Aldar Properties, based in Abu Dhabi, has increased its investment in Ras Al Khaimah to Dh1.5 billion by purchasing a 715-room Rixos Bab Al Bahr resort for Dh770 million. Aldar just paid Dh400 million for the Al Hamra Mall.
Aldar will also have additional development rights at both properties as a result of the agreements. Aldar Investment obtained rights to an additional 250,000 square feet of gross floor area (GFA) for residential and commercial use as part of the Rixos Bab Al Bahr acquisition.
Jassem Busaibe, CEO at Aldar Investment said: “Ras Al Khaimah continues to rise in popularity as a tourist destination as international borders open and leisure travel returns – and we expect further upside as the Emirate executes on its strategy to become the regional leader in environmentally conscious tourism by 2025.
“With that in mind, we are pleased to add Rixos Bab Al Bahr to our portfolio of income-yielding hotel and hospitality assets.”
Having opened in 2014, Rixos Bab Al Bahr features 715 keys and is among the resort attractions on Al Marjan Island, which itself has gained prominence as a staycation destination for UAE residents. “The property benefits from solid occupancy levels, with significant growth potential as the emirate, rolls out progressive initiatives to advance tourism and position Ras Al Khaimah as an international leisure destination,” said a statement.
Rixos Bab Al Bahr, which debuted in 2014, is one of the resort attractions on Al Marjan Island, which has grown in popularity as a staycation option for UAE residents. “The property benefits from solid occupancy levels, with significant growth potential as the emirate, rolls out progressive initiatives to advance tourism and position Ras Al Khaimah as an international leisure destination,” said a statement.
The Aldar push in Ras Al Khaimah is the company’s first outside of Abu Dhabi. Another significant acquisition was in Egypt, where it acquired a publicly-traded developer, SODIC, as well as another Abu Dhabi company, ADQ.
With the $6 billion-plus Wynn Resorts committing to a project in Ras Al Khaimah, the emirate has been attracting a lot of inbound investors. Dubai Investments, which is planning a Dh1 billion project, made another announcement recently.