Meilenstein, a German real estate developer, has announced its foray into UAE’s real estate market with eight projects with a development value exceeding $327mn (AED1.2b).
The projects are to be built in several locations across Dubai, including Mohammed Bin Rashid City (MBR City) within Meydan City, Al Furjan, Dubai Studio City and Dubai Sports City.
The company has already invested $136m (AED500m) in company formation, office set up, talent acquisition, land acquisition, infrastructure and other ground works.
“We are going to invest a further AED2bn in developing projects in 2018 and 2019 and the numbers will then go up once we start building the projects and selling the properties,” says Jawad Azizi, managing director of Meilenstein Developments.
The news comes at a time, when the property market enters in to an interesting phase where end-users are expected to migrate from leasehold to freehold properties with reasonable prices and more attractive payment terms.
Land transaction value in Dubai exceeded $44.14bn (AED162bn) in the first nine months of the year, Dubai Land Department said in a latest report.
Azizi added: “This is perhaps the best time to enter in Dubai’s real estate market where we see a large number of foreign investors are entering to take advantage of high rental yield.”
In Germany, Meilenstein owns FMA GmbH, Main-Tur GmbH companies which are into real estate & brokerage. Within the UAE, the firm is involved in manufacturing, interior decor, ecommerce and retail.