Arada secures a syndicated loan from two UAE banks
Sharjah developer Arada announced on Thursday that it has secured a syndicated loan of Dh1 billion from two major UAE banks that will help finance the development of Sharjah's largest mixed-use megaproject, Aljada.
The Islamic facility was arranged with Abu Dhabi Commercial Bank (ADCB) and Dubai Islamic Bank as joint mandated lead arrangers and bookrunners.
Sheikh Sultan bin Ahmed Al Qasimi, chairman of Arada, said the funding facility is a critical milestone in the developer's journey to deliver Aljada.
Aljada, a 24 million sq ft master-planned project with a sales value of Dh24 billion, would be delivered in phases from 2019.
Construction on Aljada will begin in the first quarter of 2018 and the entire project is expected to be completed by 2025.
The project was unveiled by His Highness Dr Sheikh Sultan bin Moammed Al Qasimi, Supreme Council Member and Ruler of Sharjah, in early September.
Adnan Chilwan, Group CEO of Dubai Islamic Bank, said: "As the largest Islamic bank in the UAE, Dubai Islamic Bank has been actively involved in supporting major projects across the UAE."
Saoud Al Jassem, head of government clients division at ADCB, said Arada is one of the UAE's megaprojects. "Our team recognised the value of this development and has worked hard to deliver an extremely competitive financing transaction for our client."