Jan. 27 (Bloomberg) -- Emaar Properties PJSC rose to the highest in more than three years after the developer of the world’s tallest skyscraper said units made available at a new Dubai residential development sold out in one day.
Shares of the company with the heaviest weighting on Dubai’s index advanced 3.6 percent to 4.64 dirhams, the strongest level since October 2009, at the close in the emirate. Emaar boosted Dubai’s benchmark DFM General Index 1.5 percent to 1,819.01, the strongest level since April 2010. The stock is the fourth-best performer on the DFM General Index this month, gaining 24 percent.
Emaar last week said it started a luxury hotel project in central Dubai amid increasing demand for high-end properties. The Address Residence Fountain Views, which will comprise 280 apartments, sold all units made available at a first offering, the company said today. About 32 million Emaar shares were traded today, almost triple the three-month daily average.
The sales report shows that “real estate demand is resilient and strong for the Downtown Dubai area, which is positive for Emaar,” said Samer Darwiche, Dubai-based analyst at Gulfmena Investments Ltd.
Home prices have climbed in some parts of Dubai, four years after one of the world’s worst property crashes. Emaar’s full- year net income may have advanced 16 percent to 2.1 billion dirhams ($572 million), according to the average estimate of 11 analysts compiled by Bloomberg. The stock surged 46 percent last year, outpacing the Dubai gauge’s 20 percent gain.
Twelve analysts recommend investors buy Emaar shares, while three have a hold rating on the stock, according to data compiled by Bloomberg.
--Editors: Daliah Merzaban, Dale Crofts