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Al Fajer Properties completes successful restructuring; strengthens balance sheet by AED3.2 billion

Al Fajer Properties (AFP) has announced the successful completion of its restructuring plan for the company, which commenced in early 2008.

  • Staff Report
  • Published: 23:03 February 3, 2009
  • Gulf News

Dubai. Al Fajer Properties (AFP) has announced the successful completion of its restructuring plan for the company, which commenced in early 2008.

Under the leadership of its newly appointed president, Sheikh Maktoum bin Hasher Al Maktoum, a rigorous review of the company was conducted, whereby the previous management was disbanded and a new management team and strategy put into place.

The new strategy involved liquidating the company's substantial land bank valued at Dh800 million, and generating additional sales from existing inventory of Dh2.4 billion, bringing the total value of mitigated risk down by Dh3.2 billion for the company.

The company saw an accelerated construction plan delivering a 7-day cycle per floor, which had never been achieved before for phase 1 (towers 1 – 5 of its 9 commercial towers) within the Jumeirah Lakes Towers (JLT) community. Phase 1 is due for completion in the last quarter of 2009 and phase 2 (towers 6 – 9) scheduled to be online on or about the same time the following year.

The company also initiated the implementation of new policies and procedures, bringing the company up to date with international financial standards and in line with updated RERA (Dubai Real Estate Regulatory Authority) rules and regulations ensuring more transparency in the marketplace.

“We have taken immediate remedial action in early 2008 which has significantly strengthened the position of AFP and I am very pleased with the outcome,'' said Sheikh Maktoum Hasher Al Maktoum, president of Al Fajer Properties.

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