Developer expected to close financing before the end of November
Meydan Group, the Dubai-based developer of hospitality and entertainment projects, is seeking a syndicated loan of a minimum of $122.5 million for the financing of a hotel development in the emirate, according to Reuters.
The developer is building a number of projects in Dubai, including the Dubai Canal – a 3km waterway that runs between Business Bay and the emirate’s coast. Other projects include residential projects near Meydan Racecourse, which is the home of the Dubai World Cup horse race.
According to a Reuters report citing unidentified sources, the Commercial Bank of Dubai is leading the discussions for the potential transaction. Financing is expected to close before the end of November, one source added.
Meydan Group was unavailable to comment, the report added.
In June 2016, it was announced that the group had obtained $272 million in financing from a consortium of banks to fund ongoing projects.
The consortium included Abu Dhabi Islamic Bank, Al Hilal Bank, Sharjah Islamic Bank and Ajman Islamic Bank. The funding consisted of a $190.5 million sukuk issue and a $81.6 million term facility, both of which will mature in 2024.
Another major project in the pipeline for the developer is the Meydan One master-development, which will feature the world’s tallest residential building.