Beneficiaries

APIF provides a competitive source of financing for income-generating real estate assets (awqaf) with the objective to serve charitable organizations. Specifically, APIF finances any of the following:

new construction (i.e. greenfield projects),
existing property enhancement
existing property purchase

The main condition of financing the project is that at the end of the financing period, the project will be registered as a Waqf where possible or otherwise as an equivalent legal status (e.g. trust), to ensure perpetuity thereby achieving the APIF mandate.

Consideration for APIF financing is open to Awqaf ministries and institutions as well as charitable organization/trusts operating in accordance with Waqf principles in IsDB MCs and NMCs. However, the beneficiary is expected to provide at least 25 percent of the total project cost or a plot of land for the project (in case of a greenfield project).

The following clarifies how to benefit from APIF financing:

Scope	APIF Interventions: New construction Existing property enhancement Existing property purchase Including projects in the following sectors: Residential, Commercial, Retail, and Mixed-use facilities.
Eligible for APIF Financing	Awqaf Ministries/Institutions Charitable Organization/Trusts operating in accordance with Waqf principles in IsDB Member Countries and Non-Member Countries Beneficiary contribution: Minimum 25 percent of financing; or Project land
Main Condition of Financing	At the end of the financing period, the project will be registered as a Waqf where possible or otherwise as an equivalent legal status (e.g. trust).
Mode of Financing	Leasing, Murabaha, or Any other Sharia-compliant mode of financing
Project Value	Above US$5.0 million (Including land value)
Terms of Financing	The maximum tenor is 15 years including gestation period not exceeding 3 years
Collateral Security	Depends on the nature of the project (Sovereign guarantee, bank guarantee, mortgage, etc.)
Pricing/Mark-up	On a case-by-case basis
Currency of Financing	US Dollars
Documents Required to Apply	Financing request (letter) including objective of the Waqf, project brief, estimated cost and income. Registration of the Organization and its By-laws. Organization Brief (objectives & activities of the organization and its board members). Land Deed Document (up to date deed with permanent ownership or long-term lease). Financial statements of the organization for the last 3 years.