Ras Al Khaimah Government Takes 34% Stake in RAK Properties
The Ras Al Khaimah real estate market has received a significant endorsement as the Government acquires a 34 percent share in leading developer RAK Properties. This strategic move follows the March AGM, where the Government expressed its intention to expand its stake, subject to ADX approval. The partnership has now been finalized with the Government’s stake increasing to 34 percent, pending SCA approval.
Strong Financial Performance Fuels Strategic Partnership
The decision to increase the stake is a direct result of the substantial growth in revenue and net profit that RAK Properties experienced in 2023, along with a robust Q1 2024 performance. This financial success signals strong demand for the company’s property and hospitality ventures, further justifying the Government’s confidence and investment.
Commitment to Lifestyle Destinations
RAK Properties has demonstrated a steadfast commitment to developing premier lifestyle destinations, including flagship projects like Mina Al Arab, Hayat Island, and Raha Island. The increased stake reflects the Government’s recognition of the value of master plan-led developments and their essential role in the Emirate’s growth.
Leadership Perspective
Abdulaziz Abdullah Al Zaabi, Chairman of RAK Properties, commented on the strategic investment: “The Government’s strategic investment and increased stake in RAK Properties underscore their belief in our vision. This collaboration will not only provide us with the resources to accelerate our growth and innovation but also reinforces our commitment to bringing luxury living to RAK. Together, we are poised to drive forward transformative economic, social, and environmental projects that will benefit Ras Al Khaimah.”
Future Prospects and Innovation
The partnership is expected to unlock new opportunities for RAK Properties, enabling the company to undertake more ambitious projects. With the additional resources from the Government, RAK Properties aims to innovate further in the real estate sector, incorporating advanced technologies and sustainable practices to enhance their developments.
Community and Economic Impact
The Government’s stake in RAK Properties is anticipated to have a positive ripple effect on the wider community and economy of Ras Al Khaimah. By driving forward key projects, this collaboration will likely create new job opportunities, attract foreign investment, and boost the local economy, contributing to the overall prosperity of the Emirate.
Reference: Arabian News
