Press Release

VIS Reaffirms Management Quality Rating (RMC) of Arif Habib Dolmen REIT Management Limited

Karachi, September 4, 2020: VIS Credit Rating Company Limited has reaffirmed the Management Quality Rating (RMC) of Arif Habib Dolmen REIT Management Limited (AHDRML) at ‘AM2+ (RMC)’ (AM-Two Plus (RMC)). The rating of ‘AM2+ (RMC)’ (AM-Two Plus (RMC)) indicates that the asset manager exhibits very good management characteristics. Outlook on the assigned rating is Stable. The previous rating action was announced on October 18, 2019.

The assigned rating incorporates implementation of sound corporate governance and policy framework. The rating also reflects presence of experienced management at helm. Rating continues to factor in sponsor profile of Arif Habib and Dolmen Groups. AHDRML benefits from both their operational experience and financial support in developing and managing real estate projects. Research and investment functions of the company are considered adequate. Fund wise concentration in assets remains as the company only operates a single fund.

Although dividend yield on par value of the fund was lower vis-à-vis the preceding year, the same remains on the higher side in comparison to the return on fixed income securities. Maintaining fund performance (in terms of dividend yield on par value) is considered important from the rating perspective. In order to maintain the REIT property in desirable conditions, AHDRML had appointed Dolmen Real Estate Management (Private) Limited (DREM) as a property manager. Property management is monitored through quarterly performance reviews.

Income of AHDRML was lower in 9M’FY20 vis-à-vis the corresponding period in the preceding year due to absence of advisory income. The timeline of the advisory mandates has been moved forward to FY21 due to economic slowdown witnessed as a result of COVID-19. Launch of new funds remains under consideration. Diversity and growth in number of funds will remain an important rating driver going forward.

For further information on this rating announcement, please contact Mr. Narendar Shankar Lal (Ext: 203) or email at

Faryal Ahmad Faheem
Deputy CEO

Applicable Rating Criteria: Management Quality Rating of RMC (December 2018)

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