Text size:

  • Small
  • Normal
  • Large
Aldar expects prices to grow between 2 and 5 per cent over the coming year. Delores Johnson / The National
Delores Johnson Staff Photographer
Aldar expects prices to grow between 2 and 5 per cent over the coming year. Delores Johnson / The National

More Aldar properties set for Al Falah

Aldar Properties has won a contract to build 996 villas in Abu Dhabi, the company's chairman said.

The Abu Dhabi Housing Authority has awarded Aldar Properties a contract to build nearly 1,000 villas in Al Falah as part of the government's infrastructure boost.

Under the new contract, Aldar will build 996 four and five-bedroom villas in the emerging 12.5 million square foot Al Falah district to the east of Abu Dhabi International Airport.

"In terms of the real estate market in Abu Dhabi we have seen some positive momentum in the first quarter this year compared to the last quarter of 2012," said Ali Eid AlMheiri, the chairman of Aldar and the proposed vice chairman of the new Aldar Sorouh company set to be created when the developer merges with rival Sorouh.

"We have seen a lot of demand for our residential products on Al Raha Beach and a lot of demand in our retail offering," he said.

The new homes come as an extension to the 4,857 homes Aldar has built at Al Falah, of which 2,079 have been handed over to residents.

Government housing projects have in recent years become an increasingly important source of revenue to both Aldar and its future partner Sorouh as the market for off-plan private sales has dried up in the capital.

Last year Aldar made Dh200m (US$54.4m) in net profits from its National Housing Programme work - out of a total net profit of Dh1.3 billion - and said it expected to make about the same amount from the sector this year.

Mr AlMheiri said that Aldar had sold 125 homes at its Raha Beach scheme during the first three months of the year - more than it managed for all of last yearwhen, according to company accounts, it made just 102 private sales.

He added that Aldar expected prices to grow by between 2 and 5 per cent over the coming year.

When asked if he was concerned about the thousands of new flats set to come onto the Abu Dhabi housing market over the coming year, Mr AlMheiri said; "I will be happy if I see prices stabilise because of all the new stock that is coming into the market. That's why we're not building any new apartment projects right now. Prices in Dubai might be going up. Prices in Abu Dhabi are stabilising. So maybe it makes more economic sense for [investors] to go back to Abu Dhabi."

 

lbarnard@thenational.ae

Back to the top

More articles


Editor's Picks

 The Greens, villas: Q1 no change. 3BR - Dh210-250,000. 4BR - Dh210-260,000. 5BR - Dh220-300,000. Q1 2013-Q1 2014 5% rise. Pawan Singh / The National

In pictures: Where Dubai rents have risen and fallen, Q1 2014

Find out how rental prices in the prime locations in Dubai have altered during the first three months of the year and the current rates you will pay according to data provided by Asteco.

 Above, the private pool of Ocean Heights' five-bedroom penthouse flat. Courtesy Christie’s International Real Estate

In pictures: Penthouse flat is height of Dubai luxury living

A five-bedroom penthouse in Ocean Heights in Dubai Marina is on sale for Dh25 million and comes with a private pool and an unparalleled view of Dubai.

 The cooling towers of the Temelin nuclear power plant near the Tyn nad Vltavou in Czech Republic. The country wants to continue expanding nuclear energy capacity despite cancelling a tender to build two new units. David W Cerny / Reuters

In pictures: Best business images for the week to April 17, 2014

Here are some of the best business images for the week to April 17, 2014.

 Three generations of the Hakimi family tend to their stall Crawford Market in Mumbai. Subhash Sharma for The National

In pictures: Shopper’s delight at Crawford Market in Mumbai

Crawford Market is an old British-style covered market dealing in just about every kind of fresh food and domestic animal imaginable. Later on renamed Mahatma Jotirao Phule, the market remains popular among locals and visitors by its old name, taken from Arthur Crawford who was the first municipal commissioner of the city.

 The Wind, Energy, Technology and Environment Exhibition takes place from April 14 to April 16. Above, the Dewa showroom during last year’s Wetex. Jaime Puebla / The National

April corporate and economic calendar for the UAE and overseas

From Cityscape to Wetex to stock-market holidays to nations reporting first-quarter GDP figures, here is our helpful calendar of April's business events in the UAE and internationally.

 Get the latest information on credit cards, bank accounts and loan products in the UAE. Mark Lennihan / AP Photo

Rates report: Latest on UAE loans, accounts and credit cards

Souqamal.com brings you the latest interest rates on banking products in the UAE.

Events

To add your event to The National listings, click here

Get the most from The National