Abu Dhabi-listed real estate company Aldar has acquired a logistics building and neighbouring land in Dubai for 1 billion UAE dirhams ($272 million).

The company said in a statement to Abu Dhabi Securities Exchange (ADX) that it had acquired 7 Central logistics hub from Seven Seas Steel Industries LLC in Dubai Investments Park, with an adjacent plot to build further logistics space.

Aldar made its first logistics investment when it made a majority acquisition of Abu Dhabi Business Hub (ADBH) in 2022.

It plans to build 233,000 sqm of new Grade A logistics facilities across the UAE, according to the bourse filing, including single tenanted facilities and logistics parks in Dubai, totalling 200,000 sqm of gross leasable area (GLA).

The Abu Dhabi warehouse property is currently leased to tenants including Etihad, Mubadala and Twofour54, the statement added.

Talal Al Dhiyebi, Group CEO, said there was “particularly strong demand” for high-grade logistics facilities in the UAE.

(Writing by Imogen Lillywhite; editing by Bindu Rai)