Sales volumes rose 12.5 % during fiscal year 2012
Ras Al Khaimah, UAE, 11th February 2013: Net profit of RAK Properties in fiscal year that ended on 31st December 2012 rose 35.6 percent to reach AED 147 million, compared to AED 108.4 million in 2011.
Mohammad Sultan Al Qadi, Managing Director and CEO, RAK Properties expressed optimism that the real estate outlook for the year 2013 is promising for RAK Properties. He also announced that RAK Properties has ambitious plans to develop a five-star hotel in Mina Al Arab as well as residential buildings in Abu Dhabi, subject to availability of finance at attractive terms.
The increase in profit for 2012 fiscal year came from increased demand for RAK Properties’ key projects, including Mina Al Arab, Julphar Towers and RAK Tower in Abu Dhabi as well as its early settlement of its AED 184 million loan with Ras Al Khaimah Investment and Development Office of Ras Al Khaimah Government. The positive results come at a time when the real estate industry in Ras Al Khaimah is witnessing overwhelming demand from investors, in the face of lucrative opportunities in shopping, retail and hospitality sectors.
As per the financial results announced Sunday (10th February 2013), sales volumes in 2012 reached AED 596.3 million, compared to previous year’s figure of AED 530.2 million, an increase of 12.5 percent. RAK Properties board of directors has proposed a 5% cash dividend for fiscal year ended 31st December 2012.
Al Qadi said: “In 2012, we handed over apartments in buildings constructed in the Lagoon Precinct (P2) as well as the balance units in the VILLA Precincts 4 & 5, Julphar Towers (Residence and Office), and RAK Tower in Abu Dhabi. The trading of residential, office units along with retail space gained momentum during 2012. The balance retail space is targeted to be leased in 2013.”
Al Qadi said that his company anticipates remarkable financial results for first quarter of 2013, based on its strong and ambitious plans for the coming period.
RAK Properties, a Public Joint Stock Company listed on the Abu Dhabi Securities Market, is a real estate development company established to implement the emirate’s plans to promote real estate, tourism and leisure facilities in RAK and invest in interesting projects. It is intended that its activities will encourage economic growth in the UAE in general and Ras Al Khaimah in particular. The company launched its first project, Julfar Towers – a 45-storied twin office and residential project at a cost of AED 500 million – in February 2006 followed by Mina Al Arab – spread over 43