The Al-Zorah development has downsized the number of residents it aims to accommodate from 200,000 to 50,000
A slowdown in the UAE’s real estate industry has led to ‘at least’ a 15 year delay in the completion of the scheduled $60 billion Al-Zorah development in Ajman, according to Lebanese co-developer Solidere International.
The project, which is planned in collaboration with the government of Ajman for completion by 2023, has also downsized the number of residents it aims to accommodate from 200,000 to 50,000, Solidere International COO Oussama Kabbani told local media.
He said the delay and reduction in units coastline was due to falling property prices throughout the UAE. As a result, the firm is offering relaxed payment plans for the project located along the coastline of one of the UAE’s smallest emirates.
In 2010, Solidere International return almost half of the planned project land to the Ajman government. It is now exploring joint ventures with other developers and investors to fund residential and commercial facilities in the project.
It is also in talks with UAE’s Gems Education to build a school in Al-Zorah.
Solidere International also has several pending projects in Saudi Arabia and one in Beirut. Its largest shareholder is Beirut-listed real estate developer Solidere, which was founded in 1994 by billionaire businessman and then-prime minister Rafik Hariri.
The firm is credited with the reconstruction of downtown Beirut, when property owners were compensated with company shares instead of cash.
While owners were given the option to retain their property, it was based on the condition that they restore their buildings in line with Solidere’s redevelopment standards, which many claim were too high to afford.