Egyptian developer unveils Dh1.1 billion project in Dubailand

Property executives take a look at the scale model of Rukan during its launch in Dubai on Saturday.

Continental Investments, a subsidiary of Egyptian real estate developer Landmark Sabbour, has launched the Dh1.1 billion Rukan project in Dubai. Its parent company aims to list on the Egyptian and Dubai bourses by the end of this year, its chairman said.

Ahmed Sabbour said the plan is to float 25 to 30 per cent of the company and 3 investments banks have been appointed to evaluate the company's size.

"We will list our company on the Egyptian stock market before the end of the year. We are also studying the possibility of dual listing on the Dubai bourse. The company is still being evaluated by 3 advisory companies, so I can't divulge the value to be raised through the IPO," he said.

Commenting on the new project, Sabbour said a big portion of excavation work has already been completed and the foundation work will follow soon.

The first phase, which will make up around 50 per cent of the project, will be completed in Q3 2019 and 450 units will be delivered. The overall project consists of 900 units and will be completed in different phases.

Rukan is a combination of studios, 1, 2 and 3-bedroom apartments, townhouses and semi-attached twin villas.

"The price for a studio is Dh400,000, 1-bedroom apartment is Dh650,000, 2-bedroom is Dh800,000 and 3-bedroom will cost Dh1 million. We are targeting bank employees, millennials, Egyptians, Europeans and Emiratis," Sabbour said on the sidelines of the project launch.

The company has injected a big amount as equity and also raised Dh170 million from the Arab African Bank for the project, he added.

Continental Investments has so far delivered 59 projects. Last week, it launched a real estate project in Egypt which spans over 25 million sqft and will include 15,000 apartments and villas.

Continental Investments' first project in Dubai was Continental Tower which comprises 250 apartments.

"We usually go with private investors or funds but we are open to working with big developers like Emaar," Sabbour added.

Commenting on the Dubai property market, he said: "Dubai property market's outlook is positive and there will be an increase in property prices in coming years. There will also be more demand from buyers. I am optimistic."

- waheedabbas@khaleejtimes.com