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Abu Dhabi: Abu Dhabi investment group Mubadala Development Company announced on Sunday the launch of a new multi-billion dirham real estate development master plan at Sowwah Island in Abu Dhabi.
Sowwah has been designated by Abu Dhabi’s strategic urban plan as the central business district of the city, and the project, namely Sowwah Square, comes to reflect this target by hosting the new headquarters of Abu Dhabi Securities Exchange (ADX), as well as major banking and financial institutions.
“Sowwah Square will be developed by John Buck International (JBI), the joint venture between Mubadala, which holds 51 per cent, and The John Buck Company which holds the remainder. The contract assigns JBI as the master developer, construction manager, and building manager,” Carlos Obeid, Mubadala’s chief finance officer said.
“The total building area is around 585,000 square meters, accommodating the headquarters of ADX at its center,” he added.
ADX will be occupying the new premises on lease basis, benefiting from the advanced infrastructure, and surrounded by four grade A, 30 to 36 floors commercial towers offering office, hotel, and retail amenities. Office space alone accounts for 285,000 square meters of the total development.
“We are still working with our partners in assessing the investment costs, and accordingly we cannot disclose any figure at this stage,” Obeid explained.
“But the financial planning has been already set, as we plan to resort to a mix of equity and bank loans. Mubadala will maintain the ownership of 100 per cent of the project, and will provide for the equity part,” he added.
This is the second mega real estate development project for Mubadala in Abu Dhabi in less than a month, after announcing a joint venture with Singapore’s CapitaLand late last month, reflecting the company’s growing appetite for investing in the capital’s promising sector.
“What has been achieved in Abu Dhabi in the past few years is nothing compared to the growth expected in the coming couple of decades, and we are capitalising on the growing demand for real estate within this context,” Obeid said.
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