By Andy Sambidge
Construction of $1bn Reem Mall is set to start in 2015 and expects to open three years later
Kuwait-based National Real Estate Company (NREC) on Wednesday announced a new partner who will invest $224 million in developing a mega shopping mall in Abu Dhabi.
Under the agreement, United Projects for Aviation Services Company (UPAC), also headquartered in Kuwait, will invest in Reem Mall through its real estate subsidiary, Al Arfaj Real Estate Company.
Reem Mall is a 2 million square foot retail, leisure, dining and entertainment destination which will be built on Reem Island, and is currently at final concept design stage.
The $1 billion project will start construction in 2015 and expects to open in 2018. Once completed, Reem Mall will bring a wide range of family-focused retail, leisure and entertainment offerings to Abu Dhabi including 450 stores and 85 restaurants.
Samuel Sidiqi, CEO of NREC, said: “This is an important milestone on the path to creating an exciting new retail, leisure and entertainment destination, right in the heart of new Abu Dhabi.
"There is clear recognition that Abu Dhabi needs a world-class, centrally-located retail centre to meet the needs of the main island and of Reem Island’s residents. Our partnership with UPAC signifies a major step towards delivering this.”
Nadia Akil, CEO of UPAC added: “Our strategic partnership and investment in the Reem Mall project will ensure timely delivery of this significant addition to the region’s retail industry.
"This is one of the most substantial investments that we have undertaken and it will significantly enhance our relationships with major industry partners such as NREC, as well as solidify our position as a leading real estate management company.”For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.