JEDDAH — Emaar Development PJSC, the UAE build-to-sell property development business majority-owned by Emaar Properties PJSC, reported a net profit of AED1.82 billion ($496 million) during the first six months (January to June) of 2018, an increase of 68 percent compared to AED1.08 billion ($294 million) during the same period last year.

Revenue for the first six months of the year was AED6.99 billion ($1.90 billion), underpinned by the progress in construction and timely project delivery. This is 119 percent more than the H1 2017 revenue of AED3.19 billion ($868 million).

Highlighting the strong investor appeal for Emaar Development’s residential launches, the company reported total sales of AED6.23 billion ($1.70 billion) during H1 2018. Emaar now has a total sales backlog of over AED38.50 billion ($10.48 billion), majority of which will be recognised as revenue over the next three to four years.

Emaar Development’s net profit grew 73 percent in the second quarter (April to June) of 2018 to AED997 million ($271 million), compared to Q2 (April to June) 2017 at AED575 million ($157 million). Revenue for Q2 2018 was AED3.72 billion ($1.01 billion), 145 percent more than the Q2 2017 revenue of AED1.52 billion ($414 million).

In the first half of the year, Emaar Development launched the sale of over 3,600 residential units across its mega developments in Dubai. It now has a development pipeline of over 60 residential projects in the UAE with over 28,000 units.

Construction is progressing as per schedule for handover of the first waterfront homes in Dubai Creek Harbour – the Dubai Creek Residences in Creek Island Dubai – next year. Time-bound milestones have been achieved for the delivery of homes in Dubai Hills Estate, Emaar South, Emaar Beachfront and Downtown Dubai too.

Mohamed Alabbar, Chairman of Emaar Development and Emaar Properties, said: “Emaar’s residential destinations are city hubs of the future with their exceptional location, build quality, spectacular views and the lifestyle amenities we offer in our integrated developments. Developing premium real estate assets is our core strategy for Dubai and the resurging investor enthusiasm to our property launches underlines their trust in our focus on quality and design. We will continue to seek opportunities for developing property assets that create long-term value for our stakeholders.”

Emaar Development’s main launches in the first six months of 2018 include: The Grand, an exclusive collection of ultra-luxury apartments, penthouses and podium-level townhouses, in Dubai Creek Harbour; Socio and Collective, innovative concepts for co-living spaces in Dubai Hills Estate; Beach Vista and Sunrise Bay in Emaar Beachfront and Grande in Downtown Dubai, among others. During Ramadan and summer, Emaar offered several value-added offers for customers, which contributed to increased sales.

Emaar Beachfront, a private gated island destination in the Arabian Gulf, offering residents the opportunity to experience Miami beach style living in Dubai, reported strong investor response for Beach Vista and Sunrise Bay, together accounting for sales of AED1.65 billion ($449 million).

Emaar also announced a strategic partnership with Aldar for a new joint venture to develop the world’s next era of iconic destinations that will shape the UAE’s ever-evolving skyline. The JV has a targeted AED30 billion development pipeline with an initial focus on two projects in Abu Dhabi and Dubai. Emaar Development has over 10 mega-developments in its portfolio, aims to underpin its leadership role in prime residential real estate in Dubai. — SG