Aldar to fund $1.4bn projects via off-plan sales
Chairman says demand and ease of payments will attract enough cash
The three new projects worth $1.4bn (AED5bn) announced by Aldar Properties - Al Hadeel, Ansam and the Nareel island - are to be financed via off-plan sales.
The firm said at a press conference in Abu Dhabi that the projects had been brought forward as the first three of 23 new schemes in the pipeline as they were the furthest advanced in terms of existing infrastructure.
Asnam is being built at Yas Island and Al Hadeel at Raha beach where there are existing buildings in place, while the Nareel plots for UAE nationals being built at Al Bateen off Abu Dhabi island is a project on land that was reclaimed before the financial crisis, but for which masterplanning was never concluded.
Speaking at the event, Aldar Properties chairman HE Abubaker Seddiq Al Khoori, said: “We have plenty of liquidity within the company. However, we believe these projects will be self-financing given the demand and the way we have structured pay-outs.”
He added that the payment terms for those looking to buy properties were more generous than in the past as well, stating that they were always scheduled “in a very reasonable way”.
“We never ask for the money in one go. It will be 50% financed during construction and another 50% at the end.”
All three developments are likely to start on site next year, with completion set for March 2017.
Aldar Properties did not reveal prices for any of the developments, but said that those interested could register at Cityscape Abu Dhabi, which runs from Wednesday (22nd) until Thursday (24th).
Prices will be released at a later date.
Although there is existing housing on Yas Island, 1,000 new villas known as Zone K, these are provided under a government housing initiative and are only available to UAE nationals. Yasnam will be the first scheme with residential units available for purchase by expatriates.