Property developer Limitless has finally struck a deal with its lenders to restructure US$1.2 billion of debt.
Dubai developer Limitless inks $1.2bn debt restructuring
The property developer Limitless has finally struck a deal with its lenders to restructure US$1.2 billion (Dh4.4bn) of debt.
The developer was hard hit by the 2008 property crash but was not part of the subsequent $24.9bn debt restructuring of its parent company, Dubai World.
The Islamic debt facility, owed to a syndicate of banks, was originally due to mature in 2010.
Limitless said that it had honoured all profit payments on the loan since it was signed in 2008 and would continue to make the payments under the new agreement. The company said it had also fully cleared its obligations to 92 per cent of trade creditors and had signed settlement agreements with the remainder.
It added that with the restructuring agreement now in place, ownership of the company will shortly begin to be transferred to the Dubai Government.
Limitless is currently working on plans to develop a 6.5 million square metre mixed-use master development at Downtown Jebel Ali. Abroad, the company is developing its 1,400-hectare Al Wasl township in Riyadh, its 111-hectare Zagorodny Kvartal mixed-use scheme outside Moscow in Russia and a 125-hectare Halong Star resort in Vietnam.
"We thank our stakeholders for their patience, support and understanding throughout our financial restructuring," said the Limitless chairman Ali Rashid Lootah.