Motor City Offplan Launch: Union Properties Projects Dh200M Profit

Union Properties, a developer based in Dubai, anticipates making a tidy Dh200 million profit on its return to real estate launches with a Dh1.15 billion project in Motor City. The introduction of “Takaya” also signals a potential comeback for a business that, in the previous two to three years, had been concentrating on rewiring itself following significant financial losses.

A studio at a Takaya unit is listed for Dh750,777, with a three-year post-handover plan. For mid-to upper-mid-range residential options, Motor City is already a well-known destination. Union Properties is hoping that this will ignite the ideal spot in Dubai’s demand for reasonably priced real estate.

The project’s Dh1.15 billion cost will be covered by the developer’s own resources plus some bank financing. That is a significant statement the company is making on its own, especially in light of the extensive organizational restructuring and three-year comprehensive turnaround plan.

Issues began in 2021–2022 when quarterly losses increased, leading to the previous board’s dismissal. After that, a newly assembled management team assumed charge with the explicit directive to control expenses and, whenever feasible, raise new capital by selling anything considered non-core. Additionally, there were lengthy discussions for more accommodating loan repayment schedules with its lenders.

Now comes the relaunch

“The launch of ‘Takaya’ project is in line with our long-term growth objectives, further reinforcing our commitment to delivering superior quality for customers,” said Amer Khansaheb, CEO, one of the key movers in the UP turnaround story.

“By leveraging our extensive industry expertise and market insights, we look forward to capitalising on new opportunities in the real estate market and future-ready liveable environments.”

In relation to its 52-week low and high of Dh0.27 and Dh0.46, respectively, the stock is currently trading at Dh0.33 on DFM.