Abu Dhabi developer Aldar Properties awarded a Dhs 2bn contract to Dubai-based firm Arabtec Construction to build 1,017 villas at West Yas, a residential community in the capital.
The villas are expected to be handed over by 2017, Aldar said.
Aldar has already handed out contracts to build the infrastructure, schools, retail outlets and a mosque within the project.
In December 2015, market rumours hinted that Arabtec had bagged a deal from Aldar but there was no official confirmation. Shares in Arabtec Holding had surged by almost 14 per cent on such speculation, in turn lifting the Dubai index.
The recent announcement also boosted Arabtec’s share prices in the early hours of trade today while it lifted Aldar’s stocks slightly.
West Yas is a sprawling development located along Yas Island’s mangroves and will be sold exclusively to Emiratis. It is close to a number of other leisure facilities in the emirate such as the F1 track at the Yas Marina Circuit, Ferrari World Abu Dhabi, Yas Water World, Yas Links Golf Course and Yas Mall.
Launched in April 2015, prices of luxury villas within West Yas start at Dhs 4m.
Apart from West Yas, Aldar also launched Mayan in Yas Island and Meera in Shams Abu Dhabi, collectively adding about 2,000 units to the market last year.