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ANNUAL REPORT
2015
Notes to The Consolidated Financial Statement
AL MAZAYA HOLDING COMPANY K.S.C.P. AND ITS SUBSIDIARIES
31 December 2015
12,140,291
6,746,295
96,119,999
115,006,585
7,703,249
5,929,028
78,679,979
92,312,256
Land
Properties under development
Developed property held for earning rental income
Certain investment properties with a carrying value of KD 42,408,670 (31 December 2014: KD 24,821,578) are collateralised
against term loans and tawarruq payable amounting to KD 45,097,173 (31 December 2014: KD 37,986,841) (Notes 19 and 20).
Certain investment properties with a carrying value of KD 32,443,880 (2014: KD 31,193,139) are collateralised against ijara
payable amounting to KD 19,594,655 (2014: KD 19,970,000) (Note 20).
Valuations of investment properties were conducted by two independent appraisers with a recognised and relevant professional
qualification and recent experience of the location and category of investment properties being valued.
The change in fair value was calculated based on the lower of the two values. Fair value of the investment properties is
calculated by reference to industry acknowledged methods of valuations that depend on market data including recent sales
value of comparable properties, annual rental income, capitalization rate and discounted cash flow. Further details are provided
in Note 29. Operating expenses incurred on non-rental income generating investment property are not material.
Investment properties mainly comprise of the following;
Investment properties mainly comprise of the following;
92,312,256
20,234,071
)229,476(
817,386
1,872,348
115,006,585
89,094,871
5,890,258
)2,876,451(
)1,199,949(
1,403,527
92,312,256
Balance at the beginning of the year
Additions
Disposals
Net gain (loss) from fair value adjustment (refer note below)
Foreign currency translation adjustments
Balance at the end of the year
2015
KD
2015
KD
2014
KD
2014
KD
8. INVESTMENT PROPERTIES
71