Nakheel announces H1 2016 net profit of AED2.95bn

RetailME Bureau

Dubai-based developer Nakheel has announced its financial results for the first six months of 2016, recording a net profit of AED2.95 billion, representing a 4% increase on the net profit of AED2.83 billion during the same period in 2015.

Nakheel reached a number of milestones during the first half of 2016, including the opening of Dragon Mart 2 and the first of a series of expansions at Ibn Battuta Mall. Combined, these increased Nakheel’s existing retail portfolio by 35% (1.1 million sqft), bringing the current operational total to 4.2 million sqft. Nakheel also opened its first hotel – a 251 room property attached to Dragon Mart 2, managed by Accor – during H1 2016.

The developer is on target to officially open new neighbourhood community centres known as Nakheel Pavilions at International City, Al Furjan and Jumeirah Islands in the second half of 2016. The company continues to grow its portfolio of retail leasing assets – around 12 million sqft of leasable retail space are currently under development at various locations across Dubai including Palm Jumeirah, Deira Islands, Jumeirah Village and Warsan Village.

“Our encouraging half year results reflect investor confidence in Dubai and its real estate sector. Over the next six months we will build on these positive figures with further improvements and better results as we continue with our strategy of creating more cash-generating assets and strengthening our asset base,” says Nakheel chairman Ali Rashid Lootah.

“As ever, we thank our investors and the Government of Dubai for their ongoing trust and support as we continue to execute our business plan, in turn contributing positively to the emirate’s real estate sector in line with the Government’s 2021 vision,” he adds.