Union Properties sells Ritz Carlton in Dubai to pay off debts
Dubai’s third-largest developer, Union Properties, has announced the sale of its Dubai Ritz Carlton property. The proceeds of the sale will go to pay back some AED700 million in debt. The hotel at the Dubai International Financial Center was sold for about AED1.1 billion.
Real estate prices in the Emirates have dropped more than 60% since the height of the property boom in 2008, and are expected to drop as much as 25-30% more in the next two years due to an oversaturation of the market. Union Properties has seen a boost to its bottom line after the sale, with profits rising 64% in the first quarter over the previous years numbers, but profit projects are not all optimistic due to the company’ amount of outstanding debt.
Dubai’s third-largest developer, Union Properties, has announced the sale of its Dubai Ritz Carlton property. The proceeds of the sale will go to pay back some AED700 million in debt. The hotel at the Dubai International Financial Center was sold for about AED1.1 billion. Real estate prices in the Emirates have dropped more than 60% since the height of the property boom in 2008, and are expected to drop as much as 25-30% more in the next two years due to an oversaturation of the market. Union Properties has seen a boost to its bottom line after the sale, with...
Dubai’s third-largest developer, Union Properties, has announced the sale of its Dubai Ritz Carlton property. The proceeds of the sale will go to pay back some AED700 million in debt. The hotel at the Dubai International Financial Center was sold for about AED1.1 billion.
Real estate prices in the Emirates have dropped more than 60% since the height of the property boom in 2008, and are expected to drop as much as 25-30% more in the next two years due to an oversaturation of the market. Union Properties has seen a boost to its bottom line after the sale, with profits rising 64% in the first quarter over the previous years numbers, but profit projects are not all optimistic due to the company’ amount of outstanding debt.
