Abu Dhabi-listed developer Manazel Real Estate recorded net profits of AED31.2m for the first six months of 2016, according to a company statement.

The company’s net profits contracted slightly from AED44.9m in the first half of 2015.

The company statement added that revenues for the first half of this year remained stable, sitting at AED267.4m, compared with AED262.8m in the same period last year.

Revenues for this period remained stable as the company launched its Al-Reef 2 project, with unit sales helping the company’s total revenues.

Manazel chairman Mohamed Al-Qubaisi said “Manazel has achieved significant success with the sales and construction of Al-Reef 2.”

Al-Reef 2 is a $1bn villa community being developed on the Abu Dhabi – Dubai highway near the Kizad area. The 465,000 square metre scheme will be made up of 860 villas. It is understood that the local firm Fibrex Company is the main contractor on the project with full delivery expected at the end of 2018.

Real estate developers in the UAE have posted positive results apart from Dubai-based Damac, which posted a 37.4 per cent decline in second-quarter profits.

Projects under construction and unit sales have allowed many developers to maintain revenues at a high level, despite the construction and real estate markets going through what many have called a slowdown.

Farhad Azizi, CEO of Saudi-based Azizi Developments, told MEED: “Developers are realising the importance of offering practical residential developments. Not exactly affordable, but away from the uber-luxury segment.”

Analysts have also suggested the move towards more affordable housing is part of the market’s maturing process and, with introductions such as the mortgage cap, end-users are being forced to look towards the lower end of the property ladder. 

Other company results of listed developers in the UAE: