Dubai’s Limitless has moved a step closer to restructuring AED4.45bn ($1.2bn) of debt after one of its creditors, Silver Point Capital, last month sold its loans to Dubai-based entities.

US hedge fund Silver Point was among the creditors opposing the debt restructuring plan proposed by Limitless. It sold half of its roughly $80m loan to Mashreq and the other half to Massar Investments, an investment firm controlled by Mashreq’s owners, news agency Reuters reported, citing two unnamed sources involved in the process.

Limitless requires approval from all its creditors before a debt restructuring deal could be agreed.

The sale by Silver Point is likely to mount pressure on other dissenting creditors including Arab National Bank (ANB), which opposed Limitless proposal as of late last year, to review their positions. The current status of the Saudi lender on Limitless debt was unclear, according to the news agency.

Limitless is trying to reorganise its finances after the 2008 property market meltdown forced the developer to restructure its debt for the first time. The company has since been taken over by local developer Nakheel. Following a portfolio review, Limitless has put on hold several developments including the multibillion-dollar Arabian Canal project. It has a 200-hectare mixed-use development in Jebel Ali called Downtown Jebel Ali, as well as projects in Vietnam and Russia, according to its website.

Another market slowdown has made this more pressing for Limitless to reach a deal with the creditors. The volumes of sale and the property values have plunged last year and analysts are predicting prices to decline further in 2016.