Dubai Property News

Nakheel taken aback by Damac back-out

Cancellation of Palm Springs project, comes as a surprise to its friendly rival Nakheel, which is currently constructing the Palm Jebel Ali, where the Palm Springs project was initially planned. Nakheel says that it was not informed about Damacs decision to cancel the project, reports Gulf News.

The Managing Director of the Palm Jebel Ali, Marwan Al Qamzi, said that Nakheel was taken aback by Damacs decision, as Nakheel learned it through the media.

Al Qamzi said “We are surprised by Damac’s statements, suggesting the reasons behind cancellation of its Palm Springs project, as revision in the Palm Jebel Ali Master-plan. The Palm Springs plot was relocated to a prime position due to widening of the crescent.”

Al Qamzi revealed that the last interaction that the company had with Damac was in February this year, which is one of the positive engagement.

“This left us with a firm view that Damac was proceeding with the project. But, we are very disappointed with the recent development,” said Al Qamzi.

According to Al Qamzi, the revised master-plan permitted significant improvements in design.

Nakheel has already sold the other plots on the Crescent of Palm Jebel Ali to Damac. Al Qamzi said that it is now Damac’s responsibility to ensure timely delivery of the units, sold within these plots to customers.

As revealed by Nakheel, modifications to the Palm Jebel Ali master-plan were communicated to investors more than ten months ago.

According to Nakheel, Damac’s cancellation of the Palm Springs project is linked to other development issues that are specifically associated to their project.

However, Damac was unavailable for any comment, reports Gulfnews.

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