Three Towers in Jumeirah Lake 100% complete, 70% sold

Naif Al Awadi: Service management contract awarded to expert services company to represent owners

Al Mazaya completes 100% of Business Avenue Towers on Jumeirah Lake, begins handover of units

Al Mazaya lays out landmark strategy to restructure the project

Building Director appointed, as required by laws

Expert special service company appointed to represent owners as per Strata Law

Dubai, 17 April 2011 - Al Mazaya Holding, the region's leading real estate company, has begun to handover residential units in the company's Business Avenue Towers project in Jumeirah Lakes, Dubai, to owners after completing the sale of two towers in the three-tower project. Seventy percent of the project has now been sold, while the firms is still in the process of leasing and selling the third tower.

Al Mazaya adopted a milestone restructuring strategy that enabled the company to alter the project's timeline and cash flow, and after adjusting payments based on actual levies, while supporting development work and speeding up the delivery process by making use of its own providers, Al Mazaya was able to complete and deliver the project timeously.

Speaking of the attractive offers for the current sale and lease of the third of the Business Avenue Towers, Eng. Naif Al Awadi, CEO of Al Mazaya's Dubai Operations, said, "Al Mazaya has reduced sale and lease costs in order to offer attractive options that reflect the market's current situation, as well as the project's strategic location at Jumeirah Lakes, the availability of appropriate infrastructure among other aspects."

"Al Mazaya's great achievement is its ability to maintain its commitments and fulfil its promises with regard to the completion of the Business Avenue Towers project, despite the challenges and difficulties that have faced real estate markets, including the Dubai Market. Al Mazaya opted to complete and deliver all of its previously announced projects as scheduled at a time when many property companies and real estate developers decided to rather freeze projects," he continued.

Al Awadi said that the Business Avenue Towers were designed to incorporate the latest in smart technology and communications, as part of an integrated system that provides the highest level of state-of-the-art services. This was made easier by the fact that the project is located in an area that is subject to Dubai's freezone laws, which allow the business sector to establish various companies that cater to its needs.

He reiterated that the sale and lease values of the project are in line with the market's current requirements, stating that previous feasibility studies or the actual cost of the project can have an effect on the projected cost.

"Al Mazaya intends to hang onto the third Tower as a long-term investment, and manage it through a rental system, allowing it to be an asset that generates income for our Dubai office as it continues to push ahead with previously announced projects. The firm will conduct in-depth research and studies to assess the status of the real estate market before embarking on projects in future," he added.

On the topic of an owners' association, Al Awadi said, "As per the Strata Law, Al Mazaya has appointed an expert special services company to manage services at Business Avenue Towers, as well as a Building Director, to represent owners, define work and internal rules, and obtain approvals from official bodies where necessary."

Al Awadi said that owners' associations have become one of the most important issues in Dubai's real estate sector based on the recently passed Strata Law, which deals with the setting up of owners' associations for new buildings, defines the developer's role in the first year, and details the property's ownership and the decision-taking mechanism in a manner that prevents conflict of interest.

Located at Jumeirah Lakes in Dubai, Business Avenue is designated for commercial office use. The project includes three 45-storey towers, which are linked to a 4-storey commercial centre with premium retail spaces.

-Ends-

About AL MAZAYA:
Al Mazaya Real Estate Development Co., listed on the Kuwait Stock Exchange and Dubai Financial Market, created a distinctive place for itself in the economic sector through the implementation of several major and vital projects across the region. The company provides comprehensive real estate services and products across various fields, including housing projects that include high class and deluxe villas, vertical flats and accommodation buildings, office buildings and the purchase and apportionment of large spaces in selected areas. The company's record includes a number of outstanding projects. In Kuwait this consists of, (but not exclusively): Al Maha Villas, 7 Zones, Al Roya, Clover Clinic, and Kuwait Business Town. In Dubai their projects includes (but not exclusively):  The Villa, Dubai Healthcare City, The Icon (1&2), Sky Gardens, Al Mazaya Business Avenue and Queue Point at Al Liwan, in addition to several other projects in Lebanon and Jordan. Al Mazaya Holding has conducted several feasibility studies for strategic investment in number of property markets and has investments in others such as KSA, Bahrain, Oman and Qatar, with the aim of achieving high returns.

For more information, please contact:
Serine Srouji
SAHARA Communications
Tel: +971 4 3298996
Fax: +971 4 3298995
Email: serin@saharagcc.com
www.saharagcc.com  

© Press Release 2011