Schön Properties

Schön Properties is a real estate developer which has delivered 1.6 million square feet in Dubai.

It was founded in 1971 in Singapore by the Schon family, which originated in Pakistan.[1]

The company was involved in several development projects in Dubai, including the Dubai Lagoons in Dubai Investment Park which was started in 2005, but was hit hard by the financial crisis of 2007–2008 and those projects were put on hold.[1][2] Further complaints were made to the government in 2014 when the Lagoons project was still lagging, and the Dubai Real Estate Regulatory Agency placed deadlines for the company to achieve phases of development.[3] The real estate sector started to recover but slumped again starting in 2016.[2]

In February 2017, half the ownership of the Lagoons project was transferred to another developer, Xanadu, in a deal brokered by the Dubai agency in an effort to get the sector moving again.[2] In March 2017, the company said it was considering an IPO in 2018.[1] In June 2017, the company purchased the Multan Sultans franchise of Pakistan Super League for US$5.2 million per year for eight years, replacing Karachi Kings as the most expensive team in the league.[4] That month it also launched another project in the investment park called iSuites, in a joint venture with the Al Hamad Group.[2]

In August 2018, in the face of still-lagging development of the Lagoons project, the Dubai agency seized the assets of the company and directed its investors to make payments into escrow accounts, in order to protect investors while the agency prepared to bring legal proceedings against the company.[2][3]

In November 2018, Pakistan Cricket Board (PCB) terminated the eight-year ownership rights of Multan Sultans. A joint statement issued by Schon Properties and the PCB said that all rights in respect to the team have returned to the board. The termination was brought about due to the franchise failing to pay their annual fee of US$5.2 million.[5][6]

References
  1. "Schon Properties plans strategic expansion". ArabianBusiness.com. 22 March 2017.
  2. Anderson, Robert (2 August 2018). "Dubai Land Department seizes land, real estate of developer". Gulf Business.
  3. Badam, Ramola Talwar (August 2, 2018). "Schon property and funds seized over failure to deliver Dubai Lagoon development". The National. no-break space character in |title= at position 56 (help)
  4. Zeeshan Ahmed (1 June 2017). "PSL's newest team is Multan, worth $41.6 million". DAWN. Retrieved 6 August 2017.
  5. Farooq, Umar (10 November 2018). "PCB repossesses Multan Sultans after payment failure". ESPNcricinfo.
  6. "PCB terminates franchise agreement with Schon Group for Multan Sultans". Dawn. November 11, 2018.
This article is issued from Wikipedia. The text is licensed under Creative Commons - Attribution - Sharealike. Additional terms may apply for the media files.