NAIROBI, Kenya, Oct 6 – Property fund ILAM Fahari Real Estate Investment Trust (I-Reit) will today close the restructuring of its unrestricted ILAM Fahari IFIR into a restricted I-Reit.
The redemption, which opened 30 days ago, lets IFIR non-professional investors redeem 36.5 million Reit units at a redemption offer price of Sh11 per unit.
Subscription to the offer is positive, the firm announced.
ILAM Fahari I-Reit’s portfolio includes four real estate properties, such as Greenspan Mall, Highway House, a three-story industrial building off Mombasa Road, and 67 Gitanga Place.
ICEA LION Asset Management (ILAM) Chief Executive Officer Einstein Kihanda confirmed that the trading of the ILAM Fahari I-REIT will be temporarily suspended at the Nairobi Securities Exchange (NSE)Â from today to October 25.
“We are pleased with the market’s positive response to the conversion and redemption offer so far, and we encourage all Non-Professional Investors who are considering redeeming their units to do so or top up to reach the Professional Investor threshold before the offer closes on Friday 6th October at 5:00 p.m.,” Kihanda said.
ILAM Fahari I-REIT CEO Raphael Mwito added, “The redemption offer is pivotal to our ongoing operational restructuring plan to ensure the REIT’s sustainability and improve its ability to generate returns for unitholders.”
“It is also an opportunity for unitholders whose unit value is less than KSH 5 million to exit the REIT at a premium to the current market price.”
