Company generates employment opportunities to ensure speedy completion of developments amid Covid outbreak
Danube Properties has intensified construction work on its mega development projects to deliver more than 6,000 residential units by 2022 as demand is expected to pick up following an acceleration in economic activities by year-end, a top official said.
Atif Rahman, director and partner at Danube Properties, said the company recorded 18 per cent year-on-year sales growth in the first six months of 2020 despite the Covid-19 crisis, which halted economic activity to almost zero during the second quarter.
"We sold more than 300 residential units worth over Dh250 million during January-June. This is in addition to delivery of properties worth Dh300 million during the period," he said.
Despite the two-month Covid-19 lockdown, a near-stoppage in business activities and challenging market conditions, he termed Danube Properties' first-half performance "extraordinary" and attributed the credit to teamwork, management and visionary leadership of the UAE for handling the Covid-19 crisis delicately and cautiously to minimise the financial losses to businesses.
"With most businesses either firing staff or sending them on unpaid leaves, Danube generated employment opportunities and appointed 60 professionals to ensure speedy completion of its development projects," Rahman told Khaleej Times in an interview on Saturday.
"Danube Properties increased headcount by more than 31 per cent to 250 by July 2020 from 190 in January 2020 - at a time when other businesses are firing people to become lean and be able to survive under the challenging economic situation."
Danube Group, which started its corporate journey 25 years back, is headquartered in Dubai and operates in nine countries across the Middle East and Asia. Danube Properties, the property development arm of the business, is rated amongst the top five developers in the UAE.
"We have intensified construction work on our five mega projects to ensure on-time delivery in 2020 and 2021. Danube will hand over Miraclz and Bayz in 2020 while work on Jewelz, Elz and Lawnz is progressing well, all three projects will be delivered in 2021 and 2022," he said.
Danube Properties currently has a development portfolio of 6,194 units, with a combined value exceeding Dh4.5 billion. It has so far delivered about 2,155 units, with a combined sales value of Dh2.1 billion - nearly half of its portfolio value.
"The value of under-construction projects stands at Dh2.03 billion," he said, adding that the combined value of Glamz, Miraclz and Bayz, which are next in line for delivery, is Dh1.12 billion spread across 1,488 units. "Including Resortz, it takes our tally of planned delivery this year to almost 2,000 units," he added.
"Danube Properties' continued growth in the time of the pandemic and crisis makes a compelling case for academic research on how to make a sustainable business in the real estate sector," Atif concluded.