Abu Dhabi Ports expands relief measures
(Posted on 10/01/21)
Abu Dhabi Ports have announced a freeze on rent escalation during 2021 for all businesses in its Industrial Cities and Free Zone cluster, in a move aimed at providing further relief to its customers in KIZAD and ZonesCorp and boosting the Abu Dhabi economy in these challenging times.
The effective freeze on rent increase for the entire year is in line with Abu Dhabi Ports’ core philosophy of enabling businesses to remain competitive within their target markets, and follows several measures taken throughout 2020 to provide relief to customers. The rent escalation freeze will benefit more than 1,400 companies within Abu Dhabi Ports’ Industrial Cities and Free Zone cluster.
Abdullah Al Hameli, Head, Industrial Cities and Free Zone Cluster, Abu Dhabi Ports said: “Abu Dhabi Ports is taking steps to help its customers remain competitive during this exceptional economic climate and overcome the challenges brought on by COVID-19. We are working in line with the Abu Dhabi Government’s efforts to extend relief to businesses by ensuring our customers retain their competitive advantage.
“The freeze in rent escalation we have announced reflects our commitment towards enhancing the growth and stability of our customers and tenants and falls in line with the government directives to stimulate future growth for the UAE’s economy. We are confident that this measure will help fast track the robust economic recovery that the Government is making efforts to achieve,” he added.
Last year ZonesCorp customers were exempted from ‘Musataha’ contract registration, utility payments based on actual consumption, and application and documentation fees. The company is also providing a 25 percent price reduction for new investors.
Simultaneously, Khalifa Industrial Zones Abu Dhabi (KIZAD) announced last year relief packages with up to 36 percent savings for Free Zone businesses and SMEs. The package offers both existing and prospective customers savings on new registrations and renewals, along with a waiver on security deposits.
Abu Dhabi Ports, part of ADQ, one of the region’s largest holding companies with a broad portfolio of major enterprises spanning key sectors of Abu Dhabi’s diversified economy, has extended relief measures to continue supporting businesses in Abu Dhabi and help the SME sector grow within the emirate.
Several measures were previously mandated for customers, which include rent deferment, a freeze on late payment penalties, and an exemption from Tawtheeq fees. At the same time, new investors will be able to take advantage of new relief packages that include waiving of applications fees, a 25 percent reduction in land lease rates for the first year, an exemption on Tawtheeq fees, and a relinquishing of land fixing fees.
KIZAD the largest integrated trade, logistics, and industrial hub in the region and ZonesCorp, the largest operator of purpose-built economic zones in the UAE, make up Abu Dhabi Ports’ Industrial Cities and Free Zone portfolio. Covering over 555 sqkm of industrial land and home to over 1,400 local, regional, and international investors, the portfolio of companies today includes key players within the food, logistics, automotive, polymers, metals, oil and gas, life sciences, and advanced technology industries.
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