Palm Islands developer says it will re-examine scale of developments in light of downturn
Nakheel, the state-owned developer of Dubai’s Palm Islands, has said it will scale back construction projects in light of the economic downturn afflicting the UAE.
In a statement, the developer said it intended to slow down its building programme to control supply to the market.
Nakheel said: “The next few months will see a scaling back of activity around some of our projects. This will not affect our long term business objectives and is a responsible approach in line with the current global economic conditions.
The developer added that it had a responsibility to help the market maintain “healthy momentum”.
Nakheel is one of the UAE’s largest developers, responsible for the Palm Jumeirah and the proposed 1km Nakheel Tower in Dubai. The latter project is unlikely to be affected by a short-term economic downturn as the developer predicted it would take 10 years to complete.