Nakheel to expand outside Dubai with $20m Sharjah retail centre
The JV, comprising Nakheel and Shurooq, will develop a shopping, dining, and leisure hub in Sharjah's Al Rahmaniya District, with Nakheel Malls set to manage the facility
The UAE's Nakheel has formed a joint venture (JV) with Sharjah Investment and Development Authority (Shurooq) to develop its first project outside Dubai.
Shurooq and Nakheel will collaborate on a $20.4m (AED75m) retail centre in Sharjah, for which design work is already underway.
Under the agreement, the JV will develop a shopping, dining, and leisure hub in Sharjah's Al Rahmaniya District.
Nakheel Malls, the Dubai giant's retail subsidiary, will develop and manage the project.
The agreement's focus will be to facilitate the project's construction, as well as help Nakheel and Shurooq explore opportunities in Sharjah's retail and real estate sectors.
Additional project details are due to be unveiled this year.
Marwan bin Jassim Al Sarkal, chief executive officer of Shurooq, and Sanjay Manchanda, chief executive officer of Nakheel, signed the JV agreement.
Commenting on the project, Al Sarkal said: "We work with a variety of partners to help realise Sharjah’s full potential, investing and developing its social, cultural, environmental and economic growth.
"This new partnership with Nakheel is another step in the right direction. With its reputation as a world-leading real estate developer, we are excited to welcome Nakheel on board."
Nakheel's Manchanda added: "Retail centres are an integral element of residential communities and essential for community development.
"We are proud to share our success by bringing our expertise, in partnership with Shurooq, to Sharjah," he added, according to WAM.
Shurooq and Nakheel's JV is the latest example of inter-emirate real estate collaboration in the UAE.
On 20 March, 2018, it was announced that Abu Dhabi's Aldar Properties and Dubai's Emaar Properties – two of the UAE's largest real estate developers – had created a joint venture (JV) worth $8.1bn (AED30bn).
An agreement was signed between Emaar chairman, HE Mohamed Alabbar, and Aldar chairman, HE Mohamed Khalifa Al Mubarak, to formalise the partnership.
Vice President and Prime Minister of the UAE and Ruler of Dubai, HH Sheikh Mohammed bin Rashid Al Maktoum, and Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, HH Sheikh Mohamed bin Zayed Al Nahyan, attended the signing ceremony.
The JV will initially focus on two projects – one each in Dubai and Abu Dhabi, and its $8.1bn pipeline will also include national and international projects.
The master-planned destination in Abu Dhabi will be situated within the Cultural District of Al Saadiyat Island, named Saadiyat Grove.
The second project is a waterfront development, named Emaar Beachfront.