Emaar Properties (original) (raw)

From Wikipedia, the free encyclopedia

Emirati real estate development company

Emaar Properties PJSC
Company type Public
Traded as DFM: EMAAR
Industry Real estate
Founded 1997; 27 years ago (1997)
Founder Mohamed Alabbar
Headquarters Dubai, United Arab Emirates
Key people Jamal Bin Theniyah(Chairman)Ahmed Jawa(Vice-ChairmanZishan Baig(MD - India)
Services Commercial and residential property development
Revenue US$8.500 billion
Net income 6,777,915,000 United Arab Emirates dirham (2017) Edit this on Wikidata
Total assets 112,751,930,000 United Arab Emirates dirham (2017) Edit this on Wikidata
Number of employees 6,600
Subsidiaries Emaar Developments, Memaar Building Systems, Emaar International, Emaar Hospitality, Emaar Malls, Emaar Hotels & Resorts, Emaar Retail, Emaar Community Management, Emaar Technologies, Emaar Industries and Investment, OBC El-Wigh Dubai, OBC El-Wigh India, Amlak Finance, Emaar Investment Holdings, Hamptons InternationalEmaar Pakistan Emaar India Emaar Misr
Website www.emaar.com

Emaar Properties (or simply Emaar) is an Emirati real estate development company located in the United Arab Emirates.[1] The two largest shareholders are Dubai ruler Mohammed bin Rashid Al Maktoum and the UAE's sovereign wealth fund Investment Corporation of Dubai.[1]

It is a public joint-stock company, listed on the Dubai Financial Market, and has a valuation of US$16.8 billion as of August 2023 against the Net Asset Valuation of US$37.6 billion (AED 138.1B) as of December 2022 based on the valuation of assets done by third party valuer. Emaar has played a pivotal role in shaping the modern skyline of Dubai and has expanded its footprint internationally.

Emaar Properties Dubai is one of the largest real estate developers in the UAE and is known for various large-scale projects, such as building Burj Khalifa, the tallest building in the world.

Emaar Properties was founded and incorporated in 1997 by chairman Mohamed Alabbar.[2][3] Emaar has interests in both commercial and residential property development, as well as malls and hospitality.[4] The Dubai government initially owned 100 percent of the company while the founding shareholders held 24.3 percent when operations as a public company commenced after the IPO in 2000.[5][6] The following year, Emaar announced plans to build Dubai Marina.[5] In 2000, Emaar Properties was listed on the Dubai Financial Market and became the first property company to offer shares to foreign nationals.[6] The first phase of the company's developmental projects began in 2001 when Emaar awarded the contract in a joint venture to build three of the six apartment towers.[7]

A scale model of The Dubai Mall

In 2003, the company revealed its plans for a signature development project, later known as Downtown Dubai.[8] The project consisted of two developments: Burj Khalifa and The Dubai Mall, the world's tallest building and world's largest mall respectively.[5][8]

Emaar International LLC was established in 2004 and signified Emaar's expansion into foreign markets.[5] The company has undertaken projects in Africa, Asia, North America, and throughout the Middle East.[9]

The Dubai Mall officially opened in 2008, and Burj Khalifa in 2010. By 2014, Emaar was holding over $11.4 billion in real estate investments.[10] In 2007, the company was majority-owned by Dubai's government.[11]

In 2009, John Laing Homes, a subsidiary of Emaar Properties which was acquired in 2006,[12] filed for Chapter 11 bankruptcy protection in the US Court for the District of Delaware.[13]

In July 2010, American businessman Lionel Lombard filed a lawsuit against Emaar Properties and its Chairman Mohamed Alabbar in a California federal court alleging he was wrongfully imprisoned and tortured because he had spoken up on behalf of Emaar foreign workers. The case was dismissed in November 2010 by Lombard.[14][15]

The Dubai Marina district

In September 2012, Emaar launched the Address BLVD, a luxurious 72 storey hotel and hotel serviced apartment project in Downtown Burj Dubai adjacent to the Dubai Mall.

In 2014, Emaar Properties announced plans to sell shares of its malls and retail business to the public.[16] The IPO is one of the largest in the region since the global financial crisis.[16] Emaar Malls Group became a publicly traded company on the Dubai Financial Market in October 2014. Closing at 3.25 dirhams with approximately 535 million shares traded, the IPO was the largest in Dubai since 2007.[17] Also in 2014, Emaar opened the world's highest observation deck, At the Top, Burj Khalifa SKY. The highest man-made vantage point sits 555 metres up on the 148th floor of Burj Khalifa.[18]

Emaar marked the new year with the world's most watched New Year's Eve (NYE) celebration for 2015.[19][20] According to Guinness World Records, Emaar oversaw the "Largest LED-Illuminated Façade" on the world's tallest man made structure" during the NYE celebrations. The record-setting display consisted of 70,000 LED panels that flashed coloured lights and projections of the country's leaders and other images on the Burj Khalifa.[21] Emaar reported a 16 percent rise in second-quarter net profit for 2015,[22] and that it has a land bank of over 235 million square metres.[23]

In November 2020, Emaar Properties announced a profit fall of 48% from the beginning of the year until September.[24]

In December 2020, Alabbar stepped down as Emaar chairman but continued to oversee the day-to-day activities as managing director.[25]

The Dubai Mall, developed by Emaar Properties, is the second world's largest shopping mall.[26] It marked its soft opening in November 2008 and was inaugurated in May 2009. The mall has over 1,200 stores and 200 restaurants.[27] It is also home to Dubai Aquarium and Underwater Zoo, KidZania, Dubai Ice Rink and the largest cinema complex in the region, Reel Cinemas.[28][29][30][31] In 2014, The Dubai Mall had over 80 million visitors, of which 40 percent were tourists from outside the region.[32] As an extension to Dubai Mall, Emaar began to develop a 55-storey residential building called Downtown Views.[33]

Emaar Properties's Dubai Fountain is the tallest performing fountain in the world and began operating in the spring of 2009.[34]

Emaar developed the world's tallest building, Burj Khalifa, which opened in 2010.[35][36] The building is 2,716.5 feet tall with 160 storeys that are primarily for residential purposes.[36] It is named after the Abu Dhabi ruler Sheikh Khalifa bin Zayed Al Nahyan.[36]

The Springs community

Emaar Properties has also developed a number of neighbourhoods throughout Dubai including Arabian Ranches, Dubai Marina, The Greens, The Meadows, The Lakes, and The Springs.[37] In 2013, Emaar launched The Address Residence Fountain Views I, II, and III, The Address Residence Sky View, Burj Vista, Boulevard Point and Vida Residence—all in Downtown Dubai.[38] A further addition to Downtown Dubai from Emaar was the Opera District. Key features include the Dubai Opera House, the country's first dedicated opera house.[39]

Emaar owns Burj Khalifa, the world's tallest building standing at 828-metre (2,717 ft).

In January 2015, Emaar Hospitality opened a boutique hotel, Manzil Downtown Dubai. The hotel is managed by Vida Hotels and Resorts and includes 200 rooms, suites with Burj Khalifa views, and access to a sports hub and several restaurants.[40] Emaar rolled out the region's first hop-on-hop-off transit system with the Dubai Trolley.[41] The trolley is also the world's first hydrogen-powered, zero-emission street tram system.[42]

In 2016, Emaar Properties announced plans to build the world's tallest structure, which would be taller than Burj Khalifa. It was expected to be completed by 2020.[43][44][_needs update_]

International projects

[edit]

Through various subsidiaries, Emaar has established property developments and projects in Pakistan, India, Jordan, Egypt, Lebanon, Morocco, the United States, Saudi Arabia, Syria, Iraqi Kurdistan, and Turkey.[45] Some of the projects have included developments such as the Beit Misk in Lebanon,[46] the Jeddah Gate in Saudi Arabia,[47] and the Samarah Dead Sea Resort in Jordan.[48]

Emaar Misr began working on a $4 billion development project in 2005 on the Moqattam Plateau in Cairo, initially called Cairo Grand Heights that was later renamed Uptown Cairo.[49] The project included building up an area as a residential, commercial, and recreational community.[50][51]

In 2006, Emaar Misr, an Egyptian subsidiary of Emaar Properties, completed an agreement with the Bibliotheca Alexandrina to redevelop part of its property on the eastern harbor of Alexandria.[52] The new library facility stands almost exactly where the ancient Library of Alexandria existed,[53] however the project has never materialized.

In 2008, Emaar Misr began working on a tourist resort called Marassi in Sidi Abdel Rahman, located along the Mediterranean coast, that includes a hotel with 3,000 rooms, a marina, and a golf course. The project also included the renovation of the well known Al-Alamein Hotel located within the property.[54]

Emaar India has a portfolio of projects spanning all key segments of the Indian real estate industry, including residential, commercial, retail (malls) and hospitality.[55][56] The company has a land bank of some 6,000 acres to be used for future development.[57] Its existing assets and ongoing projects, as also its land banks, are spread across India: Delhi NCR (particularly Gurugram), Mohali, Chennai, Hyderabad, Lucknow, Jaipur and Indore.

Emaar entered India in the early 2000s by winning the bid for the Hyderabad International Convention Centre,[58] A joint venture, the Cyberabad Convention Centre Private Limited (CCCPL), was floated specifically for this project, with the other partner being the Andhra Pradesh Industrial Infrastructure Corporation (APIIC).[59] The convention center, which has a total seating capacity of 4,000 seats (extendable to 6,500 seats) was completed in December 2005.[58]

Joint Venture phase

[edit]

In 2005, while the Hyderabad project was ongoing, Emaar entered into a joint venture to handle projects in India. Emaar India was founded in 2005 as a joint venture of Emaar Properties PJSC with MGF Developments Limited of India, in which Emaar was by far the larger equity partner and MGF was entrusted the operational responsibilities.[57] The joint venture executed several significant projects, such as the 2010 Commonwealth Games Village in Delhi.[60]

In April 2016, Emaar announced that it would separate from its joint venture partner and that the company would be divided vertically. Shortly after the announcement, Emaar filed the demerger scheme in the Delhi High Court, and Shravan Gupta of MGF resigned from his operational positions. Prashant Gupta is the current CEO of the company.

In pursuance of the intended demerger, the company is presently[_when?_] undergoing a restructuring exercise, wherein Emaar has taken control of all the ongoing projects of the company to ensure their completion at the earliest.[61] The company has committed to deliver 11,000 units by end of 2018, beginning with over 3,000 units in 2017 itself.[62]

In late 2021, a Memorandum of Understanding was signed between the governments of Dubai and Jammu & Kashmir to facilitate investment into certain marquee projects. Under the agreement, Emaar is to develop a shopping mall in Srinagar of 500,000 sq.ft. EMAAR is also considering other investments in hospitality and mixed use commercial and residential projects in Jammu city and in Srinagar city.[63][64][65]

The King Abdullah Economic City (KAEC), developed by Emaar, The Economic City (Emaar E.C.) is listed on Tadawul, the Saudi stock exchange, and is the largest private investment in Saudi Arabia.[66] The project includes the development of a special economic zone along the Red Sea coast 60 miles north of Jeddah.[5][67] Emaar E.C. also heads the development of the KAEC port. The port is the first privately owned port for Saudi Arabia and was first opened in January 2014, but plans to further expand have been set in place after the generation of new financing.[67] The KAEC development is projected to be about the same size as Washington, D.C. when completed and the zone is estimated to house approximately 2 million people and assist in aiding the Saudi Arabian economy in expanding beyond oil to light and shipping industry.[67]

Emaar Properties first announced its plans for a large-scale development project in Syria in 2006.[68] The development, known as The Eighth Gate, includes three zones: a commercial center, waterfront and residential zone, and tourist area.[69] The project is a joint venture between Emaar Properties and IGO, an offshore investment and property development company.[69]

The Tuscan Valley development was Emaar's first project in Turkey.[70] Emaar completed the first phase of the Tuscan Valley venture by 2007, which included the development of luxury villas and commercial space just outside Istanbul.[66] In 2012, Emaar began developing an Emaar Square project.[70] The project plans include building Turkey's largest shopping mall and five-star hotels.[70] In 2013, Emaar Turkey, the wholly owned subsidiary of Emaar Properties, launched The Address Residences Emaar Square in Istanbul.[71]In 2017 Emaar Square Mall in Turkey was opened to the public.[72]

The Crescent Bay, Karachi is a 108-acre (440,000 m2) under-construction upscale mixed-use oceanfront development in Defence, Karachi, Pakistan. It is considered one of the biggest projects in Pakistan, with a cost of $2.4 billion. The development features a series of high and mid-rise towers for residential and commercial use, a shopping centre, a five-star beachfront hotel and a tower located in the heart of the project.[73]

The Canyon Views is a project of Emaar in Islamabad, Pakistan.[74]

Downtown Erbil is a project for a large-scale mixed-use complex in Erbil. The project was launched by Emaar Properties in 2013 and covers an area of 541,000 square meters. This area will[_needs update_] be used for residential apartments, hotels and a shopping mall.[75]

  1. ^ a b "Singapore Money Laundering Suspects Invested Huge Sums in Dubai Property". OCCRP. 2024-05-18.
  2. ^ Chaudhury, Moushumi Das (19 February 2005). "Emaar Properties growing from strength to strength". Khaleej Times. Retrieved 23 September 2014.
  3. ^ "Emaar Properties Pjsc (EMAAR:DFM)". BusinessWeek. Archived from the original on June 28, 2013. Retrieved 23 September 2014.
  4. ^ "Dubai's Latest Mega-Projects Should Worry You". The Economist. 19 July 2014. Retrieved 23 September 2014.
  5. ^ a b c d e Covell, Jeffrey L. (2014). Jay P. Pederson (ed.). International Directory of Company Histories. Vol. 220. Detroit: St. James Press.
  6. ^ a b Bhoyrul, Anil (31 March 2013). "Mohamed Alabbar: The only way is up". Arabian Business.
  7. ^ "Joint venture wins Emaar towers deal". Gulf Construction Online. 1 October 2001. Retrieved 23 September 2014.
  8. ^ a b "Region's largest property developer, EMAAR, showcases world-class projects to Dubai 2003 delegates". AME Info. 17 September 2003. Archived from the original on 23 November 2014. Retrieved 23 September 2014.
  9. ^ Parasie, Nicolas (6 April 2014). "Q&A: Emaar's Chairman Strives for International Mix with Dubai Flavour". Wall Street Journal. Retrieved 23 September 2014.
  10. ^ Cramer, Bob (1 July 2014). "Emaar Properties PJSC Is Down Over Last Month But Can Rebound". Bidness ETC. Archived from the original on 5 August 2014. Retrieved 15 September 2014.
  11. ^ "Land-for-stock deal gives Dubai control of Emaar". Reuters. 2007.
  12. ^ "Dubai's Emaar Acquires John Laing Homes in $1 Billion Deal". DealBook. 2 June 2006. Retrieved 23 September 2014.
  13. ^ Vincent, Roger (20 February 2009). "John Laing Homes files for Chapter 11". Los Angeles Times. Retrieved 23 September 2014.
  14. ^ "Emaar Properties dismisses charges in US lawsuit". Arab News. Reuters. 2010-07-13. Archived from the original on 2011-10-14. Retrieved 2011-11-14.
  15. ^ "Lombard v. Emaar USA et al – Document 18". Justia. 30 November 2010. Retrieved 23 September 2014.
  16. ^ a b Lohade, Nikhil (16 March 2014). "Emaar's Retail Unit IPO Plan Draws Cheers". Wall Street Journal. Retrieved 23 September 2014.
  17. ^ Khan, Sarmad; Sharif, Arif (2 October 2014). "Emaar Malls Rises as Much as 21% in Biggest Dubai IPO in 7 Years". Bloomberg. Retrieved 19 February 2015.
  18. ^ "Burj Khalifa opens world's highest observation deck". Breaking Travel News. 16 October 2014. Retrieved 19 February 2015.
  19. ^ "Fireworks around the world light the night for New Year's Eve". News Limited. 1 January 2015. Retrieved 19 February 2015.
  20. ^ Raven, Hannah (4 January 2015). "Emaar's NYE spectacular was world's most-watched". Construction Week. Retrieved 19 February 2015.
  21. ^ "Breathtaking fireworks spectacle and LED facade on Burj Khalifa for 2015". Arabian Gazette. 31 December 2014. Archived from the original on 8 November 2018. Retrieved 19 February 2015.
  22. ^ Smith, Matt (August 2, 2015). "Dubai's Emaar Properties Q2 net profit rises 16 pct". Reuters. Retrieved December 29, 2015.
  23. ^ Kane, Frank (15 April 2015). "Emaar Properties profit on track for $1 billion". The National. Retrieved 1 July 2015.
  24. ^ "Dubai's Emaar reports nine-month profit almost cut in half". dailystar.com.lb. Lebanon: The Daily Star. Retrieved 2020-11-15.
  25. ^ "Alabbar steps down as Emaar chairman". Arab News. 2020-12-13.
  26. ^ Narayanan, Archana (11 June 2014). "UPDATE 2-Dubai's Emaar Malls attracts strong demand for debut sukuk". Reuters. Retrieved 15 September 2014.
  27. ^ Arlidge, John (5 July 2014). "Dubai Mall is the most popular place on the planet. Why?". The Australian. Retrieved 15 September 2014.
  28. ^ "Dubai Mall unveils giant octopus attraction". Arabian Business. 24 July 2014. Retrieved 15 September 2014.
  29. ^ "Dubai Mall to open UAE's largest Cineplex". Gulf News. 26 May 2009. Retrieved 15 September 2014.
  30. ^ "Dubai Ice Rink". The Dubai Mall. Retrieved 15 September 2014.
  31. ^ "KidZania". The Dubai Mall. Retrieved 15 September 2014.
  32. ^ Sophia, Mary (10 February 2015). "Dubai Mall Sees 80m Visitors in 2014". Gulf Business. Archived from the original on 24 June 2015. Retrieved 1 July 2015.
  33. ^ Views, Downtown. "Downtown Views is the upcoming 55 storey residential building by Emaar connecting Dubai mall". Downtown Views. Anamika Murali. Retrieved 21 February 2017.
  34. ^ Dhal, Sharmila (1 September 2011). "Dubai Fountain: A splash of notes". Gulf News. Archived from the original on 16 September 2014. Retrieved 15 September 2014.
  35. ^ Bianchi, Stefania; Critchlow, Andrew (5 January 2010). "World's Tallest Skyscraper Opens in Dubai". Wall Street Journal. Retrieved 15 September 2014.
  36. ^ a b c Petruno, Tom (4 January 2010). "Monument to excess? Dubai opens world's tallest building". Los Angeles Times. Retrieved 15 September 2014.
  37. ^ Sambidge, Andy (10 June 2013). "Emaar launches new Dubai residential project". Arabian Business. Retrieved 15 September 2014.
  38. ^ Nagraj, Aarti (16 September 2013). "Emaar Launches Sale Of The Address Residence In Dubai". Gulf Business. Archived from the original on 27 June 2015. Retrieved 15 September 2014.
  39. ^ Nagraj, Aarti (18 March 2014). "Emaar Reveals Details About 2,000-Seat Opera House In Dubai". Gulf Business. Archived from the original on 19 August 2015. Retrieved 15 September 2014.
  40. ^ Sophia, Mary (8 January 2015). "Emaar Opens New Boutique Hotel Manzil Downtown Dubai". Gulf Business. Archived from the original on 20 April 2015. Retrieved 19 February 2015.
  41. ^ "Hydrogen powered trolley tram hits the streets of Downtown Dubai". NGV Journal. 21 April 2015. Retrieved 1 July 2015.[_permanent dead link_]
  42. ^ "Emaar rolls out Dubai Trolley tram system". Construction Week Online. 21 April 2015. Retrieved 1 July 2015.
  43. ^ Parasie, Nicolas. "Dubai Developer Emaar Plans New 'World's Tallest' Tower". Wall Street Journal. ISSN 0099-9660. Retrieved 2016-04-11.
  44. ^ "New Dubai tower 'to surpass' world's tallest building Burj Khalifa". BBC News. UK: BBC. 10 April 2016. Retrieved 2016-04-11.
  45. ^ "Emaar Properties-Premier Developer of Integrated Lifestyle Communities". Emaar Properties. Archived from the original on 16 December 2018. Retrieved 18 September 2014.
  46. ^ Nohra, Nada (3 September 2009). "Lebanon – Home on a mountain". Executive Magazine. Archived from the original on 19 February 2015. Retrieved 19 February 2015.
  47. ^ Sambridge, Andy (12 November 2013). "Emaar to launch luxury home sales at Saudi project". Arabian Business. Retrieved 19 February 2015.
  48. ^ "Emaar International Jordan showcases Samarah Dead Sea Resort". Albawaba Business. 6 December 2007. Retrieved 19 February 2015.
  49. ^ "Emaar Misr signs MoU with Egypt's Bibliotheca Alexandrina for waterfront redevelopment project". Albawaba Business. 22 May 2006. Retrieved 18 September 2014.
  50. ^ Lloyd-Jones, Trevor (18 August 2005). "Emaar unveils blueprint for US$4 billion Cairo Heights". Business Intelligence Middle East. Archived from the original on 19 February 2015. Retrieved 18 September 2014.
  51. ^ "Emaar Misr Makes Strong Progress on Marassi for on-schedule Completion". Dubai Chronicle. 8 February 2009. Retrieved 18 September 2014.
  52. ^ Cronin, Sean (27 May 2006). "Emaar books Egypt library job". ConstructionWeek. Archived from the original on 1 February 2015. Retrieved 18 September 2014.
  53. ^ "Emaar subsidiary signs pact for project in Egypt". UAE Interact. 22 May 2006. Retrieved 18 September 2014.
  54. ^ Bakr, Amena (3 September 2008). "Egypt revels in tourism boom". The National. UAE. Retrieved 18 September 2014.
  55. ^ "Emaar: Global Real Estate Company in India". www.emaar-india.com/.
  56. ^ "Real Estate Developments in India | Emaar Properties". www.emaar.com. Archived from the original on 2017-09-15. Retrieved 2017-09-15.
  57. ^ a b "Emaar India to invest Rs 2,000 cr in 2yrs to complete projects". The Times of India. Retrieved 2017-09-14.
  58. ^ a b "Emaar mulls more projects in India". Business Standard. 9 January 2006. Retrieved 18 September 2014.
  59. ^ "Why did the law take forever to catch up with Emaar MGF?". The Business Standard. 7 June 2013.
  60. ^ "Commonwealth Games Village in Delhi". emaar.com. Emaar Properties. Retrieved 2017-09-14.
  61. ^ "Dubai-based Emaar to separate from Indian partner MGF, ending decade-old joint venture".
  62. ^ ANI (2017-09-02). "Emaar India to deliver 11,000 flats by 2018 in Haryana". Business Standard India. Retrieved 2017-09-14.
  63. ^ Nandy, Madhurima (2022-01-03). "Emaar to develop shopping mall in Srinagar". livemint.com. Retrieved 2022-01-03.
  64. ^ "Dubai's Emaar group to develop 5 lakh sq ft shopping mall in Srinagar". Greater Kashmir. Press Trust of India. 3 January 2022. Retrieved 2022-01-03.
  65. ^ Haidar, Faizan. "Emaar group to develop shopping mall in Srinagar". The Economic Times. Retrieved 2022-01-03.
  66. ^ a b "The Sand Castle:Dubai". PBS. 24 July 2007. Retrieved 18 September 2014.
  67. ^ a b c "Saudi's Emaar EC says port unit agrees capital hike to fund expansion". Reuters. 6 July 2014. Retrieved 18 September 2014.
  68. ^ "$500m mixed-use project to be developed by Emaar in Syria". Albawaba Business. 12 June 2006. Retrieved 18 September 2014.
  69. ^ a b "Emaar unveils massive Syrian expansion plan". Khaleej Times. 19 October 2005. Retrieved 18 September 2014.
  70. ^ a b c Sharif, Arif (19 December 2012). "Emaar Obtains $500 Million Financing Facility for Turkey Project". Bloomberg. Retrieved 18 September 2014.
  71. ^ "Emaar Turkey launches The Address Residences in Istanbul sales". TTG Mena. 4 March 2013. Archived from the original on 19 February 2015. Retrieved 19 February 2015.
  72. ^ "Emaar Square Mall in Turkey opens". Khaleej Times. Retrieved 21 June 2021.
  73. ^ "DHA takes over: Crescent Bay project on the rocks". The Express Tribune. July 8, 2011.
  74. ^ "Canyon Views Islamabad".
  75. ^ Emaar Erbil, Emaar Properties Website. Retrieved 2014-01-30