Latest news with #AED1.9bn
Arabian Business
23-04-2025
- Business
- Arabian Business
Sharjah real estate transactions hit $3.6bn in Q1; top neighbourhoods and investor nationalities revealed
Sharjah real estate transaction value hit AED13.2bn ($3.6bn) during the first quarter of 2025, marking a 31.9 per cent increase compared to AED10bn ($2.72bn) during the same period in 2024. The number of executed transactions rose by 4.8 per cent to 24,597, up from 23,478. The growth reflects increasing investor confidence in Sharjah's stable and investor-friendly environment, supported by advanced infrastructure and a diverse range of investment opportunities. Sharjah real estate thriving in 2025 Abdulaziz Ahmed Al-Shamsi, Director-General of the Sharjah Real Estate Registration Department, said: 'The qualitative leaps witnessed by Sharjah's real estate are a fundamental pillar in the comprehensive and balanced economic growth process, which Sharjah is steadily leading, thanks to the wise directives of Sheikh Dr. Sultan bin Muhammad Al-Qasimi, Supreme Council Member and Ruler of Sharjah, and the diligent follow-up of Sheikh Sultan bin Ahmed bin Sultan Al Qasimi, Crown Prince, Deputy Ruler of Sharjah, and Chairman of the Executive Council, which have placed Sharjah on the regional and international real estate investment map.' He added that the emirate continues to strengthen its role as a regional economic hub through a diversified economy and robust legislative framework that safeguards rights and boosts investor confidence. A total of 8,123 sales transactions were recorded during the quarter, a 32.2 per cent increase from 6,146 in Q1 2024. The transactions were spread across 169 areas, covering 46 million sq f and amounting to AED10.7bn ($2.9bn). The highest number of sales was recorded in Muwailih Commercial with 1,787 transactions worth AED1.9bn ($517m), followed by Al-Belaida (902 transactions, AED851m/$232m), and Al-Khan (536 transactions, AED665m/$181m). Residential properties dominated the sales segment, accounting for 78.9 per cent of transactions (2,894 deals). Industrial properties followed with 477 transactions (13 per cent), commercial properties with 259 (7.1 per cent), and agricultural properties with 39 (1 per cent). The department recorded 1,417 mortgage transactions worth AED2.4bn ($653m), executed through 21 financial institutions. The highest number was in Um Fanain (113 mortgages, AED170.6m/$46m), followed by Muwailih Commercial (66 mortgages, AED246.5m/$67m), Al-Hamriyah West (65 mortgages, AED158.6m/$43m), and Al-Sajaa Industrial (60 mortgages, AED148.2m/$40m). Four new residential projects were registered in Muwailih Commercial, Al-Tay, and Al-Tay West. Investors from 97 nationalities participated in Sharjah's real estate market during Q1 2025. Emiratis led with AED5.2bn ($1.4bn), which represented 39.8 per cent of total investments. GCC nationals invested AED509.8m ($139m/3.9 per cent), while Arab nationals invested AED3bn ($817m/22.3 per cent). Foreign investors contributed AED4.5bn ($1.2bn/34 per cent). The number of foreign investors rose 25.3 per cent year-on-year to 3,725, with 3,951 properties traded by non-UAE nationals, up 25.2 per cent. The growth is attributed to legislative reforms allowing foreign ownership in designated areas of Sharjah. Emirati investors topped the list with 7,198 properties, followed by Indian (796), Syrian (502), Egyptian (391), Iraqi (318), and Jordanian (303) investors.
Arabian Business
08-02-2025
- Business
- Arabian Business
UAE winter tourism campaign ends with hotel revenues 87% up at $517m
A winter tourism campaign in the UAE has ended with hotel revenues up a massive 87% to AED1.9bn ($517m). The Ministry of Economy announced the conclusion of the fifth edition of the 'World's Coolest Winter' campaign, which ran for six weeks from December 16, 2024, under the theme 'Green Tourism'. The campaign was launched in collaboration between the Ministry of Economy, the National Agricultural Centre, and local tourism authorities from across the UAE. World's Coolest Winter campaign in the UAE The campaign achieved remarkable success in promoting innovative tourism concepts that enhance diversity in the sector, in line with the national vision to develop an integrated tourism ecosystem based on global best practices. By encouraging green tourism, agritourism, and sustainable ecotourism, it contributed to fostering a dynamic tourism market, attracting investments and driving the sector's growth. Abdulla bin Touq Al Marri, Minister of Economy and Chairman of the Emirates Tourism Council, emphasised that the campaign unlocked new opportunities by promoting the UAE's diverse destinations and unique experiences across all seven emirates. The campaign effectively spotlighted the country's ecotourism attractions, lush landscapes, winter retreats, agritourism, nature reserves, and breathtaking scenery, attracting both local and international visitors. It also played a pivotal role in enhancing the UAE's appeal as an FDI destination, driving the development of high-value tourism projects in line with the UAE Tourism Strategy 2031. He said: 'The success of this campaign reinforces the UAE's long-term vision for tourism development by strengthening its global tourism competitiveness through diversified offerings and championing sustainability through ecotourism endeavours. 'Additionally, the campaign aligns with the 'Plant the Emirates' national programme, which aims to promote sustainable agriculture as an integral part of our community culture.' Bin Touq added: 'The fifth edition of the 'World's Coolest Winter' campaign has achieved remarkable success across all seven emirates. During its course, hotel establishment revenues soared to approximately AED1.9bn ($517m), reflecting an impressive 86.9 per cent growth compared to that of the fourth edition. 'Additionally, the total number of hotel guests exceeded 4.4m, marking a substantial 62 per cent growth, while hotel occupancy rates reached 74 per cent. 'This edition alone reached 224.7m people globally, taking the campaign's total global reach across all five editions to over 1.2bn people. 'This milestone further strengthens the UAE's position as a leading world-class tourism destination. Moreover, the campaign fostered deeper collaboration between tourism authorities and key industry stakeholders, amplifying diverse tourism experiences, pioneering projects, and unique attractions across the emirates. 'These efforts not only reinforce the UAE's competitiveness on the global tourism map but also lay a strong foundation for the long-term sustainability and growth of the national tourism sector, solidifying the country's unified tourism identity on the global stage.' The fifth edition of the 'World's Coolest Winter' campaign highlighted the vast diversity and major assets of green tourism across the UAE's emirates and regions. It promoted the competitiveness and appeal of natural, environmental, and agricultural destinations, boosting tourism activity among UAE citizens and residents while enhancing continuous growth in international tourist inflows. Moreover, the campaign spotlighted numerous innovative agricultural projects, particularly those initiated by young Emirati entrepreneurs who succeeded in growing plants and trees previously considered unsuitable to UAE's environment. Additionally, it showcased major agricultural projects supported by government entities or invested in by national institutions, utilizing advanced agricultural technology to establish sustainable farming practices. These include wheat cultivation, vertical farming, hydroponics, alongside the adoption of sustainability and conservation techniques in agriculture. The tourism sector also continues to demonstrate impressive growth, with hotel establishment revenues reaching AED37.1bn ($10.1bn) during January-October 2024, up 4 per cent compared to 2023. Hotel occupancy rates averaged 78 per cent over the first ten months of the year, a 2.7 per cent growth over the same period in 2023. Total hotel guests across the seven emirates reached about 24.9m during January-October 2024, growing 9.5 per cent compared to 2023.
Arabian Business
06-02-2025
- Business
- Arabian Business
TECOM net profit surges 14% to $330m after record revenue in FY2024
With occupation rate improving to 94 per cent, higher rental rates, and a retention rate at 92 per cent for the full year 2024, TECOM Group announced its revenue increased by 11 per cent YoY during the financial year to more than AED2.4bn ($650m). EBITDA increased 12 per cent YoY to reach AED1.9bn ($520m), reflecting strong operational performance across all business segments. EBITDA margin increased to 77 per cent, a 1 per cent increase compared to FY 2023. Net profit was up 14 per cent to AED1.2bn ($330m), while funds from operations (FFO) exceeded AED1.6bn ($440m) due to an increase in revenue and operational efficiencies. TECOM profits Malek Al Malek, Chairman of TECOM Group, said: 'TECOM Group's strong results in 2024 reaffirm our commitment to leveraging Dubai's robust economic fundamentals and contributing to its knowledge economy by attracting global companies and skilled talent across six key sectors. 'Supported by its consistent track record and its strategic roadmap, TECOM Group continues to attain strong performance, in addition to expanding its commercial and industrial portfolios through targeted acquisitions and the development of high-quality assets. 'The AED2.7bn ($740m) of investments announced through 2024 will further expand the Group's portfolio, enabling its continued sustainable growth.' Abdulla Belhoul, Chief Executive Officer of TECOM Group, said: 'Led by dynamic non-oil GDP growth, Dubai and the UAE are delivering sustained growth across the commercial real estate and the industrial sectors. We are perfectly positioned to support this trajectory as the leading owner and operator of specialised business districts that are attracting global companies and talent to the emirate. 'Driven by robust asset performance, strong customer demand, prudent cost management, and increased customer satisfaction, TECOM Group delivered substantial growth across revenue, EBITDA, and property valuation in 2024. We are confident in our ability to contribute towards Dubai's thriving economy as well as its blueprint for future growth as envisioned by Dubai Economic Agenda 'D33'.' Assessment of the group's Investment Properties (IP) portfolio, conducted by CBRE, ascertained a fair value of AED28bn ($7.62bn) as of 31 December 2024, representing a like-for-like increase of 11 per cent compared to 2023 level, and an increase of 22 per cent including new acquisitions. For Q4 2024, r evenue increased 11 per cent YoY to AED643m ($175.1m) and EBITDA grew by 9 per cent, reaching AED458m ($124.7m). Net profit was AED286m ($77.9m), lower by 8 per cent compared to Q4 2023 due to the application of corporate tax that came into effect from 2024 and the increase in financing cost for new acquisitions. The Board of Directors proposed a dividend payment of AED400m (8 fils per share) for the second half of 2024. The board has also reviewed the interim cash dividend for the second half of 2025 which is expected to increase by 10 per cent.
