ABU DHABI // Mounir Haider, the chief executive of Sorouh Real Estate, is stepping down from his role for "personal reasons", according to a company official. "He's going on to do other things," said the official, who declined to be named. Gurjit Singh, the current chief property development officer, is expected to be promoted to chief operating officer. Abubaker Seddiq al Khouri, the managing director of Sorouh, will continue running the company.
The management shake-up at Abu Dhabi's second-largest property developer comes at a difficult time for large master developers that have been hurt by falling prices of apartments and villas and reduced demand from investors. Sorouh is one of only two publicly-traded property developers based in Abu Dhabi. Like development companies across the sector, it has been feeling the impact of drastically lower sales. Sorouh's second-quarter profits dropped by more than 75 per cent to Dh151m (US$41.1m), compared to the same period last year. The earnings would have been significantly lower without a one-off Dh70m boost from the dissolution of a partnership with Tameer Holding.
Late payments from sub-developers on its Shams Abu Dhabi project have led managers to create a working group to find ways for developers to obtain financing and continue construction. The company has also cut prices and eased payment plans for home buyers at its Alghadeer and Gate Towers projects. Mr Haider was the founding chief executive of the company, arriving at Sorouh after spending several years as the head of the technical department and an executive vice president of Nakheel in Dubai. He could not be reached for comment. bhope@thenational.ae
