Abu Dhabi-based Eshraq Investments said it has recorded resounding success with the sale of two prime plots within the Jumeirah Village Circle (JVC) to Danube Properties in October last year. 

 

Giving an update to its shareholders on the Danube transaction, Eshraq Investments said in October last year, it had entered into a deal with the Dubai developer for the sale of JVC plots for an initial purchase price of AED33.1 million ($9 million).

 

In addition to this, the sale and purchase agreement also provided for an annual profit and an earnout mechanism payable to Eshraq tied to the projects’ profits, it stated.

 

Eshraq Investments pointed out that Danube had last month unveiled its AED550 million Elitz project on these  JVC plots which got fully sold out. 

 

The project, which taps into growing demand for affordable housing in the UAE, was snapped up by investors, buyers and brokers on launch day. It is expected to be handed over by December 2025. 

 

Eshraq pointed out that the successful launch of the project de-risks the Abu Dhabi group’s collections from this sale. 

 

The transaction is testament to Eshraq’s commitment to delivering optimal value to its shareholders through reputed partnerships with trusted UAE developers. It also highlights the continued progress of the company's land monetisation programme as approved by the board of directors last year.

 

On the solid success, Chairman Jassim Alseddiqi said: "We congratulate Danube Properties on yet another successful project launch. We remain committed to delivering exceptional value to Eshraq’s shareholders through reputed partnerships that support the efficient execution of our land monetisation programme."

 

"We remain confident that our actions will enhance Eshraq’s profitability and shareholder returns," stated Alseddiqi.

 

A leading player in the UAE, Eshraq Investments boasts assets of more than AED3.8 billion in real estate, public equities, fixed income, private equity and debt products. 

 

Eshraq's land monetisation programme is being implemented with the goal of fully monetising the company's land bank over the next three years through the sale or engagement of partners to develop the land bank and its subsequent sale, he added.-TradeArabia News Service