In a landmark verdict for the UAE’s real estate marketplace, a Dubai Court has ordered Saudi businessman Ahmed Al-Rajhi to pay nearly Dh2 billion to Omar Ayesh, founder of Tameer and developer of one of the tallest towers in Dubai Marina.
This includes Dh1.6 billion as the original compensation and an addition sum based on an interest rate of 9 per cent from the date of the ruling and until payment is completed.
In addition, Ayesh is to receive Dh10 million for “material and moral” damages. “Justice has prevailed – nobody is above the law in Dubai,” said Ayash in a statement. “The decision will strengthen investor confidence in Dubai.”
Although the experts' committee reduced the valuation of the real estate value by 60%, the Court's decision is fully respected
The dispute – which has been in the courts for 10 years - relates to the liquidation of Tameer and the disposal of its assets. An experts’ report to the presiding judge suggested that the asset disposal was being attempted “at much lower prices” than their market value in order to “empty the company assets”.
The experts valued Tameer’s assets at Dh5.2 billion. Their findings suggested that Al Rajhi’s effrots “marred” the work of Tameer Real Estate Company.
Tameer was the developer of the super-tall Princess Tower in Marina, which stands at an impressive 414 metres and pushed it into the Guinness Book of Records.