Dubai United Arab Emirates: Al Mal Capital PJSC, a subsidiary of Dubai Investments PJSC, announced today the sale of its 42% stake in Poinsettia Plaza in Ventura County, California, for $66.0 million. Poinsettia Plaza, which was acquired in 2016 in partnership with IRA Capital, the private investment company in Irvine, California, is a multi-purpose shopping center that extends over a total area of about 153,000 square meters of leasable space. On a land of 11 acres.
This deal will achieve added value for Al Mal Capital, supported by capital improvement programs and implementation strategies aimed at enhancing return on investment within favorable time frames. The shopping center underwent a comprehensive renovation in 2021, recorded occupancy rates rising from 82% to 97%, and succeeded in attracting well-known department store ALDI USA as a co-tenant, opening its first branch in Ventura County. This step contributed to strengthening and revitalizing the work of the Centre. With regard to the deposit period over 6.5 years, the total rate of return from the sale under this deal was 9.4% using the internal rate of return (IRR), while the value of the exit transaction reached a multiplier of 1.7 of the investment value.
Nasser Al-Nabulsi, Vice Chairman and CEO of Al Mal Capital, said: “We are pleased to complete the sale of Poinsettia Plaza, and we are proud of our partnership with the private investment company, IRA capital, which has made a distinguished effort in terms of implementing the business plan and reorganizing assets. This sale is the second successful exit by Al Mal Capital in the field of real estate in the United States of America, and we will continue our efforts and strive to complete qualitative deals with rewarding returns, in cooperation with our international partners for the benefit of our clients in the United Arab Emirates and in the region.
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