REPORTING

Photo of Saker Falcon: International Wildlife Consultants (UK) Ltd

UNITED ARAB

EMIRATES

A leading global oil producer, the United Arab Emirates has used its wealth

to become the most competitive and fastest growing economy in the Arab world

t is now almost half a century since the defining event in the mod- nothing but sand and scrub, now there are wide tree-lined boule-





I ern history of the area that is now the United Arab Emirates.That

was,of course,the discovery of oil beneath the coastal waters of

Abu Dhabi by the British in 1958. Two years later, oil was found

onshore, and in 1962 the first exports of crude brought the trickle

of what was to become a flood of revenue.

PM COMMUNICATIONS

REPORTING

vards, lush gardens and pristine golf courses.The population has

swollen to an estimated 4.4 million, 80 per cent of whom are ex-

patriate workers.

It is petroleum,of course,that has fuelled this remarkable trans-

formation.The UAE possesses the fifth largest oil reserves in the

Over the decades,oil has brought untold wealth and transformed world, and the fourth largest reserves of natural gas. Production is

a society that had remained more or less unchanged for centuries. 3rd November 2007 around 2.8 million barrels of crude per day, and there are plans to

The British protectorate came to an end in 1971, and it was in the raise it to 4 million bpd by 2010.However,it would be wrong to as-

same year that the six sheikhdoms – Abu Dhabi,Dubai,Sharjah,Umm al-Qaiwain,Ajman sume that the economy of the UAE rests entirely on a single, ultimately unsustainable,

and Fujairah – formed the UAE, which formally became independent in December. In economic resource, vulnerable to the vagaries of the international market. Investment

February 1972, they were joined by the seventh emirate, Ras Al Khaimah. and diversification are today’s guiding principles, and have launched a new era of devel-

The dynamic force behind the subsequent political,economic and social development opment.

of the country was Sheikh Zayed Al Nahayan of Abu Dhabi, who initially inspired the Sheikha Lubna Al Qasimi, Minister of Economy, sums up the choice that had to be

establishment of the federation,and became its first president.His long rule,ending with made. “This is a small nation and it has wealth of oil,” she says.“We could either sit on

his death in 2004, saw the country’s oil wealth channelled into nation-building, trans- our oil wealth and become a social welfare society, or we could expand our econom-

forming the UAE into a modern state. Sparsely populated desert kingdoms inhabited ic base by attracting foreign investors and creating opportunities for them, becoming a

by nomads, herdsmen, fishermen and pearl divers have become world-class cities bris- global player as well.” Oil, she points out, does not create jobs, but the wealth from oil

tling with skyscrapers, banks, luxury hotels and shopping malls.Where once there was continued on page 2







ABU DHABI/2 DUBAI/6 RAS AL-KHAIMAH/9 UMM AL-QAIWAIN & SHARJAH/12

AJMAN/13 FAJAIRAH/14 TELECOMMUNICATIONS/15



Distributed with the Daily Telegraph. Produced by PM Communications who take sole responsibility for the contents

INTRODUCTION / 2 UAE 3rd NOVEMBER 2007





continued from page 1

does. “By judicious use of our oil wealth we have ABU DHABI

developed an excellent physical infrastructure,a

competent administration and an educated pop-

ulation.A lot has been done in terms of diversi-

fying the economy in a number of sectors, in-

cluding tourism, finance, manufacturing and the

services sector in general.”

Last year, UAE recorded a nominal – unad-

ONE OF THE WORLD’S

justed for inflation – GDP growth rate of 23.4

per cent,with an overall nominal GDP of around

£80 billion.The contribution of the non-oil sec-

tor was 62.5 per cent,driven principally by con-

RICHEST CITIES

struction and tourism. The finance,manufactur-

ing, transport, telecommunications, healthcare

and education sectors are all expanding. There

has been a marked increase in non-oil exports.

PLANS ITS FUTURE

The free trade zones are booming,and the coun-

try has a rapidly increasing role as a re-export

and distribution centre.A report in April 2007

by the World Economic Forum ranked the UAE

as the most competitive economy in the Arab

world and the 29th most competitive globally.

In addition to reinvestment of petrodollars,

a major factor in the development of the UAE

in recent years has been the tremendous in-

crease in the amount of foreign investment com-

ing into the country. The UAE leads the Middle

East region in attract-

ing FDI, ranking fif-

teenth in the world

out of 144 economies

in UNCTAD’s FDI

performance index.

IMF figures in 2006 in-

dicated an inflow of

£6.3 billion compared

with £4.5 billion in

2004. This investor

SHEIKHA LUBNA interest is prompted Opened in 2005, the Emirates Palace Hotel is the most expensive hotel ever built. Its many attractions include more than 200 fountains

AL QASIMI by political stability,

Minister of dramatic economic

Economy growth and the The source of most of the UAE’s oil wealth, Abu Dhabi is

favourable business

environment that the planning to develop its capital as a major world city

government has striv-

en to create and con- ne of the most remarkable symbols of plans are afoot to transform the city into a cial contribution to Abu Dhabi City’s huge-

tinues to improve.

The federal gov-

O Abu Dhabi’s wealth is the recently

opened Emirates Palace.The most expensive

benchmark for 21st century world capitals.

The largest of the seven emirates, Abu

ly ambitious urban development plans for

the next 20 years. The recently unveiled

ernment has shown hotel ever built, its construction cost some Dhabi covers around 87 per cent of the land masterplan – Plan Abu Dhabi 2030 – calls for

determination to raise £1.5 billion.The interior is decorated with gold area of the UAE and sits on 94 per cent of estimated investment totalling £80 billion to

its own game,through and marble and 1,000 crystal chandeliers. the country’s oil – about 10 per cent of glob- transform the city into a major world capi-

moves towards Twenty thousand roses are displayed in its al reserves.In addition,it plans to become one tal in which 3 million people will live, work

greater openness, ef- rooms and public spaces every day. There is of the top exporters of natural gas, of which and enjoy their leisure.

SAEED AL fectiveness and effi- an archway clad in Italian stone that is larger it has 5 per cent of the world’s total. According The plan envisages two main complementa-

MANSOORI ciency.A recently un- than the Arc de Triomphe in Paris.The Grand to Moody's Investors Service, the emirate’s ry cores.The Central Business District will be

Minister of veiled government Atrium, the largest of the hotel’s114 domes, nominal GDP per capita reached £30,900 last the centre of finance and commerce and the

Government strategy plan calls for is higher than the dome of St Peter’s Basilica year, the third highest in the world. main employment hub.Centred on Al Suwwah

Sector Development modernisation of the in Rome, and in the 600 acres of exotic park Overflowing with petrodollars as a result Island,it will unite into a single area the current

civil service and im- grounds more than 200 fountains play. of the high international price of oil,Abu Dhabi commercial districts of Al Suwwah Island, Al

provements in government services to bring It is the kind of place you might expect to already has the world’s largest state-owned Reem Island and Port Zayed,which is to be re-

them in line with international standards.Special find in one of the richest cities in the world. investment fund to play with.The economy is located.Ten or more bridges will knitAl Suwwah

emphasis will be placed on education,healthcare However, you might not expect one of the expanding rapidly, and according to a recent and Al Reem Islands into the fabric of the city.

and judicial services.E-government programmes world’s richest cities to be located in the report from the Abu Dhabi Chamber of Local and federal government offices will be

and coordination between federal and local au- desert.Welcome to Abu Dhabi City,the cap- Commerce and Industry,the emirate is set to concentrated in a new Capital District, to be

thorities are to be strengthened. ital of the emirate of Abu Dhabi, the feder- attract a total of more than Dh1 trillion in lo- located on the mainland to the east of the

Sultan Bin Saeed Al Mansoori,who heads the al seat of government of the UAE, and the cal and foreign capital. city, focusing the functions and image of gov-

new Ministry of Government Sector country’s oil centre. Less well-known than its neighbour Dubai, ernment on a single iconic precinct as in oth-

Development,says that an evaluation has been Located on a T-shaped island jutting into the Abu Dhabi has big plans to raise its profile er great capital cities around the world.

carried out at every ministry. “We have looked Arabian Gulf where, within living memory, and become an internationally recognised des- These two core districts will be the major

at the services provided to the public accord- there once stood a small settlement of reed tination for business and tourism. Billions of centres of office space.A smaller employment

ing to their standards, their speed and the way and mud-brick huts occupied by pearl fishers, dollars worth of real estate projects are and residential area will be created in theAl Bateen

they can combine with each other.We have al- Abu Dhabi City has an estimated population planned and construction activity in the emi- Airport redevelopment zone in the Grand

so looked at the implementations of technol- of 1.8 million, the majority of them expatriate rate is predicted to overtake that in Dubai by Mosque District, at the southeast side of Abu

ogy and how that can enhance the service workers from countries like India,Pakistan,Egypt the end of the decade. Dhabi Island,and the Lulu Island District will be

process that we have.” ● and the Philippines. Now mega development Foreign direct investment will make a cru- continued on page 4







Produced by PMC Ltd, who take sole responsibility for the contents Team responsible for the report on the UAE:

PMC Ltd. Empire House, 175 Piccadilly, London W1J 9TB, Fax: (020) 7409 2871 ALEXANDER DE LA MARE & LAILA BASTATI



This and other PM Communications reports can be read online at www.pmcomm.com

ABU DHABI / 4 UAE 3rd NOVEMBER 2007









Expanded airport

will offer top-flight

experience

Innovative architecture, the latest facilities and

world-class services are promised in a showcase

development of the gateway to the emirate

multi-billion dollar pro- year, and dedicated exclusively

Investment totalling £80 billion is required to take Abu Dhabi into a new era



continued from page 2 The masterplan has been developed un-

A gramme is under way to

transform Abu Dhabi

to serving the UAE’s national

carrier, Etihad Airways, it will

the location for residential housing units, ho- der the direction of Sheikh Khalifa bin Zayed International Airport into a top have eight gates. Next year will

tels, resorts, recreational facilities and parks. Al Nahayan, who succeeded his father as class facility that will cater for also see the coming into oper-

Three major industrial districts are to be President of the UAE and ruler of Abu the emirate’s growth far into the ation of a second 4.1-kilometre

created.The new Khalifa Port and Industrial Dhabi. It is seen as the fulfilment of the future.The £3.4 billion expansion all weather runway, capable of

Zone will be the location for heavy industry grand design envisaged by Sheikh Zayed,who plan is designed to raise the air- landing wide-bodied aircraft

relying on bulk materials imported from was the country’s first president.“Abu Dhabi port’s annual passenger capaci- such as the Airbus 380, and a 110

abroad,while hi-tech industries will surround was built on the ambitions of the late Sheikh ty to 20 million by 2010, allow- metre high air traffic control

the Abu Dhabi International Airport, which Zayed, this must be recognised and con- ing for phased growth to beyond KHALIFA AL tower able to handle up to 70

has already begun a multi-million dollar trans- tinued,” says Falah Mohammed Al Ahbabi, 40 million per year. It includes MAZROUEI aircraft movements per hour.

formation (see page 4).Smaller service-based Associate Director, Urban Planning, two new terminals,a second run- Chairman of Meanwhile work will start this

industries will be allocated to the Mussafah Executive Affairs Authority. way, a state-of-the-art air traffic Abu Dhabi Airports year on construction of the air-

and Mafraq areas, with rail and highway links He emphasises that the key to the de- control tower and a free trade Company port’s flagship development, the

between all three areas. velopment of the city will be measured ex- zone. Cargo facilities at the air- huge new Midfield Terminal, an

pansion reflecting Abu Dhabi’s sustainable port are being expanded to a capacity of 2.5 architecturally impressive showpiece de-



‘Our future economy, rather than the explosion of

growth witnessed in some other emerging

economies.“Abu Dhabi needs to grow, and

million tons per year. velopment, which is scheduled to open in

The improvements are being made to 2010.The innovative modern design will re-

cope with an anticipated surge of between flect regional architectural features such



will not be it will grow, but our future will not be held

hostage to uncontrolled expansion,” he

says.The development of the city will “re-

12 and 15 million passengers by 2015, as the as domes and arches, and include a check-

rapidly developing emirate attracts larger in hall framed by a series of long span steel

numbers of business travellers and tourists. arches supporting a soaring roof.

held hostage to spect, be scaled to and shaped by the nat-

ural environment of sensitive coastal and

desert ecologies.” Land uses and building

Abu Dhabi Airport has been experienc- It is a design that will enable a quick and

ing an unprecedented increase in passen- seamless flow of passengers, facilitated by

ger traffic, and is on the way to reaching the latest technologies, such as e-gates with

uncontrolled heights will be carefully monitored.

Planned developments for Yas Island,

its current capacity of seven million per biometric scans, automated check-in facil-

year. In the first quarter of this year, it reg- ities and internet booking, paperless pro-



expansion’ Saadiyat Island, Al Raha Beach, Al Mina, Al

Suwwah and Al Reem Island are already in

train. On Saadiyat Island, just off the coast,

istered an increase of 25 per cent to 1.575 cessing, and self-service kiosks. Initially, the

million, compared to 1.255 million in the terminal will have 30 gates, later to be ex-

same period in 2006. panded to 80.

a £10.2 billion project is under way to turn The first of the new terminals will be the Overseeing the development programme

The city’s transit network will include a the emirate into an internationally recog- airport’s third – the second was opened as is the Abu Dhabi Airports Company (ADAC)

high-speed rail line,originating at the Central nised cultural centre.Iconic architectural de- recently as 2005. Due to be opened next which took over the running of the airport

Souq train station,connecting downtown to signs have been created for branches of

the Capital District,the airport,and ultimately both the Guggenheim and Louvre museums.

Dubai. A freight rail line will link the new The Guggenheim Abu Dhabi, designed

port, the airport, and Jebel Ali with the oth- by internationally acclaimed architect Frank

er GCC countries.There will be at least two Gehry, will be larger than any existing

high capacity metro lines, and a network of Guggenheim worldwide. In addition to

light rail, streetcars and buses that the plan- forming its own collection of modern and

ners say will ensure that no one ever has to contemporary art, it will also exhibit mas-

walk more than five minutes to use public terworks from the Guggenheim

transport. Foundation’s global collections. The Abu

A network of grand processional boule- Dhabi Louvre, a 260,000-square foot com-

vards are intended to express the scale and plex covered by an umbrella-like roof, de-

importance of the capital. The Capital signed by French architect Jean Nouvel,will

Boulevard is seen as a particularly impor- display art from all eras and regions, in-

tant component, linking the Presidential cluding Islamic art. The emirate has also

Palace and Emirates Palace to the new Capital pulled off a multi-million dollar deal to

District, possibly including seven high arch- borrow works from the Louvre in Paris

es representing the seven Emirates of the and stage special exhibitions.The plans for

UAE,and terminating at a main capital square. Saadiyat Island also include a maritime mu-

A continuous framework of planted boule- seum and a performing arts centre.

vards and byways will link the community Yas Island will become a top international

parks and the three major City Parks, mak- leisure destination, with world-class mo-

ing it possible to move around under the tor sports racetrack, a Ferrari theme park,

shade of trees and reinforcing the vision of a water park, 984,000-square foot dedi-

the city as a garden on the shores of the cated to shopping, golf courses, hotels,

Gulf.Limits will be set to the growth for the marinas, apartments and villas. The island

city to preserve the ecology and prevent an has been announced as the venue for a

unending,undifferentiated sprawl through the Formula 1 race in 2009, to be called the

desert to Dubai. Abu Dhabi Grand Prix. ● Innovative architecture is at the heart of Abu Dhabi International Airport’s expansion plan

UAE 3rd NOVEMBER 2007 ABU DHABI / 5









Abu Dhabi International Airport will eventually be able to cater for 40 million passengers





million passengers compared to 900,000

‘We need to for the same period last year, an increase

of 111 per cent.

Duty free shopping to be extended

deliver top Creation of ADAC is part of a wider

government initiative aimed at improv-

ing services to support the emirate’s ■ Opportunities for duty free

shopping at the Abu Dhabi

At around £25, average spending per

departing passenger is one of the



notch services long-term strategies for the economy in

general and tourism in particular. A key

element is the direct involvement of the

Airport are being greatly increased to

cater for the rise in the number of

passengers passing through. The amount

highest in the industry. A new 500-

square foot, 48-hour arrivals shop, a

first in the region, will permit travellers

at the highest private sector.

According to Mr Mazrouei, there are

more than 100 areas of operation at the

of space allocated to Abu Dhabi Duty

Free (ADDF), the region’s leading travel

retailer by customer spend and second

to take advantage of their duty free

allowance for up to two days after

arriving in Abu Dhabi.

management airport in which the private sector could

be involved, ranging from air traffic con-

by turnover, is being extended with the

opening of the new Terminal 3 and the

“We are proud to be the first in the

region to be offering this service and



level’ trol to catering. “We assess every activity

and its cost, and if the private sector can

do better than us, we outsource.

launch of a new 48 hour duty free

shopping concept.

Sales results for the first six months of

convenience to passengers,” says

Mohammed Mounib, ADAC’s

Commercial Director. “One of the clear

“We need to deliver top notch serv- this year show turnover is 33.26 per cent advantages of the shop is that if a

from the Department of Civil Aviation last ice at the highest management level, and higher than the same period last year. passenger does not take advantage of

year when it was given responsibility for this we must do either internally or “We expect to cross the £49 million their duty free allowance when initially

operating, managing and maintaining air- through the support of certain private air- mark in terms of turnover by the end of coming through the airport, they will be

ports in the emirate. port operators who have already a track the year,” says Niveen Ibrahim, the able to do so for up to two days after

Khalifa Mohamed Al Mazrouei,ADAC’s record of strong service levels.” ADDF’s General Manager. arrival.”

Chairman, says the growth and expansion ADAC has signed up Changi Airports

of the airport at its current location, ide- International as operations manager of

ally located 18 miles outside Abu Dhabi

Island, provides “the freedom to expand

the airport. The Singapore-based com-

pany has assumed management of oper-

Free trade zone to open

■

on an almost unlimited level. Future de- ations in key areas, such as terminal and

velopments will grow towards the Bahrain apron operations, airport emergency Establishing a free zone is becomes operational.

highway and Dubai highway, which are services, and customer services for an 18- intended to turn the airport into Companies establishing themselves in

also strategically located.” month term, and is also advising on the a thriving business and cargo hub. Phase the zone will be able to take advantage

In order to maintain the level of serv- planning of the Midfield Terminal. 1, which will extend over 75 million of the airport’s strategic geographical

ice and ensure that there is no conges- The airport was recently named best square feet, will come into operation in position on the crossroads between east

tion, the new facilities have been de- hub in the Middle East and Africa by the June next year. and west. Investors will benefit from 100

signed to cater for 10 to 15 years ex- Airports Council International, an or- The zone will offer world-class facilities per cent exemption from corporate tax,

pected growth, he adds. “In that way we ganisation representing hundreds of air- and services, and a user friendly imports and export duties and personal

can add future expansions without dis- field operators across the globe.“Our pur- environment for a wide range of income tax. Total foreign ownership is

rupting the operations of the airport.” suit for improvement is relentless,” says businesses including: aerospace and allowed, along with 100 per cent

ADAC is working closely with Etihad Mr Al Mazrouei. related activities, logistics and freight, repatriation of capital and profits.

Airways, whose growth it aims to facili- “It starts with safety and security is- electronics and electricals, engineering Khalifa Al Mazrouei, ADAC’s Chairman

tate. Etihad is one of the fastest growing sues and goes all the way to the length and building materials, technology and says: “Developing a free zone is an

airlines in the world. Over the past year, of waiting time at baggage collection, telecommunications, and oil and gas important part of the development and

it has added 15 wide-bodied aircraft to how long an arriving passenger has to products. expansion of Abu Dhabi International

its fleet, as well as 10 new international queue for a taxi, through to check-in Clusters of amenities will be close by Airport. It will ensure that the airport

destinations, including New York, Kuala times, immigration services, lounge, and expansion and redevelopment of the will become a thriving cargo and business

Lumpur and Sydney. In the first six months food and beverage and duty-free ex- existing cargo facilities will have been hub, as well as increasing non-

of the year, Etihad carried more than 1.9 periences.” ● completed by the time the zone aeronautical revenues.”

DUBAI / 6 UAE 3rd NOVEMBER 2007







dubai Designed to

resemble a

billowing sail,







BIG PLANS FOR

the Burj Al

Arab is the

world’s tallest

hotel







THE FUTURE

IN THE CITY OF

SUPERLATIVES

Famous for its iconic architecture and booming

real estate sector, the fastest growing city in

the region has not yet run out of steam

he emirate that has most successfully on completion in 2009.The largest airport

T captured international attention is Dubai

– and it is easy to see why.When it comes

will be Dubai World Central International,

with an annual cargo capacity of 12 million

to innovative and ambitious development tons and a passenger capacity of more than And so the list goes on. Dubailand will be The gold-rush days may now be over, but

projects, Dubai has demonstrated an ex- 120 million. The largest shopping space will the world’s largest theme park.The three is- rents and prices are still rising steadily, even

traordinary knack for grabbing the headlines. be the Dubai Mall, also under construction, lands of The Palm project will be the largest though the frenetic buying has slowed. Last

The world’s tallest and only 7-star hotel? a shopping colossus larger than 50 inter- man-made islands – and be visible from the year real estate transactions reached a new

That’s the Burj Al Arab, soaring to a height national soccer pitches.The largest water- moon.Ski Dubai,where you can go skiing and high of £8.7 billion,an increase of 88 per cent

of more than 1,000 feet.The world’s tallest front development will be Dubai Waterfront tobogganing in the desert on real (manufac- on 2005, and the signs are that for the fore-

freestanding structure? That’s the Burj Dubai, project, which extends over an area of 31 tured) snow, is the world’s largest indoor seeable future demand will exceed supply.

which will be the tallest building in the world square miles. snow park. Dubai’s population is forecast to almost dou-

All these massive projects – and more – ble to more than 2 million people by 2010,

are the result of a highly successful strategy and to reach 4 million by 2017,creating a huge

for economic development by an emirate requirement for new accommodation.

that knows it cannot depend on oil for its The well-diversified economy continues

future prosperity and has chosen to reinvent to expand at a rapid rate. Nominal GDP

itself as a hub for business and tourism. Over growth last year was an impressive 23 per

the past decade, the emirate has been high- cent. Dubai now accounts for around 43 per

ly successful in building world-class infra- cent of the UAE’s total non-oil GDP and 28

structure and services. per cent of its entire GDP.Dubai’s free zones

Boosted by Dubai’s pioneering decision to have made a major contribution to this growth

permit ownership of freehold property by citi- and diversification. The emirate’s strategic

zens of other countries,the real estate and con- location and excellent infrastructure makes

struction sectors have enjoyed a sustained boom. it an ideal distribution and commercial hub

Estimates put the value of real estate under con- for the region.

struction in the emirate last year at £22 billion, The latest economic plan,launched by Dubai’s

with an equal amount at the development stage. ruler, and Prime Minister of the UAE, Sheikh

The previously mentioned Burj Dubai will be Mohammed Bin Rashid Al Maktoum, aims to

the centrepiece of a 500-acre, £3.9 billion achieve economic growth of 11 per cent a year

Downtown Dubai development that is intend- and to almost triple gross domestic product

ed to offer a dynamic urban lifestyle to rival that to £53 billion by 2015.The workforce will need

of New York and Los Angeles in the US,the Left to almost double to sustain the pace of growth.

Bank in Paris,and the harbour areas in Hong Kong The plan focuses on developing the emi-

and Sydney. rate as a business and services centre. “We

UAE 3rd NOVEMBER 2007 DUBAI / 7





will focus on the strong sectors in our econ- The 82 per cent occupancy rate regis-

omy including tourism,trade,transportation tered by the local hotels was exceeded on-

and financial services,” explains Sheikh ly by London and New York.There are cur-

Mohammed.The contribution to GDP made rently more than 400 hotels – 100 have

by financial services will increase fourfold to opened since 1996. By 2010, the emirate

£7.4 billion from the current £1.7 billion. aims to attract 15 million tourists annual-

Dubai has firmly established itself as the ly, to have 80,000 hotel rooms compared

UAE’s tourism hub. In 1996, the emirate wel- to the current 39,000, and to more than

comed 1.9 million visitors. Last year, it re- triple the number of people employed by

ceived more than 6.5 million, generating the industry to 100,000.

revenues in excess of £1.5 billion. The con- A major draw will be Dubailand, an en-

tribution made by tourism to the emirate’s tertainment, leisure and retail complex of

GDP has risen to around 30 per cent. mind-boggling scale, twice the size of Walt

Passenger numbers at Dubai International Disney World Resort in Florida, that expects

Airport have been rising by at least 15 per to cater for a population of 2.5 million

cent each year since 2000; in 2006, 28.8 mil- tourists, workers and residents, once fully

lion people passed through it. More than operational. Its attractions will range from

687,000 of Dubai’s visitors in 2006 arrived theme parks, to culture and art, science

from the UK, the emirate’s largest source and planetariums, sports and sports acad-

of arrivals since 2003, constituting 10 per emies, wellbeing and health facilities, shop-

cent of the market. ping, resorts and hotels. ● Sheikh Zayed Road, named after the UAE’s first president









Rocky Real Estate, welcome to Dubai

One-stop shop backed by three decades of words, we operate in a way in which our future

forecast is based on our past experiences.

Are there any strategies in place in

order to capitalise on the potential

experience in the Emirate’s real estate market. What is the importance of UK

British clients have to offer?

We are currently planning to open an office

ubai has seen it all, the hard times and the not only in the real estate market, but also in investors and real estate related firms in the UK towards the middle of next year,

D good times, and the emirate’s real estate every sector of the emirate, is fantastic.

market is no exception. Having gone through

to Rocky Real Estate?

UK investors are very representative to

before the summer starts. Our idea is to build

a structure that can provide support to our

rapid transformation over the last decade and Rocky Real Estate entered Dubai’s Rocky Real Estate. It is important to highlight existing customers as well as attract new

a half,and with opportunities being snapped up property market in 1976, and has that British investors are smart, sophisticated, potential clients.We believe that there are a

at a rapid pace,experience is an asset that often since become one of Dubai’s most intellectual, and they know what they want and number of investors out there who are inter-

proves essential towards transforming oppor- recognized real estate companies. also how to get it. If you look at the British real ested in investing in the property market of

tunities into success. In this sense, Rocky Real Could you give us an overview of estate market, which has now existed for Dubai but don’t actually know how to do so.

Estate definitely has an edge. Rocky Real Estate’s beginnings? almost four hundred years, one can safely say We are looking at offering a service which is

Having entered Dubai’s property market in Rocky Real Estate is a company that was that it is highly sophisticated. I personally enjoy not yet on the market where we want to offer

1976, Rocky Real Estate has positioned itself started over thirty years ago by my father working with British clients due to the fact that guaranteed rental return.We also plan to cre-

as one of the emirate’s oldest and most well and uncle. Dubai at that time was a com- they know what they are talking about.They ate an investment fund, where we manage a

recognized and reliable real estate companies. pletely different emirate to the one we see are the type of customer that is very informed portfolio of properties on behalf of our clients.

Mr. Kiran Uttamchandani, Rocky Real Estate’s today. Rocky Real Estate started long before about both the internal and external market.

Marketing Director, explains, “The all the changes that transformed They know how much to invest and how much What are your main priorities for the

secret behind our successful trans- Dubai to what it is nowadays to expect as a return on the investment.The final semester of 2007 and the first

formation has been moving accord- came, when Dubai’s real estate main attractions of Dubai for UK investors semester of 2008?

ing to the times.” sector was basically a couple of include a tax-free environment, the beautiful Our priority is to expand. Rocky Real

With the one-stop shop concept buildings here and there. beaches of the emirate, the weather, the low Estate plans to expand in a smart way where

truly mastered and an array of serv- Of course, after three decades in price of property, and the easy access to the we want to make sure that we have the right

ices that include buying,selling,leas- the market, Rocky Real Estate has country;there are over twelve flights daily from people, that is, highly trained employees that

ing, acquisition, disposition and faced a number of challenges, as the UK. are able to provide our clients with the best

property management, Rocky Real the industry went through a num- It could be said that Dubai offers an excep- possible investment advice. Our main priority

Estate today has more than 8500 ber of difficult periods, especially in tional lifestyle and has become a kind of will be to focus on research in order to find

individual commercial and residen- the beginning. The main thing is optional real estate investment market for the most suitable product to fulfil the needs of

tial units under management, envi- MR. KIRAN that we’ve learned a lot from our those who planned to invest in Spain, but who our clients; we have always aimed to satisfy

able experience within the market, UTTAMCHANDANI past experiences and can today are now looking for something new. our clients. ●

and a number of close ties with Marketing use our knowledge in order to

financial institutions ready to pro- Director offer the highest possible level of

vide credit facilities to its clients. service to our customers.



Dubai’s Real Estate sector is one that Rocky Real Estate offers its clients a

has firmly positioned itself as a world- wide variety of buyer and seller

wide leader for investment and has services. Could you give us some

become synonymous with trend set- insight into these?

ting properties and global landmarks. The majority of our business is related to

In your view, what is behind the property management, meaning that Rocky

development of the emirate’s Real Real Estate’s main service consists of leasing

Estate market? out properties on behalf of our clients.This

Talking about the key factors behind the suc- has been our main business over the last

cess of Dubai is synonymous with talking about thirty years and it is where most of our expe-

one person in particular, His Highness Sheikh rience and knowledge resides.We are a very

Mohammed Bin Rashid Al Maktoum,Prime Min- conservative company in terms of buying and

ister of the UAE and Ruler of Dubai;it is talking selling.When it comes to investment, we only

about his vision, strategies, strength, and also invest in properties in which we are very

his way of decision making. One of the most confident. The main aspects we always take

impressive aspects of the transformation that into account include location, the quality of

Dubai is going through is the fact that every the property, and the development in which

change that has occurred over the last few the property is located.We offer our clients

years was planned over ten years ago. The only well selected properties with the highest

strategy behind this unbelievable development, possible return on investment. In other

DUBAI / 8 UAE 3rd NOVEMBER 2007









A paradise for horselovers

Top equine-themed horses.“When someone comes to Al Kaheel,

they will have the chance to learn horse rid-

park to become a ma- ing, watch the equine theatre and take part

in the interesting shows, demonstrations and

jor new attraction in exhibitions that will be unique to the park.

“In Al Kaheel, the whole family will be en-

the Middle East tertained; kids can go to the park, others may

go on the Desert Safari, and at night we will

rab traditions of horsemanship can be have shows displaying top horsemanship.The

A traced back to the eighth century and

Arabian horses, notable for their distinctive

whole family will be entertained in one proj-

ect that needs a minimum of one week to be

beauty and stamina, have played an important seen in its entirety.”

role in warfare and sport through the ages. Located in Dubailand’s eco-zone,Al Kaheel

Al Kaheel,an equine theme park that will be also provides a rare opportunity in Dubai to

part of Dubailand, the multi-themed mega own a home in open and natural surround-

leisure and tourism development, aims to at- ings. Not surprisingly, all 400 individually de-

tract horse lovers from across the world,both signed properties on offer rapidly sold out.

as tourists and property owners.According to Investors saw the value of their properties

Machhour Moukaddem,Chief Executive Officer rise by more than 25 per cent in the first six

of Al Kaheel Equine Management,it will be the months.

most comprehensive equine centre ever built, Mr Moukaddem has no doubts that

“the ultimate destination for horse lovers.” Machhour Moukaddem says Al Kaheel will be an attraction to be enjoyed by all the family Dubailand itself will be a huge success, and

Covering 10 million square feet, the Dh1.6 says that Al Kaheel plans on getting 3-4 per

billion (£214 million) project will be an edu- ent breeds at work and play.Weekend horse manship,teaching a variety of certified cours- cent of its tourists. “Tourists usually stay for

cational theme park and working horse farm fairs will be staged with competitions, demon- es,and an equestrian centre with a clubhouse, five to seven days, and therefore do not have

offering activities for all the family. Visitors will strations,and a variety of family activities.A night- stables, horse training and event areas. An the time to see all the attractions, which

be able to enjoy short or extended stays at ly show will feature world-class equine acts with equine spa and therapy centre will have state- means they will keep coming back to visit a

the full service luxury resort, which will fea- more than 45 performers and 70 horses.Desert of-the-art facilities for the treatment and re- different theme park.

ture a 150 room executive suite hotel and 100 safaris will offer scenic outings through the habilitation of sport horses. “The following year, people who came to Al

luxury chalets, restaurants and shops. sand dunes on horses, ponies and wagons. Mr Moukaddem says that visitors to Al Kaheel will visit another part of Dubailand and

An equine “edutainment park” will feature The park will also be home to the region’s Kaheel will have the opportunity to enjoy an vice-versa.That is the beauty behind Dubailand;

400 horses representing more than 60 differ- first accredited world-class academy of horse- “up close and personal” relationship with the it caters to all tastes and interests.” ●

UAE 3rd NOVEMBER 2007 RAS AL-KHAIMAH / 9





-KHAIMAH

RAS AL









Towering mountains provide an impressive setting for the emirate’s capital









EASY LIVING

AND VALUE

FOR MONEY

Ras Al-Khaimah is reinventing itself as a prime

location for investment in business and tourism

ith an attractive investment climate Saqr Port is on the way to becoming one of

W backed by a proactive government that

firmly encourages free enterprise, Ras Al-

the most modern ports in the region.Earlier this

year a new container terminal opened with a ca-

Khaimah is positioning itself as a top business pacity to handle 350,000 TEUs:the first phase of

destination, regardless of its lack of significant a massive expansion. Phase two will see capaci-

oil reserves.The emirate has attracted the third- ty enhanced to around 3 millionTEUs over a pe-

highest level of project investment relative to riod of five years.

GDP in the UAE – with a value of around £12.6 In April, the IDO announced a new joint ven-

billion – and accounts for a full five per cent of ture project with the US-based Argentum

total GCC project investment. Development Company to build an International

Spearheading efforts to expand the local Hospitality Trade and Training Zone.A hub for

economy is the Investment and Development the global hospitality industry,it will include a free

Office (IDO), which has laid the groundwork trade zone area and a training and educational

to attract a further £6.6 billion in inward in- campus, which will position Ras Al-Khaimah as

vestment over the next few years. Ras Al- a centre of excellence in the leisure industry.

Khaimah certainly has plenty to offer investors, The capital is not the only development hub.

especially in terms of real estate, tourism and The huge resort of Al Hamra Village comprises

the leisure industry. various sized villas and apartments offering lux-

Nestling between the Al Hajjar Mountains to ury accommodation for both residents and week-

the east and the Gulf to the west,the emirate’s enders. Facing out to the Gulf, it has a marina

highly varied landscape of valleys,peaks,deserts with 200 yachting berths allowing boat owners

and unspoilt coastline contrasts sharply with quick and easy access to the sailing and fishing

many other parts of the UAE. opportunities along the coast.

The city of Ras Al-Khaimah,the capital,is un- In fact, a variety of tourism and leisure proj-

dergoing multiple new construction projects. ects are taking shape.Some 17 miles south-west

Key developments include RAK Financial City, of Ras Al-Khaimah city centre,Al Marjan Island

which has been designed as a new hub for the will be the emirate’s first man-made island ven-

offshore financial operations of the regional ture, reflecting the Dubai influence.This almost

business community. The almost 2,5 million £1 billion cluster of coral shaped islands is due

square feet project will include uniquely designed for completion in 2009.

towers, up to 65 storeys high, providing office, A more unusual development will be the Jebel

hotel and residential space. Jais Mountain Resort,which will be built on one

In terms of real estate, Ras Al-Khaimah is of the highest points in the Al Hajjar Mountain

promoting low-rise developments focused on range, and will offer visitors five-star hotel and

a comfortable,beach lifestyle.The emirate of- conference facilities, and even a cable car lead-

fers good value in terms of the cost of land ing to an outdoor winter snow skiing slope.

and leasing, plus high quality living conditions. To cater for increased numbers of visitors,the

Its modest pricing in comparison to certain international airport is being upgraded and the

other parts of the UAE is a major selling point. emirate has launched the UAE’s fourth national

This value for money, easy living appeal has airline, Rak Airways. What’s more, plans have

won over large numbers of weekenders com- even been announced to develop a US$265 mil-

ing from Dubai and elsewhere, as well as at- lion commercial spaceport for the operation of

tracting longer-term residents. sub-orbital flights. ●

RAS AL-KHAIMAH / 10 UAE 3rd NOVEMBER 2007









Resort style real estate will bring

a Riviera lifestyle to the Middle East

Inspired by luxury

developments in

Dubai, a major

waterfront project

is under way in

Ras Al-Khaimah

n a man-made island off the coastline,

O construction has begun on the first

phase of a multi-phased, multi-billion pound

development designed to bring a touch of

Monaco and Cannes to Ras Al-Khaimah. La

Hoya Bay is a £400 million Mediterranean-

style waterfront residential and leisure proj-

ect to be built in six phases on Al Marjan Island.

The £88 million first phase, currently under

way, consists of 1,100 freehold studio, one,

two and three bedroom apartments and on-

site leisure amenities that will offer a Riviera

lifestyle in the heart of the Middle East.

The developer behind La Hoya Bay

Residence is Khoie Properties,which in March

launched its second project on the island,the

La Hoya Bay Business Village, a £74 million

commercial development.Further projects for

a marina, luxury hotels and apartments are

currently at the design stage. Work started in May on construction of the La Hoya Business Village, comprising more than 500,000 sq ft of office space

Frank Khoie, the company’s Chairman and

Chief Executive Officer,and founder of its par- encing, and on-site clinic and child care.

ent, Khoie Group, believes the emirate has

huge potential for growth and describes it as ‘The focus is Construction started in May.

Following this, the company plans to de-

the next “hot spot” of the region. His com-

pany is committed to investing almost £1 bil-

lion in Ras Al-Khaimah by 2010.Over the next

on resort-style velop La Hoya Bay Regency Hotel Apartments.

Designed for guest investors, the 500 luxu-

rious apartments “with top class service like

five years, he expects to see at least 200,000

people migrating to the emirate.

Khoie Group, initially an engineering com-

developments a hotel,and where one can live for any amount

of time.The rest of the property we will rent

to tourists.” After this, the company will be

pany involved in the design of industrial proj-

ects from electronics to machine tools, is

now an amalgamation of several companies

rather than launching another 800 apartments,which will

be called La Hoya Bay Pelican.“La Hoya Bay

will be keeping us very busy for the next 3

with global interests built up over the last 32

years. Khoie Properties was established in

2005.

high rise’ to 5 years,” adds Mr Khoie.

British investors are high on the list of po-

tential purchasers.“At the of top of our list

Mr Khoie acknowledges that the inspira- porate headquarters, but in Ras Al-Khaimah is Britain.Next is Germany,and after Germany

tion for the company’s involvement in Ras Al- we believe that we should not move to imi- comes Holland. Many of them are buying.

Khaimah came from Dubai,where palm style tate New York, and should avoid a crowded There is also the Iranian elite who would like

island developments with luxurious water- community – especially with the beautiful to live and invest here.The UAE is surrounded

front resort homes have proved hugely pop- beaches and the blue water we have. by 2 billion people who find the quality of life

ular – not least with buyers from Europe. “Tourists need a place where they can here attractive to set up and start a business.

“When I was in Dubai in 2001, I realised come and relax.For this reason,His Highness “The British in general are extremely bull-

there was a huge opportunity,” he says.“We Sheikh Saoud is particularly interested in ish about the UAE.They have historical rela-

had done property development in Singapore, keeping RAK fairly low key in terms of de- tionships with the UAE establishment. UK

we had done property development in Los velopment.The focus is on resorts,golf cours- businesses have major developments here in

Angeles, and I have always been interested in es, and polo clubs, and there is a great em- terms of property and technology,from man-

it. From 2001 onwards, we saw huge oppor- phasis on yachting and water sports.Very few agement to construction. The British run

tunities in the quality of funds coming here projects are going to include high-rise build- many key areas of management here.They al-

and the potential of expanding into proper- ings; all our projects will be resort style.” so love to come to the beach and have ei-

ty development as freehold laws permitted FRANK KHOIE Construction started in May on Khoie ther a second home or an investment abroad.

us to buy and develop projects. Of course, Chairman and CEO of Khoie Properties Properties’ £74 million project, La Hoya Bay The weather, location,a tax-free and devel-

as an entrepreneurial organisation we looked Business Village. Located in Ras Al-Khaimah’s opment friendly environment and generally

for niche markets and niche developments, ping facilities. free zone area, the freehold commercial de- pro-UK spirit here is always an assurance. If

and the niche we found was Ras Al-Khaimah.” “RAK is focusing more on resort-style de- velopment will extend over 500,000 square I were British, I would invest here.”

The first phase of the company’s Al Marjan velopments rather than high-rise buildings,” feet. The seven-storey building will offer ful- Within the next five to 10 years, Mr Khoie

Island project, set amid white sand beaches explains Mr Khoie. “They have learnt a les- ly furnished and ready-to-occupy office space plans to establish a finance company to pro-

and lush green landscapes, is due to be com- son from Dubai; it is easy to build huge build- ranging from 40 square feet to 10,000 square vide mortgage financing to potential buyers.

pleted in July next year. Covering an area of ings but it is difficult to manage them. They feet. Amenities will include corporate and Another priority is to establish Khoie Holdings

just over 15 million sq ft, it will include 725 create a level of crowding that is not neces- special event planning and organising, IT and by 2008 or 2009, and list on the London

resort-styled apartments, three swimming sarily attractive for tourists.Of course,Dubai telecom services, tours and travel arrange- Stock Exchange, as well as the Dubai Stock

pools, tennis courts, restaurants and shop- is now becoming a financial and banking cor- ments, virtual office services, video-confer- Exchange. ●

UAE 3rd NOVEMBER 2007 RAS AL-KHAIMAH / 11







Gaining strength through acquisition

A series of deals have raised the profile of oil the portfolio beyond the company’s core area

into more distant terrain, including Indonesia

and gas company RAK Petroleum and Australia,both well-known oil and gas pro-

ducers. Although the Anzon portfolio is out-

stablished in Ras Al-Khaimah in 2005 to as Abu Dhabi and Iran. side its core geography, the transaction gave

E bolster local energy requirements, the oil “All these neighbouring areas are what we

and gas exploration and production company call our priority one target areas for explo-

the company access to both talent and tech-

nology, boosting its credibility.

RAK Petroleum is increasingly active on the ration, development, and production proj- Despite being on the acquisition trail, Mr

global energy scene, as illustrated by a run of ects,” says Chief Executive Peter Sadler.And Sadler talks of the firm’s commitment to stew-

acquisitions during the past 12 there is clearly an appetite for more ardship during these early days.This will be test-

months or so. in the longer term. ed in the coming year as the group gets to grips

In April,the company acquired RAK Petroleum is owned by a with its new asset portfolio.The challenge is to

UK-listed Gulf Keystone mix of local and regional shareholders accelerate the development of its upstream as-

Petroleum,an independent oil and from across the Gulf that includes sets and turn this into positive cash flow as quick-

gas outfit with interests scattered both large corporations and small- ly as possible. “The evolution is from what is

across the Middle East and North er private investors.The largest share- essentially a cash management company to a

Africa. The deal gives RAK holders are RAK Investment Fund hydrocarbon producing company,” he says.

Petroleum strong exposure to and RAK Gas Authority. In its first This means getting cash from the sale of oil

Algeria, in particular, where Gulf year of operation,the company post- and gas rather than depending on the returns

Keystone has signed up half a ed impressive gains.During the 461 from other financial investments, a sign of ma-

dozen blocks with strong oil and PETER SADLER days ending 31 December 2006 net turity for any ambitious, young oil company. If Drilling at a site in Oman acquired by

gas potential. Independent esti- Chief Executive profit amounted to AED180 million this can be done by 2008 it will be an impres- RAK Petroleum from Indago

mates of the company’s resource of RAK Petroleum (£24 million). sive achievement. “People will say: ‘This is a

holdings in the North African The Indago portfolio included pro- company that knows what it is doing – it has in recognition of the company’s roots.

country suggest reserves of 3.9 billion barrels duction and associated cash flow from the West got a focused strategy,is dynamic,moves quick- “The earliest we can have a compelling sto-

of oil equivalent in place. Bukha and Bukha fields in Oman. It also ex- ly and does not spend a lot on overheads.’ ry to take to investors is early 2009,” says Mr

Earlier, RAK Petroleum gained access to panded RAK Petroleum’s pool of oil and gas in- People will want to invest in this company.” Sadler. Going forward, the aim is to position

the upstream market in Oman through a £194 dustry talent to manage the company’s expand- Assuming all goes well, the intention is to RAK Petroleum as a showcase for Ras Al-

million deal, in which it acquired the entire ing collection of assets,including the transfer to work towards an initial public offering some- Khaimah in the global oil and gas industry.

Omani production portfolio of Indago the company of Mr Sadler himself. time thereafter.London is a natural choice for “RAK Petroleum can put that sort of footprint

Petroleum. The company also has exposure Last year, RAK Petroleum took over anoth- many global oil and gas juniors, but there are down, not as a state oil company, but as an in-

to other hydrocarbon-rich destinations such er UK explorer,Anzon Energy, which expands also hopes of getting a listing in the Middle East ternational oil company,” he says. ●

UMM AL-QAIWAIN & SHARJAH / 12 UAE 3rd NOVEMBER 2007









JAH

SHAR





DEVELOPMENT

AT A MORE

RELAXED PACE

Investment has soared in Sharjah which has

successfully been developing non-oil activities Close to Dubai, Sharjah has its own appeal to visitors – at more moderate prices



harjah is already a well-known destination incentives,as well as enjoying any overspill from field as a stopover en route to India and Australia. International Airport Free Zone and the

S for many tourists and businesses.

Geographically contiguous with Dubai,the third

Dubai.Sitting on about 5 per cent of the UAE’s

gross oil and gas reserves, the emirate has

At that time, Sharjah ranked as one of the air-

line’s more remote outposts as well as being

Hamriyah Free Zone, with its deep sea port

connections,which handle some of the world’s

largest emirate has an international airport, tapped these resources to take a lead in oth- the first airport in the country. biggest ocean-going vessels.

which includes the biggest air cargo hub in the er areas. Indeed, Sharjah accounts for approx- Today, it has the capacity to handle around Sharjah was the first place in the Middle East

whole of the Middle East and Africa region. imately 40 per cent of the UAE’s industrial 8 million passengers every year and still con- to install fully equipped container facilities and

This has helped facilitate not just trade, but GDP,reflecting both the strength and depth of tinues to grow.It is also a hugely successful trans- has enjoyed the massive growth in the global

also an influx of people keen to learn more its economy. Last year, gross domestic prod- shipment hub, especially for inter-modal car- container market of recent years.

about local culture and to experience some of uct grew by 19 per cent to £5.6 billion, com- go.The airport offers some of the fastest tran- A further reflection of Sharjah’s international

Sharjah’s own delights.A centre of regional cul- pared with £5.01 billion in 2005. sit times for cargo being shipped in by sea and credentials is its Expo Centre, a state-of-the-

ture – it was once crowned UNESCO’s Arab Proximity to Dubai means that many peo- flown out by air: approximately six hours.This art meeting point for business conventions and

world cultural capital – the emirate also boasts ple commute,taking advantage of Sharjah’s typ- is partly because the seaports are located on trade fairs which draws people from across the

beaches aplenty, luxury resorts and a variety ically lower cost of living. Real estate develop- both sides of the Sharjah coast,two in the Gulf Middle East and the wider world.

of shopping malls.The Blue Souq, for example, ment,like elsewhere in the UAE,is also a boom- on the UAE’s western coast, and one in the The city of Sharjah also holds great appeal

is a sprawling market with around 600 outlets ing market. Gulf of Oman, on the UAE’s eastern coast. for visitors, full of beautiful waterfront hotels,

selling everything from gold and expensive The Sharjah International Airport is one of The two principal ports are Mina (port) mosques, parks and gardens.Within touching

Persian rugs to local souvenirs. the emirate’s key selling points,just 10 minutes Khalid in Sharjah City and Khor Fakkan on the distance of Dubai,it offers visitors more of the

While tourism remains a high priority for away from Sharjah city centre.The airport dates east coast. Located at these strategic air and luxury and splendour familiar throughout the

the local authorities,trade and investment has back to 1932 when Imperial Airways, a fore- maritime hubs are some of the UAE’s most suc- UAE, but at a more relaxed pace, and with

soared, with Sharjah offering its own unique runner to British Airways, constructed an air- cessful free zones, notably the Sharjah more moderate pricing. ●







-QAIWAIN

UMM AL





REALISING UN-

TAPPED POTENTIAL

Developers are realising that the emirate of

Umm Al-Qaiwain has its own unique attractions

ocated in the northern part of the coun- largest colonies of Socotra cormorants in the

L try, not far from Sharjah and Dubai, Umm

Al-Qaiwain is another of the lesser known emi-

world.

The untapped potential has certainly been

rates. Yet with some of the country’s most noticed.Leading property group Emaar has reg-

beautiful natural landscapes, it should not be istered what this destination has to offer and The capital of the emirate boasts no fewer than seven forts, some recently renovated

overlooked. Positioned between Sharjah to is engaged in real estate work, in close accord

the south-west and Ras Al-Khaimah to the with the government of the emirate.Some im- community centres are planned or under way. ground is the Flamingo Beach Resort, a major

north-east, it offers something very different pressive architectural ideas and construction Although this is not new for the UAE it is water sports destination offering activities

to some of the frenetic developments taking more akin to Dubai are now taking shape the first of its kind for Umm Al-Qaiwain,which from crab hunting and glass bottom boat rides,

place elsewhere in the UAE. there. Emaar describes as a “picture perfect loca- to snorkelling, diving and fishing.

That said,Umm Al-Qaiwain itself is now be- Emaar’s flagship Umm Al-Qaiwain marina tion” with over 14 miles of waterfront. These leisure ventures are complemented

ginning to take its first real steps towards de- project offers waterfront living along the emi- The town of Umm Al-Qaiwain itself,the emi- by other development projects as the gov-

velopment. Traditional occupations such as rate’s spectacular shoreline.The development, rate’s capital,sits just 30 miles north-east of high ernment maps out a more modern future.The

fishing and date cultivation remain important, which surrounds a purpose-built marina, will tempo Dubai, but offers its own unique at- Umm Al-Qaiwain Free Zone,formed in 1998,

but now there is an industry free zone to stim- be a vast master-planned waterfront commu- tractions – a world away from one of the Middle sits very close to Dubai and the UAE’s oth-

ulate more diversified business interests. nity on the shore of Khor al-Beidah, offering East’s most dynamic tourist and business cen- er major trading hubs. Known as the Ahmed

Important local industries include cement pro- residential villas and apartments to locals and tres, yet close enough to feel the effects. Bin Rashid Free Zone, it was set up within

duction and a plastics factory. outsiders. Some of the villas with waterfront The town’s historical roots are to be seen the confines of the Ahmed Bin Rashid Port.

Umm Al-Qaiwain’s lengthy coastline has views will be built on a large island with gat- all over,but there is a clear attempt to embrace It consists of over 2700 feet of quay wall,1300

some of the finest beaches in the whole of the ed access, while a series of smaller private is- modernity with a multi-million dollar aqua park, of which can handle ocean-going vessels, and

UAE, and the emirate offers some of the best lands will offer luxury waterfront villas for the Dreamland, raising the emirate’s profile with- 387,000 square feet of land reserved for light

sailing and bird watching. Sinaiyah Island, for UAE’s more discerning residents. In addition, in the UAE and the wider regional market. industrial development. Manufacturing, trad-

instance,close to the town of Umm Al-Qaiwain, resort and hotel rooms, as well as parks and This is not the only investment in Umm Al- ing and consultancy activities are all permit-

the emirate’s capital, is home to one of the recreational areas, retail facilities, schools and Qaiwain’s tourist potential.Another local play- ted within the zone. ●

UAE 3rd NOVEMBER 2007 AJMAN / 13





AJMAN









Hotels and resorts are developing along Ajman emirate’s beautiful stretch of beach









THE SMALL

EMIRATE THAT

THINKS BIG

It may be the smallest of the seven emirates, but

Ajman is ready to compete with its neighbours

when it comes to ambitious real estate projects Falcon Towers, Ajman’s next luxury towers, will offer exclusivity and unparalelled views



omprising an area of only 161 square ing development of the free zone and the Sweet Homes, which has an extensive the same as in Dubai, but the prices are very

C miles, the emirate of Ajman accounts

for less than 0.5 per cent of the country’s

seaport, new roads, a metropolitan rail link

to Dubai, and a new sewage system.

network of offices, as well as outposts in competitive compared to Dubai.”

the UK, Oman and Qatar, is currently fo- Sweet Homes offers its clients a wide

landmass. Located on the UAE’s western A real estate boom is under way.Ajman was cusing its real estate development efforts variety of buyer and seller services includ-

coast overlooking the Arabian Gulf, it has the second emirate after Ras Al-Khaimah to on Ajman. The company successfully mar- ing property management, consultancy and

a fast modernising capital, well provided open up its property market to foreigners and keted its first project in the emirate, Al feasibility studies.“We provide a combina-

with shopping malls, an increasingly busy port over the last three years some £3.4 billion Naemiyah Tower in 2004. Notable tion of services related to mar-

encompassing a free zone, an eighteenth- worth of real estate development projects have among its other projects in the ket surveys, statistics, feedback

century fort with a fascinating museum, and been launched.Abdel Farah, head of research emirate since then is the 52- and customer requirements in

a long corniche road running between and statistics at the Ajman Chamber of storey Corniche Tower, located by order to safeguard their in-

beaches of fine, golden sand and a growing Commerce, has been quoted as saying that the beach. However, its largest vestments and achieve better

number of hotels and resorts. growth in investment this year will be close and most impressive project in returns,” explains Mr Dero.

to 20 per cent,“and the lion’s share will go to Ajman is the Paradise Lakes group “We have a very good database



‘The lion’s the real estate sector.”

A series of mega projects will transform

the local landscape. For the largest, the Al

of eight 31-storey towers in the

Emirates City development, which

are scheduled for completion in

and over 5,000 satisfied cus-

tomers.

He adds: “Basically, the buy-



share of Zorah project, the emirate has formed a

partnership with Solidere Management

Services of Lebanon. Described as “a city

December 2008.

The company promises first FAHED DERO

class facilities, comparable to Sweet Homes

ing and selling of real estate is

a customer-oriented business.

If you give wrong advice it will

investment within a city”, and costed at around £6.8

billion, Al Zorah will spread over 107 mil-

lion square feet. It will include a commer-

Dubai, with competitive prices.“If Real Estate

you arrive at Dubai International

be only once, because your

customers will never come

Airport, you can be in Ajman within half an back, and they will tell their friends not to

this year will cial office district, residential buildings and

villas, hotels, hospitals and schools, a mari-

hour,” says Mr Dero.“The Emirate City proj- use your services. On the other hand, if your

ect is about twenty minutes away and to get customers are satisfied, they will give you a



go to real na and a golf course, and will be connect-

ed directly to the Emirates Road via a new

highway.

to the downtown area it takes about five good name and you will expand your busi-

minutes.The freehold and visa facilities are ness continuously.” ●





estate’ Last year saw the launch of another town-

sized development, the £1.96 billion Emirates

City, being developed by R Holdings, fea-

Ajman lacks oil, but thanks to its strate- turing 72 residential and commercial tow-

gic location and proximity to the com- ers. Other major projects include Ajman I,

mercial centres of Dubai and Sharjah it has a mixed-use residential, commercial and

a high percentage of the country’s indus- hospitality complex with 12 freehold resi-

trial plants. The emirate has long been dential towers, Ajman Marina, a tourism,

known for fishing and shipbuilding, and residential and commercial project, and the

Ajman Port is one of the fastest-develop- Al Ameera Village project.

ing ports in the Northern Emirates. “It was clear that when the concept of

Agriculture and tourism are also seen as 100 per cent freehold was introduced in late

sectors with great potential. 2002 there would be big potential,” says

Under the leadership of Sheikh Humaid Fahad Dero, Chief Executive Officer of re-

Bin Rashid Al-Nuaimi, and with financial as- al estate company Sweet Homes. “It has

sistance from wealthier neighbouring emi- added a new dimension to the UAE’s prop-

rates like Dubai and Abu Dhabi, Ajman has erty market. It has also meant that for-

opened up to investment and embarked on eigners reinvest their money within the

a process of development designed to boost country rather than taking it abroad.There

its economy. Over the next five years the is no doubt that the freehold concept has

government plans to spend between £6.67 increased the number of new buyers com-

and £13.2 billion on infrastructure, includ- ing to the UAE.”

FUJAIRAH/ 14 UAE 3rd NOVEMBER 2007









FUJAIRAH





ANCIENT AND

MODERN

Well-connected Fujairah has become a centre

for international and regional business activity

he only one of the emirates to be locat- (pearl) development,comprising hotels and vil-

T ed entirely alongside the Gulf of Oman,

the small but beautiful emirate of Fujairah is

las on reclaimed land off the coast near Al Aqah.

Further projects are planned as demand for

another attractive destination for businesses luxury accommodation in the region grows

and tourists alike. Despite a strong historical and the leisure industry expands. Fujairah Fort, a 300-year-old mud brick structure, is an impressive local landmark

legacy, it has embraced modernity and man- The Fujairah Exhibition Centre has also be-

ages to draw large numbers of tourists – come a magnet for trade shows and conven- the winding lanes of the old town, which are ing investment from overseas and locally. It is

around 250,000 every year. tions, which bring in visitors from all over the overlooked by a centuries-old fort. supported by the Fujairah International

Fujairah has spectacular backdrops, from Gulf and the Middle East. Underpinned by first class infrastructure, Airport,now a major regional air hub,and the

lofty mountains to sun-kissed golden beach- The capital city offers a taste of local his- with state-of-the-art air and sea links,Fujairah deep sea Port of Fujairah, which together

es. It offers a paradise for water sports en- tory, with a castle and a museum to keep vis- has made good headway in expanding its in- provide strong links to the rest of the world.

thusiasts and adventure seekers, many cul- itors busy, as well as plush offices and resi- dustrial and commercial base too. The Fujairah Work is also under way on a six-lane Dubai-

tural and historic sites, and all the luxury of dencies.These two contrasting faces are what Free Zone has become a centre for interna- Fujairah highway to cut travel time between

five-star accommodation. appeals to many: the modern new town and tional and regional business activity, attract- the two emirates. ●

Around Dh3 billion (£400 million) is being

spent on the tourism industry in a bid to at-

tract more visitors. With its new passenger

terminal, Fujairah International Airport aims

to boost throughput to one million passen-

gers a year by 2011.

Raw materials for the region

According to Fujairah Tourism Bureau, the “Fujairah and Ras Al-Khaimah produce the chain had to become fully integrated and man-

emirate receives 60 per cent of its tourists Emirate produces highest quality rock and aggregate for markets aged accordingly,” says Mr O’Grady.

from Europe and 40 per cent from within the

UAE. Flagship holiday resorts such as the

rock and aggregates within the Gulf,” says Edward Marc O’Grady, He believes that the ability to launch such an

the company’s Chief Executive. “They provide organisation to spearhead the export and sup-

Hilton Fujairah Resort and the Fujairah Rotana for the booming the regional multi-billion pound construction ply of these essential construction materials il-

Resort and Spa aim to appeal to both mar- industry with the raw material necessary to lustrates the commitment of the Fujairah au-

kets. The newest arrival on the scene, the construction industry build the significant commercial,industrial and thorities to progress and long-term develop-

Miramar Al Aqah Beach Resort, just 90 min- tourist infrastructure currently under way.” ment. “Fujairah has a focused and ambitious

utes drive from Dubai, is the first resort to he boom in construction activity through- Using ships or barges, FBS provides com- growth strategy,” he says.

be opened in the UAE by the Iberotel hotel

and leisure group.

T out the region,and particularly in Dubai,has

given a big boost to Fujairah’s cement, stone

prehensive shipping, stevedoring and logistic In addition to being a market in its own right,

services for the transport of all rock materi- the UAE is fast becoming a favoured turnaround

Real estate developments are primarily con- crushing and mining industries. Established on- als in and around the Gulf.It owns destination for ships of all shapes

centrated along the Gulf of Oman coastline. ly last year as a joint venture between the a concession to build a rock han- and sizes. Its location and state-of-

Major new billion dollar development proj- Fujairah government and the Pacific Basin dling terminal, with jetties, load- the-art logistics facilities make it an

ects are under way,such as the Fujairah Paradise Shipping company, Fujairah Bulk Shipping has ing ramps and storage facilities. ideal base to serve global freight

project, a concentration of villas, luxury ho- boosted local export capacity to move the rock With the reach of Pacific Basin movements heading east or west.

tels and retail outlets, and the Fujairah Dana and aggregates to regional markets. Shipping – one of the world’s top Mr O’Grady says this modern in-

bulk shippers – behind it,the com- frastructure is further supported by

pany brings an international di- an onshore business-friendly econ-

mension to an already thriving omy and host government.“Fujairah

maritime sector. Port is the largest multi-purpose

Moving heavy, awkward loads port strategically located on the Gulf

such as rock and aggregates pres- EDWARD MARC of Oman on the eastern seaboard

ents a big problem to shipping and O’GRADY of the UAE.Its strategic position has

logistics operators.Part of the ra- CEO of Fujairah proved attractive to a wide range

tionale to create the FBS joint Bulk Shipping of users specifically in dry bulk car-

venture was to build a company go and container handling.”

with integrated expertise, making the deliv- Indeed,the port has become one of the world’s

ery of such products more efficient and cost leading ship bunkering points and marine serv-

effective. ice providers as a result of this location.Connected

“It was our opinion that for the business to by good road links to the rest of the UAE and

work and reliably serve the needs of the con- adjoining countries,it is the perfect place for sup-

struction industry within our region the supply plying the Gulf market. ●









Fujairah Bulk Shipping transports heavy loads of materials in and around the Gulf

UAE 3rd NOVEMBER 2007 TELECOMMUNICATIONS / 15





TELECOMMUNICATIONS





ALMOST 6 MILLION

MOBILE SUBSCRIBERS

The UAE has the highest mobile phone rate of the existing number of telecom companies is

enough at present,” Sultan Bin Saeed Al

penetration both regionally and internationally Mansoori, Minister of Government Sector

Development, told Gulf News.

ith just under 6 million subscribers,the Until last year, Etisalat was the UAE’s sole Etisalat rang up net profits of Dh3.7 billion

W mobile phone services penetration rate

in the UAE exceeds 140 per cent of the pop-

telecommunications service provider. That

changed when the government began to open

(£496 million) in the first half of this year, a

33 per cent increase compared to first half

ulation. UAE residents spend more per head up the sector in line with the UAE’s com- of 2006.Mohammad Hassan Omran,the com-

on telecommunications than anywhere else mitments to the World Trade Organisation, pany’s Chairman,says the results demonstrate

in the region. Many have adopted the trend which requires full liberalisation by 2015. the company's diverse capabilities and com-

of subscribing to multiple mobile lines, and in A second national provider, the Emirates petitive strengths.“We achieved financial re-

addition many foreign visitors subscribe to pre- Integrated Telecommunications Company, sults exceeding expectations and continue to Etisalat saw a 33 per cent increase in

paid services, holding on to the SIM cards for trading under the name “du”, was licensed by achieve strong results supporting our con- net profits in the first half of the year

future visits. the recently established Telecommunications tinued leadership in the region’s telecommu-

The saturation of the market has driven the Regulatory Authority and started operating nications industry.” says du can build a significant market share,

dominant provider, state majority-owned in February this year. Etisalat’s rival du, which like Etisalat is part- taking advantage of the UAE’s fast growing

Etisalat, to extend its search for business to The government recently announced that ly government owned, is expected to spend population and the high level of per capita

other countries like Saudi Arabia, Pakistan, it would not be opening up the sector to for- Dh4.7 billion (£631 million) over three spending on telecommunications. It pre-

Egypt and Afghanistan. However, with the re- eign players in the near future, saying it ex- years on its mobile and fixed line services dicts that du will sign up 569,000 active sub-

cent arrival of a second operator on the scene, pected tariffs to become competitive now to secure 30 per cent of the UAE market. scribers this year, taking 57 per cent from

Etisalat will be faced with competition. that Etisalat’s monopoly had ended.“We feel A report by investment bank EFG-Hermes Etisalat. ●









Bringing the world able users to switch to satellite transmission

whenever they are out of range of terres-

trial GSM networks.

“Thuraya is unique and differentiated from

other satellite service providers because we





within its orbit are closer to GSM than satellite.The differ-

ence is that we use satellite infrastructure,”

says Mr Al Sayed.

In connection with the latest satellite,serv-

ice provider agreements have already been

With the launch of its third satellite, Thuraya signed in Australia and South Korea, and with

Satellite Telecommunications Company is Beijing-based China Satellite Communications

Global – a deal that Mr Al Sayed describes

extending its coverage to the Asia-Pacific region as “a big breakthrough for us. “ Agreements

with companies in other targeted countries

will be signed by the end of the year.

he UAE lives on telecom- houses and investment compa- Meanwhile, negotiations for a fourth satel-

“T munications and likes to

do so using wireless technology,”

nies, including Etisalat and Abu

Dhabi Investment Company. It

lite are under way with Boeing Satellite

Systems, which has built the other three

observes Yousuf Al Sayed, CEO launched its mobile satellite satellites.

of Thuraya Satellite telecommunication system in Earlier this year,Thuraya launched Thuraya

Telecommunications Company. October 2000, thus providing SG-2520, the smallest and lightest satellite

And not just the UAE, as Mr Al blanket-to-blanket coverage to phone, which it is calling the world’s first

Sayed is in a better position than more than 110 countries in satellite smartphone.The SG-2520 offers ad-

most to appreciate. For the Abu Europe,North and Central Africa vanced voice, data, fax and SMS. Users are

Dhabi-based firm boasts the and large parts of Southern able to download and upload information

world’s largest subscriber base YOUSUF AL SAYED Africa, the Middle East, Central from the internet in either the satellite or

for satellite mobile phones, com- CEO of Thuraya and South Asia.A second mobile the GSM mode. Thuraya handsets also have

prising more than a quarter of a Satellite satellite was launched in 2003. a built-in GPS worldwide radio-navigation

million people across the globe. Telecommunications The launch of the third satel- system, which can prove a lifesaver in re-

Thuraya's satellite network ex- Company lite is part of Thuraya’s push to mote areas.

tends to more than 110 countries double its market size within Under an agreement signed with Al Jazeera

in Europe, Africa,the Middle East,and Central three years by bringing countries such as Channel, Thuraya subscribers are provided

and Southern Asia,and by the end of the year China, Japan, Korea, Malaysia, Vietnam, with the latest breaking, political, business,

will have been extended to the 21-country Indonesia, the Philippines and Australia into and sports news through Short Messaging

Asia-Pacific region, following the launch this its orbit. The company last year opened a Service (SMS).

month of the company’s third satellite. permanent office in Singapore as part of the “We are focusing on our core business,

Circling 22,236 miles above the earth, at 44 extension of its services into the region. which is voice and data,” Mr Al Sayed says.

degrees east longitude, five metric tons of “Thuraya is not really aimed at the UAE, “We want to bring in new services, to inno-

technology will provide coverage to an area which is geographically well covered by GSM,” vate, especially in terms of tracking systems

extending from the East of India all the way says Mr Al Sayed. “Our market is in coun- for fleet management, and to enter into the

to Japan.“With that development, our cov- tries that do not have a developed telecom- maritime business in a strong way along the

erage will encapsulate about two thirds of munications infrastructure, or that are so Subscribers access Thuraya’s mobile satel- commercial routes from Japan, Singapore,

the world’s population,” says Mr Sayed. large that it is not cost effective to provide lite system through service providers who Dubai, and Jeddah all the way to the UK and

Thuraya was founded by an investor con- telecom infrastructure or GSM to cover the are either national GSM network companies Amsterdam.Those are important routes for

sortium made up of prominent national whole territory, and where satellite cover- or local telecom operators. Thuraya’s spe- us, and for which we are developing the nec-

telecommunications organisations, financial age is the solution.” cial dual-mode satellite/SGSM handsets en- essary hardware and services.” ●