Kuwaiti-based Grand Projects Company is looking to invest $3 billion into a variety of Dubai property developments including some that could rival the Palm in size pending approval from local government.
Grand already has $3 billion invested in projects distributed around the region, including the UAE, Kuwait, Saudi Arabia, Sudan and Jordan.
"This is one of the main projects that we are planning for Dubai and the UAE. We have a lot of ideas and other investors have already expressed interest in joining forces with us," said Sami Bader, chairman of Grand.
Bader said Grand took its first steps into the Dubai property market with a 30 per cent stake in Zaabeel Mall, worth Dh720 million. The new mall which will also include hotel apartments, a mosque and a restaurant is under construction in the Dubai Health Care City in Bur Dubai.
Grand, along with Five Star Real Estate Company and Bahrain-based Investors Bank, have established an investment company, Ain Dubai, specifically for this project. Five Star has a 60 per cent stake and the remaining 10 per cent is held by Investors Bank.
Abdullah Al Mulla, general manager of Five Star Real Estate Company, said the new mall is built on land owned by the Al Wasel Sports Club. Ain Dubai paid Dh280 million for a 30-year lease, after which both the 1.6 million-square-foot property and the mall revert to the club.
Ain Dubai still expects to pull a hefty profit out of the development, since the entire project should be paid off in seven years, according to the company's projections. The project is expected to open in roughly 22 months.
"Ain Dubai Investment Co (also) plans to execute industrial projects in the UAE. The UAE and Gulf region are experiencing amazing development during this time," Al Mulla said.
Gulf News
