Union Properties Looks for Other Avenues, in Talks with Banks

The debt rescheduling will help expand from real estate while cutting costs substantially

Union Properties Looks for Other Avenues, in Talks with Banks

Union Properties Looks for Other Avenues, in Talks with Banks

Union Properties are ready to invest in distressed assets in multiple sectors like hospitality, healthcare, and education, according to chairman Khalifa Hasan Al Hammadi.

Apart from being in talks with several banks for financing, Union Properties is keen on exploring certain good assets across UAE, said Al Hammadi. The diversification will be around different fields with no limit in acquisition as long as they come with discounted prices, he added.

Many distressed assets are available in the market, and the prospect will be enabling Union Properties to expand from mere constructions.

In a statement, Vice Chairman at Union Properties, Fathi Ben Grira said that with new repayment terms like the Dh946 million, UP Group will able to renegotiate terms- both on the payment and tenor areas- with their biggest lender- Emirates NBD.

The deal with Emirates NBD has helped the property developer to reduce its losses by 68%- at Dh38.56 million from the first quarter, while expenses added up to Dh58 million from Dh76 million in the first three months of this year.

The Dubai-listed firm is hopeful of picking up pace after the coronavirus pandemic, at the beginning of 2021.

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