Emirates REIT, the UAE’s first regulated Shari'a compliant real estate investment trust incorporated in the Dubai International Financial Centre (DIFC), has announced that the new campus of the Jebel Ali School has been completed.
The school, which is located in the Akoya development in Dubailand, has already welcomed students for the start of the new academic year, the company said in a statement.
The new educational facility will have a capacity for about 1,800 students by 2022. Demand for the school will come from Akoya, a prime residential development expected to house over 44,000 residents when complete in 2018, as well as surrounding communities such as Arabian Ranches, Mudon, Motor City and Dubai Sports City.
In August 2015, Emirates REIT agreed with Jebel Ali School, one of the oldest and most experienced British curriculum schools in the Emirates, to build and enter into a 26-year lease for their new school campus.
Emirates REIT acquired the freehold land plot from Damac Crescent Properties for AED98.5 million, and immediately leased it to Jebel Ali School, providing an initial net income in excess of 10 percent of the acquisition costs of the plot.
The Jebel Ali School has now been valued at AED304 million, a post-completion valuation gain of AED47 million (+18.3 percent) since June. The Jebel Ali School now represents 11 percent of the REIT’s total portfolio value, the statement added.
Sylvain Vieujot, deputy chairman and CEO, Emirates REIT said: “We are pleased to see the school fully ready on schedule. We worked with a strong contractor and other partners that enabled a remarkable completion time.
"Education sector assets now account for approximately 24% of the current income of Emirates REIT's portfolio, bringing very stable rental income and long-term secure cash flows. We wish the school every success in its new home.”
Jebel Ali Primary School, rated a tier “A” school by the Knowledge and Human Development Authority, was established by a royal decree in 1977 to meet the educational needs of the community.
The new campus consists of facilities, including an auditorium, indoor sports centre, a 25m competition and teaching pool, science and technology laboratories, a lecture theatre, art, drama and music facilities, and a number sports fields.
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