State of Kuwait: Kuwait Financial Centre “Markaz” concluded 2025 with a positive performance for the Markaz Real Estate Fund, as the fund achieved total returns of 9.7%, distributed between 4.7% returns from cash distributions and 5.0% resulting from growth in the capital value of assets .

During 2025, the fund recorded net profits of 7.2 million Kuwaiti dinars, equivalent to 132.4 fils per unit, supported by the fund’s active management, the strong operational performance of its real estate portfolio, stable rental income, and the realization of capital gains from the revaluation and sale of some assets .

By the end of 2025, the value of assets managed by the Real Estate Center Fund reached approximately 81.1 million Kuwaiti dinars, while the Fund continued to maintain stable occupancy rates and quality cash flows from rentals, which was reflected positively in the level of returns achieved .

As part of its commitment to sustainability and the application of best environmental practices, the Fund announced that Al Nada Residential Tower has officially received the LEED Gold certification, in recognition of the building’s efficiency in energy and water consumption, the quality of the indoor environment, and the adoption of sustainable building standards, which contributes to reducing operating costs, enhances the long-term value of the asset, and keeps pace with local and global responsible investment trends.

As one of the first real estate funds in Kuwait, Al Markaz Real Estate Fund boasts a long track record of performance spanning over 24 years, with an annualized internal rate of return (IRR) of 7.7% since its inception, along with regular monthly cash distributions. This reflects the robustness of its business model and its ability to generate stable returns across various economic cycles. The fund is managed in accordance with the provisions and principles of Islamic Sharia and is open to investment from all residents of Kuwait, regardless of nationality, within a comprehensive regulatory framework characterized by high levels of governance and transparency .

Stable returns and a positive outlook

On this occasion, Abdulrahman Sulaiman Al-Sanad, a member of the Board of Directors of the Real Estate Center Fund, stated : “The results for 2025 reflect the efficiency of the Fund’s strategy in achieving an effective balance between regular cash distributions and growth in the capital value of assets, through the professional management of a diversified real estate portfolio within the Kuwaiti market. This performance embodies the Fund’s ability to meet the aspirations of investors seeking a stable periodic income and balanced growth, especially in light of the volatility witnessed in the markets.”

Al-Sanad added: “We continue to focus on improving operational performance and enhancing asset efficiency, thereby achieving sustainable value for our investors in the long term, within an investment framework that complies with Islamic Sharia, and a disciplined investment approach that focuses on maximizing the value of existing assets, and taking advantage of selective opportunities that enhance portfolio quality and long-term returns. The fund also intends to continue improving asset efficiency and managing capital flexibly, in a way that supports the sustainability of cash distributions and keeps pace with developments in the local real estate sector.”

Al-Sanad noted in his analysis of the real estate sector that the sector is witnessing promising opportunities in Kuwait's housing sector, and that the investment sector is driven by growing investments in infrastructure and structural developments that are reshaping these sectors . He pointed out that the next phase will see a key focus for institutional and family-owned investors with large real estate portfolios: restructuring their portfolios to be more future-proof and to achieve value through reorganization and separating the investor's role from that of the asset manager, thereby enhancing operational efficiency and improving the quality of long-term returns .

Investment opportunities and professional management

Through its real estate fund, Al Markaz continues to offer income-generating real estate investment opportunities, with monthly cash distributions and a flexible and liquid investment structure. This allows investors to gradually build their investments without the operational challenges associated with direct property ownership . The Al Markaz Real Estate Fund is overseen by an integrated system that includes independent auditors, a custodian, an investment controller, and a registrar, thus mitigating operational risks and enhancing investor confidence .

Al-Markaz affirms its commitment to continuously developing its real estate products and strengthening the position of Al-Markaz Real Estate Fund as one of the leading income-generating real estate funds in Kuwait . Investors can subscribe to the fund through Al-Markaz Company or via Gulf Bank, the fund's distributor, thus enhancing accessibility and meeting the aspirations of investors seeking flexible investment solutions.

Key performance indicators for the Real Estate Center Fund for 2025

• Total return: 9.7 %
• Cash dividends: 4.7 %
• Growth in capital value: 5.0 %
• Net profit: 7.2 million Kuwaiti dinars
• Earnings per unit: 132.4 fils
• Value of assets under management: 81.1 million Kuwaiti dinars
• A performance record spanning more than 24 years

Important Information ( QR Code Ad )

• Fund Manager: Kuwait Financial Centre Company K.S.C.P. "Markaz", Kuwait City, Al Murqab, Al Sour Street, Al Shaya Tower, 8th Floor, Tel: +965 2224 8000 , P.O. Box 23444, Safat 13095, State of Kuwait
• Members of the Fund's Board of Directors: Ghazi Al-Osaimi, Milad Elia, Khaled Al-Mubarki, Abdulrahman Suleiman Al-Sanad
• To obtain a copy of the Fund's Articles of Association, prospectus, and financial reports, please visit the website: www.markaz.com

Notice ( QR Code Ad )

This announcement is for promotional purposes and has been approved by the Center. No essential information about the investment being advertised has been omitted. Investments in the fund are subject to market fluctuations. There is no guarantee or assurance that the investment will generate any returns. Therefore, potential investors should conduct their own analysis and research, consult with their financial, legal, tax, auditing, and other advisors specializing in investment decisions, and understand that such an investment carries a significant risk of losing the principal. Distribution rates cannot be predicted or guaranteed. Past performance is not necessarily indicative of future results. The fund's net asset value is variable and subject to increase or decrease. Please review the prospectus and all fund documents to understand the risk factors, investment methodology, and operations before investing in the fund.

About Kuwait Financial Centre "Markaz "

Kuwait Financial Centre (K.S.C.P.) “Markaz” was established in 1974 and has become one of the region’s leading financial institutions in asset management and investment banking. As of September 30, 2025, Markaz managed assets totaling KWD 1.61 billion (USD 5.28 billion). Markaz was listed on the Kuwait Stock Exchange in 1997. Over the years, Markaz has achieved significant milestones by redefining innovation in financial services, creating unique investment vehicles and opening new investment avenues tailored to investor needs. These include the Markaz Premium Returns Fund – Mumtaz, the first local equity mutual fund; the Markaz Real Estate Fund, the first open-ended real estate investment fund in Kuwait; the Opportunity Financial Fund, launched by Markaz in 2005, the first options fund in the Gulf region; and the Gulf Momentum Fund, the first fund of its kind to invest in Kuwait and the Gulf markets using the momentum methodology.

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