The highest-ranking developer in Construction Week’s 2016 Power 100,Emaar Properties’ chairman Mohammed Alabbar has certainly had an interesting year.
After achieving a net profit of $1.1bn (AED4bn) in 2015, Alabbar’s UAE-based firm recorded a further net profit of $330m (AED1.12bn) in Q1 2016.
That said, the past 12 months haven’t all been plain sailing for Alabbar and his team, not least because of a New Year’s Eve blaze at The Address Downtown Dubai. Even without this unfortunate incident, the Emaar chairman admitted that he was concerned about market conditions coming into 2016. Speaking on the sidelines of the developer’s annual general meeting, Alabbar said: “We were really scared of 2016. Preparing for our cost budget, we basically went back to a cost-budget base of two years ago, just to be cautious.”
But judging by Emaar’s latest results, Alabbar’s efficiency drive is paying off. What’s more, the developer’s hospitality division, Emaar Hospitality, recently announced plans to open 35 new hotels across the Middle East.
If Alabbar and his team continue with their cautious but optimistic market strategy, 2016 could well see further profit increases for the developer.