Manama: Bin Faqeeh, a Bahrain-based privately-owned real estate investor, has signed an escrow agreement with Khaleeji Commercial Bank (KHCB) for its Hidd Heights project.
According to the agreement, KHCB will be appointed as the project’s escrow agent in line with the new regulations in the country. It was announced earlier that as per Law No 28 of 2014 and Central Bank of Bahrain’s Resolution No 20 of 2016, developers are required to establish an escrow account with a local bank for each real estate development project intended to be sold off-plan, thus ensuring protection for investors and end-buyers.
The Hidd Heights real estate project consists of a 13-storey building located in Hidd adjacent to Khalifa bin Salman Park.
It offers fully furnished studios, one- and two-bedroom apartments, with facilities that include a swimming pool, gymnasiums for men, gymnasiums for women, sauna and steam room.
“We are very pleased to announce the signing of this agreement, which is a significant achievement aimed at implementing best local and global practices for real estate development and sales as well as preservation of the rights of buyers, investors and stakeholders,” said Bin Faqeeh Real Estate Investment Company chairman Faisal Faqeeh.
“We are confident that this initiative will create more confidence in our project and will place our company among the first to implement this initiative and offer bank guarantees and facilities for those interested in buying luxurious apartments.”
KHCB chief executive Khalil Al Meer said the bank was looking to play a major role in the development of various sectors, including real estate, which contributes greatly to national growth.
“KHCB continuously works toward strengthening its relationship with real estate providers as part of our commitment in providing and assisting potential customers with personalised financial housing solutions that comply with Sharia.
“Such moves by the bank have proved extremely beneficial for potential customers where a variety of real estate purchases have been funded,” he added.
Escrow is defined as a bond, deed, or other document kept in the custody of a third party and taking effect only when a specified condition has been fulfilled.
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