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SUSTAINBAILITY
SETTING THE BENCHMARK
MAJID AL FUTTAIM RECEIVES GLOBAL REAL ESTATE SUSTAINABILITY BENCHMARK ‘GREEN STAR’ RATING FOR 8TH CONSECUTIVE YEAR
For the eighth consecutive year, Majid Al Futtaim, the leading shopping mall, communities, retail and leisure pioneer across the Middle East, Africa and Asia, has attained the ‘Green Star’ status from the Global Real Estate Sustainability Benchmark (GRESB), for implementing outstanding sustainability practices across its businesses. The company achieved GRESB scores of 85 and 88 for standing investment and development portfolios respectively.
According to GRESB’s latest assessment, Majid Al Futtaim improved the performance of its standing investment portfolio, scoring 12 points above the GRESB average. The company performed particularly well in key areas such as as leadership, stakeholder engagement as well as energy and greenhouse gas emissions. Majid Al Futtaim’s score was bolstered by progress made against its 2040 Net Positive commitment.
Last year saw the organisation record a 9.2% decrease in its carbon footprint and a 17.5% decrease in water usage
across its operations, partly due to the impact of the global pandemic which has only strengthened our commitment to ramp up our efforts. It also generated nearly 17 million kWh of renewable energy, with 63% generated through its shopping malls alone – enough to power an electric car for 85 million kilometres, or the equivalent to driving over 40,000 times from Dubai to Riyadh and back.
Ibrahim Al-Zu’bi, Chief Sustainability Officer, Majid Al Futtaim – Holding, said: “We’re proud to maintain our GRESB Green Star rating for the 8th consecutive year, this is testament to our perseverance towards improving our environmental, social and governance (ESG) performance. We are more determined than ever to identify areas where we can enhance our performance, and as we look to the future, we are optimistic of the road ahead as we journey towards Net Positive, address society’s most pressing ESG issues, and play a key role in industry-wide transformation.”
Majid Al Futtaim has a long history of working towards the effective and efficient management of resources. In 2018, as a part of the companywide sustainability strategy, Dare Today, Change Tomorrow, Majid Al Futtaim established three focus areas: Transforming Lives, Rethinking Resources, and Empowering Our People. In 2020, Majid Al Futtaim Launched its Company-wide Circular Economy Strategy to reduce environmental impact further whilst driving behaviour change across the business and supply chain, aiming by 2030 to have all Majid Al Futtaim businesses operating with circularity at the core.
Majid Al Futtaim has been one of the first three signatories to the World Green Building Council’s Net Zero Carbon Buildings Commitment that states buildings must be net zero carbon in operation by 2050. And with the aim to continue supporting the global agenda, in 2021, the company joined the Business Ambition for 1.5 degrees and Race to Zero, and is looking to set Science Based Targets (SBTs), which will ensure its emissions-reduction targets are aligned with the latest science on what is needed to reach the goals of the Paris Climate Agreement.
NATURE-INSPIRED APPROACH
AHMED ALKHOSHAIBI
The CEO of Arada speaks in great length on the developers latest projects, Sharjah’s real estate market, plans in Saudi Arabia, the shift towards more sustainable projects, and so much more
Aljada is Sharjah’s newest address, a place where everything is possible. It’s a place where living, working, playing and learning all come together. It’s a place where the past meets the future, offering the best of both worlds. And it’s a place where you will be constantly surprised and delighted. The last 12 months have witnessed an exceptionally resilient performance from Arada, which has cemented its position as the largest developer in the Northern Emirates, with projects under development valued at a total of AED33 billion.
Over that period, Arada has achieved a number of major construction milestones, deliveries, sales launches and the launch of its third project in the Emirate of Sharjah.
At Nasma Residences, which was Arada’s first project when launched in 2017, all homes in the first five phases of the master plan have been completed and handed over. The remaining homes in the sixth and final phase are under construction, with the last 12 months at Aljada have been marked by the completion of the first homes at the megaproject, which is Sharjah’s largest ever.
Valued at AED24 billion, and spread over a 24 million square foot area, Aljada is a true ‘city within a city’, featuring extensive residential, entertainment, retail, hospitality, cultural, commercial and educational offerings.
The main contracts awarded during the period included a AED367 million contract to build Nest, Aljada’s student housing complex, which was won by Intermass. An
AED180 million contract to build The Boulevard, a collection of three apartment buildings, was won by Al Ashram. Further contracts awarded included the Sarab 2 villa community, which was won by RAQ Contracting, and the second and third phases of
SABIS International School-Aljada, which was won by ASGC.
In addition, Arada has just awarded the first contract for the second phase of Madar,
Aljada’s family entertainment district, to Proscape.
In January this year, Arada launched its third project, Masaar, an AED8 billion forested community in the Al Suyoh district of Sharjah. Designed as a ‘post-pandemic’ community focused on active, healthy living in a nature-inspired environment, construction on Masaar has already begun, and the first residential construction contract will be awarded by the end of the year.
Arada has continued its strong sales trajectory over the last 12 months; we are on track to hit our target of AED2.3 billion in the value of property sold during the course of 2021. So far in this calendar year, we have completed 1,200 homes and are currently developing some 5,000 units on the Aljada jobsite alone. >>>
Sustainability We see sustainability and smart technology as being absolutely integral to our communities and these two concepts go hand in hand. All of our homes now contain smart units, and we are implementing a series of smart city technology solutions in Aljada, including smart lighting, smart traffic management, smart waste management and the circular economy. By implementing sustainable and smart solutions wherever possible, we increase efficiencies, save costs, improve customer wellbeing and, of course, help the environment. An Arada community is characterised by the high percentage of public space given over to landscaped greenery and trees. To conserve precious natural resources, we ensure that these lush green spaces are maintained by recycled water from next-generation
Above: Sendian community at Masaar
onsite treatment plants, which is distributed by state-ofthe-art irrigation systems. This practice not only reduces the amount of water required; it also means that we can minimise any leaks and losses. In addition, the wealth of greenery at a project like Masaar can even create a micro-climate that contributes to a reduction in the community’s overall temperatures. Despite the good work that has been done so far, we are very aware of the UAE’s overall strategic goals with regard to sustainability, and are currently in discussions with our partners at the Ministry of Climate Change and Environment to step up our efforts still further.
Attracting buyers What we’ve seen in the last year or so is refocused demand on homes that are spacious, safe and surrounded by nature, especially in the post-pandemic world. This is the inspiration behind Masaar, which was the first major UAE offplan project to launch since the start of the pandemic, and which has so far seen over AED1 billion in sales.
Featuring 4,000 villas and townhouses separated into eight gated districts, Masaar is spread over a 19 million square foot plot that is ideally located in New Sharjah. Sales in the first district, Sendian, began in January, while the launch of sales in the second district, Kaya, began in October.
At Masaar, our goal is been to create a community that offers an active, healthy lifestyle in a nature-inspired environment. With more than 50,000 trees based in Masaar’s ‘green spine’ every resident at the community has direct access to plenty of greenery, as well as a wide range of sports facilities, including 13km of looped woodland cycling and jogging tracks.
This is also a commitment that we’ve made at Aljada, where all residents have easy access to linear parks, which stretch the length of the project, as well as highquality sports facilities and a ‘walkable’ environment, designed to allow residents make the most of the community even during the summer months.
I’m proud to say that so far this approach has paid off. We have sold well over 9,000 homes in our four-year history, and the feedback from the 2,200 homes that we have completed has been extremely positive.
Above: Sarab community at Aljada
Real Estate Demand in Sharjah All the data that we are seeing, whether it’s from the government, independent research or our own sales, tell us that demand for the right kind of projects and homes in Sharjah remains extremely resilient, as it does elsewhere in the UAE.
Our experience tells us that a great location, combined with great design, great amenities and great pricing will resonate with investors, and this explains why Arada has sold almost 10,000 homes in the four and a half years since we launched the company.
Sharjah is a different market to some of its neighbours in the UAE; prices have been relatively stable over the past 15 years or so, and the decision to allow all nationalities to purchase property here was made relatively recently in 2014. That means that the supply and demand situation is very favourable, and as a result, we are very actively looking at new projects in the Emirate, which we hope to announce in the near term.
Expo 2020 Dubai Expo 2020 is a milestone moment for Dubai and the whole of the UAE, strengthening its positioning as a truly international destination, and helping to achieve growing foreign direct investment in the sectors that matter to the economy of the future. Developers will particularly benefit from what the Expo has to offer around its main themes: sustainability, innovation and mobility, all of which will create a lasting impact for developments and communities in the UAE and beyond.
Projects outside of Sharjah Right now, Arada has a project portfolio valued at AED33 billion, which makes us the largest developer in the Northern Emirates and the fastest-growing in the region. Right now we are aggressively searching for opportunities both within Sharjah and elsewhere in the UAE, both in terms of locations for new communities and for our brands. In 2022, we are hoping to launch between two to three new projects in the UAE, at least one of which will be in Sharjah.
Further afield, we remain in talks with potential partners over projects in what will be our first move outside the UAE, the Kingdom of Saudi Arabia. We are hopeful that we can announce our first project in Saudi Arabia by the end of 2022.
Designed by Zaha Hadid Architects, Madar is a new leisure and entertainment destination for the UAE. Packed with 10 exciting attractions, as well as wide green spaces, it’s a place to enjoy a journey of discovery and live life to the full.
Complete with inspiring architecture and amazing dining options, Madar truly is the beating heart of the city. And the year-round calendar of activities and events means there’s always something new to discover at Aljada. Lie back, stretch out and gaze up at the sky at one of Aljada’s many landscaped parks. Enjoy a picnic with your family, or just breathe in the scents of nature as you wander through the trees.
Stretching the length of the city, there are more than 5 kilometres of parks to explore.
