Arzan Investment Management eyes fresh Shariah offerings

Arzan Investment Management (AIM), fresh from a debt financing commitment from funds managed by Oaktree Capital Management, is ready to structure fresh Shariah offerings for potential investors as it seeks to capitalize on a pipeline exceeding US$1 billion of identified opportunities across the GCC.

“AIM has the structuring experience and flexibility to establish Shariah-aligned vehicles where required and has done so for other strategies which more closely align with Shariah investors’ appetites,” CEO Oliver Hogg shared with IFN Investor.

These plans are anticipated to follow from projects implemented with Oaktree Capital commitments, as AIM’s strategy is to acquire and value-add hospitality assets – which underscores the sector’s growing appeal to international investors.

“The attractiveness of GCC’s hospitality sector to global capital marks an important step in the institutionalization of the region’s market, while also advancing AIM's long-term goals in innovative alternative investments.”

Noting that many hospitality assets are held by single-asset owners, family offices or state entities – which create opportunities for professionalized consolidation – Oliver said the hospitality sector’s operational component provides scope for higher alpha generation compared to traditional real estate.

Specifically, AIM will identify inefficiencies to unlock operational and cost synergies – then implementing targeted capital expenditure programs to transform underperforming assets into stable, institutional-quality investments that deliver outperformance for investors.

While Dubai remains the cornerstone of AIM’s near-term investment activity, the firm is selectively exploring opportunities across the GCC – focusing on the upper-upscale to luxury segments where AIM’s operational expertise and institutional processes can generate immediate and scalable value.

“We actively monitor evolving consumer behaviors and regional demand trends to ensure our portfolio reflects both immediate opportunities and long-term value creation potential. As tourism in the GCC matures, AIM is strategically positioning its exposure across the upscale and emerging mid-market segments to capture sustainable demand growth.”

Aiming to woo more foreign investments into the firm’s offerings, Oliver said the entry of alternative global investment leaders like Oaktree Capital brings deeper liquidity, raises governance standards and encourages further innovation in the sector.

“The region’s macroeconomic resilience, tourism diversification and strong consumer trends underpin our conviction in the hospitality sector’s long-term growth.”