Shaikhani Group plans to deliver 2,100 units in Dubai
Investors having a discussion at a stalll during Cityscape property expo.
Shaikhani group's 11 projects will deliver 2,100 residential and commercial units in Dubai Sports City, Jumeirah Village Circle and Dubai Silicon Oasis.
Of these, the company is in advanced stage of completion of Dh1.5 billion worth of projects involving 1,250 units while the rest are at the beginning of the development cycle that are expected to be completed by 2020.
The group has started delivering part of the six projects including five residential towers and a commercial project.
The Dubai-based company in May this year launched its Dh220-million Gardenia Residency in Jumeirah Village Circle (JVC), with investors being offered a post-completion payment plan of up to 10 years by banks. Work has started on the project, comprising 164 serviced apartments, and is expected to be completed in 2018.
Shaikhani Group, the multi-billion dollar international business conglomerate with diversified interests in real estate development, trading, manufacturing and IT is in the process of delivering 1,250 including residential and commercial units spread across six projects with a development value of Dh1.5 billion.
The company has recently announced Dh2 billion worth of projects that will see the development of 2,000 residential units being developed over a period of 4-5 years. With these projects, the value of the group's real estate portfolio will exceed Dh3.5 billion.
"We have already started works on the first of the five towers and will start working on the rest of the projects," Mahmood Shaikhani, managing director of Shaikhani Group, told Khaleej Times.
The company's existing projects that are being delivered, includes Champions Tower I, II, III and IV and Frankfurt Sports Tower - all located within Dubai Sports City as well as Cambridge Business Centre at Dubai Silicon Oasis.
Shaikhani Group, which comprises of 12 business entities, employs more than 350 people with an annual turnover exceeding Dh220 million ($60 million). The group is credited to have delivered more than 30,000 residential units in Pakistan and UAE, making it one of the largest property developers in Pakistan.
The group, which was earlier known as Memon Group, has recently rebranded as Shaikhani Group, had made an ambitious foray in Dubai's real estate market as early as 2006 with a Dh1 billion investment plan with the first six project that were delayed due to the global financial crisis of 2008-10. Talking about challenges in real estate market, Shaikhani said ups and downs are part of the economic activities. Property development is a long-term business and it moves in a cyclic order. "We are a long-term believer of the economic prospects of Dubai and the UAE. The real estate market has come a long way to mature in the last 15 years of the freehold property development. In between, we all went through the global financial crisis."
While the market went through the ups and downs and recovered from the crisis, the government continued to issue real estate laws and strengthen regulatory environment. The market is now well-regulated as it matured over the last 14-15 years, he said.
He believes that Dubai's real estate market is good while sentiments are down for others. "The slowdown of the market is an indication of the price movement and the demand-supply situation. This is part of the cyclic movement of economic sectors," he said.
"When I say the market is good, what I mean is that the market fundamentals as well as the legal framework, regulatory regime remain strong. The overall business environment in Dubai's real estate is good." The market is clean and the developers and buyers are real people, he said, adding: "What you are buying and booking for today, you know the project will be delivered at a certain time and you are assured of the delivery."
He believes that there are more buyers in the middle income group - who have stable household income with some savings. They could be turned into property buyers and owners, if prices could be brought down, he said.