The Middle East, and in particular countries such as Saudi Arabia and Dubai, seem to hold exciting business opportunities for South African developers and property managers. Saudi Arabia and Dubai are booming, with hotels and retail developments mushrooming everywhere.

The deal that Gensec Property Services has signed with the Saudi-based Arabian Services Group makes good sense.

The low cost of the partnership deal, at R5m, is a cheap route for Gensec, which specialises in property management and facilities management, to acquire a foothold in this lucrative market.

The timing is also good as there is a number of other prominent South African property players vying for the same market. Old Mutual has become a big player in the Middle East market under the leadership of Ian Watt.

The Saudi Arabian deal and the planned opening of an office in Riyadh will position Gensec nicely to grow its business.

Business Day
Publisher: I-Net Bridge
Source: I-Net Bridge