BNW Developments banks on Ras Al Khaimah's real estate boom to fuel growth
'With the island's tourism strategy, Wynn's resort, and major infrastructure upgrades, we expect off-plan demand to remain strong, not just for end-use, but as long-term lifestyle investments,' he said.
The company, which currently manages a portfolio exceeding 22 billion UAE dirhams ($6 billion) in assets under development, acquired the land for its latest AED 1 billion ($272 million) Aqua Arc project on Al Marjan Island in June 2022. The handover is expected on or before the third quarter of 2027.
Although inflationary pressures are a concern, Aggarwal said strong alliances, such as one with MAN Construction, and early procurement strategies allow for buffering potential risks.
Excerpts
What market factors compelled you to launch Aqua Arc on Al Marjan Island?
Al Marjan Island is rapidly transforming into one of the UAE's most dynamic waterfront destinations, and our decision to launch Aqua Arc here was fundamentally driven by the accelerated tourism boom in Ras Al Khaimah, a phenomenon supercharged by visionary government-led infrastructure investments, most notably the highly anticipated Wynn Gaming Resort.
This confluence of factors didn't just create an economic inflection point; it ignited a seismic shift in the region's potential. We weren't merely reacting to existing market momentum; instead, we strategically chose to invest and build in a place poised to redefine the global destination map, aligning with its long-term macro vision and the significant tourism boom that is actively being built. Our choice wasn't just about presence; it was about prescience. Rather than simply building in an already established area, we are planting our flag in a region destined for exponential growth.
What process did you follow to appoint MAN Construction as the contractor?
Our selection process for a construction partner for a flagship project like Aqua Arc is exceptionally rigorous. We sought capabilities beyond typical construction, looking for a partner who deeply understood the intricate demands of ultra-luxury waterfront development and shared our commitment to pioneering excellence.
MAN Construction, a subsidiary of the Masah Group, emerged as the definitive choice. Their Tier-1, Class A status, and formidable engineering command were pivotal. They consistently deliver landmark projects that are architectural marvels and engineering triumphs, uniquely grasping the nuanced complexities of Aqua Arc's ambition. Their keen eye for detail and robust structural expertise ensure our design vision is flawlessly executed.
When did you acquire the land for Aqua Arc? Are you now seeing an increase in land prices on Al Marjan Island?
We strategically secured the land for Aqua Arc in June 2022, driven by our keen foresight into Al Marjan Island's burgeoning potential.
Since then, land prices have seen a significant increase, directly validated by market data. This surge reaffirms the island's strategic location and the catalytic impact of transformational developments, such as the Wynn Gaming Resort. Our early investment was about identifying an undervalued opportunity, positioning BNW at the forefront of a premier global destination. This validates our vision and strengthens foundational value for our investors.
What is Aqua Arc's USP in terms of design?
The project's architect is Al Wasl Al Jadeed Consultants (AWAJ Consultants). The project has been envisioned as an architectural tribute to fluidity, the rhythm of the sea and the calm of luxury. From its cascading balconies to double-height lobbies and private pools, every design detail aims to evoke serenity while maintaining structural power. The project's design philosophy is rooted in creating immersive, sea-oriented living spaces that feel as natural as they are elite.
What will be the sustainable elements of the project?
Sustainability is a core pillar of the Aqua Arc project. For us, going green isn't just an environmental strategy; it's our blueprint for responsible development, proving that doing good is inherently good business. We've thoughtfully integrated cutting-edge green technologies and design principles to significantly minimise our environmental footprint while ensuring a healthy, comfortable, and luxurious living space.
Our sustainable elements include:
Intelligent building systems: Automated HVAC, lighting, and water management optimise energy efficiency and resource conservation.
Bioclimatic design: Features such as expansive natural daylighting and optimized shading drastically reduce heat gain and the need for artificial light. Our biophilic landscaping further integrates nature.
High-performance materials: We utilise materials with superior U-values and solar reflectance index meeting stringent LEED and BARJEEL certifications for enhanced energy efficiency.
Advanced water conservation: Efficient irrigation systems and native landscaping species minimise water consumption and promote biodiversity.
By intelligently incorporating these elements, we are creating an environmentally responsible sanctuary that sets a new benchmark for sustainable luxury development on Al Marjan Island.
Are you concerned about rising construction costs in RAK?
As developers, we're mindful of inflationary pressures, especially with raw material volatility and a booming real estate sector. But we believe that controlled partnerships, like our alliance with MAN, and early procurement strategies allow us to buffer these risks. What matters most is not just cost management, but value management.
What are the biggest challenges you see in the coming years and how are you planning to overcome them?
Macroeconomic cycles are inevitable. But real estate, particularly in high-growth, high-tourism zones like Ras Al Khaimah, behaves differently. Our strategy is twofold: diversify the asset base and deepen investor relationships. We focus on lifestyle-driven locations, utility-led design, and strategic alliances that buffer against single-market dependencies. That's how you build staying power, not just sales momentum.
How extensive is your project portfolio in the UAE?
We currently manage an active portfolio exceeding AED 22 billion in assets under development. This includes over half a dozen luxury projects across Ras Al Khaimah and Dubai, with multiple residential and branded projects in various stages of planning and construction.
Any new projects planned for this year?
Yes. We have multiple landmark developments in the pipeline, including branded residences, themed architecture collaborations, and vertical communities. Our focus is on both expansion and distinction; each project must contribute meaningfully to our legacy and the region's urban fabric.
Are you continuing to increase your land bank in neighbouring emirates?
Our plan is definitely to keep expanding this land bank, both within these emirates and by carefully looking at opportunities in other promising neighbouring markets. We're seeing incredibly strong, consistent demand from our investors globally – they have immense confidence in the UAE's real estate trajectory. So, for us, it's about making sure we're always positioned with the right assets to meet that evolving demand and keep contributing to the region's remarkable growth story.
Are there plans to enter other markets in the Middle East?
Ras Al Khaimah has been our proving ground. But the vision has always been regional. As mentioned during our partnership with Masah, Saudi Arabia is a market we're actively preparing to enter by 2026. It's a competitive space, but with the right alliances and differentiated offerings, we're confident in replicating our success.
What is your outlook on the UAE real estate market, especially RAK's off-plan segment, for 2025–2026?
I believe Ras Al Khaimah is still significantly underpriced relative to its potential. With the island's tourism strategy, Wynn's resort, and major infrastructure upgrades, we expect off-plan demand to remain strong, not just for end-use, but as long-term lifestyle investments. The shift toward branded luxury, wellness living, and coastal accessibility will define the next wave of growth. We're positioning to lead that curve, not follow it.
(Reporting by P Deol; Editing by Anoop Menon)
(anoop.menon@lseg.com)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Khaleej Times
4 minutes ago
- Khaleej Times
Ajman Bank hosts strategic corporate tax seminar to empower UAE businesses
Ajman Bank, a leading Islamic financial institution in the UAE, recently hosted a corporate tax seminar to support small and medium enterprises (SME) clients in navigating the evolving tax landscape. Held in collaboration with MICS, the event underscored Ajman Bank's ongoing commitment to empowering businesses through financial expertise, regulatory awareness, and strategic guidance. The seminar brought together industry experts, senior banking professionals, and SME leaders for knowledge-sharing, discussion, and networking. Designed to address the real-time concerns of businesses in light of the UAE's corporate tax regime, the event focused on actionable insights and compliance essentials. Faizal Kundil, Head of Consumer Banking at Ajman Bank, emphasised the importance of staying informed amid shifting fiscal policies. He stated, ''In an era where regulatory frameworks are rapidly evolving, particularly with the introduction of corporate tax, it is essential for businesses, especially SMEs, to stay ahead of change. At Ajman Bank, we believe our responsibility as a financial partner extends far beyond banking transactions. We are committed to empowering our clients through strategic insights, expert guidance, and tailored support to help them navigate complexity, ensure compliance, and drive sustainable growth.' The seminar featured expert-led sessions by specialists from MICS, including Kinjal Sampat, FCA and Associate Director – with extensive experience from PwC India; Kushal Kumar, CA and Manager – a specialist in transfer pricing and international tax; and Prateek Tosniwal – a global subject matter expert on international tax structuring The presentations covered critical topics such as key filing timelines, tax reliefs, documentation requirements, allowable deductions, and essential financial and non-financial disclosures. The seminar also featured a live Q&A session, where attendees addressed specific concerns directly with the experts. Concluding the session, Jyoti Ranjan, Head of Business Banking at Ajman Bank, said, 'Ajman Bank is proud to serve as a strategic ally to our SME clients, helping them stay ahead of regulatory changes and supporting their long-term growth journey. The seminar concluded with a networking lunch, offering attendees the chance to engage with peers and speakers in an informal setting. Ajman Bank continues to strengthen its role as a trusted advisor to the SME sector, providing not only financial solutions but also business intelligence and thought leadership as part of its holistic approach to client success.
Khaleej Times
4 minutes ago
- Khaleej Times
UAE travel: Air Arabia offers more flights to Georgia, Indonesia
UAE-based airline Air Arabia has increased the number of flights from Abu Dhabi to Baku in Azerbaijan and Tbilisi in Georgia, offering more travel options for customers. The airline now operates non-stop flights between Zayed International Airport and Baku's Heydar Aliyev International Airport with a frequency of six weekly flights. The new schedule now includes flights every Tuesday, Wednesday, Thursday, Friday, Saturday and Sunday, providing more flexibility for travellers exploring the vibrant city. Starting August 7, flights to Tbilisi International Airport will also increase to eight weekly flights, with double daily service on Thursdays, further enhancing seamless connectivity between Abu Dhabi and the Georgian capital. Adel Al Ali, Group Chief Executive Officer, said, 'The increased frequencies to both Baku and Tbilisi reflect our ongoing commitment to strengthening our regional network while delivering greater convenience, flexibility, and value to our customers. These two vibrant cities remain popular among UAE residents and visitors alike. The enhanced schedules will not only reinforce travel and tourism ties but also offer a more seamless and accessible travel experience'. Air Arabia Abu Dhabi continues to expand its growing route network from the UAE capital. The airline recently launched new routes to Almaty in Kazakhstan and Yerevan in Armenia.
The National
34 minutes ago
- The National
Dubai's sleepy summers a thing of the past as economic activity heats up
The summer months in Dubai have typically been a time when many travel, move house or depart for good. The events season takes a breather and those who remain enjoy a couple of relatively more peaceful months. But as Dubai's population continues to rise, is the city starting to shake off the traditional summer slowdown and become a place of year-round activity? The National spoke to experts from hospitality to property to try to gauge if things were changing. 'There is no such thing as a downtime any more,' said V Nandakumar, director of marketing and communications at Lulu Group which operates retail outlets across the UAE. 'Traditionally, July and August were always seen as non-peak … because of the weather conditions and the fact people travel out of the UAE,' he said. 'But that is not the case now.' 'People don't want to leave' Hitesh Vachhani, team lead of commercial at Santa Fe Relocation in Dubai, said June to August used to be peak time for their moving business but that is no longer the case. 'Fifty per cent to 60 per cent of our volume used to happen in the summer months,' said Mr Vachhani. 'Now it is only 20 per cent because it is spread out during the year. 'There are a few schools now who are even accommodating mid-year admissions if they have space. And this was never the case before.' Authorities have made major efforts over the past few years to get more people to visit and stay in Dubai through initiatives such as liberalised visa rules, investment in education, and new residential developments. Growing population Dubai's population is increasing – at 3.98 million on Monday – up from 3.77m on the same day a year ago – and this may also partially explain why the city feels slightly busier in the summer. Mr Vachhani said there was a time when people moved with their families, stayed for an assignment period and then went home but this was also no longer valid, meaning Dubai is a less transient place. 'People don't want to leave,' he said. 'Because going back is the last resort.' And even of those who move to a new assignment − often to other regional countries − their families often stay here. 'That has never happened in the past. People don't want to leave in the summers.' Hotel occupancy on the rise Statistics shared with The National by the CoStar Group, parent company of hotel analytics provider STR, showed that yearly occupancy data to June is 81.4 per cent – up 4.5 per cent on 2024. And monthly occupancy data to July 26 stands at 70.3 per cent – a rise of 3.7 per cent per cent on last year. 'We can't really identify if it's staycations or tourists at this point without knowing how tourism arrivals are trending at the same time,' said Kostas Nikolaidis, senior account manager for the Middle East and Africa at STR. 'But one thing is for sure, hotels are busier as occupancies are growing.' Mr Nikolaidis said summer still had significant room for growth as 'overcoming seasonality is a monumental challenge for all destinations'. 'However, Dubai is taking steady steps in the right direction. Even now in the heat of summer.' Hospitality groups also said they had noticed a rise in business over the summer. Paul Stevens, chief operating officer, Middle East, Africa and Turkey, for the premium, midscale and economy division at Accor, said it was clear that Dubai's traditional summer slowdown was 'softening' with marketwide demand 'up two per cent over summer 2024'. 'While July had a brief dip due to regional events earlier in the month, overall, this summer is shaping up stronger than last year,' he said. Mr Stevens said the strength of the euro against the dirham made Dubai about 10 per cent more affordable for many European travellers compared with last year and an increase in inbound flight capacity – up around two per cent to four per cent from 2024 – was also important. 'Across our Accor portfolio in Dubai, we've seen a noticeable sharp rise in both international arrivals and staycations, despite the Middle East tensions in June and early July,' he said, with the city's investment in experiences that were indoors and climate-controlled bolstering this. 'For us, that's a shift worth watching,' he said. 'Dubai isn't just a seasonal hotspot any more, it's a 12-month destination and summer is increasingly part of that success story.' Even at Dubai Gold Souq, there were signs that long term trends pointed to the city getting busier. 'If we compare from the past two to three years, then this summer is quiet,' said Arjun Dhanak, director of Kanz Jewels, who said gold reaching record highs meant some customers were waiting to buy. 'But if we compare with 10 years ago, it is busier.' There are also signs of growth in the property market. According to the Dubai Land Department, property transactions were up 26 per cent in first half of the year as more tenants convert to buyers. 'Contrary to the typical seasonal slowdown often associated with the summer months, this year the Dubai real estate market has continued to perform robustly,' said Zacky Sajjad, director of business development and client relations at the Cavendish Maxwell property consultancy. 'Our data shows that residential transaction volumes in June and July 2025 increased by 18.6 per cent year-on-year, with the total value of transactions rising by 19.5 per cent compared to the same period last year. Mr Sajjad pointed to the fact Dubai International Airport reported a record first half of the year, how hotel occupancy levels are growing every year and the fact Dubai's population increases bring further demand to the residential and hospitality sectors. 'From a practical standpoint across the industry and asset classes, it is clear there has been no significant summer slowdown, so far,' he said. 'On the contrary, the market appears to be maintaining strong transactional and operational activity, reinforcing Dubai's position as a resilient and attractive global real estate hub, even during the traditionally quieter summer season.'
