Indian firm to invest Dh4bn in Dubai realty
A resurgent property market and Expo 2020 win has driven a Non-Indian Resident businessman to invest over Dh4 billion in Dubai’s real estate sector.
Dr Ravi Pillai, chairman of RP Group of Companies, said on Saturday revealed it plans to build four new projects, which includes a three-million square feet mixed-use development on Sheikh Zayed Road that will house a five-star hotel, serviced apartments, residences and a retail precinct.
Other new projects include a five-star luxury hotel in Dubai Marina, which will be operated by Crowne Plaza; a four-star hotel in Bur Dubai to be operated by India’s ITC Group and a serviced apartment complex close to Downtown Dubai.
Property prices in Dubai have risen by over 20 per cent in 2013 and are expected to see increase of another 10 to 15 per cent this year. Besides, in the run-up to Expo 2020, which the emirate won in November 2013, total investment in infrastructure-related projects is estimated at Dh25 billion with the Expo injecting over Dh140 billion in Dubai’s gross domestic product, creating 277,000 new jobs and drawing over 25 million visitors to the country.
“This year, the focus of our expansion programmes is to further strengthen our footprint both in oil and gas and non-oil sectors, thus effectively partnering with the growth strategy of the regional governments. This is reflected in our new developments in Dubai, which is currently further investing in the hospitality sector as part of the infrastructure development programmes in preparation to host the World Expo 2020,” said Dr Pillai.
RP Group will also be opening two new offices in Kuwait and Oman, where it is finalizing contracts in the oil and gas sector, as well as two hotels in Saudi Arabia.
“We will build two 5-star deluxe hotels in Jubail and Dammam, Saudi Arabia, where the overall business growth has led to stronger demand for hotels and serviced apartments.”
Dr Pillai added their expansion plans are envisaged to support the local economies and catalyse social and economic development and is expected to create nearly 25,000 new jobs in the Gulf.
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