Nakheel Cut Down To Right Size - Dubai WorldFriday, October 16, 2009
Dubai World has cut down its real estate arm Nakheel's operation to what it calls the "right size for the current market" and says it is now "structured to best meet the needs of its real estate customers," as part of a wider restructuring aimed at greater efficiency and cost savings. The restructuring "has resulted in significant cost savings and increased efficiency. Its businesses are now well prepared to thrive in both the current climate and the still uncertain future environment," Dubai World said in a statement. "The reorganisation builds on the changes announced in June, when the management of Jumeirah Golf Estates, Jumeirah Lakes Towers and the real estate activities of Dubai Maritime City moved to Dubai World real estate company Nakheel.
" Under the restructuring, the management of several hotels and commercial property has been transferred from Nakheel to Istithmar World. Istithmar World will continue to own these assets. In addition, the management of Nakheel's shopping malls, including Ibn Batutta Mall and DragonMart in Dubai, are moving to a separate entity branded Retailcorp World. "Nakheel is now right sized for the current market and is structured to best meet the needs of its real estate customers," Dubai World said in a statement.Source: Gulf News