Dubai-based Sternon Group has unveiled plans to develop real estate projects in Dubai with an investment of Dh300 million ($81.68m).

Sternon Developers, the newly set up division of the group, will execute a number of mixed use projects across Dubai over the next few months, the group said in a statement.

Its first project ‘Sternon Tower’, a 16-storey mixed use development in Jumeirah Village South, will begin construction in June 2008, it added.

Located near Dubai Autodrome, Sternon Tower will house residential units comprising studio, 1BHK, 2BKH, 3BHK and 4BHK penthouse apartments, a retail segment and offices, all boasting high-end amenities and world-class construction standards. All units will be freehold, and come with residence visa,k the group said.

“So far in Dubai, Sternon had focused on promoting and underwriting properties of other developers, but now we are going to develop our own real estate projects, backed by our expertise in executing high-end residential and commercial projects in the United States and India,” said Sternon Developers Managing Director Hussaini Nalwalla. 

“Property prices in Dubai are still attractive to global investors and returns on rentals are among the highest in the world. Our international clients are increasingly looking at Dubai as a prime investment destination, and the added lure is the residence visa, which makes it attractive for investors to provide their families a safe and secure home in one of the fastest growing and exciting cities in the world,” added Nalwalla.

“The amazing vibrancy of Dubai is reflected in the robust real estate growth of nearly 35 per cent annually. People who booked in Dubai projects promoted by Sternon have seen appreciation of 25 to 35 per cent in just one year. This has prompted us to get into full-fledged property development, and we have moved much of our staff from the United States to Dubai in order to use their proven expertise for our new projects in Dubai,” said Nalwalla.

Finance for the Dubai projects will be raised through financial institutions and the group’s existing pool of private investors.

According to Nalwalla, the selection of Jumeirah Village South for its maiden project in Dubai was made after taking several factors into consideration. Jumeirah Village South, master-planned by Nakheel, is strategically located in new Dubai, and is accessible through three of Dubai’s arterial roads: Sheikh Zayed Road, Emirates Road and Al Khail Road.

An underground metro and a tram network will link all the Village streets. Jumeirah Village South is a vibrant new community, offering a relaxed ambience and all the conveniences of modern living, he said.

Construction of Sternon Tower Dubai is due to begin in June 2008, and will be completed by December 2009, the group, which has been active in local and international property sector for the past 20 years, said. – TradeArabia News Service