By Parag Deulgaonkar
Mulchandani said company has already paid 30% of loan taken for its two Dubai projects
SKAI Holdings, a Dubai-based real estate and hospitality group, will repay the $300 million (AED1.1 billion) syndicated finance facility taken for construction of its two projects 18 months ahead of its maturity date, company group chief executive officer has told Arabian Business.
In September 2015, the developer raised finance to pay for its $1.17billion (AED4.3bn) Viceroy Palm Jumeirah Dubai, set to open in March, and $348.4m (AED1.28bn) Viceroy Dubai Jumeirah Village, which is about one-third complete.
The facility, maturing in September 2018, was backed by seven local and major Chinese institutions, including Abu Dhabi Islamic Bank, Invest Bank, Arab African International Bank, Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China and China Minsheng Banking Corp.
“We have already paid 30 percent of the loan while the remaining amount will come from payments expected to be received at the handover of 222 residential units when buyers are obliged to pay the remaining 80 percent of the unit value,” Kabir Mulchandani said in an interview.
“Even the banks had not anticipated the completion [of our project] on time and so they gave us a facility that allowed for the normal Dubai delay. Since we are done on time, and as money comes in, we are going to repay the banks,” he added.