Company launched in partnership with Al Oula Real Estate Development
Joint venture to enhance standards of real estate finance sector and meet requirements of the Saudi market
Dubai, July 9, 2007 : Tamweel PJSC, the largest provider of real estate finance in the UAE, today announced the launch of a new real estate finance company in Saudi Arabia, after signing a joint venture agreement with Al Oula Real Estate Development.
The agreement was signed in Al Riyadh City in the presence of Sheikh Khaled bin Zayed bin Saqer Al-Nehayan, Chairman of Tamweel; Suleiman Al Muhaideb, Chairman of Al Oula Real Estate Development; Ayed Al Qahtani, Managing Director of Al Oula Real Estate Development; and Adel Al Shirawi, Chief Executive Officer, Tamweel.
Sheikh Khaled said: "Saudi Arabia is considered to be the largest among the real estate markets in the region. This market has great potential to achieve consistent growth, taking into consideration the local demographics as well as the exceptional performance of the Saudi economy."
He added: "The Saudi market is set to be the first stage in Tamweel's expansion plans. Our partnership with Al Oula Real Estate Development is based on the company's strong performance and its investment portfolio in the Saudi market. Al Oula Real Estate Development is also among the first institutions to enter the UAE market, where it managed to establish successful business alliances."
He pointed out that Al Oula Real Estate Development's long-term vision has persuaded Tamweel to be part of this joint venture to establish a real estate finance company in Saudi Arabia.
Adel Al Shirawi said: " Choosing your partner is the most significant factor in any business transaction. Al Oula Real Estate Development has great ambitions and plans. On the other hand, Tamweel aims to establish itself as the biggest real estate finance company in the Saudi market, reflecting its experiences in UAE, where it became the biggest real estate finance provider within three years, Also, the partnership will help enhance standards in the real estate finance field and meet the requirements of the Saudi market.".
He added: "The Saudi market requires more than 200,000 residential units per annum. There is very strong demand and low supply. This indicates that the market has a great potential and offers unique opportunities. Tamweel will use its expertise to provide the best in products and services."
Al Shirawi concluded: "The new company will conduct studies to track the supply and demand factors of the real estate market. This will help us to create a comprehensive picture of the real estate sector and set up a practical mechanism to offer the best services."
He stressed that Tamweel's business plan will be based on securitisation of its real estate finance portfolio. Tamweel will sell these securities in foreign markets to achieve higher profit margins. This will give the company an advantage to achieve better performance than its competitors in the local market."
Suleiman Al Muhaideb said: "This announcement coincides with several facts, such as economic growth, the opening of the Saudi market and the need for more real estate companies. Our partnership with Tamweel will add value to the real estate finance sector in the local market, as the new company will satisfy the growing needs for real estate finance products and services."
He noted: "Tamweel is recognised as the largest real estate finance provider in the UAE. The company's expertise in this field will certainly be of great value for the Saudi market."
Ayed Al Qahtani said: "The Saudi market requires a wide range of real estate finance products that cater to its diversified segments. The establishment of this new company will enhance our knowledge of the market, determine its needs and set a future vision for other real estate finance companies to follow."
The licensing procedures to offer real estate finance and mortgage products in Saudi Arabia are in process.
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About Tamweel PJSC:
Tamweel, the largest provider of real estate finance in the UAE, was established in March 2004 and became a public joint stock company in June 2006. A provider of a wide range of unparalleled customer-service solutions and innovative home finance products, Tamweel works with 265 partners across country. The company, which aims to become the regional home finance leader, currently has branches in Dubai, Sharjah and Abu Dhabi. For more information, please visit www.tamweel.ae.
About Al Oula Real Estate Development.
Diversification in investment fields constitutes one of the most prominent strategies on which the company relies. On top of these projects is the Al-Oula Towers ( Abraj Al-Oula ) at the cornice of Al-Khobar city, at a center of a busy area of Al-Khobar, occupying an area of 98 Thousand sq. m. The project allows investment in building towers up to sixteen floors.
The company uses the best techniques and applies the international standards to develop its projects . This distinction in attributed to the system the company applies in running the company and in responding to clients' requests, providing the best examples on the means to deal in the field of real estate investment, which is regarded as one of the outstanding development investments.
For further information, please contact:
Nabil Abou Alwan
Tamweel PJSC
Dubai, UAE
Tel: +971-4-2944400
Fax: +971-4-2944331
Nicholas Nesson / Gunjan Chaurasia
ASDA'A Public Relations
Exclusive Affiliate of Edelman, Middle East & North Africa
Dubai,
UAE
Tel: 971-50-4785324 / 50-2797034
Fax: 971-4-3356080
E-mail: n.nesson@asdaa.com /g.chaurasia@asdaa.com
© Press Release 2007
