Real Estate Dubai tenants staying put as rents continue to soar More Dubai renters are opting to renew their existing tenancies than move to a different property altogether, to avoid being hit by soaring rental rates in a “very strong” property market, according to CBRE. The number of rental renewals in Dubai’s residential market grew by 29.7 percent year-on-year in the first quarter of 2023, compared […] May 23, 2023
Real Estate Dar Al Arkan profit dip no cause for alarm Saudi Arabian real estate firm Dar Al Arkan posted a 47 percent profit dip in the first quarter of the year to SAR117.6 million ($31.3 million), from SAR221 million a year earlier. The decrease was attributed to lower property sales in Q1 and higher financing burdens, the company said in a filing to the Tadawul […] May 22, 2023
Real Estate Rising cost of credit squeezes Bahrain luxury property The increased cost of credit due to higher interest rates is starting to dent demand for luxury property in Bahrain, with apartments experiencing the most impact. High-end apartment prices in Bahrain dropped by 1.3 percent quarter on quarter in the first three months of 2023, according to a report published this week by Savills. Luxury […] May 21, 2023
Banking & Finance Sanjay Shah pleads for review of $1.3bn tax fraud case Sanjay Shah, a UK citizen accused of defrauding Danish tax authorities, is appealing to Dubai’s Court of Cassation to review its decision this week to make him repay AED4.64 billion ($1.26 billion), plus 5 percent interest. The Court of Cassation – the emirate’s highest court – refused an appeal by Sanjay Shah in a judgment […] May 19, 2023
Banking & Finance $500m Aldar green bond ‘four times oversubscribed’ Aldar Investment Properties – a subsidiary of Abu Dhabi’s biggest real estate developer Aldar Properties – has launched a $500 million 10-year green debut Islamic bond, it said in a stock market filing on Thursday. The issuance marks Aldar Properties’ first return to international capital markets since 2019, when it launched its debut 10-year sukuk, […] May 18, 2023
Analysis Construction The Pointe is latest rebuild in Dubai’s property upswing The Pointe is the latest in a string of retail and leisure destinations in Dubai that are being repurposed as landowners seek to capitalise on the emirate’s growing property market. State-owned Nakheel Properties confirmed this week that it plans to shut down and redevelop its 130,000 square metre The Pointe on Palm Jumeirah from next […] May 18, 2023
Real Estate Kuwait to let expats buy property to boost market Real estate activity in Kuwait has fallen over the past year, but the government is hoping to turn that around by allowing expats to buy property for the first time. A ministerial committee has lodged a proposal to the cabinet to allow non-Kuwaitis to own investment residential properties, according to a local media report this […] May 17, 2023
Exclusive Banking & Finance Gulf warms to outsourced investment market A growing number of Gulf businesses and wealthy individuals are outsourcing their investment management, experts have told AGBI. Market volatility and a desire to invest in more complex assets are pushing up demand for outsourced chief investment officer (OCIO) services, they said. The Gulf’s increased focus on governance and compliance – plus a recognition that […] May 17, 2023
Economy Qatar’s 2023 GDP growth to slow after World Cup Qatar’s GDP growth is expected to weaken to 2.3 percent this year from almost 5 percent in 2022 as the positive impact of World Cup-related activity tapers off. Ratings agency S&P Global Ratings said the country’s strong economic growth last year was “partly supported” by business momentum in the run-up to and during the Qatar […] May 12, 2023
Energy Brazil’s Braskem confirms takeover bid from Adnoc Braskem confirmed on Tuesday that its controlling shareholder Novonor received a takeover offer from Abu Dhabi National Oil Company (Adnoc) and Apollo Global Management. The Brazilian petrochemicals producer had previously said that a non-binding bid of 37.5 billion reais ($7.5 billion) had been presented to Novonor but did not say where the offer had come […] May 11, 2023
Real Estate Abu Dhabi to spend $23bn on new neighbourhoods Up to 76,000 new homes are planned over the next five years in Abu Dhabi to meet rising demand for residential property. The emirate’s executive council has signed off a budget of AED85.4 billion ($23.2 billion) for a string of residential neighbourhoods with new homes and development sites. The projects will also feature services, amenities […] May 10, 2023
Energy Adnoc ‘in talks’ to buy Brazilian petro firm Braskem Abu Dhabi National Oil Company (Adnoc) and US-based asset manager Apollo Global Management are said to have submitted a joint bid of 37.5 billion reais ($7.5 billion) to acquire São Paulo-headquartered Braskem. Discussions are in the early stages, Bloomberg reported, citing sources close to the potential deal. AGBI has contacted Adnoc for comment. The state-owned […] May 9, 2023
Exclusive Energy Adnoc taking on the world in renewable energy push Abu Dhabi National Oil Company is in talks to expand operations in the UK, US and East Mediterranean, with a focus on natural gas, hydrogen production and renewable energy storage, its newly appointed global growth director has said. Musabbeh Al Kaabi, Adnoc’s executive director of low carbon solutions and international growth, told AGBI the company […] May 4, 2023
Real Estate Saudi next on radar as Aldar builds on Mena expansion Real estate developer Aldar Properties is scouting for development and joint venture opportunities in Saudi Arabia to help it expand in the region. Based in the UAE, Aldar has projects in Egypt in addition to its core operations in Abu Dhabi and, more recently, Dubai and Ras Al Khaimah, following announcements in the past six […] May 3, 2023
Exclusive Real Estate ‘Pivotal’ year for Ras Al Khaimah, says property chief RAK Properties, the Abu Dhabi-listed company developing much of the emirate of Ras Al Khaimah, is seeking to capitalise on rising demand for local real estate. It is in talks with several UAE developers and landowners to form joint ventures, according to chief executive Sameh Al Muhtadi. He declined to reveal names of prospective partners, […] May 2, 2023
Analysis Banking & Finance Arab banks tighten lending for Gulf-UK property investors Middle East banks are reviewing lending criteria for GCC clients in the UK, responding to high interest rates and a trend towards investors diversifying portfolios to capture better yields. For several years – and especially since interest rates shot up in the past 12 months – yields in sectors traditionally popular with Gulf investors, such […] April 26, 2023
Exclusive Banking & Finance Al Fardan Exchange chases fintech tie-ups Al Fardan Exchange is ramping up its digital business to compete in the technology-driven financial services industry. The 50-year-old money transfer and currency exchange house plans to forge partnerships with fintech firms to double down on growth. Digital transactions currently make up 15 percent of UAE-based Al Fardan’s business via an app that was launched […] April 20, 2023
Analysis Banking & Finance Ukraine ceasefire will unlock billions in Gulf-Russia deals GCC investors shelved a potential $15 billion of investments in Russia when Moscow invaded Ukraine, but companies are said to be quietly resuming due diligence in the hope of tying up deals when a peace accord is reached. These possible Gulf-Russia deals are mainly in the oil and gas, transport, logistics and agricultural sectors, according […] April 19, 2023
Aviation Etihad ‘disappointed’ with greenwashing UK ad ban UAE flag carrier Etihad Airways has been accused of greenwashing, and has had two of its adverts banned in the UK for “exaggerating the environmental benefits” of flying with it. Following an investigation, UK advertising watchdog the Advertising Standards Authority (ASA) ruled on April 12 that the Abu Dhabi-based airline misled customers by claiming it […] April 12, 2023
Banking & Finance Buoyant 2022 for Emirates REIT manager Equitativa Net profit at real estate fund manager Equitativa grew by 30 percent year on year to $82 million (AED301 million) in 2022 and occupancy levels across its portfolio rose 13 percentage points to 85 percent, as it benefited from the “extremely strong” Dubai commercial property market. Equitativa is the manager of Nasdaq Dubai-listed Emirates REIT, […] April 6, 2023
Logistics UAE logistics boom demands more and better warehouses More warehouses must be built in the UAE to meet future needs, as high-growth industries such as e-commerce and manufacturing drive demand for industrial property, experts say. UAE developers rarely construct industrial warehouses speculatively (without first agreeing a tenant), as is common in developed markets. Consequently, there has been little fresh recent supply and the […] April 5, 2023
Construction Abu Dhabi financial free zone set for office space boost Abu Dhabi’s Aldar Properties and Mubadala Investment Company have struck a deal to develop 63,000 square metres of commercial space within Abu Dhabi Global Market (ADGM), and are eyeing plots of land to further increase the free zone’s prime office supply. ADGM is Abu Dhabi’s financial free zone, located on Al Maryah Island in the […] March 30, 2023
