Dubai-based property developer Nakheel announced it has secured $4.6 billion in strategic financing deal to drive what it calls, “the new phase of growth.”
The amount includes refinancing of $3 billion, and additional funds of $1.6 billion.
The developer of Palm Jumeirah said that the finance would be utilised to accelerate the development of its new projects including Dubai Islands and other large waterfront projects.
Looking to redefine the concept of waterfront living, Nakheel announced its plan to develop another man-made island — Dubai Islands — situated along the emirate’s northern coastline, comprising five islands over a total area of 17 square kilometres.
The property developer said Dubai Islands would be home to over 80 resorts and hotels, including luxury and wellness resorts, boutique, family and eco-conscious hotels.
This year, Nakheel announced that it would also relaunch and rebrand Palm Jebel Ali, a project that has been left dormant since 2009.
Recently, one of the mansions at the Palm Jumeirah sold for $82 million, pegging it to be the most expensive house sale ever in Dubai.
The $4.6 billion financing reflects the confidence of the banking institutions in the strategic new focus of the company, a Nakheel spokesperson said.
Despite the challenges of the pandemic, Nakheel said that it has invested in building a strong assets portfolio and pipeline of new developments in the last two years.
The company attributed the robust growth of the Dubai real estate sector to regulatory reforms, such as the issuance of long-term visas, and an economy buoyed by the retail, leisure and hospitality sectors.