The Emirati Emaar Properties said it sold the Address Sky View hotel, downtown Dubai, for 750 million dirhams ($204 million). The company said it will retain ownership of a sky bridge restaurant.
“The net impact on the financial position would be an expected increase in assets of Dh50m during the quarter of sale transaction payment [fourth quarter of 2020],” the company said.
The deal is “in line with the company’s asset-light strategy for hospitality assets”, Emaar said in a statement to the Dubai Financial Market on Wednesday.
Dubai Financial Market (DFM) recorded an increase of 13 shares, during the trading session on Tuesday, led by Emaar Properties, which increased by 2.91%. Emaar Properties topped the list of the most traded shares.
Emaar Properties official said, in statements on Wednesday evening, a European fund had recently bought a the 169-key Address Sky View.
Emaar is a public joint stock company listed on the Dubai Financial Market. The company operates in many global markets. It provides an both development and administrative services.
The company manages its operations in six sectors through 60 active companies, and has a strong presence in 36 markets in the Middle East and North Africa, Asia, Europe and North America.
Global investors are seeking to conclude new deals focusing on Dubai hotel properties for three reasons namely: competitive prices, high returns, and Dubai’s attractiveness to tourists.
Emaar Properties is one of the largest real estate development companies in the UAE, and is known for mega projects such as Burj Khalifa, the tallest building in the world.
Address Sky View, three kilometers from the beach, is one of the most modern Dubai luxury hotels because of its distinctive services, unique engineering designs and interiors.