Arada reports 46% rise in sales in 2022 to reach US $955.5mn
Exceptional sales performance comes off the back of a surge in the UAE property market, the developer said
Arada has reported a 46% rise in sales during 2022 to US $955.5mn off the back of a surge in the UAE property market. The developer said that it had an exceptional sales performance in 2022 thanks to an aggressive expansion into new markets, growing demand for its existing communities, and the overall strength of demand for quality housing in the UAE real estate market.
In total, it said that it sold 2,268 homes in 2022, which was a slight decline on the year before, as home buyers continued the recent trend of investing in larger and higher-value villas and apartments, the firm noted.
Over the course of the year, the developer launched its first project outside Sharjah, Jouri Hills at the popular Dubai master community Jumeirah Golf Estates, and witnessed strong sales at its existing communities, Masaar and Aljada.
In addition, the master developer secured favourable ratings from Moody’s and Fitch in June and also successfully completed its first public financing deal, raising US $450mn in a sukuk that was listed on the London Stock Exchange.
In late December 2022, Arada awarded two contracts worth $255mn for 986 homes at Masaar.
It also completed 3,982 units at its communities in 2022, including the last phase at its first project, Nasma Residences, which is now fully finished and handed over.
Ahmed Alkhoshaibi, Group CEO of Arada said, “2022 was a transformative year for Arada on a number of fronts, as we built on our market-leading position in Sharjah by launching the first in a series of projects we have planned for the Dubai market. We are heavily focused on delivering high-quality homes surrounded by world-class amenities in ideally located communities, and this is a proposition that is clearly being welcomed by buyers. Following the successful closure of our sukuk last year, we are extremely well-placed to continue our rapid expansion in 2023 by launching new projects, redoubling our construction efforts to deliver another 2,600 homes in the year ahead and welcoming ever more visitors to our communities.”
Arada’s best-performing project in terms of sales was once again Masaar, the upscale forested community located in the up-and-coming Al Suyoh district of Sharjah. In total, the developer sold property with a combined value $615.2mn.
Demand for property in Aljada, Sharjah’s largest ever mixed-use project, also remained high with the value of homes sold during 2022 reaching $285.86mn.
In early January 2023, Arada completed work on its US $190.5mn Nest project in Aljada.
The strong demand for homes was also reported at the recently launched Dubai project, Jouri Hills at Jumeirah Golf Estates. Following its launch in the last month of 2022, the developer sold property valued at $54.99mn.
Arada’s sales performance was reflected in the surging demand for property across the UAE. In Sharjah, the total value of property registered at the Sharjah Real Estate Registration Department in 2022 reached $6.5bn as demand for integrated communities in New Sharjah, where Arada’s projects are based, remained resilient. Meanwhile, the Dubai real estate market had its best ever year, with the total value of property registered at the Dubai Land Department rising by 78% to $143.7mn in 2022, in comparison to the previous year.
Since its foundation in 2017, Arada has now sold more than 11,000 units and has delivered 6,154 homes. Another 5,000 units are currently under construction across its communities, the developer concluded.
In mid January 2023, the developer awarded a $129mn contract for the Vida Aljada Hotel Complex to GAC.
