The company is keen to continue providing residential destinations that give residents a comfortable, safe and modern lifestyle.
Ras Al Khaimah-based developer RAK Properties announced that its profits had increased by 433 percent during the first quarter of 2021.
The company's profit for Q1 2021 amounted to a total of USD 17.4 million compared to USD 3.2 million for the same period in 2020. The increase is the result of RAK Properties’ successful strategy in overcoming the challenges caused by the exceptional circumstances faced all over the world, and transforming them into opportunities that benefit both investors and shareholders.
The company has also recorded a rise in the value of assets by 2.9 percent to reach USD 1.6 billion, compared to USD 1.5 billion in the first quarter of 2020. This is the result of increased investments in the development of hotel and residential projects in various locations across Ras Al Khaimah and Abu Dhabi. In addition to that, the company's revenues grew by 244 percent, reaching USD 33 million in the first quarter of 2021, compared to USD 9.8 million in the first quarter of 2020.
Abdulaziz Abdullah Al Zaabi, chairman of RAK Properties, said, 'We are extremely pleased to announce these strong financial results, which reflect the company's ability to adapt its work to the current conditions, and to continue developing residential and hotel projects that meet the needs of the real estate market.'
Al Zaabi pointed out that RAK Properties is optimistic about its ability to achieve more positive results during the coming period. The company is keen to continue providing residential destinations that give residents a comfortable, safe and modern lifestyle. RAK Properties will also continue to develop commercial units that benefit from the growth of commercial and tourism traffic in the emirate and will explore investment opportunities to attract new segments of investors.
The company revealed that construction is continuing in its two residential projects: Marbella Villas in Mina Al Arab, which includes 205 villas and townhouses, and Julphar Residence on Al Reem Island in Abu Dhabi, which includes 266 apartments. The two projects are expected to be delivered later this year. There are also two future projects underway, namely the Bay Residence on Hayat Island in Mina Al Arab, and the Gateway Residence 2, which is a residential tower also situated on Hayat Island.
As for the company’s hospitality projects, a number of 5-star hotels are currently underway. It is expected that the Intercontinental Resort & Hotel in Mina Al Arab will start operating during Q4 2021. It is also expected that the Anantara Mina Hotel & Resort will open in 2022. These two developments will add significant value to the company’s revenue stream for subsequent years.