Select Group, one of the largest private real estate companies in the UAE and developers of the current world’s tallest residential towers, The Torch, today said that they are poised to deliver over 1,700 residential units in Dubai Marina, marking a significant milestone in Dubai’s realty sector weathering a downturn.
The developer said that the cumulative value of the three projects is AED 1.85 billion, adding that the delivery of these projects also signifies Select’s confidence in the long-term prospects of Dubai’s real estate sector as well as the emerging positive signs of a gradual recovery of the market.
Mr. Rahail Aslam, Chairman, Select Group, said: “There is no doubt, the property market in Dubai has gone through one of the toughest and challenging phases in the last two years with developers facing harsh choices of adjusting to the market conditions. The situation demanded patience and prudence and we now believe that Dubai’s real estate market is showing signs of an emerging momentum which should gather steam in the foreseeable future.
He said the market will soon see a more sustainable growth cycle from increased demand and a slow down in quality supply resulting in increased valuations, yield compression, and take up in the rental market in the medium to long-term. The potential of Dubai’s real estate economy in providing returns that are higher than the global average will kick start development activities in the medium to long term.
Select’s three projects which is in handover phase includes the 684-unit The Torch, and a 365-unit Botanica, which boasts of the only sky garden in Dubai’s real estate sector, and a three-tower podium development, Bay Central with a total of 735 apartments.
Mr. Aslam said the handover of apartments at The Torch is already more than two thirds complete with nearly 440 residents already moved in. “We are seeing an extremely positive response in all these three projects with a demand side resurgence making us state with confidence that we are regaining confidence on Dubai’s real estate market.”
Select had positioned the 86-floor AED 663 million The Torch as a tribute to Dubai honouring the cosmopolitan city’s spirit in fighting economic challenges and pursue its developmental vision. `The Torch’ at 348 metres (1,142 ft) is taller by 25 metres to its earlier rival and record holder Q1 Tower, which stands at 323 metres (1,058 ft).
“We believe in Dubai as a global and regional destination for investments and even amidst the current unrest in the region, the city continues to attract investors thanks to its reputation as a safe haven,” Mr. Aslam added.
Select is gearing up to a grand unveiling of Botanica, which is a prime development located in the middle of 5-star hotels in Dubai Marina and has a unique and first-of-its-kind double height botanical garden on the 27th floor. Construction of the 41-floor project valued at AED 393.5 million launched in 2007 is complete. Botanica is 87 per cent sold out to-date.
Construction of the Bay Central is in full swing and the AED 785.9 million project is 95 per cent complete as of November 2011. The first two residential towers – 43 and 51 floors respectively – of the project were launched for sale in 2006 and are 95 per cent sold out. The third tower is envisaged to be a 5-star hotel and serviced apartments which will be managed and operated by one of the reputed international hotel operators, completion of the Hotel is expected in early 2013.
“Tough times have not deterred us from pursuing our projects within a framework of prudence and diligence which shows that our commitment to Dubai’s property sector and our investors continues to be intact,” Mr. Aslam said, adding that “trust, integrity and sound corporate governance helped Select lead the way in achieving its goals.”