Friday, December 19, 2008

Major UAE property developers declares to proceed with projects

Few major property developers in the UAE have confirmed that they are not back-tracking their projects, or putting them on hold, in wake of the global recession. However, they did agree that the crisis has posed several odds for the industry, and is likely to affect small firms.

The Chairman of Pearl Dubai, Abdul Majeed al Fahim, said "As far as we are concerned there is no liquidity problem and our projects are on track. There may be some technical delays, but nor financial delays, and all projects would be delivered on time."

Al Fahim agreed that the crisis has posed challenges and hindrance for investors around the globe, and that few local projects that have been launched without proper planning or studies may get cancelled, particularly those set up by small firms.

Talking about the growth in property sector, he said that there could be positive growth in the UAE, but it could be a single digit growth.

Another executive from a major property company revealed that although the credit growth in UAE had slowed down, this has not made an impact on its projects worth Dh.70bn within and outside the emirate.

Sorouh Real Estate, which is currently executing projects worth Dh.70bn in Abu Dhabi, confirmed that it plans to go-ahead with all its projects as planned, despite the global meltdown.

The Chief Operation Officer of Sorouh Real Estate, Samer F. Abu Hijleh, said, that their businesses are growing despite the global financial crisis and the company has not sacked any employee, nor have plans to cut down workforce, and in fact, the company plans to recruit more workers.

Speaking to the press during the announcement of Arabian World Construction Summit Conference to be held between 9th and 11th February 2009, organized by Meed, he said, the Sun and Sky Towers on Reem Island of Abu Dhabi will be delivered in 2010. All the 1140 units of the two towers have been sold.

Sorouh has also sold 100 out of 111 plots to sub-developers on Shams on Reem Island.


Richard Nussey said...

Great information.

Property Developers Dubai said...

You really have to admire the developers in Dubai for their strength and belief in the Real Estate sector. They are not sitting back but are instead still looking to growing despite the obvious slow down in demand for real estate properties.