The Gulf Springs Real Estate Fund (Gulf Springs) was conceived to provide prudent investors with an exceptional vehicle to participate and capitalize on immediate opportunities in the thriving regional real estate market. Closed in December 2006, the Fund is an actively managed, three-year fund, with funds allocated to capture market opportunities driven by strong demographics and business demand rather than speculation in the real estate sector in the GCC. The innovative fund draws upon the experience and expertise of well-established real estate companies in the Gulf region, including Dar Al-Arkan Real Estate Development Company (Saudi Arabia) and Aqar Real Estate Development Company (Kuwait), in partnership with RSP Jones Lang LaSalle.
The strategy of the fund is to embrace a mix of real estate projects and sectors across the GCC in order to diversify income generation and ensure a complementary asset allocation across all investments. Eighty percent of asset allocation will be made within the GCC region to include low to middle income residential developments among other sectors.
In October 2007, the Fund made a partial distribution of capital and profits to its investors as a result of its successful exit from one of its investments thus generating an IRR of 18%.
