Arada Capital and GCC residential development platform Alya have signed a Memorandum of Understanding (MoU) to establish a development and co-investment strategic partnership. The agreement focuses on delivering premium residential and mixed-use real estate schemes across the United Arab Emirates and the Kingdom of Saudi Arabia.
The proposed alliance will initially evaluate two residential schemes with an estimated combined gross development value (GDV) of roughly AED 6 billion. Subject to commercial agreements, due diligence and required regulatory approvals, these initial projects are planned for Downtown Dubai and Yas Island in Abu Dhabi, forming the start of a wider pipeline.
The alliance pairs Arada Capital’s access to the Arada Group pipeline and large-scale community building with Alya’s value creation, delivery model and capital discipline. Alya operates as an institutional platform supported by Brookfield and Abu Dhabi-based investment firm Lunate, which manages more than USD125 billion in assets.
Otto Dreyer, Chief Executive Officer of Alya, says: “Successful developments are built on strong partnerships, mutual trust, shared objectives and a commitment to creating long-term value.
“Alya brings development expertise, institutional governance and capital discipline to premium residential development across the GCC. For us, quality runs through every stage, from initial thinking and design to execution, handover and customer experience.
“This proposed partnership combines those strengths with Arada’s established track record in creating communities. Our shared ambition is to create homes of enduring quality and value, for the people who live in them and those who invest in them.”
Moustafa Fahour, Chief Executive Officer & Managing Director of Arada Capital, comments: “This partnership represents an important milestone in Arada Capital’s ambition as a fund manager. By combining Arada Group’s established development capabilities and access to high-quality opportunities with Alya’s institutional expertise and the strength of its backing from Brookfield and Lunate, we see significant potential to bring forward premium residential projects distinguished by their quality, thoughtful design and disciplined delivery.
“The UAE and Saudi Arabia continue to present compelling long-term opportunities, and our focus is on bringing together the right partners, capital and expertise to deliver sustainable value for investors and communities alike.”
The agreement reflects a shared philosophy that successful developments require institutional oversight, disciplined decision-making and a clear understanding of local community needs. Both parties consider the signed MoU as the foundational step towards a long-term commercial collaboration across the region.
