Related, Gulf Capital to build $1 billion mall in Abu Dhabi


28/01/2013 09:18 AST  Bloomberg

Related Cos, the New York developer founded by billionaire Stephen Ross, and its partner Gulf Capital plan to build a $1 billion shopping mall focusing on department stores in Abu Dhabi.

Gulf Related, the joint venture undertaking the project, is also aiming construct two towers connected to the mall that will include a 300-room hotel as well as 120 serviced apartments, Kenneth Himmel, president and chief executive officer of Related Cos told reporters in Abu Dhabi on Sunday.

Sowwah Central, as the project is named, is the venture’s second development on Sowwah island, which will be the location for a financial district and Abu Dhabi’s stock exchange.

The mall, due to be completed in 2017, will be financed by a combination of equity and debt, Himmel said. Gulf Related bought the land last year from Abu Dhabi’s sovereign investment fund Mubadala Development Co, which hasn’t yet decided whether it will invest in this project, Himmel said.

Gulf Related may assume debt to fund as much as 60 per cent of the development, designed to include cinemas, health clubs and restaurants, Himmel said. He declined to specify the amount of equity Gulf Related plans to invest in the project or the price of the land.

“Gulf Capital and Related are anchoring this project,” said Karim El Solh, chief executive officer of UAE’s private equity firm Gulf Capital. “We are approaching investors such as sovereign wealth funds, pension funds, insurance companies, financial institutions and family owned companies who are looking for a long-term cash yield.”

The response has been positive, helped by the company’s ability to get commitments for seven- to 10-year leases from retailers it’s in discussions with, El Solh said. Investors should expect an annual yield of 12 per cent to 13 per cent once the mall is fully occupied, he said.

Economic and Business News
2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | 2007 | News Archive

JAN | FEB | MAR | APR | MAY | JUN | JUL | AUG | SEP
Most Viewed Companies
Ticker Price Volume
SAPTCO 39.8 117,344
RIBL 21.4 148,095
EMAAR 11.2 12,799,740
ALKHODARI 63 460,190
WALAA 32.7 264,894
MESC 20.25 457,324
TAWUNIYA 67.75 181,392
Recent News

UAE to bulid two more nuclear power reactors
The UAE has approved construction of two additional nuclear power reactors at the Barakah site in the Western Region of the Abu Dhabi emirate by the Emirates Nuclear Energy Corporation (Enec).
<

Hamed Hassan Merah appointed AAOIFI Secretary General
H. E. Shaikh Ebrahim Bin Khalifa Al Khalifa, Chairman of Board of Trustees of Accounting and Auditing Organisation for Islamic Financial Institutions (AAOIFI), has announced the appointment of Dr. Ha

Hong Kong boosts Dubai’s Islamic capital bid
Dubai’s bid to become the global Islamic finance capital is gaining strength, with the Government of Hong Kong deciding to list its sukuk bonds on NASDAQ Dubai.

In its first issue of Islamic

Dubai tops global ranking for house price growth
Dubai topped the global annual rankings for growth in house prices for the fifth consecutive quarter ending June, recording annual price growth of 24 per cent, though this is down from 27.7 per cent

NBAD appoints CEO for Asia
The National Bank of Abu Dhabi (NBAD) has appointed Susan Yuen as its CEO in Asia. In this new role, Ms. Yuen will be responsible to define and implement NBAD’s strategy in Asia and have oversight of

GulfBase GCC Index
Search By
  • Company Symbol
  • Company Name
  • Mutual Fund Name
  • News Content
Send this page to a friend

Poll

Which of the following do you think is the best long-term investment?