Press Release
VIS Reaffirms Entity Ratings of Brentwood Hospitality (Private) Limited
Karachi, August 17, 2026: VIS Credit Rating Company Limited (VIS) has reaffirmed the entity ratings Brentwood Hospitality (Private) Limited (‘BHPL or ‘the Company’) at ‘A-/A2’ (Single A Minus/A Two). The medium to long-term rating of ‘A-’ indicates good credit quality; protection factors are adequate. Risk factors may vary with possible changes in the economy. The short-term rating of ‘A2’ denotes good likelihood of timely repayment of short-term obligations with sound short-term liquidity factors. Outlook on the assigned rating remains ‘Stable’. Previous rating action was announced on July 1, 2025.
BHPL is a wholly owned subsidiary of Al-Feroz (Private) Limited (‘AFPL’ or ‘the Holding Company’). Through BHPL, the Holding Company is undertaking the development of a premium hotel and serviced apartments project within Dolmen City, Karachi. Currently in the development phase, the project is exposed to execution risk until construction is completed and operations commence, expected by late 2027, subject to potential macroeconomic and geopolitical developments. Notwithstanding, execution risk is partially mitigated by the completion of the structural framework, with remaining work largely concentrated in the design and finishing phases.
The assigned ratings are underpinned by strong sponsor commitment from the Al-Feroz Group, demonstrated through asset contributions, financial support during the initial debt-servicing window. Additionally, the planned injection of PKR 18.7b in sponsor funds is a vital credit-strength consideration that will be instrumental in supporting the Company's financial profile and mitigating development risks. The importance of continued support from the Holding Company remains critical, particularly in light of the project’s financial profile, characterized by limited liquidity, tight debt coverage metrics in the early years, and reliance on highly competitive market segments. The reaffirmation of ratings incorporates moderate sector risk, alongside the project’s strategic location within a high-footfall commercial hub. Moreover, the project’s association with the international hospitality brand Pullman Hotels & Resorts under AccorHotels is expected to support market positioning and revenue generation; continuity of this branded affiliation, timely achievement of project milestones, operational support from the Holding Company, and the ability of the sponsors to bridge any cost overruns and meet debt servicing obligations will remain critical rating drivers.
For further information on this ratings announcement, please contact at 021-35311861-64 or email at info@vis.com.pk
Applicable Rating Criteria:
Industrial Corporates
https://docs.vis.com.pk/docs/CorporateMethodology.pdf
VIS Issue/Issuer Rating Scale
https://docs.vis.com.pk/docs/VISRatingScales.pdf