Aldar expands Dubai portfolio with office tower on SZR and acquisition in DIC
Aldar Properties, a leading Abu Dhabi-based real estate company, is expanding its footprint in Dubai with two significant developments. The company is set to build a Grade A office tower on Sheikh Zayed Road (SZR) and has acquired the ‘6 Falak’ office building in Dubai Internet City (DIC).
New Office Tower on SZR
Aldar will develop a premier office tower beside the Dubai International Financial Centre (DIFC). This marks Aldar’s first commercial project in Dubai following its recent successful residential projects. The tower will feature a net leasable area (NLA) of 88,000 sqm, including a luxury boutique hotel and branded residences. Positioned on one of the last remaining undeveloped ‘double’ plots in the area, this development is expected to be completed by Q4 2027 and will offer excellent connectivity, being within walking distance of the Emirates Towers Metro Station.
Acquisition of ‘6 Falak’ in DIC
Aldar has also signed an agreement to acquire ‘6 Falak’, a newly built Grade A office building in Dubai Internet City from Sweid & Sweid. Completed in March 2024, ‘6 Falak’ boasts 9,100 sqm of NLA and is fully occupied by several blue-chip tenants, including Roland Berger, Merck, and IFS. This transaction is expected to complete soon, subject to final approvals.
Investment Details
The total investment for these projects amounts to AED 1.8 billion ($490 million), significantly enhancing Aldar’s presence in Dubai and contributing to the supply of premium office spaces in key business districts.
Strategic Significance
Group Chief Executive Officer of Aldar, emphasized that Dubai is a priority growth market for the company. He expressed excitement about developing an iconic commercial property adjacent to one of the UAE’s key business centers, leveraging Aldar’s development expertise to meet the growing demand for high-quality commercial spaces.
Aldar’s Growing Portfolio
These investments are pivotal to Aldar’s expansion strategy, marking its first commercial property investment outside Abu Dhabi. Over the past two years, Aldar’s commercial portfolio has grown substantially, now comprising 13 operational assets with a total NLA of over 465,000 sqm and an occupancy rate of 97 percent.
Future Plans
Aldar continues to explore further investment opportunities in Dubai, aiming to diversify its portfolio and strengthen its market position. The company’s strategic approach focuses on identifying and developing prime real estate assets that cater to the evolving needs of businesses and residents in the region.
Economic Impact
The expansion of Aldar’s portfolio in Dubai is expected to have a positive economic impact, contributing to job creation and supporting the city’s reputation as a global business hub. By delivering high-quality office and residential spaces, Aldar is poised to attract both local and international businesses, fostering economic growth and innovation.
Reference: Arabian Business
