Dubai South and Aldar Properties Enters into A Joint Venture to Develop Grade A Logistics Facilities in Dubai South
February 27, 2024 at 01:03 am EST
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Dubai South and Aldar Properties have entered into a joint venture to develop Grade A logistics facilities in Dubai South. Through the partnership, Aldar and Dubai South will work collaboratively to bring new and premium
offerings to Dubai South's Logistics District, including build-to-lease and build-to-suit facilities. Aldar will be responsible for the design, development, and delivery of these new logistics assets, starting with a
Grade A logistics facility totalling almost 24,000 sqm of gross floor area (GFA). The plot adjacent to global brands including Amazon, Noon and DHL offers dual customs solution and is strategically located with high accessibility and close proximity to Al Maktoum International Airport. This first facility is expected to be completed and tenant ready by the end of 2024 and paves the way for further development of both build-to-lease and build-to-suit assets, for third-party logistics (3PL), ecommerce, and retail tenants. Having identified the logistics sector as a key asset class of focus, Aldar is adding selective exposure to the segment aligned with its asset diversification plans into alternative and high-growth real estate asset classes. The projects being developed with Dubai South form part of Aldar's recently announced AED 1 billion investment in logistics real estate, which also includes the development of other build-to-suit and build-to-lease projects across the UAE, and the acquisition of 7 Central Logistics Hub and an adjacent plot in Dubai Investments Park.
Aldar Properties PJSC is a United Arab Emirates-based real estate development and investment company that undertakes and operates a portfolio of real estate projects in the United Arab Emirates. The Company is engaged, along with its subsidiaries, in the development, sale, investment, construction, management and associated services for real estate. In addition, the Company is also engaged in the development, management and operation of hotels, schools, marinas, golf courses and theme parks. The Companyâs subsidiaries include Al Raha Gardens Property LLC, Al Jimi Mall LLC, Addar Real Estate Services LLC, Al Raha Infrastructure Company LLC and Aldar Academies LLC, among others. During the fiscal year ended on December 31, 2012, the Company acquired additional 50% share in Nareel Island Development Company LLC (Nareel). On June 27, 2013, effective at the close of trading, the Company merged with Sorouh Real Estate Co PJSC.