\nLimitless, the property arm of struggling state conglomerate Dubai World which was set up to expand overseas business, is backing out of a plan to build hundreds of luxury homes in Malaysia as it looks to shore up its finances. Cash strapped Limitless is selling off its stake in a partnership with Malaysia\u2019s Bandar Raya Developments to develop waterfront land in the southern city of Nusajaya in what is also a blow for the region as foreign investment declines.\n<\/p>\n
\nLimitless, which was set up in 2006 to focus mainly on overseas development and is now under the management if its sister company Nakheel, hopes to sell its 60% share for $23.8 million.\n<\/p>\n
\nThe project has been part of an ambitious plan to cash in on growing demand in south east Asia for property. Limitless formed joint ventures with developers in Vietnam, Malaysia and Indonesia. Among them were the $220 million Halong Star mixed use development in Vietnam and the $1.7 billion Rasuna Epicentrum in Jakarta.\n<\/p>\n
\nAsked what would happen now in the region a company spokeswoman said; \u2018We continue to review our business activity to reflect market conditions\u2019. She added that the Limitless office in Singapore is still open.\n<\/p>\n
\nWork has started on overseas projects in Saudi Arabia, Jordan and Vietnam but others in Russia, India and Pakistan have been either stalled or slowed. Plans for a waterfront development in Karachi have been cancelled and a housing project with India\u2019s largest developer DLF near Bangalore has also stalled.\n<\/p>\n
\nThe move comes as Nakheel, the developer behind Dubai\u2019s iconic palm shaped man made islands, is hoping to sign a debt restructuring deal at a meeting with financial creditors on Wednesday as it restructures $10.5 billion of debt. Dubai World owes financial and trade creditors total of $23.5 billion. Nakheel has already started paying trade creditors 40% of the amount owing as part of a wide ranging offer announced in March.\n<\/p>\n
\nMeanwhile Dubai Properties, part of the business empire of the emirate\u2019s ruler, plans to hold an auction for three beach side plots of land next month as Dubai struggles under a weight of sovereign and corporate debt.\n<\/p>\n
\nDubai Properties, part of Dubai Holding, said in an advertisement that the auction would take place on August 29 for the lease of three beach club plots at Jumeirah Beach Residence Community.\n<\/p>\n
\nCredit rating agency Moody\u2019s last week downgraded Dubai Holding\u2019s loss making main operating arm, Dubai Holding Commercial Operations Group (DHCOG), to B2 in its highly speculative category of ratings, taking account of weakness in Dubai\u2019s real estate market and uncertainty over the company\u2019s debt restructuring.<\/p>\n","protected":false},"excerpt":{"rendered":"
\nLimitless, the property arm of struggling state conglomerate Dubai World which was set up to expand overseas business, is backing out of a plan<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[],"tags":[],"persona":[],"class_list":["post-2941","post","type-post","status-publish","format-standard"],"acf":[],"yoast_head":"\n