UAE property developer Arada unveiled the third phase of its Dh8 billion ($2.17bn) residential project in Sharjah due to strong investor demand as the country's property market rebounds from the coronavirus pandemic-induced slowdown.
The new phase of Masaar, named Robinia, will have 565 villas and townhouses and is expected to be completed in the second quarter of 2024.
Robinia, which features two-bedroom townhouses and premium five-bedroom forest villas, has been brought forward after the first two phases of the Masaar project sold out owing to high demand from buyers, Arada said on Wednesday.
“Masaar has already attracted significant buyer interest from a wide range of nationalities,” said Ahmed Alkhoshaibi, group chief executive of Arada.
“We are therefore pleased to launch sales for our third phase, Robinia, which focuses on uplifting wellness and sustainability for families that value quality of life, natural landscapes and exceptional community amenities.”
The launch of the new project comes as the UAE’s property market continues to recover from the pandemic on the back of government initiatives such as residency permits for retirees and remote workers, as well as the expansion of the 10-year golden visa programme and the economic boost generated by Expo 2020 Dubai.
The value of property deals in Dubai more than doubled last year and broke a 12-year record in terms of sales transactions, buoyed by demand in the secondary real estate market, according to listings portal Property Finder.
Sharjah recorded 21,615 real estate transactions worth Dh6.3bn in the first quarter of 2022, according to a Wam report in April.
Arada announced the launch of Masaar, which means "path" in Arabic, in January last year. The project, spread over eight gated districts, has 4,000 homes with a green spine featuring 50,000 trees.
Masaar is being built in the Suyoh district, which is close to Tilal City, Sharjah mosque and Nasma Residences.
The first contracts for the project were awarded in May last year, including one for infrastructure design and supervision consultancy services, which was won by Parsons Overseas. The contract to build the Masaar Experience Centre and show villa was awarded to ASGC.
Two more contracts to build infrastructure and provide landscaping services in Masaar’s central precinct and the buffer zone around the outside of the project were awarded in March.
In May, Arada also awarded two contracts worth Dh460 million to build the first residential district, Sendian. Contracts for both the second residential district, Kaya, and the third, Robinia, will be awarded before the end of the third quarter, the statement said.
Arada is a joint venture between KBW Investments ― a company controlled by Saudi Arabia’s Prince Khaled bin Alwaleed ― and Sharjah-based Basma Group.
Earlier this month, the developer raised $350m by issuing a five-year sukuk. The dollar-denominated Islamic bond is listed on the London Stock Exchange and is the first real estate issuance from the Middle East and North Africa region in 2022.
Since its launch in 2017, Arada has launched three mega projects in Sharjah, with a combined sales value of Dh33.5bn. It also announced the purchase of a plot of land on The Palm Jumeirah in Dubai for Dh240m as part of its expansion plans outside Sharjah.
The developer is targeting 25 per cent sales growth in 2022 to Dh3bn on the back of the UAE’s property market recovery from the pandemic. It also aims to complete 4,000 homes during the course of the year.