Reem Investments announces excellent 2006 results

Total assets also recorded a jump of 69 per cent to AED 3.1 billion compared to financial year 2005.

Speaking on the sidelines of Abu Dhabi Cityscape 2007 where the company is showcasing its flagship real estate project the Najmat Abu Dhabi, a senior Reem Investments official attributed the excellent financial results in 2006 to its successful investment strategies in its ventures locally, regionally and globally.

Commenting on the exceptional results, Mr Abdulhamid Saeed, Managing Director, Reem Investments, said 'The success of Reem Investments is due to the extensive efforts of its experienced management team and the support of the shareholders. Moreover, the continued regional economic growth will enable us to successfully achieve our expansion targets and return excellent profits yet again in 2007.

'In keeping with its vision to be a truly diversified global investment company, Reem Investments set up in 2006, a wholly-owned subsidiary 'Reem Developers' to take advantage of the booming local and international property markets.' Mr Saeed said.

'Najmat Abu Dhabi, a world-class mixed-use development on Al Reem Island, is Reem Developer's first significant investment in the sector and is progressing well with expectations of a robust development alongside profitable returns and capital growth,' he said.

'The Najmat project has not only been well received in the local markets but has also generated significant regional and international interest. We have received several queries on the Mall plot, which has had very positive implications for the front row of the plots. Most plots in Phase I are under various stages of discussions and these include the marina plots, canal and front row plots. We also anticipate some of our investors (developers) announcing the launch of their own projects to the retail market during Cityscape Abu Dhabi,' Mr Saeed said.

'The second project attracting the attention of the local investment community is the Rawdhat Abu Dhabi, a mixed use development exclusively focusing on UAE nationals and set for completion by 2009,' he said, pointing out that the launch of this project during Cityscape Dubai in December 2006 witnessed the sale of all plots -- within hours of the launch. 'The site grading and preparation works are under progress and we expect to hand over plots to our investors in about ten to twelve weeks.'

With most infrastructure already in place, The Najmat Abu Dhabi project is progressing ahead of schedule with 86% of all grading work being completed. In February 2007, an AED 201 million marine works contract was awarded to China Harbour Engineering Co. L.L.C. in February 2007, while the awarding of the regional roads contract will be undertaken soon.

Reem Investments has joined hands with other leading developers from Abu Dhabi to form 'Al Maabar', a real estate development company to invest outside the UAE. Another major investment has been in the establishment of an Islamic finance company 'Aseel' alongwith First Gulf Bank and other developers of Abu Dhabi. Aseel is envisaged to play a very important role for our clients who seek Shariah compliant financing for their business.

On the Global investments front, Reem's investment strategy involves targeting countries such as India, Pakistan, Turkey, Nigeria and Morocco due to their attractive investment climate. Additionally, these investments have been highly diversified and include sectors such as oilfields, real estate, telecommunications, information technology and financial services.