The National - News

Emaar Properties looks to raise $1.4bn through sales of non-core assets

- SARAH TOWNSEND

Emaar Properties, Dubai’s biggest real estate firm, plans to sell non-core assets including the bulk of its hotel portfolio and several schools and healthcare facilities to raise $1.4 billion, according to a news report.

The company has hired Standard Chartered bank for the sale process and is close to a deal with several parties, the UK’s Financial Times reported yesterday, citing unidentifi­ed people briefed on the process.

Emaar wants to raise $700 million by selling its entire hotel portfolio apart from two properties, and an additional $700m from clinics and schools across its mixeduse communitie­s, according to the FT.

A spokeswoma­n for Emaar declined to comment on any planned asset sale.

Emaar “regularly considers various financing options as part of our strategy to streamline our business and generate significan­t value for the company,” she said in a statement to The National. “We will announce details regarding such opportunit­ies as and when they are finalised.”

The UAE real estate market has been subdued in recent years, with sales and rental prices declining in most segments amid sluggish economic conditions and muted demand in the wake of a three-year period of low oil prices.

Emaar entered into a Dh30bn strategic partnershi­p with Abu Dhabi’s biggest property developer Aldar in March, and the pair intend to create efficienci­es through jointly building projects including Saadiyat Grove in Abu Dhabi, and Emaar Beachfront in Dubai.

Emaar wants to raise $700m by selling its entire hotel portfolio apart from two properties and another $700m from clinics and schools

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