DUBAI: Dubai real estate authority in what some term as a landmark decision to save investor interests and funds has announced its decision to seize properties and land plots registered to Schon Properties, one of the major property developers in Dubai.
Dubai Land Department (DLD) said on Thursday it has seized assets as well as funds deposited in Escrow account belonging to Schon Properties until the Dubai Public Prosecution and Dubai Courts complete legal procedures to recover investors’ rights.
The real estate authority posted a tweet to announce the decision to seize properties and land plots registered to the developer.
It added that it has also seized funds deposited in the developer’s escrow account while Dubai Public Prosecution “complete legal procedures to secure the rights of all investors and other parties”.
Last year, the developer broke ground on its $870 million iSuites project in Dubai Investments Park.
It said the main contractor, Dubai Civil Engineering, part of Al Hamad Group of Companies, has started work on the project to build 2,550 hotel apartment suites, 52 restaurants, outdoor cafes and 125,000 square feet shopping mall.
The development is all surrounded by a manmade beach and a lagoon spread over 5 acres – to be completed ahead of the Expo 2020, Schon said in a statement at the time.
It is pertinent to mention that Schon Properties own Pakistan Super League’s (PSL) Multan Sultan cricket team.