Saturday, Dec 16, 2006
DUBAI (Zawya Dow Jones)--Saudi-based Baghlaf Group and U.A.E.'s Rasmala Investments have set up a 1-billion Saudi riyal ($267 million) joint venture to invest in the GCC real estate sector, the companies said in a statement Saturday.
The joint venture, called iHilal Baghlaf Development Co., will be develop its first project in Dubai's Technology, E-Commerce and Media Free Zone, it said.
The 36-storey office tower will have over 1 million square feet of office space and will be sold on a freehold basis to regional and international corporations, the statement said.
Rasmala's Chief Executive Ali Samir al Shihabi said construction will begin at the beginning of 2007 and will finish mid-2009.
The Gulf Cooperation Council countries are in the midst of a massive construction boom as they look to transform into dynamic business and tourism hubs to insulate against a fall in oil prices and dwindling reserves.
-By Mirna Sleiman, Dow Jones Newswires, 00971 42235676, mirnasleiman@dowjones.com
Copyright (c) 2006 Dow Jones & Company, Inc.
(END) Dow Jones Newswires
16-12-06 0809GMT
