Nakheel pays Arabtec
Work could restart on 1,500 homes in Dubai.
July 9, 2010 10:34 by Rasha Reslan
Nakheel has made a large cash payment to Arabtec, reports the National.
It’s the first payment the Dubai World owned developer has made to the UAE’s biggest building firm since the former announced plans to restructure its huge debts. The paper says the payment could pave the way for work to restart on around 1,500 homes in Dubai.
According to the paper the exact amount of the payment has not been disclosed but Arabtec is to receive 40 per cent of what it is owed.
“We’re delighted to report that the transfer has been made and it will probably reach our account today [Thursday],” said Riad Kamal, the chief executive of Arabtec.
The payment means Arabtec will soon be able to restart work on the stalled housing development Al Furjan, says the National.
“We never doubted for a minute that our dues would not be settled and will be delighted to continue with the project once we have been instructed to do so,” Kamal said.