Barwa to sell plots for $1.47bn

Qatar’s Barwa Real Estate has signed a deal to sell two plots of land for a combined 5.34bn Riyals (QAR) ($1.47bn) to an unidentified buyer, the company said on Tuesday and it will deliver the first plot by the end of 2014

Qatar land plots in a fairly large scale were marketed and recently sold for potential development.

Barwa will deliver the first plot of land, which it is selling for QAR2.63bn, by the end of 2014, it said in a statement on Qatar’s stock exchange.  The second plot, worth QAR2.7bn, will follow in the first quarter of 2015.

“This transaction aims at increasing the available liquidity with Barwa to cover its financial obligations, and allows Barwa to consider venturing in new projects and investments,” the company said in the statement.

The buyer was said to be a Qatari company that is not a subsidiary of any listed company with no further details given.

Qatar’s government owns a 45% stake in Barwa, according to Reuters data. In October, the developer said it would sell land worth QAR2.54bn ($697.4mn) to the government.

Qatari-Diar, the real estate arm of Qatar’s sovereign wealth fund, stepped in with financial aid last year, agreeing to buy some of Barwa’s assets for $7.1bn.  In June this year, Barwa said it was selling a 95% stake in Barwa Commercial Avenue Co. to Qatari-Diar for QAR9bn.