Diversified portfolio spurs Nakheel profits to Dh4 billion

Nakheel has more than 23,200 residential units under construction at various locations across Dubai, including Palm Jumeirah.

Nakheel has announced a net profit of Dh4 billion for the first nine months of 2017 - a 2.5 per cent increase on the same period last year.

According to Reuters calculations, Nakheel's third quarter net profit was up 42.4 per cent. The developer made a Dh1.36 billion profit in the July-September period, up from Dh955 million, Reuters calculated based on the nine-month earnings statement.

Chairman Lootah had told Reuters in July the company would report a rise in 2017 profit from the Dh4.96 billion it made in 2016.

Nakheel has handed over almost 1,200 units to customers so far this year.

The company's core business of residential development combined with its hospitality, retail and leasing businesses contributed to the results for the first three quarters.

Nakheel chairman Ali Rashid Lootah said: "The growth in our net profit signals stability and maturity in Dubai's real estate market and reflects our ongoing strategy to diversify our business."

Nakheel has awarded construction contracts worth over Dh7 billion so far this year, including a Dh4.2 billion contract for Deira Mall and an Dh1.5 billion contract for The Palm Gateway, with more due by the end of the year.

Other milestones include completing Warsan Village and Jumeirah Islands Townhouses and 401 homes at Al Furjan. Nakheel also broke ground on hotels at Ibn Battuta Mall and Dragon Mart.

Nakheel has more than 23,200 residential units under construction at various locations across Dubai, including Palm Jumeirah, Nad Al Sheba and Jumeirah Park. Its current and future retail portfolio comprises over 17 million sqft of leasable space, including 13 million sqft under development. Its hospitality collection has 17 hotels and serviced apartment complexes, two of which are open, with 6,000 rooms between them.

- business@khaleejtimes.com