Union Properties in Dh218.8m loss

Union Properties slipped into losses totalling Dh218.8 million against net profits of Dh62.32 million a year ago.

Bank financing costs related to subsidiaries’ loans “contributed significantly” to achieving net losses last year, “which are currently being settled,” the Dubaiheadquartered developer said in a statement issued to Dubai Financial Market.

The company instead focussed on the silver lining — that despite the “stagnation” in the real estate sector, the “Group was able to achieve revenues exceeding half a billion dirhams”.

Indeed, revenues were at Dh535.5 million, though down from Dh762.08 million in 2018. It was last month that Union Properties issued a partial turnaround plan, built around a Dh200 million expansion of Dubai Autodrome. It also envisaged turning the destination into a standalone company. The developer added that it was negotiating a MoU with China National Chemical Engineering Ltd for the expansion.