FAB, SACE support Arada in $100m sustainable funding deal

May 14, 2026 (MLN): Arada has secured its first sustainability-linked financing, a $100 million facility arranged with First Abu Dhabi Bank and guaranteed by Italy’s export credit agency SACE.

The five-year Islamic financing facility will be used for general corporate purposes as well as to support ongoing development across Arada’s project portfolio, according to ZAWYA.

The structure of the deal is aligned with Arada’s internal Sustainability Performance Targets (SPTs), which will be assessed annually throughout the tenure of the facility.

Arada Group CEO Ahmed Alkhoshaibi said the transaction highlights the company’s efforts to diversify funding sources while strengthening its commitment to sustainability objectives, noting support from FAB and SACE.

He also highlighted the role of the agreement in reinforcing ties with Italian partners and enhancing UAE–Italy trade relations.

SACE Regional Manager Middle East and Head of Dubai Office Ciro Aquino said the facility reflects support for Arada as a strategic partner, enabling opportunities for Italian companies in the UAE and reinforcing sustainable growth while strengthening economic links between Italy and the UAE.

The sustainability-linked framework will support Arada in reducing its carbon footprint through increased use of sustainable building materials, improving supplier awareness of environmental impacts, and expanding the integration of green certifications such as LEED and WELL across future projects.

It will also focus on continued improvements in health and safety standards.

SACE has identified Arada as a key partner for Italian businesses, citing its collaboration with local and international corporates, including its partnership with The Armani Group on the Armani Beach Residences project at Palm Jumeirah, which is expected to drive significant imports of Italian furnishings into the UAE over the coming years.

Since 2022, Arada has accessed global debt markets, raising over $1.5 billion through sukuk issuances following credit ratings from Moody’s and Fitch.

Since its establishment in 2017, the developer has launched multiple projects in the UAE and expanded internationally, with a global pipeline valued at AED 130bn comprising 55,000 units and the delivery of 15,000 homes to date.

About Arada

Founded in 2017 and headquartered in the United Arab Emirates, Arada was established with a vision to create communities that foster healthier, happier, and more meaningful lifestyles.

The company’s operations span a diverse range of sectors, including real estate development, retail, education, healthcare, industrial projects, fitness, wellness, and hospitality.

Over the years, Arada has positioned itself as a multi-sector developer with an expanding ecosystem of integrated services and lifestyle offerings.

To date, the master developer has launched 11 large-scale communities across the UAE and has extended its footprint internationally, entering markets in the United Kingdom and Australia.

Alongside its core developments, Arada also manages a portfolio of complementary lifestyle and experience-based brands, including fitness centres, food and beverage outlets, retail spaces, social initiatives, and visitor destinations.

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