First Islamic announces the creation of a joint venture to develop world-class golf residential community with Dubai Sports City

Victory Heights will be developed on 25 million square feet of land located in the Dubai Sports City project in Dubailand, the Middle East's first dedicated recreational and commercial sporting city. Developed around an 18-hole Championship Golf Course to be designed by top ranked golfer Ernie Els in association with Nicklaus Design, Victory Heights will complement Dubai Sports City's wide array of stadiums, training academies and other sporting facilities.

The community will be developed by East West Partners, a leading developer of award winning themed residential communities in the United States, who have completed over 30 similar projects. Acting as the master developer, East West Partners will set the theme and devise the development strategy for Victory Heights in conjunction with leading international consultants.

Atif A. Abdulmalik, First Islamic's Chief Executive Officer commented: "We are particularly pleased to announce this project as it represents one of First Islamic's initial investment transactions in the Middle East. The development of the first privately funded residential community in Dubai underscores First Islamic's commitment to creating unique investment opportunities. Ever-increasing demand for lifestyle-oriented communities, coupled with the strong performance of Dubai's real estate market, makes this a compelling transaction."

Khalid Al Zarooni, President Dubai Sports City, said: "Together with First Islamic, we are pleased to make such significant progress in the development of Dubai Sports City. This project embodies the unique vision and concept required to create a one of a kind residential and recreational community in Dubai."

Victory Heights seeks to offer a comprehensive gated neighborhood environment with high quality residential units catering to local and expatriate families. The community will be differentiated by its specialized recreational focus encompassing the broadest range of sporting and leisure amenities such as a country club with branded health and fitness centers, world-class swimming facilities, tennis complexes operated by the renowned David Lloyd and a branded Butch Harmon golf academy, the first outside North America. Victory Heights' potential residents will also have access to Dubai Sports City's other international sporting academies such as the Manchester United Soccer School and the International Cricket Academy.

Asim Zafar, Executive Director in charge of Real Estate and Asset-Based Investments at First Islamic, added, "Our real estate investment philosophy of partnering with best-of-breed operators and developers has served us well in the United States and in Europe and we are following this strategy by partnering with an award winning developer to introduce an award winning concept to the Gulf region."

The launch of Victory Heights' residential offering to potential home buyers is expected prior to the end of 2004.