Business

Dubai’s Union Properties Repays Legacy Debt

Dubai-based Union Properties has completed the full repayment of its legacy debt, reducing bank loans from approximately $410 million to $82.23 million, effectively eliminating a long-standing financial burden.

This achievement, coupled with disciplined cost control and strengthened collections, has resulted in a net positive cash position for the first time in recent history, the company said while announcing the financial results for the first nine months of 2025.

Furthermore, as part of its turnaround and recovery strategy, Union Properties has achieved $740 million in asset sales, significantly strengthening its liquidity and balance sheet. The Company now holds $123.89 million in cash and expects to collect an additional $196.32 million in receivables by December 2026, providing a solid foundation for its next growth phase.

The company’s total assets reached $1.23 billion, while total equity increased to $900 million following a successful share capital reduction that extinguished accumulated losses and restored positive retained earnings.

Reporting one of its strongest performances in recent years and reaffirming its position as a financially resilient and growth-oriented real estate developer, Union Properties achieved a profit of $37.85 million, compared to $14.43 million during the same period in 2024, marking a 162% y-o-y increase. Revenue increased by 32% to $139.69 million, driven by improved operational efficiency and higher contributions from subsidiaries.

Union Properties continues to build momentum through a combination of strategic investments and disciplined project execution. The company will launch a landmark $540 million development by the end of October 2025, reinforcing its confidence in Dubai’s thriving real estate market and its commitment to long-term value creation.

Earlier this year, through its subsidiary ServeU LLC, Union Properties acquired the Housekeeping Group for $27.23 million. This acquisition added $10.89 million in revenue and $1.31 million in net income in just two months, while expanding the Group’s workforce to 17,000 employees representing 60 nationalities, underscoring its scale and diversity.

Rapid Growth Strategy

Union Properties is currently preparing a 15-year rapid growth strategy aimed at unlocking long-term shareholder value, diversifying revenue streams, and strengthening recurring income across its core and new business segments.

With its clean balance sheet, record cash position, and solid development pipeline, the Company is well-positioned to capitalize on market opportunities while maintaining prudent financial discipline and strong corporate governance.

Union Properties CEO and Board member Amer Khansaheb said that the exceptional Q3 results highlighted their ongoing financial transformation, which has laid the foundation for long-term sustainable growth.

“Through meticulous strategies and a highly disciplined approach, we have successfully repaid all legacy debt, achieving record cash balances and strong profits. Moving forward, we will remain committed to advancing our AED 6 billion development pipeline, while upholding operational excellence and continuing to create unparalleled value for our shareholders,” he added.

Global Business Magazine

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