Al Arabiya Real Estate Company

The Kuwait-based Al Arabiya Real Estate Company (AREC) specializes in real estate development and investment, ownership and operation of hotels.

As part of its regional expansion, AREC is establishing and investing in companies and hotels in Egypt, the UAE, Saudi Arabia, Morocco, Iran, Jordan, Syria and Oman.

In the UAE, AREC acquired in 2007, an 86,300 sq. m (928,865 sq. ft.) plot of land worth AED1.34 billion (USD365 million) from The Lagoons, a subsidiary of Sama DubaiSama Dubai; the company will develop it into the Arabian Gardens, an AED1.2 billion (USD327 million) project, to be competed by 2011. AREC entered the UAE in 2000, when it built the Sharjah Rotana HotelSharjah Rotana Hotel.

AREC entered the Egyptian market in 2007, when it established Sharm Dreams for Real Estate Development Company. In January 2008, it entered into a joint venture to establish Murooj Real Estate, an EGP120 million (USD22.1million) company, which will own and manage the Al Murooj project in the Sixth of October City. The EGP351 million (USD 64.6 million) project will be built on a 378,000 sq. m (4.1 million sq. ft.) plot and will feature 355 villas, a palace and many gardens.

In Jordan, the company established the House of Business Real Estate Company in 2004 to perform real estate activities. The company was formed as a joint venture between AREC, the UAE-based Eqarqat.com, the Jordan-based Arab Real Estate Development CompanyArab Real Estate Development Company and Taameer Jordan Real Estate CompanyTaameer Jordan Real Estate Company.

The company announced in April 2008 that Saudi Arabia will be the site of its future plans for a mixed-use city in the Eastern Province on an area of 12 million sq. m (129.1 million sq. ft.).

Listed on the Kuwait Stock ExchangeKuwait Stock Exchange, the company earned 50 % of its 2007 gross revenues from real estate investment operations, 29 % from real estate development and 21% from hotel operations.