A joint venture between Aldar and Mubadala will build commercial real estate on Al Maryah Island in Abu Dhabi

A joint venture between Aldar and Mubadala will build commercial real estate on Al Maryah Island in Abu Dhabi

In Al Maryah Island, Aldar will partner with the Abu Dhabi wealth fund to build commercial real estate assets. They will be constructed inside the free zone and financial center, the Abu Dhabi Global Market.

Aldar will hold 60% of the joint venture’s shares, with Mubadala holding the remaining 40%.

The agreement was reached shortly after Aldar purchased four commercial towers at ADGM from Mubadala last year. Also last year, the two parties agreed to purchase the Al Maryah Tower. One of the largest commercial real estate deals in the UAE (the four-tower deal)

“Through our ongoing management and successful leasing programme of the four ADGM office towers, we continue to see considerable demand for Grade A office space on Al Maryah Island,” said Jassem Saleh Busaibe, CEO at Aldar Investment.

“Through a phased approach, the joint venture will continue to increase the supply of prime office space on the island to ensure the ADGM freezone grows from strength to strength as a financial center of global significance. The first project enables us to take the necessary steps to satisfy the current pent-up demand, with plans for more to come.”

First tower

By the end of 2026, when the initial office tower is finished, Aldar Investment, which presently has Dh32 billion in assets under management, will begin managing the property. The office skyscraper will aim for a LEED Gold certification and have a net leasable area of 63,000 square meters. “Micro-office, multi-tenanted, and single-tenanted floors” will be available.

Aldar Investment’s total net leasable area of commercial office space will increase to approximately 400,000 square meters with the addition of the new tower.

“Home to ADGM, Al Maryah Island is an international hub for business growth and opportunity in Abu Dhabi, attracting businesses from around the globe,” said Khalifa Al Romaithi, Executive Director of UAE Real Estate at Mubadala Investment Company. “Al Maryah Island is a one-stop destination that provides unrivaled connectivity for people to work, live, shop, and play.

“Through this joint venture with Aldar, we are solidifying our commitment to enhance the business ecosystem and attract prime partners to Al Maryah Island.”

From the second half of 2022, demand for high-end office space in Abu Dhabi and Dubai has increased as foreign companies sought to relocate or grow their UAE operations. The Grade A offices that had lately entered the market were the immediate winners. This applies to One Central at DWTC and ICD Brookfield Place in Dubai.

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