Dubai's Sobha secures financing to help fund $4bn project

Doha Bank closes deals with company to help finance its mega project Mohammed Bin Rashid Al Maktoum City
Dubai's Sobha secures financing to help fund $4bn project
By Staff writer
Sun 21 Dec 2014 04:29 PM

Doha Bank's Corporate Finance division has successfully closed a corporate finance deal of AED500 million ($136 million) with Dubai's Sobha Group, with a syndicated facility of AED800 million for its $4 billion Sobha Hartland project.

The facility was arranged by Doha Bank with a five-year tenor and will enable Sobha Group to fund its expansion plans in Dubai, a statement said.

PNC Menon, chairman, Sobha Group, said: "Sobha Group is pleased to have this facility from Doha Bank which will help us in pursuing our strategic growth plans in Dubai by partnering with a financing partner with footprints in markets where we are active.

"Currently we are placing our focus on Sobha Hartland, our latest project, which is an eight million square feet mixed use freehold development located in Mohammed Bin Rashid Al Maktoum City."

Sobha Hartland, which sits just off Al Khail Road on a site facing the grandstand at the Meydan development, will contain 282 villas ranging between 6,259 square foot to 17,000 sq ft.

There will also be two mixed-use towers, nine blocks of ground-plus-48 storeys, three blocks of ground-plus-20, and 18 blocks of ground-plus-eight, as well as three hotels, a 150,000 sq m community centre, a clubhouse, three mosques and two international schools.

The first 140 villas have already gone on sale, with prices starting at $3.3 million.

Dr R Seetharaman, CEO, Doha Bank, added: "We are pleased to have the opportunity to finance Sobha Group's future growth. Doha Bank is committed to supporting the wider business community in the UAE."

The company is also set to build a new labour camp in Sharjah to house many of the workers who will be building Hartland. It already has two existing camps at Dubai Investment Park.

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