Aldar Sharjah deal: AED1.1bn Aljada purchase from Arada

Aldar Properties has secured its first Aldar Sharjah deal. It is a forward purchase of nine residential buildings in Arada’s Aljada master development amounting to AED1.1bn ($300m), both developers announced on 15 October.

The deal includes three residential blocks consisting of more than 1,100 homes. Arada will construct the buildings and hand them over in Q4 2029, as per a statement from the Sharjah developer.

This deal allows the Abu Dhabi-listed developer to make its first real estate investment in Sharjah. Its develop-to-hold pipeline now stands at AED21bn ($5.7bn) across all sectors. These units will form part of its residential-for-rent portfolio rather than being sold off-plan.

What the Aldar Sharjah deal includes

With the forward purchase model, Aldar will purchase the completed assets at a predetermined price, while Arada carries out the construction. The companies said the homes will be targeted mainly towards end-users and long-term tenants looking for accessible-priced housing within an established community.

Talal Al Dhiyebi, Group Chief Executive Officer of Aldar, said Aljada “provides an attractive entry point” into Sharjah, which he described as a large and growing residential market. He went on to say the investment aligns with the group’s develop-to-hold strategy, which focuses on income-producing assets held for the long term.

Ahmed Alkhoshaibi, Group Chief Executive Officer of Arada, called the transaction “a strong vote of confidence” in Aljada and the wider Sharjah residential market. Both executives stated that the companies will continue to seek more opportunities to collaborate with one another.

A deepening Aldar–Arada partnership

This comes after the two groups announced an AED15 billion ($4.1bn) development partnership in September. Arada gained its first foothold in Abu Dhabi through this arrangement, which covers projects in the capital and includes a mixed-use community at Seih Sdeirah on the Abu Dhabi–Dubai border and three residential plots on Yas Island, The National reported.

With this purchase, the flow reverses, bringing Aldar into Arada’s home market. Arada is a joint venture between KBW Investments, which is controlled by Prince Khaled bin Alwaleed, and Sharjah-based Basma Group. The developer has expanded into the UK, Australia and Syria in recent years.

Aljada is Arada’s flagship project, and the developer calls it Sharjah’s flagship mixed-use master development. Covering 2.2 million square metres, it is located near Sheikh Mohammed bin Zayed Road and Al Dhaid Road, just seven minutes from Sharjah International Airport and 20 minutes from Dubai International Airport.

When completed, it is expected to consist of approximately 25,000 residences, with an anticipated gross sales value of AED35 billion ($9.5bn). Units have been handed over since 2021, with more than 8,800 delivered to date, according to Arada. Current amenities include the Madar family entertainment district, two international schools, two hotels, the Nest student housing complex and over 300,000 sq ft of occupied retail space, with the Arada Central Business District and Madar Mall yet to come.

Why the Aldar Sharjah deal matters for investors

The acquisition allows Aldar to continue its strategy of building a rental income base alongside its off-plan sales business, and to do so outside its traditional Abu Dhabi heartland. The developer plans to hand over more than 3,000 units this year, the largest volume since its launch, and 4,500 units in 2027, Aldar Development chief executive Jonathan Emery told The National. Aldar is also planning to launch a villa and townhouse community in Dubai near Dubai Silicon Oasis before the end of 2026.

For Sharjah, having Abu Dhabi’s largest listed developer as a long-term landlord is a sign of growing institutional interest in an emirate that has traditionally drawn end-users and smaller investors priced out of Dubai and Abu Dhabi. Buying entire blocks also provides Arada with visibility on sales and construction funding for a project slated for completion by 2028.

The deal comes at a time when the UAE property market has held up despite regional uncertainty linked to the conflict involving Iran. Arada’s UAE Property Investment Index, compiled by US-based Penta Group, found that 56 per cent of global investors surveyed had serious interest in UAE property, The National reported. Readers can follow other regional property developments in our coverage of luxury real estate developments in Dubai and the latest Outlook Middle East news section.

What happens next

Building work on the three blocks will be carried out under Arada, with Aldar taking ownership of them on completion in Q4 2029. Neither firm revealed payment milestones, anticipated rental yields or the exact location of the buildings within Aljada.

Both groups said they would look to pursue further joint opportunities across sectors under their strategic partnership. The full announcement is available on Arada’s newsroom.