Dubai: One of Dubai’s original freehold tower projects, the Marina 101, will finally be seeing the finish line. This was confirmed by RERA (Real Estate Regulatory Authority), who assured investors in the 101 storey project that their payments will be taken care of.
The project was launched in 2005, then went on to hit the 97 per cent finish stage before stalling in 2019 over the developer failing to meet his debt obligations. It meant that the creditor bank took over control, but work ground to a halt. In these last two years, investors worked closely with RERA to revive construction and reach completion. The skyscraper is split between 30 storeys of hotel apartments and the rest for residential units, many of which cost well over Dh5 million and more, given its prime location at Dubai Marina.
“RERA addressed a group of the project’s investors, setting a date to make a list of their units and commence issuing certificates of completion as well as identify any matters their apartments may require before final handover to investors,” said Marwan Bin Ghalita, CEO of RERA, which played the key role in bringing this issue to near fruition. “RERA also contacted government service entities in Dubai, such as the RTA, DEWA, Dubai Civil defiance, to start preparing the site for operation and handovers.
“In the event of any emergency situation where the project is not completed, the escrow agent of that project must - after consultation with the Department - take the required measures to preserve the rights of depositors and ensure the project is completed. Or that depositors are refunded their payments.
"As a result, a new timeline was prepared for the project’s completion within the specified period.”
RERA is grateful to the investors who committed to paying their full financial obligations incurred in this project. RERA urges all investors who have not paid up to 90% of their due amounts to initiate payment to ensure the timely completion of the project
This portion was put up for multiple auctions since last year, and did not end up with a great deal of buyer interest. According to market feedback, there were only two serious bids, but these are not confirmed.
Over multiple auction attempts, the hotel part was initially quoting at a reserve price of Dh300 million, but in the latest attempt, that was slashed to well under Dh150 million.
At its launch, the hotel was to be managed by the Hard Rock Hotel brand.
The Dubai real estate regulator is in the process of issuing final warnings to those who are behind on the payment plan in accordance with the law. Following this, RERA will initiate legal procedures against unit owners who defaulted on payments.
"The smooth cooperation of the owners with RERA is the most important factor to completing the project in the best possible way," said the Authority. "Therefore, RERA calls upon them to cooperate with it and with Bank of Baroda to expedite the payment of their obligations and duties and ensure project completion and that investor rights are maintained, including the right to join the owners’ committee to manage and monitor the operation of the building.
"Communication is taking place between RERA and the owners who are committed to forming the committee."