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Alinma Retail REIT Fund Declares 1.9% H1 2026 Dividend
Alinma Retail REIT Fund declared a 1.9% cash dividend for H1 2026, paying SAR 0.19 per unit. The payout comes as occupancy holds at 87% and net rental income slips.
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Alinma Retail REIT Fund will pay a cash dividend of 1.9% for the first half of 2026, the fund manager announced. The distribution amounts to SAR 0.19 per unit, based on the fund's net asset value at the end of the period.
The dividend covers the six months ending June 30, 2026. Unitholders on the record date, set for July 15, 2026, will receive the payout on July 30, 2026. The fund's board approved the distribution at a meeting held on June 28.
Alinma Retail REIT invests in retail properties across Saudi Arabia, including shopping centers and commercial complexes. The fund listed on the Saudi Stock Exchange (Tadawul) in 2019 and has paid semi-annual dividends since inception. The 1.9% yield for the current period compares with a 2.1% payout for the second half of 2025.
The fund's net asset value stood at SAR 1.02 billion as of June 30, down from SAR 1.05 billion at year-end 2025. The decline reflects a SAR 15 million revaluation loss on one of its Riyadh properties, the manager said in a separate filing. Occupancy across the fund's portfolio averaged 87% during the first half, flat from the prior period.
Alinma Retail REIT's dividend policy targets distributing at least 90% of net rental income to unitholders each year. The fund reported net rental income of SAR 38 million for the first half, compared with SAR 41 million in the same period last year. The drop came from lower foot traffic at two Jeddah malls undergoing renovation, the manager said.
Tadawul-listed REITs have faced pressure from rising interest rates, which push up borrowing costs and reduce the appeal of yield-focused instruments. Alinma Retail REIT carries SAR 210 million in debt, all tied to a floating-rate facility. A 100-basis-point rate increase would add roughly SAR 2.1 million in annual interest expense, according to the fund's latest financial report.
The fund's unit price closed at SAR 9.85 on Monday, down 3.4% year-to-date. The dividend yield at the current price stands at about 3.9% annualized, in line with the Tadawul REIT index average.