Category Archives: Property Market in Dubai

Drake & Scull announces H1 2016 Financial Results

UAE, 15 August 2016 – Drake & Scull International PJSC (DSI), a regional leader in engineering, procurement, construction and commissioning, reported its financial results for the first half of the fiscal year ended 30 June 2016.

Operational progress in Q2 2016 continued to follow the trends observed in Q1 2016, with a noted improvement in revenue and operational performance on newly awarded projects within the core UAE market and a noticeable decline in the rest of the region. Furthermore, a growing order intake in the Rail & Infrastructure as well as Oil & Gas divisions in Qatar and Iraq has helped offset a slowdown in activity in key markets such as the Kingdom of Saudi Arabia (KSA).

H1 2016 Highlights

• Extended slowdown in the construction sector has impacted H1 2016 financials adversely
• Revenue of AED 1.83 billion in H1 2016
• Net loss for the period of AED 216 million mainly attributed to project cancellations and added one-off provisions
• Total backlog stands at AED 9.37 billion as of 30th June 2016
• New project wins in Rail & Infrastructure and Oil & Gas sectors amounting to AED 570 million
• Promising outlook for the company in the GCC rail sector
• Ongoing measures to strengthen the balance sheet, optimize the capital structure, boost working capital, reduce overheads and improve operational efficiency
• Continued progress in disposal of non-core assets
• Operational restructuring resulted in QoQ SG&A savings of AED 14.2 million

Q2 2016 Highlights

• Q2 2016 revenue of AED 805 million
• Q2 2016 net loss of AED 225 million
• Total impact of project cancellations, additional one-off provisions and adjustments taken in Q2 2016 amount to AED 192 million
• Total value of project awards secured in Q2 2016 is AED 227 million

DSI reported a year on year decline of 23 % in revenue, which stood at AED 1.83 billion in H1 2016 as compared to AED 2.39 billion achieved in H1 2015. The fall in revenue is due to the significant contraction and prolonged volatility in the regional construction sector, the slow progress on ongoing projects, a decline in new project awards and adjustments across key markets in the GCC.

The net loss for H1 2016 was AED 216 million as compared to a net profit of AED 34 million in H1 2015. The loss is specifically attributable to project cancellations and more one-off provisions taken in light of the challenges in the sector. A majority of these provisions emanate from Saudi Arabia, with the total impact on the bottom line amounting to AED 192 million. These cancellations were executed by clients on individual one-off projects with minimal bearing on DSI’s ability to continue operations in Saudi Arabia and other markets.

DSI’s ongoing projects order backlog stood at AED 9.37 billion as of 30 June 2016, as compared to AED 13.24 billion in H1 2015. The decline in the projects’ backlog reflects the adjustments carried out in Q2 2016 pertinent to project cancellations in KSA.

Despite the slowdown in the regional project awards, DSI managed to secure AED 570 million worth of new project awards year to date including the AED 343 million Doha Metro Depot and Stabilising Yards contract as well as the AED 227 million Zubair Oil Field project in Iraq. These key wins further reinforce the company’s strategic decision to concentrate on sector-specific, core engineering projects with high operating margins.

DSI has also remained on track with its cost-reduction programme which will improve operational efficiency and cut overheads. The company has implemented a number of measures and initiatives to optimize its capital structure, including the sale of non-core assets to generate cash and improve liquidity. The cost-reduction programme is progressing on schedule and is expected to realize significant cost savings by the end of 2016.

Commenting on the results, Khaldoun Tabari, CEO and Vice Chairman of Drake & Scull International PJSC, said: “Our financial results have been impacted due to the substantial provisions for project delays and cancellations over the last six months, brought on by clients principally based in Saudi Arabia. We believe that these developments show the considerable challenges we have faced across the region due to a very challenging macro-economic environment.

We are in the process of embarking on a new strategy to reposition ourselves as a leader in the market. We will also initiate fundamental changes to our group and leadership structure which will be supplemented by a reorganization and realignment of senior management roles as part of our efforts to enhance and streamline our operative framework.

Despite the challenges, our business remains operationally and financially robust. Due to our longstanding partnership with major international and local banks, we continue to retain strong lines of credit and secured access to funding to deliver our ongoing projects backlog. We remain committed and focused on running efficient, low-cost and sustainable and cash generating operations and are confident about the medium- and long-term prospects of the regional industry.”

FM EXPO increases exhibition space by 25 per cent for its 10th edition  

Emirates Property-what's your property cravings?

Region’s largest FM event to take center stage at pioneering Community Management Week

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  • FM EXPO is Middle East’s largest Facilities Management event
  • Over 150 exhibiting companies from 19 countries and 10,000 visitors
  • Part of the first Community Management Week
  • Features 15 free-to-attend continuing professional develop (CPD)certifies workshops, 6 FM Masterclasses, FM World Congress and Middle East High Rise Summit

Dubai, UAE, 27 April 2016: FM EXPO, the Middle East’s largest facilities management event, will be taking place from May 23 to 25, 2016 at the Dubai World Trade Centre. The 10th edition of the event reflects its long-standing commitment towards the industry. With a 25 per cent increase in exhibition space compared to 2015, it will host over 150 companies from 19 countries showcasing their innovative solutions to nearly 10,000 visitors.

Aside from a vast display of cutting-edge technologies, products and services, the show will deliver an extensive and…

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FM EXPO increases exhibition space by 25 per cent for its 10th edition  

Region’s largest FM event to take center stage at pioneering Community Management Week

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  • FM EXPO is Middle East’s largest Facilities Management event
  • Over 150 exhibiting companies from 19 countries and 10,000 visitors
  • Part of the first Community Management Week
  • Features 15 free-to-attend continuing professional develop (CPD)certifies workshops, 6 FM Masterclasses, FM World Congress and Middle East High Rise Summit

Dubai, UAE, 27 April 2016: FM EXPO, the Middle East’s largest facilities management event, will be taking place from May 23 to 25, 2016 at the Dubai World Trade Centre. The 10th edition of the event reflects its long-standing commitment towards the industry. With a 25 per cent increase in exhibition space compared to 2015, it will host over 150 companies from 19 countries showcasing their innovative solutions to nearly 10,000 visitors.

Aside from a vast display of cutting-edge technologies, products and services, the show will deliver an extensive and advanced education program. During the three-day event, industry players and visitors will be able to take part to five international conferences, including the FM World Congress and Middle East High Rise Summit, 15 free-to-attend continuing professional develop (CPD)certified workshops, and six FM Masterclasses.

Jaafar Shubber, Senior Project Manager, FM EXPO, said: “For the last 10 years, FM EXPO has successfully promoted the needs of FM professionals, tenants and end users, as well as property developers and owners, by focusing on wide range of topics such as sustainability, technology, building compliance, building life-cycle, security, and hygiene and infrastructure, among others. Strict government regulations on built environment and demand for cost and energy-efficient solutions has spurred the need for advanced FM solutions which will feature under the spotlight at the bigger 10th edition of the FM EXPO.”

“We have been regularly participating at the FM EXPO since 2012. This time, it promises to be bigger and better as it will be part of the first-ever Community Management Week. We will showcase integrated FM services along with other services such as catering, laundry, environmental services, waste management, staff accommodation and workers supply and recruitment. We look forward to exciting networking opportunities to connect with existing and potential clients at the 10th edition of FM EXPO,” concluded Mr Samih Basaddiq, Managing Director, Advanced FM, Platinum Sponsor of FM EXPO.

Organised by dmg events Middle East, Asia & Africa, FM EXPO will be co-located with four dedicated events that make up Community Management Week, to offer a well-rounded and professional environment to conduct business and improve the quality of life for surrounding communities. These include;

  • The Big 5 Outdoor Design & Build Show – a specialised trade show offering products and services for landscaping, outdoor furniture, sports and play equipment;
  • Middle East Waste & Recycling – Dubai’s premier event on opportunities and challenges in waste management and recycling;
  • Commercial Cleaning & Hygiene – bringing those involved in cleaning services and products together to share ideas and innovative products;
  • Elevators & Access Control – the only dedicated building access and mobility exhibition in the Middle East.

 

 

 

Dubai Properties’ Mudon Townhouses Sold Out at the International Property Show 2015

 Strong Response Reflects Developer’s Commitment to Address End Users and Investors’ Needs for High Value Property Offerings in Dubai

UAE, April 1, 2015 – Dubai Properties, a leading real estate developer, has successfully sold out all its four-bedroom townhouses in its upscale Mudon development, during its participation at International Property Show 2015, which was held at the Dubai World Trade Centre. Launched during the second half of last year, the 120 units ranging from 3,786 to 3,800 square feet were sold out during the event.

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The overwhelming response is a testament to the developer’s commitment to provide solutions that cater to the needs of end-users and investors who are looking for value for money properties in the emirate.

Abdulla Abushabieb, Executive Director Sales and Customer Care at Dubai Properties, said: “After we launched the Mudon development, the first phase of the residential units were immediately sold. At the recent International Property Show, buyers also evinced strong interest in the remaining 120 townhouses released in summer of 2014. We attribute this sellout response to the community’s value for money proposition as compared to other offerings within the same segment.”

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With prices starting from AED 2.5 million, the gated Mudon community is surrounded by beautifully landscaped neighborhood parks with easy access to various modern amenities. Since its launch last year, Mudon has become one of Dubai Properties’ most sought after projects and Dubai’s most popular residential communities.

In developing Mudon, Dubai Properties made sure that the upscale community will allow residents to lead a tranquil yet active and vibrant lifestyle. The company also tied up with GEMS Education to open a GEMS School inside the community by September 2016.

The community also offers amenities that will include cycle routes, jogging paths, play areas, a swimming pool, and a gym.  An attractive mix of retail outlets will also be available for the residents’ convenience.

Dubai Properties’ competitive edge is its unique residential and mixed-use developments in Dubai. Aside from Mudon, its portfolio of modern properties also includes the Jumeirah Beach Residence, The Villa, Layan in Dubailand, as well as The Executives Towers, Vision Tower and Bay Square in Business Bay.

AZIZI Developments to showcase upscale residential project at International Property Show 2015

Company to offer attractive opportunities to investors on current & ongoing properties

UAE, 28 March, 2015 – AZIZI Developments, a leading UAE property developer, will be participating in the 11th International Property Show (IPS) 2015, taking place from March 30 to April 1, 2015 at the Dubai World Trade Center (DWTC). During its presence at the show, the developer will showcase all its current and upcoming projects in Dubai to potential investors and end-users. AZIZI Development’s property experts will use the IPS’s interactive format to engage with the visitors to provide them with detailed information about each property such as floor plans, materials used, date of completion, price options, and financing options.

 

Throwing the spotlight on its current mid-level luxury projects located in the strategic locations of Dubai, AZIZI Developments will offer lucrative investment opportunities to buyers and end-users during the IPS 2015. The company boasts of five large-scale, premium residential projects, including AZIZI Iris, AZIZI Liatris, AZIZI Orchid, AZIZI Yasmine, and AZIZI Feirouz. The company is developing all the properties with an aim to provide its customers with an upscale and unique living experience in Dubai as well high return on their investment.

 

Ali Omar , CEO , Azizi Developments
Ali Omar , CEO , Azizi Developments

Ali Omar, CEO, AZIZI Developments, said: “Dubai has managed to position itself as the world’s leading destination for property buyers and investors post-recession as is demonstrated by the success of events such as the IPS. AZIZI Developments will leverage the exhibition to showcase its mid-end residential projects to interested investors and end-users. The IPS is a perfect platform for AZIZI Developments to fuel growth for its properties that have already spurred tremendous interest among serious buyers due to their prime location, unmatched facilities, and high-quality finishing. The participation in such events is in line with the company’s strategic move to offer its unique properties to discerning buyers and at the same time promote its brand name to a global audience.”

Held under the patronage of H.H. Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, and accredited by the Dubai Real Estate Regulatory Authority (RERA), IPS is a pioneering exhibition for selling and promoting real estate to individuals and institutional investors. The Show offers a gateway for international and local real estate developers to exhibit their residential, commercial and mixed-used developments to close successful deals. For more information, visit http://www.internationalpropertyshow.ae/.

AZIZI Developments have invested over AED 4.5 billion in Dubai’s real estate sector. It currently offers five residential projects in one of Dubai’s prime areas, Al Furjan, AZIZI Iris, AZIZI Liatris, AZIZI Orchid, AZIZI Yasmine, and AZIZI Feirouz  which are all in various stages of the construction progress. Al Furjan is a residential master development which is part of Jebel Ali 1 in Dubai.  The area is minutes away from Dubai Marina, JBR and the public beach, the Al Maktoum Airport, the Expo 2020 site and many more attractions.

 

Dubai Properties participates as a Strategic Partner of International Property Show 2015

By Anitha Lakshminarayanan

UAE, March 15, 2015 – Dubai Properties, leading real estate developer, has announced its participation as an exclusive Strategic Partner for the latest edition of the International Property Show, an annual pioneering event for real estate companies, as an exclusive Strategic Partner. An event for sales and promotion of properties to individual and institutional investors, the show will be held from March 30 to April 1, 2015 at the Dubai World Trade Center.

 

Dubai Properties will use this platform to launch new projects potential buyers and investors from the MENA region and beyond.

 

Mohammed Al Habbai, Chief Officer – Urban Planning and Infrastructure, Dubai Properties Group, said: “We have decided to take part in the International Property Show as an exclusive Strategic Partner as it will enable us to reach out to a global audience of investors and buyers who are looking to buy residential or commercial property in Dubai. The demand for the properties in the emirate has witnessed a tremendous growth in the last couple of years from both local and international investors and the Show will be a unique opportunity to showcase DP’s rich portfolio of unique properties spread across the emirate to them. We are confident that through our presence in the International Property Show, we will be able to leverage these demands from potential buyers and investors and covert into successful deals and at the same time, showcase the growth and development in the UAE’s real estate to a global audience.”

 

Dawood Al Shezawi, CEO of Strategic Marketing & Exhibitions, organizers of the International Property Show (IPS), said: “We are delighted to welcome Dubai Properties, one of UAE’s leading real estate developers, as exclusive Strategic Partner to the International Property Show. The presence of Dubai Properties’ quality and broad scale real estate portfolios at the show perfectly fits the direct-sales profile of International Property Show and offers end-users and local and international investors an ideal opportunity to explore great properties on offer in UAE. With Dubai Properties as our Strategic Partner, International Property Show also expects to further build the promotion and image of the UAE’s real estate sector on a global scale. The presence of strong international delegations from China and the KSA along with countries from Southeast Asia and Africa, among others at the show attending the co-located Annual Investment Meeting, will be a perfect opportunity to show and educate investors about the attractiveness of the UAE real estate sector.”

 

Held in conjunction with the Annual Investment Meeting, the International Property Show will enable Dubai Properties to improve its profitability and enhance its competitive edge. The special features of the event, including the Dubai Land Department Property Valley, the International Property Show Real Estate Forum and high-profile Networking Events will provide valuable opportunities for the company to reach out to an élite clientage of international investors, giving it an extensive regional and global brand exposure.

Please contact Anitha Lakshminarayanan-freelance writer (writer for Gulf News), Freelance Journalist at

anithaideas@gmail.com for covering an event, public relations writing, conducting interviews or advertising on this blog or to know more about my writing-visit

http://anithaideas.com/

 

 

TASWEEK to explore European investments & partnership opportunities for international projects at MIPIM expo in France

Possible oil price fluctuations to impact global real estate activities and investors behaviors

By Anitha Lakshminarayanan

UAE, March 09, 2015 – TASWEEK Real Estate Development and Marketing, an advisor and solutions provider serving the property markets, foresees possible shifts in regional and global real estate activities and investors reactions amidst the ongoing changes in oil prices. With barrel rates in the past six months at their lowest since the 2008 financial crisis, TASWEEK says that prime markets should prepare to adjust to the effects on property prices especially in the housing and commercial segments after observing changes in the investor’s options and markets.

Masood Al Awar - CEO - Tasweek

Masood Al Awar, CEO of TASWEEK, will share valuable insights on the Middle Eastern and European property markets and the strong potential for investments between the UAE and Europe in particular during the 2015 MIPIM real estate exhibition, conference and networking event running from March 10 to 13, 2015 at the Palais des Festivals in Cannes, France. He will refer to a recent survey indicating that UAE investors are one of the largest foreign groups buying low-cost investment property in the UK, accounting for a large 18 per cent. This reflects the growing interest in UAE-European real estate investment partnerships.

The TASWEEK head will discuss the property boom currently being experienced by non-oil producing countries and how Middle Eastern countries could avoid facing a market slowdown. Developers would benefit from expanding their market options and client bases as a cautionary measure. Al Awar will also present and offer prime projects in UAE, Malaysia, and Morocco forming part of TASWEEK’s diverse USD 250 million international portfolio to interested MIPIM participants from senior international investors.

Al Awar said: “While price drops in oil and variations in currency rates are triggering a real estate frenzy in many parts of the world, key markets could face a reverse slump in business. The best strategy is to anticipate unfavorable market changes and broaden horizons especially towards high-potential regions and plan to adopt new smart products and services that can match and sustain market’s growth.

MIPIM is an ideal platform to gauge the current industry landscape and forge dynamic and mutually beneficial partnerships and deals that are in sync with today’s market conditions. For our part, TASWEEK is well-positioned to tap its smart and innovative solutions to support numerous aspects of the real estate industry’s operations and functions. The sustained interest in our Malaysian and Moroccan projects reflects that there are still lots of opportunities out there for forward-thinking developers in the UAE and across the region to pursue.

Please contact Anitha Lakshminarayanan-freelance writer (writer for Gulf News), Freelance Journalist at

anithaideas@gmail.com for covering an event, public relations writing, conducting interviews or advertising on this blog or to know more about my writing-visit

http://anithaideas.com/

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