Memon Investments on track with construction of all projects within its AED 1.34 billion portfolio

Memon Investments on track with construction of all projects within its AED 1.34 billion portfolio

Developer asserts commitment to delivery despite delays and cancellations of 48 real estate projects in UAE

June 14, 2009

Memon Investments, a leading Dubai-based property developer and part of the international business conglomerate, the Memon Group of Companies, announced that it is on track with the construction of all its projects in Dubai, which are collectively valued at AED 1.34 billion. The developer is asserting its commitment to delivery despite the massive delays and cancellations of 48 real estate projects in the UAE. The report, which was released by REIDIN.com, the world’s first and leading global online information services provider, also revealed that majority of the troubled projects are high-end residential and commercial developments, as the drop in sales and strict financing have forced developers to reconsider their project’s viability.

According to the same report, there are 37 projects in the UAE that are currently on hold, with 11 projects marked as completely cancelled. Underlining its capacity to proceed with the construction of all its launched projects given its strong financial standing, Memon Investments has pointed to the first development within its ‘Champions Tower’ series, and the ‘Cambridge Business Centre’ which is expected for delivery by the end of 2009. Having strictly adhered to the Escrow Law and registered with the Real Estate Regulatory Agency (RERA), the developer is expecting a boost in investor confidence as a result of its efforts to ensure security for their investments.

“The global recession has created an astounding backlash to the regional real estate sector that has even the largest real estate players in the region reeling from its blows,” said Ahmed Shaikhani, Managing Director, Memon Investments. “We are proud to be still standing strong amidst the downward momentum that is sweeping the regional real estate market, and we believe that this has been the result of our unwavering commitment to meeting our clients’ needs, combined with our strong fundamentals and financial backing. We are confident that the current economic conditions will have little effect on the construction of our projects.”

Memon Investments has launched a total of five projects in Dubai Sports City, including four towers within the ‘Champions Tower’ series and ‘Frankfurt Sports Tower I’, in addition to 'Gardenia I & II’ in Jumeirah Village, and 'Cambridge Business Centre' in Dubai Silicon Oasis. In line with the reported decline in the construction cost per square foot within the UAE since the onset of the economic crisis, the developer has committed to further strengthening its partnership with leading construction companies.

“The challenges posed by the current economic crisis are true tests to the commitment of organisations to delivering their promises and to their resolve to overcome difficult situations. As an established player in the real estate realm, we have taken the necessary adjustments to combat the repercussions of the crisis, which we believe can be further countered with a continuous stream of positive measures spearheaded by the UAE Government. Through the combined efforts of the government and the industry, I have high hopes that we will be able to weather the challenges brought by the current slump in the market,” concluded Shaikhani.