Aldar acquires Dhs2.3bn commercial tower in DIFC

Aldar Properties has announced the acquisition of one of the largest commercial towers in Dubai International Financial Centre (DIFC), in a deal valued at Dhs2.3bn.

The flagship tower, which is set to be completed in 2028, has been acquired from H&H Development, a leading Dubai real estate developer known for its projects in the DIFC, including the Four Seasons Hotel Dubai International Financial Centre and the upcoming Janu Hotel and Residences, located next to the new commercial tower.

The acquisition marks a significant expansion of Aldar’s commercial portfolio in Dubai and strengthens its position as the only UAE developer with assets in both DIFC and Abu Dhabi Global Market (ADGM), the country’s premier financial hubs.

The deal highlights Aldar’s ongoing strategy to scale its Grade A commercial offerings in the region, responding to the growing demand for high-quality office spaces.

The tower will offer 40 floors of prime commercial and retail space, designed to set a new standard for regional office developments.

The building will have flexible floor plans, catering to a range of tenants, from multinational corporations to regional businesses. The tower is targeting LEED Platinum certification, in line with the developers’ commitment to sustainability and environmentally friendly building practices.

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Aldar on its strategic acquisition in DIFC

Talal Al Dhiyebi, group CEO at Aldar, emphasised the strategic importance of the acquisition in a statement: “Expanding into Dubai’s DIFC marks a significant milestone in our growth, providing Aldar with key exposure to the Emirate’s financial centre. This acquisition not only diversifies our commercial portfolio but also responds to the sustained demand for high-quality office spaces, driven by a favourable macroeconomic backdrop and the UAE’s position as a global business hub.”

Al Dhiyebi added that the tower would serve as a flagship asset for Aldar, offering flexible, premium commercial spaces to meet the evolving needs of multinational and regional businesses.

H&H Development’s role

Shahab Lutfi, chairman of H&H Development, expressed pride in the collaboration with Aldar, calling the project a testament to both companies’ commitment to excellence. “This landmark project exemplifies our shared dedication to innovation and transformative real estate developments,” Lutfi said. “It will further enhance the DIFC skyline and solidify Dubai’s position as a global business hub with Grade A commercial spaces that set an international benchmark for premium quality.”

The tower’s location within DIFC places it in one of Dubai’s most desirable areas, with easy access to top-tier dining, retail, and leisure destinations, as well as excellent transport links including direct access to Sheikh Zayed Road.

Meeting rising demand

DIFC has seen a surge in demand for Grade A office space, driven by the increasing number of regional and international financial services firms and innovative businesses establishing operations in the district.

According to industry data, average Grade A rents in DIFC have risen by 15 per cent year-on-year, reflecting the area’s growing appeal.

Aldar’s acquisition comes at a time when demand for high-quality commercial real estate is outpacing supply, and the tower is expected to help address this gap, offering flexible leasing options and premium amenities to meet the needs of a diverse range of tenants.

The project, designed by architectural firm Herzog & de Meuron, is expected to attract significant interest from both local and international firms.

The tower’s design emphasises sustainability and flexibility. In addition to aiming for the LEED Platinum certification, the building will feature a combination of multi-tenanted and single-tenanted spaces, allowing tenants to customise floorplates to suit their specific needs.