Emaar Development shareholders approved a special cash dividend representing 26 per cent of paid-up share capital.
The board of Dubai-listed real estate development unit of Emaar Properties, Dubai's largest listed property developer, proposed a distribution of a special dividend of Dh1.4 billion ($283.15m), or 26 fils per share, to shareholders, in a bourse filing on Tuesday. Quorum was reached at a general shareholder meeting on Wednesday.
Emaar Development listed on the Dubai Financial Market at the end of last year in the emirate’s largest initial public offering since 2014.
This year, the company reported a 73 per cent year-on-year rise in second quarter net profit to Dh997m, beating analysts’ forecast as “strong” demand for its residential projects boosted revenues, it said in a filing at the time. Revenues for the quarter surged 145 per cent to Dh3.72 billion.
Net profit for the first half of 2018 lifted 68 per cent year-on-year to Dh1.82bn, Emaar Development said in its statement Wednesday. It launched 3,600 residential units across its developments in Dubai in the first six months of the year, and has a development pipeline of more than 60 residential projects in the UAE totalling 28,000 units.
The UAE real estate market has witnessed sales and rental declines in recent years on the back of a three-year oil price slump, but sales of luxury property has held up comparatively and analysts predict prices could start to recover from 2019.
Emaar Development said construction is progressing as planned for handover of its first waterfront homes next year in its parent company’s Dubai Creek Harbour mega-project. Several other milestones have been met for delivery of homes in Dubai Hills Estate, Emaar South, Emaar Beachfront and Downtown Dubai, the company said.