Developer inks deals to restart Dubai projects

Kuwait-listed developer Al Mazaya Holding said on Saturday it had signed contracts to restart some of its suspended real estate projects in Dubai. The company said between 70-80 percent of its problems in Dubai had been resolved and was noticing "some signs of demand on real estate units by international companies". The renewed demand has encouraged Al Mazaya to sign construction resumption contracts for some of its projects in Dubai, it said in a statement without giving further details. The company added that it was in the process of resuming another project soon. The announcement came as Al Mazaya Holding reported a net loss of $57.2m in 2011, weighed by provisions totalling $142.9m. Rashid Al Nafisi, chairman, said that Al Mazaya Holding was able to "deliver its real estate projects inside Kuwait and abroad and to pay a large part of its obligations to companies, investors and individuals in 2011". He added: "Al Mazaya was able to maintain its financial standing, operational performance and market position thanks to careful planning and the implementation of the firm's precautionary 2011 policy, which took into consideration both the general economic climate and recent financial developments in the global markets." The company's total assets amounted to $950.9m by the end of 2011, the statement added. Naif Al Awadi, CEO of Al Mazaya Holding, said: "We have made a quality leap in operations in the last two years... We have reduced our obligations and delivered three times more projects than what we used to deliver annually during the previous years." Al Awadi said that Al Mazaya would continue to seek to restructure assets, improve budgets, refocus on revenues this year. In Dubai, Al Mazaya's projects include The Villa, Dubai Healthcare City, The Icon (1&2), Sky Gardens, Al Mazaya Business Avenue and Queue Point at Al Liwan, in addition to other projects in Kuwait, Lebanon and Jordan.