Tuesday, October 23, 2007

Emaar, Bawadi join hands for Dh.60bn realty development

Bawadi Leisure Land
Emaar Properties, together with Bawadi, a member of the subsidiary of Dubai Holding, Tatweer, have announced their joint-venture, worth Dh.60bn, towards development of 70million square feet of land in Bawadi, the largest hospitality and leisure development in the world, at Dubailand.

This realty project is expected to turn out to be a signature development with equal equity participation by both parties. While Bawadi is expected to transfer land rights to the joint venture, Emaar will contribute equivalent portion of cash in the joint venture. The venture is likely to yield its returns by 2009.

The joint venture will be managed by Emaar, through management and technical services agreement. This venture will bring about 15million square feet of family-oriented theme park, lush green parks and lakes with a wide range of attractions matching global standards. It will also include six hotels and 1200 serviced apartments. The project will be located at the heart of Bawadi, and in close proximity to Arabian Ranches, an Emaar flagship project.

The Emaar Properties, Chairman, Mohamed Ali Alabbar, said "As a pioneer of master-planned communities in Dubai, with an accomplished track record of creating world-class developments, Emaar has established credentials in property development. Our partnership with Bawadi will increase our land bank in Dubai by 76%. This transaction is ideal as per the Dubai Strategic Plan, which has been outlined by H.H. Sheikh Mohammed, highlighting the need for Dubai taking leadership position by leveraging its strengths."

The Executive Chairman of Dubai Holding, Mohamed Al Gergawi, mentioned that as per the Strategic Plan by H.H. Sheikh Mohammed, the focal areas of the plan is tourism development, and the abilities of the two companies together, will effectively contribute to this sector.

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