Aldar acquires Nurai Island Resort and other Abu Dhabi islands

Aldar Properties has expanded its hotel portfolio with the acquisition of Nurai Island Resort and two new Abu Dhabi islands for residential development.

Abu Dhabi’s largest listed developer said it will implement a renovation plan and expand hospitality and dining services at Nurai Island Resort.

Two islands within the Abu Dhabi archipelago are “expected to be developed for high-end luxury beachfront villas,” the developer said on Friday.

“This acquisition enables Aldar to capitalize on operational luxury products that are highly attractive to select customers,” it said.

The developer did not disclose the value of the deal.

Nurai Island Resort is the company’s first beachfront hotel asset in Abu Dhabi and its second in the UAE. In April, it acquired the Rixos Bab Al Bahr Hotel Traded in Ras Al Khaimah for AED 770 million ($210 million).

Completed in 2015, Nurai Island is 2 km off the coast of Saadiyat Island and can be reached in 10 minutes by boat or helicopter.

In addition to luxury resorts, the island also includes third-party-owned water and manor housea portion of which forms part of the hotel lease pool and has entered into a lease-sharing agreement.

Jassem Busaibe, CEO of Aldar Investment, said: “The multifaceted elements of this transaction provide us with significant growth potential and operational improvement to enhance our existing and ready-to-execute luxury assets.”

“It also enables us to leverage our asset management and execution capabilities to drive further value as we continue to deploy capital efficiently and drive our ambitious growth agenda.”

Last year, Aldar adopted a new group operating model and divided its business into two parts. Aldar Investment is responsible for managing its AED22 billion recurring income asset portfolio, including its hotel portfolio, while Aldar Development is responsible for building the company’s 75 million sqm land bank.

Jonathan Emery, chief executive of Aldar Development, said the acquired island “will attract holiday home buyers and investors who will command a premium for their properties in a niche part of the short-term rental market” .

Earlier this week, Alpha Dhabi Holding, a subsidiary of Abu Dhabi-listed conglomerate International Holdings, Increases its stake in Aldar Properties Become the parent company of a real estate developer.

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Updated: July 1, 2022 9:38am