Aldar Properties PJSC, Abu Dhabi’s leading property development investment and management company, today announced its financial results for the nine-month period ended 30 September 2011.

Revenue for the nine-month period rose to AED 4,693.3 million, as compared with AED 932.4 million for the same period in 2010.

The Company recognised AED 2.7 billion from the sale of land during the period. Residential property sales increased to AED 913.6 million (9 months 2010: AED 348.2 million) following the completion and handover of Al Gurm, Al Bandar and Al Raha Gardens. Rental income from investment properties, which include Aldar’s commercial office and retail portfolio, increased to AED 537.3 million (9 months 2010: AED 269.8 million).

Operational businesses such as Aldar Academies and Aldar Hotels generated AED 368.6 million (9 months 2010: AED 247.6 million). Aldar also recognised AED 162.2 million in management fees for projects such as Al Falah, Cleveland Clinic and Masdar.

Revenue for the third quarter rose to AED 3,132.9 million (Q3 2010: AED 505.4 million) predominantly driven by the recognition of an AED 2.6 billion land sale to the Abu Dhabi Government which was announced in January 2011. Rental income from investment properties increased to AED 188.6 million (Q3 2010: AED 130.4 million).

Aldar reported a net profit for the nine-month period of AED 460.5 million compared to a net loss of AED 1,520.6 million for the same period in 2010. Net profit for the third quarter was AED 144.0 million compared to a net loss of AED 731.2 million for the same period in 2010.

The net assets of the Company grew 11.6 per cent in the 9 months ended 30 September 2011 compared to 31 December 2010 and 1.9 per cent during the third quarter.

Aldar ended the nine-month period with AED 2,277.8 million in cash and bank balances (nine months 2010: AED 4,666.6 million). During the period, Aldar repaid borrowings totalling AED 9,493.4 million and raised borrowings of AED 4,419.2 million in addition to the mandatorily convertible bonds amounting to AED 2.8 billion issued to Mubadala Development Company PJSC. In the third quarter alone, Aldar raised borrowings of AED 734.6 million demonstrating continued access to funding markets.

During the third quarter of 2011, Aldar delivered Al Zeina, one of the first new beachfront residential developments in Abu Dhabi. The completion of the 1,221 unit Al Zeina development follows the successful delivery of the neighbouring Al Bandar community last September and this new community will be joined by Al Muneera during the fourth quarter of 2011.

Al Bateen Park, a 359 residential unit development in the heart of Abu Dhabi, is now over 95 per cent pre-sold. Featuring a blend of villas and apartments, this project for sale to UAE Nationals will be delivered at the end of 2012.

Aldar also completed the first phase of Motor World, a custom-designed destination for new and used car showrooms and servicing facilities in Abu Dhabi. All 100 units in this phase are leased and tenants will now begin the process of fitting out their showrooms, with rental income to begin in the fourth quarter of 2011.

Significant progress was also made on Aldar’s fee-based projects for the Government of Abu Dhabi and other third parties. These include Al Falah, a 4,857 villa Emirati Housing development for the Abu Dhabi Government. Other recoverable projects such as Cleveland Clinic, Masdar and other infrastructure activities are progressing as per the development schedule.

In July, Aldar awarded the Viceroy Hotel Group the contract to operate the Yas Hotel on Yas Island. The newly named Yas Viceroy Hotel is one of seven hotels owned by Aldar on Yas Island.

In September, three more Aldar Academies schools opened in the Emirate of Abu Dhabi - Al Bateen Secondary School, Al Mushrif School and Al Ain International School. Aldar Academies now operates six schools and caters for approximately 3,500 pupils in Abu Dhabi and Al Ain and is working closely with the Abu Dhabi Education Council to plan the development of further schools.

Commenting on the results, Ali Eid Almheiri, Chairman of Aldar Properties, said: "This period has seen good progress in areas of strategic importance to the business. There has been continued delivery across our core developments with the handover of significant numbers of residential units at Al Zeina in Al Raha Beach and considerable progress on large-scale fee-based projects such as Al Falah, the Cleveland Clinic and Masdar.

"The development of our operational businesses such as Aldar Academies, with three new schools across Abu Dhabi, and our hotels division has been particularly encouraging and we fully expect this momentum to continue into the final quarter," he added.

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