Arabtec moves into the affordable housing market
Affordable housing is a large and untapped segment. (Image credit: Shutterstock)
Click here to add Abu Dhabi as an alert
Disable alert for Abu Dhabi,
Click here to add Arabtec Holding as an alert
Disable alert for Arabtec Holding,
Click here to add Arabtec Real Estate Development Company as an alert
Disable alert for Arabtec Real Estate Develo ...,
Click here to add Drake as an alert
Disable alert for Drake,
Click here to add Dubai as an alert
Disable alert for Dubai,
Click here to add Gulf Cooperation Council as an alert
Disable alert for Gulf Cooperation Council,
Click here to add Hasan Abdullah Ismaik as an alert
Disable alert for Hasan Abdullah Ismaik
Arabtec Holding, one of the Middle East’s largest construction companies, is heading into the real estate development with the launch of a new property subsidiary according to an article in Gulf News.
Arabtec Real Estate Development Company will initially develop residential housing in Abu Dhabi and Dubai before expanding into other Gulf Cooperation Council (GCC) countries and the wider Middle East and North Africa market, the company said in a statement on Sunday.
Arabtec will launch joint ventures with other real estate developers and investors in the UAE and Middle East.
“With the real estate industry now showing strong signs of recovery, expanding into the development market presents itself as an attractive proposition,” Hasan Abdullah Ismaik, Arabtec’s Chief Executive Officer, said in the statement.
The subsidiary is being launched to focus on opportunities to develop affordable housing, a segment Arabtec said is severely underserved with an estimated shortage of more than 3.6 million affordable housing units in the Mena region. Arabtec Real Estate will rapidly expand in key high potential markets, including Saudi Arabia, Egypt, Algeria and Morocco, along with the UAE.
The company did not release a start date for the subsidiary, instead stating that project evaluations were underway and would be announced in due course.
Arabtec’s portfolio includes the Burj Khalifa in Dubai, the world’s tallest tower, and Abu Dhabi landmark the Emirates Palace Hotel.
It reportedly has a backlog of construction projects worth about Dh30 billion ($8.2 billion) and is planning talks with Egyptian authorities to develop affordable housing projects. Last week, Arabtec denied market speculation that it was looking to buy engineering firm Drake & Scull.
Arabtec shares closed flat on Sunday at Dh2.79 a share
- Nip, tuck: Dubai's grand plans for being a major player in medical tourism
- Zain, UNHCR, Facebook to bring free internet access to urban refugees in Jordan
- Yemen Central Bank headquarters to relocate from Sanaa to Aden
- IMF report details the crippling economic effects of conflict in MENA
- Start Up Lebanon entrepreneurs head to Silicon Valley Roadshow
- Time for MENA youth to 'build' their CVs: Arabtec launching massive, region-wide hiring campaign
- Egypt slashes plans to build affordable housing with UAE's Arabtec: report
- A move in the right direction: Sharjah to offer more affordable housing
- Dubai Denies Reports of Vaccine Shortages
- Emirates’ Modern House Furniture launches $8 million Sudanese joint venture