Dar Global eyes distressed London developments as it warns on policy risk
The Saudi-backed luxury developer is scouting prime central London sites left stranded by higher financing costs, while cautioning that shifting UK property rules under successive prime ministers undermine investor confidence.
Dar Global, the international development arm of Saudi Arabia's Dar Al Arkan and a London-listed luxury property developer, is looking to acquire distressed residential schemes in some of central London's most prestigious postcodes, including Mayfair, Belgravia and Knightsbridge, according to AGBI. The company said higher refinancing costs, mounting debt repayments and a string of failed completions have left a number of prime projects vulnerable, creating an opening for a well-capitalised buyer.
Dar Global's leadership also used the moment to press a broader argument: that UK property and tax policy has shifted too frequently under successive governments, making it harder for long-horizon investors to commit capital with confidence. That is a pointed message given the UK's recent changes to non-domicile tax status and stamp duty surcharges on overseas buyers, both of which have been blamed for cooling demand in the prime central London market that Dar Global is now targeting.
The strategic logic is straightforward: distressed assets in London's best neighbourhoods can be acquired more cheaply than at any point in recent years, and a developer with patient, sovereign-linked capital is well placed to ride out a cycle that has punished more leveraged rivals. It also signals continuing Gulf appetite for London trophy real estate even as domestic UK buyers and traditional lenders remain cautious. What to watch: whether Dar Global converts its scouting into actual acquisitions, and whether other Gulf-backed developers follow into a market that has been short of buyers for distressed luxury stock.
Support the content you love — it’s free 🎉
Add Worthbury as a preferred source on Google. Our stories will be more likely to appear in Google’s Top Stories. It’s free and supports our team. Thank you!
Add as preferred sourceYou can remove us any time in Google’s source preferences.
Thank you — you’re all set 🎉
Worthbury is now one of your preferred sources, so our briefings are more likely to appear in Google’s Top Stories.
This briefing is published daily using an AI-powered system crafted by Worthbury's team and finely tuned to meet our editorial standards. While we continuously test and review the output, mistakes can sometimes happen. Tell us if you spot one.