Solidere posts
$21.5 million loss

Steep decline in land sales,

$8.2 billion property backlog

Solidere has reported a loss of $21.5 million for 2021 compared with a net profit of $20.7 million in the previous year.

The loss was mainly derived from a sharp fall in revenues from land sales, the largest revenue item, which plummeted by $297 million or 78 percent.

The revenues from land sales, amounting to $85 million in 2021, pertain to property sales in Beirut Central District.

Around $63 million of land sales realized in 2021 were unaccounted for although the deals were concluded and the prices fully settled, a Solidere statement read. This is because the formalities relating to these transactions were not completed due to frequent closures of the Directorate of Land Registration and Cadastre, the real estate company said.

Solidere still has a backlog of land plots ready for sale or development with a market value estimated at around $6 billion in addition to rent-generating built properties worth nearly $2.2 billion. It also has a cash liquidity of $95 million and does not owe any debt to banks whether loans or other facilities.

The company said it continued its cost cutting policy in 2021 by reducing its general and administrative expenses and by substantially downsizing its workforce.