Real Estate News
Gulf Holding eases concerns on Villamar sukuk
Kuwait-based Gulf Holding Co has said it can both pay its next coupon and complete construction projects, in a bid to ease concerns of a possible liquidity crunch for the Villamar sukuk, Reuters has reported. The statement by the Sharia'h-compliant real estate investment products and services provider came after its Residential South Real Estate unit, which issued the Villamar sukuk, said on Thursday that cash reserves fell to BD5.45m ($14.5m) at the end of 2009 from BD42.3m a year earlier. The Villamar project is part of the Bahrain Financial Harbour development, promoted by Bahrain- and Kuwait-listed Gulf Finance House. More »
Rera asks developers to explain project delays
Marwan bin Ghalita, CEO of Dubai's Real Estate Regulatory Agency (Rera) has said the regulator has asked master developers to provide reasons as to why projects have not started on their master developments, Emirates Business has reported. "We are working with master developers to complete audited technical reports on all the projects that are under the master developer's freehold area. Moreover, we are asking them to give clear reasons as to why a developer has not commenced a project since they are aware of what is happening on-site," the Rera chief has told the newspaper. More »
Credit Suisse: Saudi property growth slower than expected
Credit Suisse Group has said that Saudi Arabia's real estate market will probably grow more slowly than expected, due to high prices and a lack of mortgage lending, Reuters has reported. "A strong shift to home ownership will likely not be in effect in the short and medium term," Dubai-based analyst Ahmed Badr said in a report. Housing supply needs to double, and that will be difficult to achieve because a shortage of off-plan sales means developers have to finance projects in full before offering units, he said. More »
Aldar posts Dh314.2m loss in Q1
Aldar Properties has reported a net loss of Dhs314.2m in the first three months of this year compared to a net profit of Dhs888.6m during the first quarter of last year, Khaleej Times has reported. The loss was primarily due to lower gains from fair valuation of investment properties, Aldar said. More »
Sorouh posts 78% rise in Q1 net profit
Abu Dhabi-based developer Sorouh Real Estate has announced that net profit for the first quarter of 2010 was Dhs131.6m ($35.83m), an increase of 78% on the previous quarter and 1% higher than the same quarter last year. The profit increase was driven by the sale of its Shams Abu Dhabi plot and a rise in lease income, the builder said in a statement. More »
Al Futtaim Carillion wins $32m Ikea deal
Abu Dhabi-based developer Aldar Properties has awarded Al-Futtaim Carillion an estimated Dhs120m ($32m) contract to build a new Ikea furniture store on Yas Island in Abu Dhabi, Meed has reported. The 29,642 square metre retail outlet will be the retailer's largest store in the Middle East, and will have a total sales area of 18,100 sq m, a 2,100 sq m restaurant with 600 seats, and a parking structure with 1,563 parking spaces. More »
Saudi Arabia approves SR20bn Q1 projects
The government of Saudi Arabia has approved 659 projects valued at SR20.89bn during the first quarter of this year, mostly on construction projects for roads, schools and hospitals, and waste water facilities, the Saudi press agency has reported. The kingdom plans to spend more than $400bn until 2013 to upgrade its infrastructure. More »
Emaar Properties posts $207m Q1 profit
Dubai-based developer, Emaar Properties has announced a revenue increase for the first quarter of this year by 87% to Dhs2.89bn ($786m), compared to Dhs1.54bn ($419m) during the same quarter of the previous year. Net operating profits for the first quarter of the year have recorded 152% increase to Dhs760m ($207m), from Dhs302m ($82m) during Q1 2009. More »
Palm Hills considers budget housing
Egypt's Palm Hills Developments has said it is considering building low-cost housing and expand into sub-Saharan Africa, Bloomberg has reported. Chairman and CEO of the real estate company, Yasseen Mansour, said the firm would need a partner for low-income housing because it's new to that market. More »
Nakheel may offer trade creditors 10% return on bonds
Dubai-based developer Nakheel plans to pay an annual return of 10% on Islamic bonds it seeks to issue to trade creditors, Bloomberg has reported, citing two people familiar with the proposal. The developer plans to issue the five-year bonds in July and list the securities on Nasdaq Dubai. The return will be paid twice a year. The deal is conditional on trade creditors representing at least 95% of the value of all claims agreeing to the proposal, the news service reported. More »