Arada aims to take Roberts Co global after Victoria collapse

A UAE developer has snapped up the NSW operations of Roberts Co and wants to take the construction company global, even as its Victorian projects remain in limbo.

Arada Group chief executive Ahmed Alkhoshaibi. Picture: Mark Jezercic

United Arab Emirates-based developer Arada plans to take the Roberts Co building brand global despite the company’s woes in Victoria, where the future of key projects hangs in the balance.

The fast-growing Arada has just snapped up the NSW operations for a nominal sum from tycoon Andrew Roberts, and wants to pour $100m into expanding into new markets, starting with the UAE.

Arada wants to leverage Roberts Co’s tier-one construction expertise across more of the world, with the goal of building a global presence and targeting annual revenues of $1bn by 2028.

The move comes amid uncertainty about how the administrators of the separately held Victorian arm will restart key projects, although some progress has been made, with the local tycoon active in the background.

Arada group chief executive Ahmed Alkhoshaibi is focused on expansion.

“We will now invest significantly into the company in order to bring it to new markets and sectors, starting with the UAE. Together, we bring a shared vision for high-quality, community-focused development and in a market where construction delays are a major concern for buyers, this move provides a clear advantage,“ he said.

He said Roberts Co’s NSW business arm was a profitable entity and could win more work after being recapitalised. Roberts Co built up a successful roster of projects across the health, education, commercial, residential, hospitality, industrial, life sciences and defence sectors. But it was caught out by unprofitable projects in Victoria that threatened to sink the whole company.

Arada’s acquisition will see an immediate $20m recapitalisation of Roberts Co (NSW) Pty Ltd by the Middle Eastern company, which is already an active residential developer in NSW.

Buying the building outfit also strengthens Arada’s ability to deliver new residential blocks in Australia with certainty and confidence at a time when builders remain under pressure, with big players including Multiplex and John Holland falling to losses.

By combining Arada’s global development expertise with Roberts Co’s proven local track record, the partnership is aiming to create a strong record. The acquisition also guarantees uninterrupted progress across Roberts Co’s four major construction projects currently underway in Sydney.

The live projects that Roberts Co will continue to progress include the delivery of Carlingford West Public School, the Cumberland High School, The Children’s Hospital at Westmead and the HOME Parramatta build-to-rent project.

Key members of the Roberts Co leadership team, including executive chairman George Kostas, managing director Emma Shipley and NSW state director Damian Vella will stay on board.

Mr Kostas said the agreement with Arada brought stability, confidence and security for employees and clients.

“Arada’s investment not only restores long-term confidence but gives us a platform for future growth across new sectors and geographies,” he said.

Founded in 2017 with a mission to “build a better way”, Roberts Co has delivered NSW projects, including Liverpool Hospital, Concord Hospital, the North Shore Health Hub, Zurich Tower and the Moxy Sydney Airport Hotel.

Originally published as Arada aims to take Roberts Co global after Victoria collapse