Breaking Ground in Britain: Arada’s Strategic Expansion
In a landmark deal that signals growing Middle Eastern investment in UK real estate, Sharjah-based developer Arada has acquired a commanding 75% stake in Regal, one of London’s most respected residential developers. This strategic acquisition marks a pivotal moment for both companies and represents Arada’s ambitious entry into the competitive London property market.
The deal transforms Regal into Arada London, creating an instant powerhouse in the UK capital’s residential development sector with a robust pipeline of 10,000 homes across 11 prime projects.
The Deal at a Glance: Numbers That Matter
Investment and Ambitions
Arada is backing this expansion with serious capital, committing an initial AED2.5 billion (approximately £500 million or $681 million) to acquire and develop the business. This investment will:
- Support Regal’s existing 150-strong workforce
- Accelerate current project delivery
- Fund acquisition of new development sites
- Triple the residential pipeline to 30,000 units within three years.
Why This Deal Makes Sense
The timing of this acquisition is particularly strategic. According to Arada’s leadership, London’s property market currently presents an ideal entry point, with opportunities to secure prime sites at competitive prices. This contrarian approach—entering when market sentiment is subdued—could position Arada London for significant growth as the market recovers.
Leadership Perspectives: Vision for the Future
Sheikh Sultan bin Ahmed bin Sultan Al Qasimi, Chairman of Arada, emphasized the strategic importance of the move:
“London is one of the world’s leading cities, and our expansion into this market represents a strategic step for Arada in response to the strong demand for residential space. This investment provides a significant opportunity to accelerate the delivery of new residential assets in London, fully aligned with Arada’s long-term strategy to develop high-quality projects that enable people to live healthier and more prosperous lives.”
Ahmed Alkhoshaibi, Group Chief Executive Officer of Arada, highlighted the synergies between the two companies:
“We have been impressed by the platform the Regal team has built, as well as the inspirational schemes they are delivering, which reflect our own, long-term focus on experience, amenity and the customer. Leveraging Arada’s extensive design and placemaking capabilities, delivery track record and capital resources, we are well placed to support Regal’s evolution and unlock new opportunities for growth.”
Jonathan Seal, Chief Executive of Regal, expressed confidence in the partnership:
“With nearly 30 years of successful partnerships behind us, Regal has built a reputation for aligning with businesses that share our long-term vision and deep understanding of the real estate industry. It is in this spirit that we have carefully chosen Arada as our partner, a business that shares our values and confidence in the London residential market and our management team’s ambition to continue growing market share and shaping the London skyline.”
Arada’s Impressive Track Record: Building on Success
UAE Portfolio Excellence
Since launching in 2017, Arada has established itself as a major force in Middle Eastern real estate. The developer’s UAE achievements include:
- 10 successful projects launched across the Emirates
- Aljada: One of the UAE’s largest mixed-use megaprojects
- Masaar: Three master-planned phases of this popular forested community
- Armani Beach Residences: Luxury development at Palm Jumeirah
- Over 10,000 units already delivered to satisfied homeowners
Australian Expansion Success
In 2024, Arada made its first international move into Australia, where it has quickly established:
- Nine developments in the pipeline
- 5,000 residential units across New South Wales
- Recognition as one of Australia’s largest developers by pipeline
Global Portfolio Value
The combined value of Arada’s projects across the UAE and Australia now exceeds AED95 billion, encompassing more than 42,000 residential units. This substantial portfolio demonstrates the company’s capacity to deliver at scale while maintaining quality standards.
Regal’s Legacy: Three Decades of London Development
Established Excellence
Regal brings to this partnership:
- 30 years of successful development experience
- Over 4,000 residential units completed
- 1 million square feet of commercial space delivered
- A fully integrated business model covering the entire development lifecycle
Current Projects in Motion
One of Regal’s flagship developments currently under construction is Fulton & Fifth in Wembley, featuring:
- 876 new homes
- 40% affordable housing allocation
- The second Regal Academy, providing construction training and employment pathways for military veterans and local residents
Strategic Benefits: Why This Partnership Works
Complementary Strengths
The acquisition creates powerful synergies by combining:
- Arada’s expertise in large-scale master-planned communities
- Regal’s deep knowledge of the London market and planning system
- Shared commitment to amenity-rich, customer-focused developments
- Cross-selling opportunities across both companies’ sales platforms
Financial Stability
Arada brings substantial financial credentials to the London market:
- B1 rating from Moody’s
- B+ rating from Fitch
- Proven track record of project financing and delivery
Continuity and Growth
Importantly, Regal’s entire executive team and company founders will remain with the business, ensuring continuity of relationships, local expertise, and project momentum. This retention of talent signals confidence in the partnership’s future success.
What This Means for London’s Housing Market
Accelerated Delivery
With Arada’s capital injection and development expertise, London can expect:
- Faster completion of existing projects
- More ambitious development schemes
- Increased housing supply at a time of acute need
- Enhanced focus on quality and livability
Market Confidence
This significant Middle Eastern investment demonstrates continued international confidence in London’s long-term property market fundamentals, despite current economic headwinds.
Looking Ahead: The Future of Arada London
The newly formed Arada London is positioned to become a major player in the capital’s residential development sector. With plans to triple its pipeline to 30,000 homes, the company could significantly impact London’s housing supply over the coming years.
The partnership combines Arada’s vision of creating communities that enable “healthier and more prosperous lives” with Regal’s proven ability to navigate London’s complex development landscape. This fusion of international capital, regional expertise, and shared values in quality development sets the stage for transformative projects that could help reshape London’s residential landscape.
As construction continues on current projects and new sites are acquired, Arada London appears well-positioned to capitalize on London’s enduring appeal as a global city while addressing its pressing need for quality housing. The success of this venture could also pave the way for further Middle Eastern investment in UK real estate, marking a new chapter in the international flow of development capital and expertise.
