Aldar's Noya project sells out in four hours

Developer says the Dh940m of sales recorded brings its total for the year to more than Dh3bn

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Aldar Properties said its latest project on Yas Island sold out within four hours of its launch.

The sell-out of the Dh940 million ($255.9m) project, made up of 510 townhouses and villas, increases the developer's year-to-date sales to more than Dh3 billion, it said on Saturday.

“The strong response we received on Noya is a prime example of our commitment to deliver the right property that meets the market demand and expectations of customers. It is also a clear testament to the strength of Abu Dhabi’s real estate market," Rashed Al Omaira, executive director of Aldar Properties' commercial division said.

Relative to the real estate markets in our region, Abu Dhabi is quite in balance from a supply-demand perspective

Aldar Properties is the UAE's biggest listed property developer with a market capitalisation of Dh22.64 billion at the end of last week. The company announced the launch of Noya, based in an investment zone on Yas Island, on Thursday. Construction of the project will begin by the middle of next year, with completion due by mid-2023.

The company said that 60 per cent of the buyers were UAE nationals and that about half were under the age of 45.

Average apartment sale prices in Abu Dhabi's major residential zones fell by 5.6 per cent from the first quarter of this year to the end of the third quarter, Cavendish Maxwell said in its third quarter real estate market report on Thursday. Average villa and townhouse prices fell 5.3 per cent.

Some 6,100 apartments and 450 villas are scheduled to be delivered by the end of this year, but actual handovers are likely to be much lower as projects are delayed and developers phase completions, the consultancy said.

Earlier this month, Aldar Properties reported an 8 per cent increase in third quarter net profit to Dh416 million as revenue jumped 30 per cent on the prior-year period to Dh2.1bn. The company finished the quarter with free cash of Dh2.5bn and Dh4bn of undrawn credit facilities, which chief financial officer Greg Fewer said could be used to fund acquisitions or further development opportunities.

"Relative to the real estate markets in our region, Abu Dhabi is quite in balance from a supply-demand perspective," he said.

"And we’re a market leader here so we have a very strong sense as to how much our market needs in any given cycle."