DOHA: Barwa Real Estate Group’s full-year results for the year 2019 showed a net profit attributable to the shareholders of the parent company at QR1.50bn. The earnings per share amounted to QR 0.39. The Board of Directors of Barwa Real Estate Company proposed to the General Assembly the distribution of a cash dividend of 20 percent or QR 0.20 per share.
Despite the challenges faced the real estate market during the year 2019, Barwa Real Estate Group has worked hard to accommodate these challenges and reduce their impact as much as possible. Barwa was keen to support its sustainable income as the Group has achieved recurring operating revenues amounted to QR1.55bn, mostly came from lease income of the Group’s projects. Barwa also has succeeded to decrease the general and administrative expenses with an amount of QR21m equivalent to 8 percent compared to 2018.
On the other side, the net profit has been decreased compared to last year as a result of a decrease in the non-recurring profits such as the sale of properties, gain on debt restructure in addition to the adoption of International Financial Reporting Standard 16.
The total assets of the group reached QR32bn showing an increase of QR1.6bn compared to the total assets as at 31 December 2018. The Equity attributable to the shareholders of the parent reached to the value of QR19.9bn. The Group maintained a cash balance of QR1.25bn.
Barwa has succeeded in supporting its operating revenues by continuing to develop its real estate portfolio with many new projects as leasing activities have started during the year 2019 in many of the newly developed projects such as Mukaynis Compound, Al-Baraha Project, Dara A Project and the Second Phase of the Al Khor Workers Sports Complex.
“Mukaynis Compound” is one of the important Barwa Real Estate projects. Located on Salwa Road, and aimed to create an integrated residential city for workers, the project extends over a land with a total area of 995,000 square meters, and its constructed area of 731,000 square meters, at a development cost of QR1.6bn.
‘Al-Baraha Project - Workshops and Storages’ is the second phase of Barwa Al Baraha project, which provides 561 storages with an area of 300 square meters each, and 118 workshops with an area of 144 square meters each. The total area built in the project is about 187 thousand square meters, in addition to developing the infrastructure and all necessary services for the project.
The importance of this project comes in providing suitable spaces for workshops and storages for small and medium businesses. The project also provides mechanical and electrical workshops to meet the needs of the market. The construction work has been completed in this project in September 2019 and the rental rate is currently 97 percent of the workshops and 58 percent of the storages to date.
‘Dara A Project’ is located in Lusail City on a land with an area of 16 thousand square meters, with a total construction area of 41,000 square meters. Dara A includes 271 apartments of various sizes, and construction work was completed during the year. Options are being studied to achieve the highest possible return on the project, whether by selling or leasing.
The Second Phase of the Al Khor Workers Sports Complex was established with the aim of expanding the workers sports facilities, on a land area of 70,000 square meters.
