Monday, Oct 24, 2011
(This story was originally published Sunday.)
DUBAI (Zawya Dow Jones)--Dubai-based Emaar Properties (EMAAR.DFM) said Sunday it has launched a new subsidiary, Dawahi Development, to cater for next-generation 'value housing' projects.
"Dawahi Development will function as a separate entity with a dedicated management team and professional staff members focused on value housing projects across the Arab world," Emaar said in an emailed statement.
It is hoped that the new subsidiary will become a leading regional developer of affordable housing catering for the Arab youth and their families by offering 'value homes' at attractive price points in key emerging markets across the Middle East & North Africa region.
Dawahi Development will also create robust employment and business opportunities for the local population, the company said.
"Dawahi Development will principally address the burgeoning demand for value housing in the region. The current housing shortage in some of the fastest growing cities in the Middle East alone is estimated at over 5 million units. To address the demand, Arab governments have announced investments of over $150 billion in middle income housing projects," the company said.
Emaar Chairman Mohamed Alabbar said while Emaar will continue to focus on the 'affordable luxury' real estate sector, Dawahi Development aims to provide management, master development design and program management for 'value housing' projects across the wider Mena region.
"Dawahi Development will leverage Emaar's competencies to create a greater volume of value homes through a unique supply chain management strategy, to ensure mid-price points. This new initiative complements Emaar's strategic long-term outlook to add value for our stakeholders by leveraging growth opportunities in emerging markets," Alabbar said.
Emaar shares closed trading Sunday 0.4% down at AED2.46 in a slightly lower overall market.
-By Tahani Karrar-Lewsley, Dow Jones Newswires; +9714 446-1692; Tahani.Karrar@dowjones.com
Copyright (c) 2011 Dow Jones & Co.
(END) Dow Jones Newswires
24-10-11 0357GMT
