Dubai: Union Properties recorded net income of Dh42.09 million for the first three months against the Dh28.14 million a year, helped by gains in “other income”. This created Dh47.69 million compared with Dh4.34 million in Q1-15.
If not for this, the developer — which recently unveiled a residential project at its Motor City master-development — would have seen a major erosion in its Q1-16 net. Total income came to Dh213.4 million from the Dh258.47 million for the same period last year. The dip in revenues was caused by reduced gains on the sale of investment properties — Dh6.8 million compared with Dh68.01 million in Q1-15. Valuation gains on its property portfolio also came in lower at Dh1.05 million from Dh16.54 million.
On income generated from property management and sales revenues, it was Dh16.32 million from the Dh18.64 million it managed a year ago.
The developer secured Dh98 million from the sale of a 20 per cent stake in a joint venture it has with Dubai Investments, which now owns 70 per cent. The operating company has ownership of Green Community, currently in the third phase of development.
Union Properties will also be trying to leverage more from Motor City projects, including a five-tower cluster which is the final stage of its design and approval process.