UAE: Property Finder secures $250 million in credit deal

Dubai-based Property Finder has acquired $250 million in debt financing from Ares Management, signifying demand in the United Arab Emirates’ real estate market, as reported by Bloomberg on October 21st.  

The funding, provided through Ares’ credit funds, follows major investments from the private equity firms Permira and Blackstone, which together invested $525 million in Property Finder earlier this year. 

Founded in 2007, Property Finder is a leading online real estate platform based in Dubai.

Michael Lahyani, Founder and Chief Executive of Property Finder, stated that the new capital will help the online property portal grow across the Gulf region.

“This transaction allows us to accelerate our growth in the region through investments in product innovation, AI-driven solutions, marketing & branding and strategic partnerships,” Lahyani said in a statement.

The investment will be targeted at building new products using AI-driven methods, along with strategic marketing, branding & partnerships. 

This move underscores a trend in increasing foreign interest in Gulf real estate, particularly in Dubai, as it has established itself as a key location for business and tourism.

Asset managers, once focused on extracting capital from Middle Eastern sovereign wealth, are now pouring funds directly into the region’s markets.

Other key financial players, including Goldman Sachs and Brookfield, have also increased investments in the UAE’s property market.

Dubai’s real estate demand has brought in several listings related to property development. Reportedly, companies such as Binghatti Holding, Arabian Construction Co., Dubizzle, and Dubai Investments Park Development are also planning listings.

Previously, Property Finder secured $90 million in debt from Francisco Partners to buy out its first institutional investor. 

Meanwhile, Ares has extended its own regional presence, having introduced a $1 billion private credit fund with Abu Dhabi’s Mubadala Investment Co. and a developer, to invest in real estate across Europe and the UK.

Bloomberg, Maghrebi.org