First Avenue renews SAR 200M financing facility with Al Rajhi Bank

First Avenue Real Estate Development Co. renewed its Sharia-compliant banking facilities on May 10 with Al Rajhi Bank, valued at SAR 200 million.

The company said the financing will be used to fund the acquisition and development of its projects, support its expansion plans, and finance its current and future real estate developments, according to a statement to Tadawul today, May 11.

It added that the financing term is 8 years, including a 2-year grace period.

The company noted that the guarantees provided against the facility include promissory notes equal to the facility value and a mortgage on the financed property in favor of the bank.

There are no related parties to the deal, the statement added.