Industry News & Insights

TECOM Group has approved a significant investment of AED 1.6 billion (approximately $436 million) to acquire 138 land plots spanning 33 million square feet from Dubai Holding Asset Management. This strategic move aims to bolster the land bank of Dubai Industrial City, enhancing its capacity to meet the growing demand in the industrial sector.

With this acquisition, TECOM Group's total land portfolio will exceed 209 million square feet, reinforcing its position as a key player in Dubai's industrial landscape. The investment brings the group's total commercial and industrial investments to AED 4.3 billion since 2024. The acquisition will be financed through existing resources, with a flexible repayment schedule, and revenue recognition from the additional land bank is expected within the next 12 to 24 months. Post-acquisition, TECOM Group will maintain a healthy leverage and liquidity position.

Established in 2004, Dubai Industrial City is a master-planned industrial zone comprising industrial land, storage, and logistics spaces. Strategically located in proximity to Jebel Ali Port, Al Maktoum International Airport, and an Etihad Rail freight terminal, it currently hosts over 350 operational factories, serving as a vital hub for manufacturing and logistics in the region.