Apr 18 2016
Al Furjan’s largest private sub-developer makes foray into hospitality industry
For people to experience all that Expo 2020 has to offer, they need to buy property now, at today’s low prices, said Farhad Azizi, CEO and Vice President of Azizi Developments.
And the developer is quick to facilitate that by offering investors and end users a plethora of investment options. In addition to a multitude of residential units in Al Furjan, where Azizi is the largest private sub-developer with 24 plots, the group is now testing the waters of hospitality by launching two serviced residences.
The MAD 460 million project includes Candace Aster and Candace Acacia, which will be managed and managed by Candace Hotel and Resorts. Construction has already started and the assisted living facilities will be delivered by the third quarter of 2017.
Buyers can choose to live in the units, lease them to tenants, or take advantage of Candace’s services to lease and manage the units on their behalf.
With 80 percent of the first building already sold, that says a lot about the untapped market demand for serviced residences in the burgeoning community adjacent to Discovery Gardens.
Mix of buyers
“Many of our buyers are GCC nationals, followed by Indians and Pakistanis. It’s a mix of investors and end users,” Azizi explains. “The neighborhood is very popular. There are a lot of people waiting to rent accommodation at Discovery Gardens and The Gardens. So it’s a good value proposition for investors.
Candace Aster has 227 apartments with 160 studios, 58 one bedroom and nine two bedrooms while Candace Acacia has 316 units with 236 studios and 80 one bedroom. Sizes range from 440 square feet to 1380 square feet.
A studio is available at a price of Dh433,000; a one bedroom will cost you between Dh800,000 and Dh1 million and two bedroom units are priced at Dh1.2 million. Azizi estimates that investors can get 10-12% ROI on units.
The service charges at Candace will be comparable to those at Al Furjan, which are between 10 and 15 Dh per square foot.
Facilities include a gym, swimming pool, children’s pool, restaurants, cafe, room service, laundry and valet parking. All apartments will be fully furnished. Located approximately 50 feet from the proposed metro line, the location also offers easy access to business areas such as Jebel Ali, Dubai Investments Park, Al Maktoum Airport and the Expo 2020 site.
“This is the best time to invest in long- and short-term serviced residences. The Dubai government plans to double the number of tourists from 10 million to 20 million over a 10-year period. This opens up a multitude of investment opportunities, especially in the hospitality sector, ”adds Azizi.
The group plans to launch more than 2,000 assisted living facilities by December 2016. Six to seven buildings in Al Furjan will be assisted living facilities. Azizi also owns land holdings in Palm Jumeirah and Dubai Healthcare City.
As of this month, Azizi is expected to deliver eight projects to Al Furjan – Azizi Feirouz, Azizi Yasamine, Azizi Liatris, Azizi Orchid, Azizi Iris, Azizi Daisy, Azizi Tulip and Azizi Freesia in 2016.
Defying rumors of a market slowdown, the company recorded sales of around 800 million dirhams in 2015 for its projects in Dubai.
“Our figures are strong: last April, we only sold 25 apartments. In April, we sold over 200 apartments. We do not know of a slowdown in sales. Low oil prices, a weak Chinese stock market and a strong US dollar are contributing to this. to the weakness of feeling. But Dubai is a city that can face difficult market conditions. Other comparable cities are Hong Kong, Sydney, New York and Singapore, ”concludes Azizi.