Press Release

For immediate release Dubai, 17 April 2011
Al Mazaya Holding, the region’s leading real estate company, has begun to handover residential units in the company’s Business Avenue Towers project in Jumeirah Lakes, Dubai, to owners after completing the sale of two towers in the three-tower project. Seventy percent of the project has now been sold, while the firms is still in the process of leasing and selling the third tower. Al Mazaya adopted a milestone restructuring strategy that enabled the company to alter the project’s timeline and cash flow, and after adjusting payments based on actual levies, while supporting development work and speeding up the delivery process by making use of its own providers, Al Mazaya was able to complete and deliver the project timeously. Speaking of the attractive offers for the current sale and lease of the third of the Business Avenue Towers, Eng. Naif Al Awadi, CEO of Al Mazaya’s Dubai Operations, said, “Al Mazaya has reduced sale and lease costs in order to offer attractive options that reflect the market’s current situation, as well as the project’s strategic location at Jumeirah Lakes, the availability of appropriate infrastructure among other aspects.” “Al Mazaya’s great achievement is its ability to maintain its commitments and fulfil its promises with regard to the completion of the Business Avenue Towers project, despite the challenges and difficulties that have faced real estate markets, including the Dubai Market. Al Mazaya opted to complete and deliver all of its previously announced projects as scheduled at a time when many property companies and real estate developers decided to rather freeze projects,” he continued. Al Awadi said that the Business Avenue Towers were designed to incorporate the latest in smart technology and communications, as part of an integrated system that provides the highest level of state-of-the-art services. This was made easier by the fact that the project is located in an area that is subject to Dubai’s freezone laws, which allow the business sector to establish various companies that cater to its needs. He reiterated that the sale and lease values of the project are in line with the market’s current requirements, stating that previous feasibility studies or the actual cost of the project can have an effect on the projected cost. “Al Mazaya intends to hang onto the third Tower as a long-term investment, and manage it through a rental system, allowing it to be an asset that generates income for our Dubai office as it continues to push ahead with previously announced projects. The firm will conduct in-depth research and studies to assess the status of the real estate market before embarking on projects in future,” he added. On the topic of an owners’ association, Al Awadi said, “As per the Strata Law, Al Mazaya has appointed an expert special services company to manage services at Business Avenue Towers, as well as a Building Director, to represent owners, define work and internal rules, and obtain approvals from official bodies where necessary.” Al Awadi said that owners’ associations have become one of the most important issues in Dubai’s real estate sector based on the recently passed Strata Law, which deals with the setting up of owners’ associations for new buildings, defines the developer’s role in the first year, and details the property’s ownership and the decision-taking mechanism in a manner that prevents conflict of interest. Located at Jumeirah Lakes in Dubai, Business Avenue is designated for commercial office use. The project includes three 45-storey towers, which are linked to a 4-storey commercial centre with premium retail spaces.