Qatar based Shari’ah financial solutions provider to house its corporate headquarters. The acquisition of the building on Suhaim Bin Hamad Street in Doha’s thriving Al Saad area represents QFIB’s first real estate investment in Qatar. Qatar First Investment Bank has also acquired stakes in AJIC from Kuwait based Global Investment House.
The building was acquired from AJIC for an amount of QAR 185 million (US$50.7 million). The location of the building is approved by the Qatar Financial Centre Authority (QFCA). The Qatar First Investment Bank building has more than 11,000 square meters spread over 10 floors, in addition to a mezzanine level and ground floor. QFIB will occupy three floors to house its corporate headquarters. Commenting on both transactions, Chairman of Qatar First Investment Bank, Abdulla Bin Fahad Bin Ghorab Al Marri said “Our business strategy focuses on building a diversified portfolio of investments in key sectors of the economy of which the real estate and financial sectors are included. The acquisition of both the building and the shares present sound investment opportunities for QFIB. Being centrally located, the building is in an ideal location to establish the bank’s headquarters. Furthermore, confidence in the real estate sector in Qatar remains high in spite of the current economic situation, and office space in prominent locations in Doha is still at a premium.”
“The acquisition of the building will provide QFIB with substantial rental cash flow and as a fully-licensed QFC building, we will benefit from the number of international investors entering the market who will require quality office space,” stated the Chairman.
“We acquired the shares of AJIC because we strongly believe in its ability to continue to develop and contribute to the financial sector of the economy. AJIC is a healthy and fast growing financial services company that is licensed by Qatar Central Bank. It has no exposure to toxic assets and has not suffered directly from the global downturn.”
Chairman of Al Jazeera Islamic Company, Mohamed Abdul Latif Almana said, “We are pleased with the successful sale of the building and welcome QFIB as one of our shareholders. We both share the same vision of providing customers with innovative products and highest level of services. Qatar’s solid current and projected GDP growth has resulted in a rapid increase in population.” he said. “Coupled with the tight liquidity environment caused by the current global financial crisis, this development puts upward pressure on the supply of financing and presents an enviable situation for AJIC