Solidere gets $342 million
from land sales this year
Priced at $1,400- $1,500 per buildable square meter
Solidere said proceeds collected from its sales this year will reach $342 million by the end of June.
The revenues were generated from 15 land sales transactions that were signed in 2019 and 2020. They cover 234,000 square meters of buildable area. The company achieved eight sales transactions in the first five months of 2020 for a total of $183 million compared to six transactions valued at $110 million in the same period of 2019.
The sold land plots are located in the New Waterfront area.
Solidere has cut prices by 50 percent since the second half of 2019, according to Mohamad Zantout, Accounting Division Manager at Solidere. The price range is $1,400- $1,500 per square meter of buildable area.
Lebanese clients accounted for 95 percent of buyers. Most were looking to free funds deposited in bank accounts, according to Zantout.
Deals are being settled by banker’s checks.
The company was able to settle debts to banks worth $190 million thanks to these sales. Since the beginning of the year, the company was able to reduce its debts, including those owed to contractors and suppliers, from $414 million to $225 million.
The company has a surplus of $170 million in its bank accounts. “The increase in liquid assets ensures the continued operations and growth of the company,” Zantout said.
Solidere still has a portfolio of land available for sale in the New Waterfront totaling 1.35 million square meters of buildable area.
Reported by Gisele Khalaf
Date Posted: Jun 23, 2020