Limitless forced to put majority of projects on hold

Dubai: Limitless, which was placed under Nakheel’s stewardship this month, has put most of its projects on hold, while parent conglomerate Dubai World seeks to unify its real estate strategy.

“All developers are currently cash-strapped and therefore rationalising their development programmes. We don’t look at Limitless specifically but they are no different in this respect,” Chet Riley, research analyst at Nomura International told Gulf News.

Indian newspaper The Economic Times reported on Monday that New Delhi-based developer DLF is seeking to buy Limitless’s stake in the Bidadi Knowledge City project in the southern state of Karnataka for $43 million (Dh157.8 million).

A Limitless spokesperson said the developer has no comment. But the developer said in April last year that Limitless and DLF, after negotiations with the with the Bangalore Metropolitan Regional Development Authority, notified the state government it would no longer pursue the project as the government had failed to complete the land acquisition for two and a half years.

Subsequently, India disappeared from the Limitless project map on its website. Its project in Malaysia’s southern Johor state remains a mere dot without further information. The developer had planned to build luxury homes with Bandar Raya Developments.

According to a statement issued by BRBD to the Malaysian Stock Exchange, Bursa Malaysia in Kuala Lumpur, on July 8, it bought Limitless’s 60 per cent stake in the project for Dh87 million.

Other international projects pursued by Limitless remain on the drawing board, according to the developer’s website. They include Vietnam’s Halong Bay, a mixed use project spanning 125 hectares for a population of 4,000 and Moscow’s Khimki Region residential project of 114 hectares to house 14,000.

In the Middle East its project in Saudi Arabia, Al Wasl, a residential urban community on the outskirts of Riyadh, of 1,400 hectares for a population of 208,00 people, also remains a design.

Postponed

Its project in Jordan kicked off in 2008, but was placed on hold last year after completing 85 per cent of the foundation work. The $300 million tower has not, however, been cancelled so far.

“Work on Sanaya Amman has been postponed as we continue to review our projects and prioritise our investments to reflect current market conditions,” reads a statement on Limitless’s website.

In the UAE, work on the Arabian Canal is on hold, whilst Phase 1 of Jebel Ali Downtown spanning 200 hectares over four zones to eventually handle a population of 200,000, has proceeded. The master developer reports that it has progressed sufficiently with infrastructure work for individual third party developers to begin work.

Limitless has completed its four office buildings, housing 2,000 tenants to date, at its community project The Galleries. Based along Shaikh Zayed Road the road network around it is done and the Metro will open later this year. The outdoor plaza and first restaurant have opened whilst other cafés and eateries are finalising fit-outs and the first convenience store is opening next month.