TECOM Group PJSC (DFM: TECOM), the creator of specialized business districts and vibrant communities, has completed the acquisition of an office park from Emirates REIT for 720 million dirhams. This will strengthen the premium commercial real estate portfolio and solidify TECOM Group's leading position in the Dubai commercial real estate market.
The acquired office park is located in Dubai Internet City, a leading technological hub in the region and part of TECOM Group. This demonstrates the Group's focus on strategic growth and sustainable financial indicators through portfolio expansion of assets.
"The acquisition of the office park continues to play a strategic role of TECOM Group in developing Dubai's business infrastructure," noted the General Director of TECOM Group PJSC Abdulla Belhoul. "Dubai as a global economic and commercial hub continues to attract new businesses and talent, and we are ideally positioned to satisfy the current and future demand."
The office park comprises five blocks, with a total area of 370,761 sq. ft. Here, the offices of major multinational companies such as Coca-Cola, Uber and Red Hat are located. At Park Office, the annual revenue now exceeds 60 million dirhams, which TECOM Group will start accounting for from the fourth quarter of 2024.
Moreover, there are significant opportunities for optimizing rental rates and increasing occupancy levels, which generally generate higher revenues. The corporation ensures high occupancy due to long-term lease agreements, and also has offices, retail spaces, restaurants, and over 800 parking spaces, providing significant convenience for clients.
TECOM Group continues to strengthen its financial sustainability and maintains positive liquidity levels and favorable credit conditions, enabling it to actively strive for the acquisition of new assets and the use of available opportunities for growth.
