Dubai (PlantAndEquipment.com) -  UAE developers Aldar and Arada have forged a strategic partnership to create two large real estate projects in Abu Dhabi worth roughly AED15 billion ($4.1 billion).

The cooperation is based on a joint venture to masterplan and create a 1.5 million sqm mixed-use town in Seih Sdeirah. Arada's first development in Abu Dhabi will contain residential neighborhoods, retail space, and community facilities.

Arada has bought three residential plots on Yas Island from Aldar as part of the joint venture. The agreements provide the Sharjah-based developer a footing in one of Abu Dhabi's most established residential and recreational areas.

The deal brings together two of the UAE's top developers, who are both growing outside their core areas. Aldar, which was previously centered in Abu Dhabi, has expanded its UAE development pipeline into Dubai and Ras Al Khaimah, while its foreign development operations include SODIC in Egypt and London Square in the United Kingdom. In 2025 alone, Aldar granted AED66 billion in development contracts in the UAE. 

Arada, which established its primary development business in Sharjah, has now moved into Dubai and worldwide markets including London. The Abu Dhabi alliance adds another significant UAE market to its growth portfolio.

The Seih Sdeirah project and Yas Island purchases provide a substantial new development pipeline for Arada in the capital, and the developers say the agreement may potentially serve as a foundation for future cooperation.