Stock – Deyaar Regalia (Business Bay)
One of the projects in the Deyaar offplan portfolio, the Regalia in Business Bay. The dubai developer is also focussing on building hospitality assets. Image Credit: Supplied

Dubai: The Dubai property market’s upbeat mode is reflecting in developer financials, with Deyaar recording Dh577.15 million for the first nine months of 2022, against Dh418.15 million a year ago. Specific to the third quarter, revenues were at Dh207.72 million (compared to Dh120.73 million) as Deyaar made gains from handovers and sales.

Profit for the year to end September was Dh103.25 million, a sharp gain on the Dh30.08 million from last year. The July to September numbers were even starker – Dh36.34 million compared to Dh8.19 million.

Approve Dh500m Limitless offer

Deyaar’s Board has recommended shareholders approve a Dh500 million cash settlement offer from the Dubai master-developer Limitless following a long running dispute. 

On DFM, investors sure are cheering, with the stock up 8.4 per cent to Dh0.54 on trading volumes of 35 million plus in the first 30 minutes. 

With Midtown’s Mesk and Noor districts on track for handover, alongside the successes achieved by the Regalia and Tria projects in attracting more investors with sales record of more than Dh1.5 billion and the proposed Limitless settlement, we are confident in our ability to achieve even more positive results during the next quarter

- Saeed Al Qatami, CEO of Deyaar

Deyaar has got multiple projects going on, including in Business Bay. It has in the recent past said hospitality projects would be something it would look into. The company had gone through a shrinking of the capital base recently, to tackle some of the legacy loss issues it has had for some time.

The Deyaar financials still show Dh445.42 million as due ‘from other related parties’, the same as of December 31, 2021.

Deyaar’s share capital cut
In April last, shareholders approved the proposal to reduce the issued share capital through the partial writing off of accumulated losses totaling Dh1.7 billion. Legal reserves of Dh303.4 million were used against the issued share capital of Dh5.77 billion as at end December 2021.