Nakheel lays down the law!
From "FOH News" on 13 May 2008
This comes as several projects have faced delays and cancellation in the emirate over the last few months forcing Nakheel to take action.
"Nakheel sales contracts will now include definite timeframes on the development of the land we sell, if projects aren’t commenced within that certain time frame, we will take action against that developer," said Nakheel CEO Chris O’Donnell in an interview with ArabianBusiness.com.
O’Donnell’s comments come as reports circulate of the Dubai Real Estate Regulatory Authority (RERA) investigating four developers over the non-delivery of projects.
RERA CEO Marwan bin Ghalita revealed that the firms under investigation were being subjected to an "internal audit of transactions", stating that "we cannot let people promise and not deliver in Dubai". Ghalita did not reveal which companies were under investigation.
O’Donnell welcomed the efforts of the RERA, particularly from the viewpoint of protecting international investor confidence.
"I think that’s great, I think they [RERA] should investigate more. It’s very important international and local investors have confidence there is a local government body with teeth and who will take action. It’s important for them [RERA] to take action, and been seen to take action."
