Aldar Properties of Abu Dhabi and Emaar Properties of Dubai have formed a joint venture to work on $8bn schemes in each other’s back yards.
The agreement was signed last week between Mohammed bin Zayed, Crown Prince of Abu Dhabi, and Mohammed bin Rashid, the ruler of Dubai. It will be by far the biggest collaboration ever between developers from different emirates.
In Abu Dhabi, they will build a mixed-use development featuring 2,000 residential units, two hotels, 400 serviced apartments and 130,000 sq m of retail space.
The development will be located on Al Saadiyat Island, close to the recently opened Louvre Abu Dhabi and the planned Guggenheim Abu Dhabi.
The Abu Dhabi project is due to open in 2021.
In Dubai, Aldar and Emaar will create a private island called the Emaar Beachfront.
Located in the Arabian Gulf with 7,000 homes, the project will include restaurants, shops and a private 1.5km beach.
Residents will be close to Dubai Harbour, which will be the Middle East’s largest marina with 1,000 berths when it is complete in 2022.
Mohamed Khalifa Al Mubarak, Abu Dhabi Tourism & Culture Authority chairman, said: "The joint venture will expand the country’s portfolio of iconic real estate projects and there is no limit to the development possibilities created by the JV partnership between Aldar and Emaar.
"Individually, we have developed some of the world’s most awe-inspiring buildings and together, we have an incredible proposition that will contribute to achieving our national vision and make the UAE an even more exciting place to live and visit."
Aldar and Emaar are not confined to UAE developments and could in future bid for international contracts.
Work is scheduled to begin on a $10bn Emaar Properties’ project later this year.
Image courtesy of Aldar
