Aldar plans European moves after unveiling record sales

Aldar Properties

• Q3 sales close to $2.2bn
• Chairman aims for ‘focus on Europe’
• 60% of sales to overseas or expat buyers

Aldar Properties is planning to expand into Europe after posting record sales for the year so far, its chairman said on Monday.

Sales at the Abu Dhabi-based real estate developer reached nearly AED8 billion ($2.2 billion) in the third quarter, driving a 48 percent increase in net profit.

For the year to September 30, sales hit AED19.4 billion, while 11 developments were launched during the period.

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Aldar’s Q3 results, filed to the Abu Dhabi Stock Exchange on Monday, also highlighted the increase in overseas and resident expatriate buyers. They now account for 60 percent of total sales in the UAE.

Mohamed Khalifa Al Mubarak, the developer’s chairman, is now seeking “to take our expertise into select international markets, with a particular focus on Europe, which will allow us to build scale, diversify and deliver sustainable growth.” 

Al Mubarak said in the results filing: “We aim to target investments that are core to our current operations and across high-growth real estate sectors in mature markets. We see this as an opportune moment to tap emerging trends.”

Aldar’s Q3 revenue reached AED3.5 billion, up 27 percent, while net profit rose 48 percent to AED900 million.

For the first nine months of 2023, revenue totalled AED9.8 billion, an increase of 21 percent. Net profit was AED3 billion, up 41 percent.

The total number of residential property deals in Abu Dhabi during the third quarter rose by 84 percent year on year, reaching 2,930. 

The consultancy CBRE said the increase had been driven by off-plan sales, which more than doubled, and a 46 percent increase in secondary market sales. 

In the year to the third quarter of 2023, average apartment prices in Abu Dhabi increased by 0.9 percent, while villa prices dipped by 0.1 percent on average.

Aldar’s development pipeline exceeds AED29 billion for projects to be delivered over the next two to three years. These include its first projects in Ras Al Khaimah and Dubai, where the Haven development will be launched to the public on Tuesday.