Aldar, the leading Abu Dhabi developer plans to invest $490 million in neighboring Dubai, expanding its footprint in one of the hottest commercial real estate markets globally.
The Skyscrapper by Aldar Properties PJSC will include offices, a luxury hotel and branded residences on a plot of land near Dubai’s financial center, the company said in an e-mailed statement on Wednesday. It also plans to buy a fully occupied office building in the other end of the city.
Once completed this new tower will be among Dubai’s largest with 88,000 square meters (947,224 square feet) of net leasable area. ICD Brookfield Place, which was recently bought by an Abu Dhabi investment firm and a Saudi conglomerate, is Dubai’s largest commercial tower with 102,193 square meters.
Once completed in the fourth quarter of 2027 this will be first completed project of Aldar in Dubai. Located on the city’s arterial Sheikh Zayed Road, it will house Grade A office space near the heart of the city.
The announcement comes months after buyers snapped up homes worth $844 million within hours at a housing community that it jointly developed in the city.
After going through slump for seven year Dubai’s property market has rebounded this is courtesy high net worth individuals, hedge funds executives, crypto investors and wealthy Russians seeking to shield assets. Government reforms — including relaxed visa rules — also helped drive demand.
Aldar has also agreed to buy the newly built ‘6 Falak’ tower in Dubai Internet City from Sweid & Sweid. The building has 9,100 square meters of net leasable area has several marquee tenants including pharmaceutical firm Merck and consulting firm Roland Berger, as per the company.
