Sharjah developer ARADA on Thursday said it has secured a syndicated loan of AED1 billion ($270 million) from two major UAE banks to help finance the development of its mixed-use megaproject, Aljada.
The Islamic facility was arranged with Abu Dhabi Commercial Bank (ADCB) and Dubai Islamic Bank as joint mandated lead arrangers and bookrunners.
Aljada, a master-planned destination with a sales value of AED24 billion, was unveiled by Sheikh Dr Sultan bin Muhammad Al Qasimi, Ruler of Sharjah, in early September.
Since that date, the 24 million sq ft project has become Sharjah’s fastest-selling residential community.
Sheikh Sultan bin Ahmed Al Qasimi, chairman of ARADA, said: “We are pleased to have secured this funding facility, which is a critical milestone on our journey to deliver this fantastic project. I would like to thank our banking partners and we look forward to working with them as we move forward with the development of Aljada.”
In November, ARADA broke a record for the number of units sold by a developer in Sharjah in a single day, after all 115 homes in Areej 5, an apartment block in Aljada’s Phase 1, were snapped up by buyers on the day they were released.
Delivered in phases starting in 2019, construction on Aljada will begin in the first quarter of 2018 and the entire project is expected to be completed by 2025.
The Aljada masterplan is designed with walkability and wide green spaces in mind, allowing residents, workers and visitors the ability to live, work, play and be entertained within an all-inclusive and self-sustained precinct.
Dr Adnan Chilwan, Group CEO of Dubai Islamic Bank, said: “DIB is delighted to offer its support to the development of Aljada, an impressive initiative that is important to the future of Sharjah. As the largest Islamic bank in the UAE, Dubai Islamic Bank has been actively involved in supporting the major projects across the UAE.”
Saoud Al Jassem, head of government clients division at Abu Dhabi Commercial Bank, added: “Abu Dhabi Commercial Bank is very pleased to be collaborating with ARADA over one of the UAE’s landmark megaprojects. Our team quickly recognised the value of this development and has worked hard to deliver an extremely competitive financing transaction for our client.”
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