Dubai’s Union Properties is planning to repay AED2bn ($545m) of debt this year as part of its plans to cut interest costs and restructure remaining debt on the company.

Last November, the company sold the Ritz-Carlton hotel in the Dubai International Financial Centre for AED1.1bn.

Shares in the company rose 4 per cent on 8 June after the announcement, as investors welcomed news that the developer was acting to address its debt problems.