Aldar Properties are set to expand to Dubai with an AED 1bn investment!
Dubai’s residential real estate landscape has been buzzing with anticipation and demand for many new projects to drop, but many oversee the need for logistic facilities and factories. So, in a strategic move to cater to the surging demand for Grade A logistics facilities, Aldar Properties, a leading UAE real estate developer, investor, and asset manager, has unveiled plans to invest an additional AED1 billion in expanding its logistics real estate business across Dubai!
And here’s everything you need to know about it…
The first logistics acquisition in Dubai by Aldar - and how?
Aldar has completed its first logistics acquisition in Dubai by acquiring the 7 Central logistics hub, along with an adjacent plot. This move is aimed at doubling the gross leasable area from the current 19,000 square metres to 38,000 square metres and the facility is located in Dubai Investments Park.
The development and expansion pipeline
Aldar's expansion plan comprises a comprehensive development pipeline, featuring the construction of 233,000 square metres of new Grade A logistics facilities across the UAE.
This initiative includes the development of both single-tenanted facilities and logistics parks in Dubai, totaling 200,000 square metres of gross leasable area. For this, they have also collaborated with established logistics real estate players, and since Aldar is poised to accomplish this ambitious development!
As part of their expansion strategy, Aldar also plans to add 33,000 square metres of gross leasable area to its premium logistics facility in Abu Dhabi Business Hub (ADBH). Currently the same place is fully leased at its capacity of 132,000 square metres, and ADBH serves as a crucial hub for institutional tenants, including Etihad, Mubadala, and Twofour54.
Aldar’s growth and future plans
Talal Al Dhiyebi, who is the Group Chief Executive Officer of Aldar Properties, shared the importance of asset and geographic diversification in the company's growth strategy. He highlighted that the robust demand for high-grade logistics facilities in the UAE, is fueled by strong intra-regional trade, top-notch infrastructure, and a growing digital economy. Aldar aims to leverage its unique blend of development expertise, balance sheet investment, and asset management to create substantial value.
The growing demand for logistics in Dubai’s market
The growth of the UAE's logistics sector is underpinned by substantial investments in transportation and infrastructure, contributing to economic diversification. Aldar is witnessing notable demand for various logistics facilities, including supply chain and fulfilment warehouses, as well as last-mile centres. These facilities primarily cater to tenants in sectors such as third-party logistics (3PL), e-commerce, and retail.
Aldar Properties' strategic investments underscore its commitment to meeting the evolving needs of the logistics industry and positioning itself as a key player in the thriving real estate landscape of Dubai and Abu Dhabi.
Impressive, right?
Want to know more about Aldar’s other upcoming projects in Dubai? Click here to read about it.
Until then, drop a line to our Head of Developer Sales; Fintan Flannelly, to know more about Aldar’s projects in Dubai.