By Andy Sambidge
Eight year loan facility to fund development of Sidra Village residential project
Mazaya Qatar Real Estate Development Company said on Sunday it has signed a $106.7m eight-year syndicated facility to finance the development of the Sidra Village residential project.
Mazaya Qatar, through its wholly owned subsidiary Qortuba Real Estate Investment, is developing the Sidra Village, for the purpose of providing quality accommodation facilities to the employees of the Sidra Medical and Research Centre.
Sidra Village will consist of two-storey buildings, green spaces and a community club.
Each building will host one-bedroom and two-bedroom units. Upon completion, the project will offer 1,165 residential units.
QInvest acted as financial advisor to Mazaya Qatar and sole bookrunner for the financing, a statement said.
Seraj Al Baker, CEO of Mazaya Qatar Real Estate Development Company, said: "We are pleased to sign this transaction as it represents a milestone agreement towards the financing of one of our landmark projects, and allows Mazaya Qatar to establish solid relationships with a wide group of renowned financial institutions."
Qatar Islamic Bank took the investment agent and mandated lead arranger roles and was joined in the facility at MLA level by a group of regional financial institutions comprising ABC, National Bank of Abu Dhabi, and First Gulf Bank, with Ahli United Bank taking a lead arranger role.
Mazaya Qatar said in January that it awarded a $130m construction contract to China's Sinohydro for the project.
The agreement will see the Chinese company construct the Sidra Village project and deliver it in 20 months.
Mazaya Qatar signed a 20 year Build, Operate and Transfer (BOT) agreement with Qatar Foundation for Education, Science and Community Development to build and manage the Sidra Medical and Research Centre's residential project.For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.