Aldar Properties, Mubadala to jointly develop commercial tower on Al Maryah Island

Aldar Properties and Mubadala have signed a heads of terms agreement to jointly develop commercial assets on Al Maryah Island in Abu Dhabi.

The joint venture once finalised will bolster ADGM’s busy ecosystem, providing capacity for more businesses to operate from Al Maryah Island.

This follows on Aldar’s acquisition of the four commercial towers at ADGM from Mubadala and a subsequent deal between the two parties to partner in the acquisition of Al Maryah Tower, both of which were completed in 2022.

The partnership will see the development of commercial office offerings on Al Maryah Island, which continues to experience a surge in demand. In fact, according to Aldar, office leasing occupancy of the four ADGM office towers has reached 96 per cent.

Aldar will own a 60 per cent stake in the joint venture, with Mubadala holding the remaining 40 per cent.

Upon completion of the initial office tower’s construction, which is expected by the end of 2026, the property will be managed by Aldar Investment, which currently houses over Dhs32bn of assets under management.

Building on our successful and collaborative partnership with Aldar, we have signed heads of terms to develop a prime Grade A office tower on Abu Dhabi’s premier lifestyle and business destination, Al Maryah Island.@AldarTweets pic.twitter.com/Ov0jSG4Reh

— Mubadala (@Mubadala) March 30, 2023

Highlights of the commercial real estate offering on Al Maryah Island

The office tower will have a total net leasable area of 63,000 square metres and aims to be LEED Gold certified. It will offer a varied mix of micro-office, multi-tenanted, and single-tenanted floors.

The addition of the new tower will bring Aldar Investment’s total net leasable area of commercial office space to more than 400,000 square metres.

Jassem Saleh Busaibe, chief executive officer at Aldar Investment, said: “Through our ongoing management and successful leasing programme of the four ADGM office towers, we continue to see considerable demand for Grade A office space on Al Maryah Island.

“Through a phased approach, the joint venture will continue to increase the supply of prime office space on the island to ensure the ADGM freezone grows from strength to strength as a financial centre of global significance. The first project enables us to take the necessary steps to satisfy the current pent up demand, with plans for more to come.”

Khalifa Al Romaithi, executive director of UAE Real Estate at Mubadala Investment Company, commented: “Our joint venture with Aldar represents another milestone in our long-standing partnership and commitment to Al Maryah Island as the capital’s premier lifestyle and business destination.

“Home to ADGM, Al Maryah Island is an international hub for business growth and opportunity in Abu Dhabi, attracting businesses from around the globe.”

Al Romaithi added: “With its world-class offering, Al Maryah Island is a one-stop destination that provides unrivalled connectivity for people to work, live, shop and play. Through this joint venture with Aldar, we are solidifying our commitment to enhance the business ecosystem and attract prime partners to Al Maryah Island.”

The initial office tower will have a prime location and offer proximity to ADGM, Cleveland Clinic, The Galleria Al Maryah Island as well as several hospitality and lifestyle destinations.

New residential offering

In recent news, Aldar recently launched a limited number of apartments at ‘The Source’.

The Source boasts 204 apartments and penthouses and provides residents with a range of unique offerings that cover all aspects of physical and mental wellbeing, from wearables and sleep apps to meditation rooms and premium fitness facilities.

Homes at The Source range from one-bedroom to two-bedroom apartments and each property comes with a choice of two themes for interior finishing to cater to individual customer preferences.

Read: UAE’s Aldar Properties unveils homes dedicated to health and wellbeing

The Source will be developed with social and environmental sustainability measures in mind.

Targeting a minimum of a 2 Pearl Estidama rating, the project will feature sustainable design elements that reduce carbon emissions and water usage throughout the design, build, and living phases of the development.

Also read: Aldar subsidiary Cloud Spaces to launch ETHER, a new co-retail space, at Yas Mall