By: Amr Adel
Dubai – Mubasher: Dubai-listed Damac Properties is looking forward to expanding in one or two new markets in Europe, in addition to the British market, according to chairman Hussain Sajwani.
This step is still subject to "thorough studies” especially since the laws and regulations governing the real estate sector in the target markets in Europe are "not easy", he told Mubasher in an interview, adding that the company is taking "careful" steps in this regard.
Damac plans to expand in the British real estate sector, Sajwani noted.
Two years ago, the company had launched its first project named Aykon London One in London, which took three years of study and preparation before starting construction.
Aykon London One is a 50-storey residential tower worth €645 million, scheduled for completion in 2020.
The real estate developer will focus on its current projects in the Gulf region, and has “no intention” to expand in other markets in the Middle East.
Damac already operates in Dubai, Abu Dhabi, Doha, Riyadh, Jeddah, Jordan, and Beirut.
The company's relation with The Trump Organization is “purely commercial", he said, noting that there are no plans for future projects to be carried out in cooperation with the organisation.
Trump International Golf Club Dubai was launched in February, as part of a 42 million-square metre real estate development called Damac Hills.
The company delivered 500 apartments and villas of the project until now, with a plan to hand over another 1,000 apartments and villas in the coming period.
Damac is expected to see a better performance in the first quarter of 2017 as compared to the same period of last year.
It also posted higher sales year-on-year in the three-month period ended 31 March 2017.
The company is expected to see a performance in 2017 similar to 2016, with expectations that sales will reach AED 7 billion ($1.9 billion).
Damac has been committed to distribute 25% cash dividends in the past two years, he said, adding that the company is likely to continue maintaining good dividends.
The company has no intention to list its hospitality arm, Damac Hotels and Resorts, at the present time.
Dubai’s real estate sector is stable, he said, adding that there is a balance between supply and demand.
The market volume reaches around 500,000 units to date, he highlighted
The real estate industry is expected to see between 10,000 and 15,000 additional units within the coming two to three years.
Translated by: Julian Nabil
