Construction has started on the Dh2 billion Ebony and Ivory towers in Dubai, where investors are in dispute with a property company.
Work starts on Ebony and Ivory towers in Dubai
Construction has started on the Dh2 billion (US$544.6 million) Ebony and Ivory towers in Dubai, where investors are in dispute with a property company. Earlier this year some purchasers stopped payments, saying they had made their initial investments on the basis of photographs of different buildings that were further along in their development. Dynasty Zarooni, the company that bought all the units from the developer and resold them to investors, has denied the claims.
Al Fajer Properties, the developer, has now completed 15 per cent of each of the three towers in the Jumeirah Lake Towers district, a report from the Dubai Land Department said yesterday. The Real Estate Regulatory Agency said in its latest audit of the site that "enabling, shoring and piled foundation works are substantially complete and the main contractor is preparing to start the substructure works".
The progress could strengthen the hand of the developer, lawyers say. Property sector laws state that buyers are considered in default if they do not pay instalments as construction progresses. The authorities are still investigating the claims of the investors. Sheikh Maktoum Hasher Al Maktoum, the president of Al Fajer Properties, said yesterday the company was "committed to meeting all our contractual obligations", and it would start working on the site in 24-hour shifts "as soon as the programme allows for it".
Moses Oye, an investor spokesman, said the fact that the buildings were progressing was immaterial because purchases were based on alleged misleading information. @Email:email@example.com