Kuwait Finance House (KFH) announced that is sold 16 blocks in various locations for KD 84 million as part of its efforts to reorganize its real estate portfolio to achieve better returns for investors and depositors.
Chief Operations Officer Anwar Al-Ghaith said that the profit of the deal "25 million kd" will be enlisted to this year’s budget, and explained that the new strategies focus on highly profitable assets that guarantee sustainable profit and returns through a variety of high quality assets. He added that selling those assets does not mean letting go of good real estate portfolio that KFH owns, but rather reinforce it by paradigm assets that play a prominent role in increasing the bank’s profits through high returns; not to mention that those assets have high value when liquidized. He went on to say that KFH has not stopped investing in real estate, but the concepts have changed, and KFH has become more cautious in keeping paradigm assets that result in high returns. At the same time, KFH takes advantage of the market’s developments and significant increase in prices of some sectors, in order to recycle unproductive assets. He noted that KFH is keen to take advantage of its extensive experience in the real estate field through reorganizing its real estate portfolio to generate more profit, based on the status of the market and its developments.
Al-Ghaith asserted that KFH’s real estate portfolio has become more diverse and profitable while limiting risks.