Nakheel to float Deira Islands Mall tender soon
The Deira Islands project will be home to a 600,000 sqm mall complex, which will be made up of a main building, a boulevard, and 16 surrounding towers
Real estate developer Nakheel is working on the final details before floating a tender for the construction of a mega mall in Deira, Dubai.
Spread of over 600,000 sqm, Deira Islands Mall is set to be put out to tender shortly, according to Gulf News.
The Deira Islands project will be home to the mall complex, which will be made up of a main building, a boulevard, and 16 surrounding towers.
Ali Rashid Lootah, chairman of Nakheel, said: “The Deira Islands Mall contract should come to $1bn (AED4bn). Even more. I’m hopeful we will be in a position to finalise it soon.
“There’s no new retail space in that part of the city; and that’s why available real estate there tends to be much more expensive on the other side of town [New Dubai], which is where all the recent developments have concentrated. And you have people continuing to pay extremely high prices for Deira properties.”
He added: “We are not targeting high-end retail ... the plan is to do pre-leasing as per the needs of the market. The majority of the population is not in the high-end bracket and I see limited growth in that category.
"The only exception to this as far as we are concerned is the Nakheel Mall [on the Palm] and that’s strictly dictated by the nature of the location.
“Nakheel has the locations they want and our retail destinations can provide them with sizeable catchment areas.”
The island will offer mid-market hotels and a mix of residential options.
Commenting on the residential options, Lootah said: “We will build a sizeable residential portfolio for leasing. The city needs a mix of options and leasing will always continue to be sought after.
“We are not bullish about any particular trend but we are reasonably confident that things will go according to plan.”