Business | Construction
Focusing on variety of economic sectors
Although money spinning real estate projects in Ras Al Khaimah have so far focused on tourism and residential development, investment has by no means been restricted to these sectors.
- By Robert Ditcham, Staff Reporter
- Published: 00:00 June 14, 2007
- Image Credit:
- RAK was the second UAE emirate to open the real estate market to freehold ownership by expatriates, and this spearheaded massive developments including projects like Al Hamra Village and Mina Al Arab.
Dubai: Although money spinning real estate projects in Ras Al Khaimah have so far focused on tourism and residential development, investment has by no means been restricted to these sectors.
This week saw the launch of Ras Al Khaimah Financial City, a new financial free zone and offshore business centre being developed by property firm Rakeen.
The cluster of 12 towers is expected to become a new regional financial services hub. The RAK Offshore project being built by the RAK Investment Authority will move to Ras Al Khaimah Financial City when the infrastructure is ready.
"RAK will never challenge Dubai as a financial hub, but the fact that it is developing a variety of economic sectors, rather than only its tourist industry, creates long-term sustainability — I take my hat off to them," said Penhall.
Investment has also been channelled into RAK's commercial sector. Real-estate developer Khoie Properties recently launch-ed a Dh550 million freehold commercial development in a free zone area of the emirate.
The La Hoya Bay Business Park will form part of the company's $800 million La Hoya Bay master development on Al Marjan Island — a project marketed as a weekend retreat from Dubai.
Another property developer, RAK Properties, announced in 2006 the Dh400 million Julfar Towers project, a residential and commercial project being built in the centre of the emirate.
However, the residential and hospitality sectors have certainly taken the limelight in terms of mega-projects.
Projects including rakeen's Al Hamra Village, which was launched three years ago, features 2,000 residential units in the first two phases, an 18-hole golf course and a marina. Phases one and two are 95 per cent sold out, according to Rakeen sales officials, with phase three now open for sale.
The major beachfront resort, Al Hamra Palace Hotel, billed as Ras Al Khaimah's seven-star property, is also taking shape at a cost of Dh400 million, officials said. The resort will comprise 546 rooms including 300 hotel rooms, 37 luxury suites, five restaurants, three bars and 246 serviced apartments.
The ability of company's such as rakeen to finance a vast array of projects has raised question marks. But CEO Haffar says the current building activity is based on solid foundations.
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