Abu Dhabi developer Aldar Properties said it has signed an agreement with Dubai Holding, a leading UAE investment conglomerate, to set up a joint venture entity for developing new living experiences across prime locations in Dubai.
The agreement, which marks Aldar’s entry into Dubai’s real estate market, comes as part of its broader expansion into new markets.
The move adds considerable weight to Aldar’s development pipeline, following the recent acquisitions of Al Fahid Island in Abu Dhabi and a new waterfront development in Ras Al Khaimah.
The joint venture will develop new communities in three locations across an area of 38.2 million sq ft. The new communities will be located in the suburban heart of Dubai along the E311 and E611 corridors in close proximity to several residential communities.
With support from Dubai Holding, Aldar will be responsible for the full development cycle, including concept design, sales, delivery, and management of the developments.
On the joint venture, Group CEO Talal Al Dhiyebi said: "Through the execution of our transformational growth agenda, we continue to generate expansion opportunities, which are driving new revenue streams and creating greater shareholder value."
The new joint venture with Dubai Holding further supports Aldar’s continued pursuit of an accelerated and transformational growth agenda with the aim of adding scale across its core development and investment property platforms, he stated.
According to Al Dhiyebi, the JV firm will start launching the projects beginning this year in a phased manner.
"It is likely to feature more than 9,000 units consisting of villas, townhouses, and apartments supported by retail and community facilities with a total gross floor area of 19.3 million sqft (1.8 million sqm)," he added.
Dubai Holding Group CEO Amit Kaushal said: "Over the years, Dubai Holding has played a major role in supporting the growth of the emirate’s real estate sector."
"By joining forces with Aldar, we are delivering on a shared objective of driving the UAE’s economic growth and creating long-term, sustainable value for all our stakeholders," he added.-TradeArabia News Service