Omniyat cuts prices
Omniyat Properties, a Dubai-based real estate developer, has reduced
prices of its units by 10 per cent for projects sold during the peak of
2008, the company chairman told Emirates Business.
"We
have done a price adjustment of 10 per cent for units sold in our
projects during the peak of 2008 as construction costs now have come
down. We have passed on the benefits to our customers," said Mehdi
Amjad, Chairman of Omniyat Properties.
The developer yesterday
began handing over residential units in its Dh800 million The Square
project in Al Mamzar area of Dubai.
The mixed-use leasehold
development, launched in 2007, comprises nine low-rise buildings
surrounded by 6,000 square metres of landscaped garden and water
features. Phase one consists of residential complex comprising seven
low-rise residential buildings with 544 units consisting of studio,
one-, two- and three-bedroom as well as garden apartments. "This is the
second project that we are delivering to investors this year after our
Bayswater project in Business Bay."
The second phase will
consist of 144 commercial units and offices, which will be delivered by
year-end followed by completion of 180 serviced apartments in the first
quarter of 2010. Mövenpick Hotels & Resorts will operate the
serviced apartments.
Omniyat plans to replicate the concept of The Square locally as well as globally.
"We
have built a unique development at low cost. We want to replicate the
design and concept in other places and other markets."
Richard
Lambert, Sales and Leasing Manager, Omniyat Properties, said the
company through its property management arm will be leasing the units
on behalf of the owners with studios expected to be leased for
Dh40,000-50000, one-bed for Dh60,000-70,000, two-bed for
Dh80,000-90,000 and three-bed for Dh110,000-120,000.
In November
2008, the company framed a strategy to deliver its nine projects over
the next three years. The third project to be delivered in 2009 will be
One Business Bay in Business Bay area.
In April, Amjad told
this newspaper it will deliver Pad and Binary in 2010, Gemini by the
first quarter of 2011, Octavian and the Opus towards the end of 2011.
Omniyat has sold more than 85 per cent of its property portfolio, he had said.
"We
have already sold more than 85 per cent of the projects and over 50 per
cent of it [payments from buyers] has been collected. This has given us
a solid platform to focus on delivery and construction."
The
developer has put expansion plans on hold for the time being. "We have
a development in Bahrain and are looking at a few developments outside
in consultation with our partners. It is a matter of timing and we do
not see 2009 as the right time. We will look at global expansion in
2010 and beyond. Today the world is consolidating and so we to had to
change our strategy from growth to consolidation," he added.
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