SANTÉ Arabian RE Fund (KSA)
Multifamily
Riyadh, Saudi Arabia
Overview
SANTÉ Arabian RE Fund is a strategically designed investment vehicle focused on raising up to US$10 Million to acquire and furnish modern residential apartments in Saudi Arabia's high-demand markets around Riyadh.
The Fund aims to provide premium living spaces tailored to expatriates and professionals seeking quality medium- to long-term rental accommodations. With a targeted acquisition strategy focused on prime locations, the Fund seeks to deliver superior, risk-adjusted returns for investors, capitalizing on the growing demand for high-quality residential properties in the region.
Details
Estimated First Distribution: 6/2026
Estimated Hold Period: 7-9 Years
Investment Type: Preferred Equity
Minimum Investment: US$250,000
Investment Strategy: Opportunistic
Investment Highlights
Target Fund Size of Up to US$10 Million: SANTÉ Arabian RE Fund aims to raise up to US$10 Million (with a 20% oversubscription option) to acquire and furnish a portfolio of modern residential apartments in Riyadh’s high-demand markets.
Strong Rental Yields: The Riyadh rental market presents attractive rental yields, with 2-bedroom apartments yielding approximately 9.1% and 3-bedroom units yielding about 10.1%, offering consistent rental income and long-term appreciation.
Focus on Prime Locations: The Fund targets prime locations such as Al Olaya, Al Malqa, and the Diplomatic Quarter, which are highly desirable due to their proximity to key business and government centers.
High Demand from Corporate Tenants: The increasing demand for corporate housing in Saudi Arabia, driven by the influx of international companies, aligns with the Fund’s strategy to provide premium living spaces for expatriates and professionals.
Targeted IRR of 23-25%: The Fund seeks to generate superior, risk-adjusted returns with an estimated internal rate of return (IRR) of 23-25%, net of fees.
Flexible Investment Amounts: Investors can participate with amounts ranging from US$250,000 to US$2 Million, offering flexibility for both individual and institutional investors.
Experienced Local Advisory Board: The Fund collaborates with an experienced local Advisory Board that provides deep market insights and ensures operational success in the rapidly growing Saudi real estate sector.
Attractive Profit Split Structure: The Fund offers a waterfall structure with an 80/20 profit split up to an 18% IRR, transitioning to a 50/50 split beyond that, ensuring significant benefits for early investors.
Strategic Alignment with Saudi Vision 2030: The Fund benefits from Saudi Arabia's Vision 2030, which is driving rapid infrastructure growth and economic diversification, making the real estate market increasingly attractive for investment.
Robust Government Support: Continued investment from the Saudi government in infrastructure and real estate development ensures a favorable environment for sustained growth in the property sector.