Qetaifan Projects Plans Qatar’s First Real Estate Development Fund and Eyes Regional Expansion

H.E. Sheikh Nasser bin Abdulrahman Al Thani, Chairman and Managing Director of Qetaifan Projects, has revealed that the company is working on launching Qatar’s first real estate development fund, which will allow individuals to invest in property development projects and benefit from their returns without having to manage construction, execution, or operational activities themselves.

In an exclusive interview with Al Raya newspaper, Sheikh Nasser explained that the fund is currently under study and preparation, with the company working alongside financial institutions and specialised firms to complete the necessary studies, procedures, and licensing requirements. The fund is expected to be launched within the next two to three months.

He noted that the proposed fund will offer a different investment model from traditional publicly traded real estate investment funds. Rather than investing in existing income-generating properties, it will focus on financing and participating in the development process tself.

Sheikh Nasser also revealed that Qetaifan Projects is evaluating investment opportunities in several regional markets, including Saudi Arabia, Egypt, Lebanon, and Syria, as part of its plans to expand beyond Qatar. He stressed that any expansion will be based on thorough feasibility studies and an assessment of each market’s investment potential.

North Qetaifan Island’s Operational Facilities 100% Complete

Sheikh Nasser confirmed that all operational facilities at North Qetaifan Island have been completed, reaching 100% readiness. The company has now entered a new phase focused on supporting developers and investors and following up on the completion of residential and commercial projects being delivered by its partners.

He stated that all 146 plots designated for villa development have been sold, with Qatari buyers accounting for approximately 70% to 75% of purchasers. The remaining buyers include residents of Qatar and international investors.

The company expects most of the villas to be built over the next three to four years. While the island’s full development will take place in stages, Qetaifan Projects is targeting full operational capacity by 2034.

He explained that the project initially began with the development of Meryal Waterpark, aimed at strengthening Qatar’s position as a tourism and entertainment destination. The vision subsequently expanded to encompass the development of the entire island as an integrated destination combining tourism, hospitality, entertainment, residential, and commercial components.

This transformation has helped enhance the area’s investment appeal and encouraged the emergence of new real estate developments and towers in surrounding locations.

Regarding the project’s investment value, Sheikh Nasser clarified that the approximately QAR 17 billion figure announced at its launch represented the estimated overall development cost of the island, rather than the company’s investment alone.

He added that the market value of the area, its land, and its assets has increased as a result of the destination’s successful development and its ability to attract investors. However, the final value of the project can only be determined once its various phases and developments are completed.

New Partnerships and Innovative Real Estate Products

The Chairman and Managing Director explained that the company intends to build on the expertise gained through North Qetaifan Island to introduce new real estate products. These will go beyond buildings and facilities to include innovative property sales mechanisms, investment models, and partnership structures with other developers.

He noted that the company has introduced several approaches to property sales, including holding auctions for the initial payment rather than the full property value. This approach aims to broaden participation and make investment opportunities accessible to a wider group of interested buyers.

Qetaifan Projects has also adopted joint-development models with other developers. These include its partnership with Dar Global and its collaboration with the GMG Group on the development of the island’s waterfront areas.

The company is also exploring further partnerships to develop various facilities, including schools and hospitals, while seeking to expand cooperation with private-sector companies and specialised developers.

Sheikh Nasser said that the return of existing partners to expand their investments on the island reflects their confidence in the project. GMG continues to increase its investments, while Tameer has expanded its portfolio from seven properties to ten, with further expansion plans under consideration.

The company is also exploring additional opportunities for cooperation with Dar Global.

Regarding the Dar Global project associated with designer Elie Saab, Sheikh Nasser stated that one building has been completed and apartment handovers to residents have begun. Additional buildings are planned, while construction has not yet started on two other buildings.

Expansion Opportunities in Saudi Arabia, Egypt, Lebanon, and Syria

Commenting on the company’s international expansion strategy, Sheikh Nasser said that Qetaifan Projects has received several investment proposals and opportunities from markets outside Qatar following the success of North Qetaifan Island.

These opportunities include Saudi Arabia, Egypt, Lebanon, and Syria.

He revealed that the company has entered two tenders in Saudi Arabia, one in Riyadh and another in Jeddah. It is also reviewing a new development opportunity in Madinah that was presented during its participation in Cityscape.

In addition, the company is evaluating investment opportunities in Egypt, Lebanon, and Syria before deciding on the most suitable destination for its next projects.

Project Delivered Within Budget and Targeted Schedule

Sheikh Nasser confirmed that Qetaifan Projects successfully delivered North Qetaifan Island within the budget approved in the project’s feasibility study, without exceeding the allocated financial provisions, despite the exceptional challenges encountered during implementation.

He explained that the feasibility study began in 2016, the company was established in 2017, and the first stages of actual work commenced in 2018. Construction took approximately three and a half years.

The project faced several challenges, including the impact of the COVID-19 pandemic, significant workload pressures associated with preparations for the FIFA World Cup, and difficulties involving some contractors and suppliers.

Despite these circumstances, the company managed to complete the project in line with its approved budget and implementation targets. Sheikh Nasser attributed this achievement to careful financial planning, continuous monitoring, and effective coordination among the various parties involved.

Qatar’s Private Sector a Key Project Partner

Sheikh Nasser highlighted the extensive participation of Qatar’s private sector in the island’s development and operations, noting that the project created opportunities for local companies across construction, transportation, logistics, supplies, catering, and other services.

He pointed out that Rixos Hotel accommodated approximately 1,200 employees during one period. The company arranged their accommodation by leasing residential units owned by private-sector property owners in different areas, helping stimulate the rental market and generate additional income for landlords and accommodation providers.

The project also relied on local companies to provide buses and transportation services for workers and employees, as well as food supplies and daily necessities. Other services included electricity-related works and banking finance.

He confirmed that most contractors working on developments across the island are Qatari companies, reflecting the significant role played by local businesses in delivering major projects.

Real Estate Development as a Driver of Economic Growth

Sheikh Nasser stressed that the impact of real estate investment extends far beyond the provision of residential and commercial units. It acts as a key driver of growth across several economic sectors, including construction, transportation, services, infrastructure, retail, and logistics.

He explained that the construction of a single tower can create employment opportunities for approximately 500 workers during the execution phase, while also generating business for main contractors, subcontractors, suppliers, and building-material manufacturers, including companies producing cement, steel, and plastic products.

The company is currently conducting a study to assess the economic impact of real estate investment and measure its contribution to stimulating other sectors more accurately. It is also considering sharing the study’s findings with the media once completed.

Sheikh Nasser concluded by emphasising that the North Qetaifan Island experience demonstrates the potential of developing integrated destinations through local and international partnerships and expertise, while diversifying investment opportunities and strengthening the real estate sector’s contribution to Qatar’s economy.