RAK Properties posts Dhs108.42m profit

RAK Properties, Ras Al Khaimah’s biggest property developer listed on Abu Dhabi Stock Exchange, announced its financial results for the year of 2011. The company has posted a net profit of Dhs108.42 million, while its total sales revenue at the end of the 2011 fiscal year amounted to Dhs520.568 million. The property developer announced its results during the annual board meeting held on Wednesday evening in Ras Al Khaimah. The Board expressed optimism over the gathering recovery of the UAE real estate sector. The profits came from the delivery of major projects, like Mina Al Arab, Julphar Towers and RAK Tower in 2011. This demonstrates RAK Properties’ strong portfolio and growing revenue streams driven by increasing number of units being handed over in key projects. Commenting on the results, Mohamed Sultan Al Qadi, MD & CEO of RAK Properties said: “Major projects were delivered in 2011, leading to a stronger and cordial relationship between RAK Properties and its shareholders and customers. The RAK Properties teams in all departments contributed significantly to this positive scenario.” We are adding a new revenue stream to our operations by launching retail and leasing services in Mina Al Arab and Julphar Towers in the coming year. We have already started achieving a revenue stream from the leasing of the residential units in three projects located in Ras Al Khaimah and on Al Reem Island in Abu Dhabi,” Al Qadi added. “The handover of our flagship real estate projects in 2011 proves our leading position in this industry and our contribution to the national economy of the UAE. In addition, delivering these projects on schedule and within budget in 2011 has strengthened the relationship with our clients,” Al Qadi added. RAK Properties, a Public Joint Stock Company listed on the Abu Dhabi Securities Market, is a real estate development company established to implement the emirate’s plans to promote real estate, tourism and leisure facilities in RAK and invest in interesting projects. It is intended that its activities will encourage economic growth in the United Arab Emirate in general and Ras Al Khaimah in particular. The company launched its first project, Julfar Towers — a 45-storied twin office and residential project at a cost of Dhs500 million — in February 2006 followed by Mina Al Arab — spread over 43 million sq. feet at a cost of Dhs10 billion — in May 2006. It also launched RAK Tower in Abu Dhabi at Cityscape Dubai.