Interview: Mohamed Alabbar, Emaar Properties (page 1 of 3)

Q. I'd like to ask about your ambitions outside the UAE. Where are you looking to expand and in which sectors?

A. I spend most of my own time outside the UAE. I think you become a very ignorant person if you just stay in one place - whether it is Dubai or if it is Bahrain or wherever, and you only know that environment. The world is changing so fast. As I go to new places, I meet new people, I learn so much. I do have a special interest in business in the Far East.

Q. So what commercial interests are you expanding and where?

A. I have a public company, in fashion, based in Singapore that operates in the Philippines, Hong Kong, Malaysia, Taiwan, Vietnam, Indonesia and Australia.

Q. Is production in the Far East?

A. No, we have about 900 stores with all the brands that you hear of nowadays, in the mid-range. We will be launching the same fashion chain in March on the East Coast of the USand the Middle East.

Q. What will the name be in the States?

A. I don't want really to say too much now, since we have not signed the papers yet.But we are taking Mango, the famous Mango brand, to the East Coast of the US. In India, we are operating a food chain. We have started a food company that is doing quite well. For me, interacting and knowing what is going on in other parts of the world is something that really excites me. I am learning. I am very keen to know things - to know people and how the world operates.

Q. Recent history has shown that businessmen who seek to expand everywhere at once frequently run into problems.

A. I would say that that statement is partly true. I also know some businessmen who do not expand at all and just run one business, like a tire shop, and they also go bust. It all depends on what team you bring on board. It all depends on what partners you have around you.

Q. Are you doing this from the heart? And are you enjoying it? Wherever I go, I bring in partners with me. My experience and my global contacts help me, and I do my due diligence. You know, I spend $500,000 to do a proper business plan and evaluation. I put all my big boys on top of it before we say yes or no. But, in this world, if you don't take a little bit of calculated risk, you will never get anywhere.

Q. Regarding Emaar, what will happen when you run out of land that has been given to you by the government?

A. Our land base is quite large. It is huge, actually. But I promise you that every six months, we come up with a new concept. The concept must really add value to the city, improve the quality of life for the people in the city. It helps the city put up infrastructure without them paying for it.

We are paying for the infrastructure and, as a result, we acquired the land. Now keep in mind that the government is a 30 percent shareholder in the company, so they can't really lose. They still get 30 percent of whatever is being done.

Keep in mind, too, that we are now looking at investment in the region, because we think that liberalization is going to reach the countries around us within the coming 24 months.

Q. Regarding real estate, the federal government has not yet approved schemes that allow leasing over 99 years.

A. Correct. But we have legislation in the city of Dubai that allows us to do it. Today, I do not think that there is a truly clear federal rule in this regard. I do not see any problems at all in this, though.