Dubai-based developer, Union Properties, has reported a net loss of AED45mn for the third quarter compared to a net profit of AED32mn in the same period last year.
In a statement to Dubai Financial Market, Union Properties said its revenues too plunged hitting AED116mn from AED253mn for the same period last year. The operating expenses in the same period fell to AED161mn, compared with AED221mn in Q3 2016.
The decrease in both revenues and operating expenses was primarily in relation to the managed wind-down of Thermo, a subsidiary of Union Properties that undertakes contracting work, it stated.
Chairman Nasser Butti Omair bin Yousef said: “The third quarter has seen Union Properties continue to take the steps required to achieve sustained growth over the long term. With our operations now refocused around the companys new strategic direction, we are moving forward as a stronger and more efficient company with the capabilities to seize new opportunities both in the UAE and internationally.”
The third quarter of 2017 saw Union Properties unveil a new masterplan for its flagship MotorCity development in Dubai with a completed value of more than AED8bn. It will comprise 44 new high- and low-rise buildings, more than 150 villas, and a wide range of residential, commercial, entertainment, and hospitality facilities.
In line with its strategy to further diversify its operations and revenue sources, the quarter also saw Union Properties launch two new fully-owned subsidiary companies – Union Malls and Al Etihad Hotel Management.
Union Malls provides retail and leisure options in Union Properties developments. Its inaugural mall will be The Central a 100,000sqm complex located in MotorCity spread over four floors offering shopping retail, dining, and a wide range of leisure options.