Al Fajer Properties To Take Legal Action Against Customers In Default

One of the UAE’s leading real estate developers, Al Fajer Properties (“AFP” or “the Company”), today announces that it is to take legal action against customers who have defaulted on payments as part of its move to claim the rightful dues from defaulters in its Jumeirah Business Centre (JBC) towers, at the Jumeirah Lake Towers (JLT) community.

Also the Company is pleased to announce that in a landmark ruling it has won a significant legal case in the UAE courts. In the ruling the judge has ordered a defaulting customer to pay 40% of the contract price to AFP for defaulting on payments for their delivered properties in the JBC towers.

A spokesman for AFP said, “This is a significant turning point for all developers in the UAE who have delivered on their properties. The ruling is in line with the Sales and Purchase agreements that are signed in good faith by the customer and the developer under UAE laws. At AFP we believe in win win situations for both customers and AFP but customers have been misled into believing they do not have to meet their contractual obligations.”

AFP was the first developer in Dubai to offer a five-year payment plan and up to a 40 per cent discount on its properties. The Company has completed and successfully handed over five commercial towers in JLT thus meeting its stated obligations. AFP has also completed these projects in record time by constructing the projects on an accelerated pace of a five day cycle per floor.

The spokesman went on to add, “AFP has gone out of its way to help customers cope with the difficulties they were facing by offering unique discount offers. We have met all our commitments and contractual obligations to customers despite the tough environment and it is disappointing that some of our customers aren’t meeting their commitments and contractual obligations.”

AFPs commitment to construction and delivery has led to 200 floors being constructed in two years, encompassing some 2.5 million square feet of office space and an additional 85,000 square feet of retail space in the JLT community.
 

Al Fajer Properties Announces Positive Response To Discount Offer

Al Fajer Properties (AFP) is pleased to announce the successful uptake of its recent discount offer which has given customers the option to reduce their outstanding liabilities through early settlement based on purchase price and outstanding balance.

This offer was taken up by customers holding a total of over AED 600 million in contract value equating to approximately 317,000 square feet in its Jumeirah Business Centre development.

The unprecedented offer was issued upon the direction of the President of AFP, His Highness Sheikh Maktoum bin Hasher Al Maktoum, who initiated a multifaceted solution in order to assist AFP’s customers given the current market conditions. Sheikh Maktoum was quoted as saying: “In these difficult times I am happy to say that AFP has been working very closely with its customers, who now have properties in line with current market valuations.”

This latest decisive action is yet another feather in the cap of AFP showing its continued commitment to working with its customers to help them navigate through tough economic conditions.

Through this offer AFP has also been able to further communicate with its customers, helping separate end users and long-term investors from speculative ones. It has also given the company the ability to preplan for expected defaults by speculative buyers.

Al Fajer Properties also expressed its pride in having a strong banking partner such as Abu Dhabi Commercial Bank (ADCB) to help finance its customers. The company is currently anticipating handover on phase 1 of its flagship project within the JLT beginning August 31st, 2009.

AFP is the premier developer in the Dubai World DMCC Jumeirah Lakes Towers (JLT) community and is the only developer to include a 5-floor atrium within the lobbies of its towers. Its towers, situated within a free- zone, once completed will offer high-end commercial properties attracting both large local companies and multi-national organizations from around the world. The unique state-of-the-art facilities of the JBC Towers cumulatively offer exclusive freehold offices totaling a leaseable area of 3.6 million square feet and an additional 150,000 square feet dedicated to retail across phase 1 and phase 2 of its flagship project.