Sorouh explains forward strategy

In June, Sorouh dissolved its joint ventures with Tameer in the Shams Abu Dhabi development on Reem Island, taking over full possession of the projects.

The developer said that it still expected to meet a 2012 completion deadline.

Sorouh has also recently offered investors in the Alghadeer project a number of discounts and payment plans as access to liquidity has tightened, in order to help their customer base.

What are Sorouh's plans for H2 2009?

The plans are to continue with investment optimisation strategies for our existing customers in our existing developments. The focus will also be on the delivery of our developments.

How is the change in direction to sustainable income progressing?

We are developing a stable of properties that will produce recurring income. These developments are strategically located in Abu Dhabi near major employment generators such as the airline industry and the future Capital District.

How are Sorouh's various developments progressing?

Sorouh has over Dhs70bn-worth of projects under development in the UAE and internationally, including the Dhs25bn Shams Abu Dhabi project on Al Reem Island, which will house 53,000 residents, in a number of projects including the Gate District, Sky Tower, Sun Tower and The Marina.

All key developments under construction in Abu Dhabi remain on track for delivery as previously scheduled.

Work on the Gate District is well underway with piling works complete on Towers one, two and three and more than 50% completed on the Arc. The Towers have now been handed over to the main contractor.

The Gate District has 3,400 units consisting of eight towers linked by an iconic sky level. The Gate Towers is a mixed use project featuring both residential and commercial units and an international hotel, and the project is due for completion in 2012.

Has access to liquidity eased in the market?

We have adequate cash reserves from 2008 sales revenues and a Dhs4bn Sukuk. On the investor front, we have communicated with our customers and are delivering a series of initiatives which will support them through the purchase, financing and delivery phases of their relationship with us.

We have also already made a significant commitment to customer finance, including being among the co-founders of Abu Dhabi Finance, the new mortgage company, and signing approximately 20 Memorandums of Understanding with different banks and institutions.

Sorouh is also planning, in the near future, on announcing new corporate financing options for companies as well as individuals who have bought multiple units in our projects.