Kuwait-based United Projects for Aviation Services Company (UPAC) has agreed to invest $224 million in Abu Dhabi's new $1 billion Reem Mall project under an agreement with the National Real Estate Company (NREC).
The companies, both headquartered in Kuwait, have announced the formalisation of their partnership agreement to develop Reem Mall.
Under the agreement, UPAC, through its real estate subsidiary, Al Arfaj Real Estate Company, will invest up to $224 million over the next three years. UPAC is a subsidiary of global logistics giant, Agility.
The news follows the initial signing of heads of terms between the two companies in October 2014.
Spread across 2 million sq ft, Reem Mall will feature approximately 450 stores, including 85 restaurants and a range of family-focused entertainment offerings.
The construction of the mall is set to commence this year and is expected to be completed by 2018.
Nadia Akil, CEO of UPAC, said: "UPAC has a solid track record in real estate management within Kuwait. Our partnership with NREC and strategic investment in Reem Mall will not only strengthen our presence in the region, but will also help bring the project to completion as scheduled."
Samuel Sidiqi, CEO, NREC, added: "This significant deal not only reflects NREC's ability to attract investment capital, but also our team's capabilities in structuring sophisticated deals that serve the company's long-terms funding strategy for the project."