Sharjah developer Arada adds to its Australian portfolio with construction firm deal

Dubai: Sharjah master-developer Arada has bought a construction business in Australia, which will be beneficial as the company proceeds with a residential project in Sydney.

In the new deal, Arada has bought the New South Wales arm of Roberts Co., a Tier-1 construction firm with a track record of delivering projects in multiple sectors. The transaction also includes the ‘immediate’ Dh47 million recapitalization of Roberts Co. (NSW) by Arada. This secures the jobs of 120 direct employees and provides ‘stability’ to another 600 employees in Sydney’s construction sector.

In August last year, Arada confirmed its first overseas projects, taking on the task of creating more than 2,000 homes in Sydney.

The Roberts Co. deal ties in neatly with Arada's development plans in Australia, specifically its focus on Sydney. (Arada is on track to launch sales and construction at its first projects in Australia by end-2025.)

Arada is 'prepared' to invest up to Dh235 million) on 'Roberts Co’s expansion into new sectors and geographies, with the goal of building a global presence and targeting annual revenues of Dh2.3 billion by 2028'.

With the new buy, it will 'help us to deliver our future projects in Australia with greater control and cost efficiencies - as well as reduced risk', said Ahmed Alkhoshaibi, Group CEO of Arada.

The acquisition ensures 'uninterrupted progress' on four construction projects – two schools, a residential project and a children’s hospital – underway in Sydney and 'many of which are critical to the state’s infrastructure'.

"As part of the transition, key members of the Roberts Co leadership team, including Executive Chairman George Kostas – who previously served as CEO of Majid Al Futtaim Properties - will remain in their roles to ensure continuity and stability post," said a statement.

"We will now invest significantly into the company in order to bring it to new markets and sectors, including the UAE.”

Arada last year announced plans for Dh6 billion worth of development in Australia. These include major new communities in Sydney’s inner-west, south-west and Hills Shire suburbs that will together deliver 2,500 homes.