Aldar Properties have signed a binding joint venture agreement to develop new living experiences across prime locations in Dubai. The milestone agreement, marks Aldar’s entry into Dubai’s high performing real estate market, as part of the company’s broader expansion into new markets. The move adds considerable weight to Aldar’s development pipeline, following the recent acquisitions of Al Fahid Island in Abu Dhabi and a new waterfront development in Ras Al Khaimah.
The joint venture will develop new communities in three locations across an area of 38.2 million sqft (3.55 million sqm). The new communities will be located in the suburban heart of Dubai – along the E311 and E611 corridors in close proximity to several notable residential communities – and represent some of the last remaining vacant and undeveloped plots of land in this established and popular corridor.
With support from Dubai Holding, a powerhouse across key sectors and driver of Dubai’s innovation and knowledge-based economy, Aldar will be responsible for the full development cycle, including concept design, sales, delivery, and management of the developments.
Commenting on the joint venture, Talal Al Dhiyebi, Group Chief Executive Officer at Aldar Properties, said: “Through the execution of our transformational growth agenda, we continue to generate expansion opportunities, which are driving new revenue streams and creating greater shareholder value. Our entry to Dubai is a milestone moment for Aldar, and we are excited about our long-term growth potential in the emirate alongside Dubai Holding, a prominent and strategic partner.
“We will also continue to explore further expansion and investment opportunities in Dubai, reflecting our belief in the market’s maturing real estate fundamentals and our confidence in its status as a growing and lucrative market, where long-term demand from end-users and investors is well supported by a diversified economy, proactive government policy, and population growth.”
The developments will start to launch in 2023 through a phased approach and will feature more than 9,000 units consisting of villas, townhouses, and apartments supported by retail and community facilities with a total gross floor area of 19.3 million sqft (1.8 million sqm). These new communities will bring a fresh and unique offering to the Dubai market – allowing Aldar to target a wider and differentiated customer base – with a strong emphasis on high-quality design, liveability, sustainability, and community.
Amit Kaushal, Group Chief Executive Officer, Dubai Holding, said: “Over the years, Dubai Holding has played a major role in supporting the growth of the Emirate’s real estate sector. By joining forces with Aldar, one of the market leaders in this field, we are delivering on a shared objective of driving the UAE’s economic growth and creating long-term, sustainable value for all our stakeholders.
“With the favourable economic environment in Dubai and the upward trend in its real estate sector, we are well positioned to attract international investors through such strategic partnerships that bring new and exciting offerings to the market. The JV with Aldar demonstrates Dubai Holding’s unparalleled track record of being the strategic ‘partner of choice’ for strong regional and institutional investors. In line with our vision to operate For the Good of Tomorrow, we will continue to unlock opportunities that position Dubai as a leading destination for investments from across the globe,” Kaushal added.
The new joint venture with Dubai Holding further supports Aldar’s continued pursuit of an accelerated and transformational growth agenda with the aim of adding scale across its core development and investment property platforms.
