Aldar Properties acquired a commercial office building, Daman House, in Capital Centre Abu Dhabi on 19 January 2016.
The building comprises 23,000 square metre GLA of Grade A commercial space, fully leased on a long-term contract to a single government related entity.
Aldar aims to grow its recurring revenue portfolio through investment in new and existing revenue producing assets. This was the first purchase made as part of the company’s AED3bn investment programme to drive growth within its recurring revenue business to achieve its new target of 2.2 billion dirhams Net Operating Income (NOI) by 2020.
Approximately AED900m (30% of the programme), has been already committed through the Daman House transaction, the extension of Al Jimi Mall in Al Ain and the expansion within Aldar Acadamies through the construction of the Al Mamoura School in Abu Dhabi, announced in November 2015.
Mohamed Al Mubarak, CEO of Aldar, said: “The acquisition we are announcing today fits perfectly with our strategy of increasing our recurring revenue base and demonstrates our ability to take advantage of value accretive opportunities when they arise.”