Aldar presses ahead with 14 deals in Abu Dhabi touching Dhs3 billion - GulfToday

Aldar presses ahead with 14 deals in Abu Dhabi touching Dhs3 billion

Talal-Al-Dhiyebi-CEO-Aldar-Properties

Talal Al Dhiyebi, CEO, Aldar Properties.

Following its appointment by the Government of Abu Dhabi to deliver Dhs 5 billion worth of landmark projects in the Emirate, Aldar Properties PJSC, Aldar, announced on Monday further details on the expected commercial and socio-economic impacts of those projects.

The three projects reaffirm Aldar’s status as the partner of choice for the Abu Dhabi Government. The long-term commercial value of these projects solidifies the franchise value of Aldar’s development management business unit. Robust profit contributions are expected from the Al Falah expansion, twofour54 campus as well as infrastructure management fees on Saadiyat Island.

The projects will also benefit the Abu Dhabi economy by driving significant flow of capital into the construction sector and across its local supply chain. Fourteen contracts, totalling Dhs3 billion, have already been awarded by Aldar to design consultants, supervision and contractors. Works on the three projects are commencing immediately.

This Dhs 5 billion of project awards fall under Aldar’s third-party development management business, which has an existing portfolio of Dhs 10 billion worth of projects with the Government of Abu Dhabi, in the emirate and overseas, that are nearing completion. With the addition of these awards, Aldar is increasing its gross profit guidance for third-party development management business to Dhs 150 million per year over the next 3 to 4 years, marking a 50 per cent increase from Dhs 100 million per year previously achieved and adding to its existing guidance for the traditional homebuilding business that generates profits from the launch of 1,500 residential units per year into the market.

Commenting on the announcement, Talal Al Dhiyebi, Chief Executive Officer of Aldar, said, “The importance of these projects lies in the commercial and socio-economic value they will create for both Abu Dhabi and Aldar. Not only will they create a supply of flagship residential and commercial developments in Abu Dhabi, they are also set to create robust revenue streams for the construction sector and the broad supply chain it entails. Our track record as the developer of choice in Abu Dhabi, and as a strategic partner to the Government, will play perfectly in the delivery of these projects and unlocking the long-term value they uphold. We look forward to putting our expertise and experience in what will further the attractiveness of both Yas Island and Saadiyat Island as world-class destinations, and Al Falah as one of the most sought-after housing communities in Abu Dhabi”.

An Dhs 2 billion project was awarded to Aldar to develop the expansion of Al Falah housing community on behalf of the Government, adding 899 new villas, each is 515 sq.m, to the community’s existing 4,898 villas. A mosque that can accommodate for 2,000 worshippers will also be developed as part of the expansion. Trojan was appointed to deliver the units, which are currently being designed, and are set to be completed over the course of 3 years.

twofour54’s new campus is set to bring a new dimension to the vibrant ecosystem available on Yas Island. The state-of-the-art facility, which Aldar was awarded an Dhs 1 billion project to develop, will be home to a workforce of 10,000 industry professionals, and will become another focal point for investment flows into the capital, and its media and entertainment industry. Arabian Construction Company (ACC) was appointed as the main contractor on the 99,500 sq. m project, which will have over 1,800 parking spaces and is scheduled to be completed in 2021.

The Dhs 2 billion worth of infrastructure works that Aldar will be delivering on Saadiyat Island, on behalf of the Government, is set to strengthen the island’s integration with the rest of Abu Dhabi. Works, which include landscaping and the construction of infrastructure, transport-related structure and a fountain, are set to start immediately, to be completed in phases between 2021 and 2022. Ghantoot, Gulf Contracting Company and NBHH are the appointed contractors on the first phase of infrastructure works.

WAM