Aldar forms a JV with Dubai South in its UAE logistics portfolio expansion

Aldar expands logistics footprint in Dubai: Abu Dhabi-based real estate developer AldarProperties has entered into a JV agreement with Dubai South to develop logistics facilities including a Grade A logistics facility, according to an ADX disclosure (pdf). The JV will also develop build-to-lease and build-to-suit facilities for tenants including third-party logistics (3PL), ecommerce, and retail, the disclosure notes.

More about the logistics facility: The first project underneath the JV agreement will be a Grade A logistics facility totalling almost 24k sqm, according to the disclosure. The location — situated near neighboring global giants like Amazon, Noon, and DHL — offers dual customs solutions and is positioned near Al Maktoum International Airport. This operational date is slated for the end of the year.

We knew this was coming: An exact investment ticket for the projects have not been disclosed, but funds for developing the project will be disbursed from a previously lined up AED 1 bn investment earmarked for Aldar’s logistics expansions Abu Dhabi and Dubai.

About Dubai South: Dubai South, launched in 2006 and covering 145 square kilometers, is poised to host 1 mn residents, according to the statement. It also hosts Al Maktoum International Airport, which is set to be the world's largest upon completion.