The Arc Commercial Tower
A trophy 24-storey Grade-A commercial tower delivering 6.8% net initial yield and 91.7% institutional occupancy.
Positioned within Abu Dhabi's premier financial corridor, The Arc Commercial Tower is an institutional-grade core-plus office asset comprising 142,000 sq ft of Built-Up Area (128,000 sq ft GLA) across 24 floors. Designed with a timeless double-skin low-E curtain wall and champagne-bronze architectural fins, the tower offers column-free floor plates engineered for sovereign advisory entities, private banks and multinational headquarters.
With 44 of its 48 commercial suites currently leased on multi-year triple-net-equivalent terms (WALT of 4.8 years) and 4 prime sky-and-mid-level suites available for immediate lease-up, investors capture both defensive day-one cash flow (AED 12.3M NOI) and immediate reversionary upside.
- 44 of 48 commercial suites rented (91.7% occupancy)
- Weighted Average Lease Term (WALT) of 4.8 years
- AED 145 / sq ft average passing rent with 3.5% annual escalation
- 385 covered underground & podium parking bays (1:330 sq ft ratio)
- Estidama Pearl 3 & LEED Gold specification
- Double-height travertine arrival lobby with VIP private lift core
- Asking Valuation / Cost
- AED 181,000,000
- Capital Value / Sq Ft
- AED 1,275 / sq ft
- Gross Annual Rental Income
- AED 18,500,000
- Annual Operating Cost (OPEX)
- AED 6,200,000
- Service Charge / Sq Ft
- AED 18.50 / sq ft
- Net Operating Income (NOI)
- AED 12,300,000
- Avg. Passing Rent / Sq Ft
- AED 145 / sq ft
- Annual Rent Escalation
- 3.5%
- Net Initial Yield (Cap Rate)
- 6.8%
- Projected 5-Yr IRR / ROI
- 13.9%
- Mandate Ref
- LMT-AUH-001
- Built-Up Area (BUA)
- 142,000 sq ft
- Gross Leasable Area (GLA)
- 128,000 sq ft
- Plot Area
- 52,000 sq ft
- Storeys / Levels
- 24
- Completion Year
- 2021
- Covered Parking
- 385 bays
- Units Rented / Total
- 44 rented / 48 units
- Vacant Units (Lease-Up Upside)
- 4 units
- Weighted Avg. Lease Term (WALT)
- 4.8 yrs
| Floor / Zone | Permitted Use / Configuration | Rented / Total Units | GLA (Sq Ft) | Rent / Sq Ft (AED) | Annual Rent (AED) | WALT |
|---|---|---|---|---|---|---|
| Ground & Mezzanine | Private Banking & Flagship F&B | 4 / 4 (100%) | 14,000 | AED 220 | AED 3,080,000 | 6.5 yrs |
| Levels 02 – 09 (Podium & Low-Rise) | Corporate Suites (2,500–5,000 sq ft) | 22 / 24 (92%) | 48,000 | AED 135 | AED 5,940,000 | 4.2 yrs |
| Levels 10 – 17 (Mid-Rise) | Half & Full-Floor Institutional Offices | 11 / 12 (92%) | 40,000 | AED 150 | AED 5,500,000 | 4.8 yrs |
| Levels 18 – 24 (Sky Crown) | Full-Floor Sovereign & Family Office Suites | 7 / 8 (88%) | 26,000 | AED 175 | AED 3,980,000 | 5.9 yrs |
| Year | Gross Annual Rental Income | Annual Operating Cost (OPEX) | Net Operating Income (NOI) | Net Initial Yield (Cap Rate) | Cumulative Net Cash Flow |
|---|---|---|---|---|---|
| Year 1 (2026) | AED 18,500,000 | AED 6,200,000 | AED 12,300,000 | 6.80% | AED 12,300,000 |
| Year 2 (2027) | AED 19,147,500 | AED 6,324,000 | AED 12,823,500 | 7.08% | AED 25,123,500 |
| Year 3 (2028) | AED 19,817,662 | AED 6,450,480 | AED 13,367,182 | 7.39% | AED 38,490,682 |
| Year 4 (2029) | AED 20,511,281 | AED 6,579,490 | AED 13,931,791 | 7.70% | AED 52,422,473 |
| Year 5 (2030) | AED 21,229,176 | AED 6,711,079 | AED 14,518,097 | 8.02% | AED 66,940,570 |