Tecom to invest Dh1.6b for new plots in Dubai Industrial City

Dubai: Already one of Dubai's biggest landlords, the Tecom Group will spend a massive Dh1.6 billion to buy 138 plots covering 33 million square feet in Dubai Industrial City.

The plan is to support 'robust and growing customer demand in the industrial sector'.

Dubai Holding Asset Management is the seller of the plots.

Tecom's land portfolio will now exceed 209 million square feet, and 'strengthening Dubai Industrial City’s appeal to manufacturing and logistics companies'.

Dubai Industrial City currently has an occupancy level of 99% – including land plots acquired last year.

“Led by robust macroeconomic fundamentals and long-term strategies such as the CEPA framework, our nation is cementing its role as a global hub for foreign direct investment," said Abdulla Belhoul, CEO of Tecom Group.

"This strategic acquisition reaffirms Dubai Industrial City’s significant role in advancing the country’s manufacturing sector and serving growing demand from existing and new customers.”

Tecom will pay for the deal through existing resources based on a flexible repayment schedule. And it will recognise revenue from the additional land bank in the next 12-24 months.

"Following the completion of the new acquisition, the Group will continue to maintain a healthy leverage and liquidity position," said a statement.

The Dh1.6 billion acquisition raises Tecom’s total investments in its commercial and industrial portfolio to Dh4.3 billion since 2024.

Thisnew expansion - overseen by Dubai Industrial City LLC - indicates the 'growing demand for industrial assets'. Tecom had bought 13.9 million square feet of land in Dubai Industrial City last year, which has been fully leased out to leading customers across six sectors.