Developers begin repossessing units

Property developers have started repossessing units from investors who have defaulted and failed to rectify their status despite frequent reminders.

Bonyan International and Cayan Development have already repossessed some units, while South Korea's Bando Constru-ction is looking to take back a few properties.

Anas Atatreh, Vice-Chairman, Bonyan Intern-ational Investment Group, told Emirates Business: "We have repossessed some units from investors in our Dubai Gate 2 project in Jumeirah Lake Tower. Currently, we are holding onto these units. We are ready to help the investors, but everybody has to be reasonable." He said the firm has gone through the necessary procedures with the Real Estate Regulatory Agency (Rera) in order to repossess the units.

Cayan Development has registered with the Land Department in Dubai two office units in its Cayan Business Centre for auctioning after repossessing them, said Kareem Derbas, CEO of Cayan.

Bando, which is developing the U-bora Tower in Business Bay, said about seven investors have not fulfilled their contractual obligations. "We have approached investors who are in default. Unfortunately, cancellation may be the only way forward in some cases," said Ian Powell, Business Development Manager, Bando.