Emaar Properties PJSC climbed the most in more than a week amid speculation the developer of the world’s tallest skyscraper will benefit from a recovery in real-estate demand in the emirate.
The shares advanced 1 percent, the most since May 21, to 2.91 dirhams at the 2 p.m. close in Dubai, outperforming the benchmark DFM General Index, which fell 0.3 percent.
Emaar said May 27 that it had sold out units at its “Panorama at the Views” development in Dubai. The company’s first-quarter profit beat estimates, jumping 44 percent to 606 million dirhams ($165 million) on increased sales of properties in Dubai, delivery of homes in Egypt, and higher revenue from malls and hotels. The developer’s profit had suffered after property prices in Dubai, which teetered on the brink of default in 2009, plunged more than 65 percent from a peak in mid-2008.
The Panorama sales are a “sign for more to come,” said Tariq Qaqish, Dubai-based deputy head of asset management at Al Mal Capital. “Emaar assets are in demand due to quality, locations and well-planned infrastructure.”
Emaar plans to start building two residential developments in Dubai near the world’s tallest skyscraper, Middle East Economic Digest reported on May 2, citing industry sources it didn’t identify. The company said in an e-mailed statement at the time that it plans to start projects in Dubai this year.