Developer Arada, which is building the AED24 billion Aljada real estate scheme in the heart of New Sharjah, has secured new funding from banks to help finance all residential phases of the project.

Arada on Monday confirmed a new Islamic loan agreement with Dubai Islamic Bank, amounting to an initial AED300 million, as well as a smaller facility with Ajman Bank. The company said the two agreements follow previous loans totalling AED2 billion, which were secured in 2017 and 2018.

Arada also reported a robust sales performance for 2020, as the developer said it benefited from a raft of project handovers and the stable Sharjah real estate market to overcome the effects of the Covid-19 pandemic.

During a challenging year for the UAE property sector as a whole, the total value of real estate sold by Arada rose by 35 percent to reach AED1.75 billion, with investor interest continuing to grow at Aljada. Sheikh Sultan bin Ahmed Al Qasimi, chairman of Arada, said:

“Against an incredibly difficult backdrop, I am pleased to say that Arada outperformed expectations over the course of 2020, awarding over AED1 billion in contracts and achieving exceptional sales results. In particular, we see the closure of the new financing agreements with Dubai Islamic Bank and Ajman Bank as another vote of confidence not just in Arada but in the resilience of the Sharjah property market. Our eyes are now firmly fixed on the year ahead, with an ambitious array of deliveries and launches, as well as an exciting events programme that has been designed to provide something for every citizen, resident and visitor to Sharjah and the UAE.”

Over the course of 2020, Arada’s sales dipped during the UAE lockdown period in April but recovered in the following months, with the developer posting its best ever quarterly performance in the third quarter. In total, Arada sold 2,337 units during 2020, as investors flocked to higher-end apartments and villas across the company’s two projects, Aljada and Nasma Residences.

Arada sold 1,977 units at Aljada over the course of the year and is preparing to hand over the first homes in the community, which will be delivered later this month.

Source Arabian Business