Strategic View:
UAE-based developer Arada has acquired a strategic stake in Regal London, a leading UK residential developer. While structured as a corporate acquisition, it functions as a joint venture platform to deploy $680 million into London housing. This club deal brings Gulf capital to London’s supply-constrained living sector.
Full Story:
Arada, the booming developer from Sharjah (UAE), has entered the UK market by acquiring a major stake in Regal London. This transaction effectively creates a cross-border club deal platform. Arada has committed an initial AED 2.5 billion ($680M) to the partnership, aiming to accelerate Regal’s pipeline of 10,000 residential units.
The deal comes at a time when many UK developers are starved of capital due to high interest rates. Arada steps in as the “Capital Partner,” while Regal London remains the “Operating Partner” with deep local planning expertise. This syndicate structure allows Regal to unlock stalled sites across London, from student accommodation to luxury condos.
For Arada, this is a diversification play. By partnering with an established local player, they skip the “tuition fee” of learning the complex UK planning system. The consortium aims to build a vertically integrated delivery platform, capturing margins from construction to management. This deal confirms that despite Brexit and tax changes, London real estate remains a magnet for GCC capital seeking safe-haven assets.
Why It Matters:
Cross-border developer platforms are rising. Instead of buying buildings, GCC developers are buying developers (the platforms) to secure a pipeline of assets. This club deal ensures flow of product for years to come.
