Abu Dhabi Airports Free Zone to Develop US$87m Warehousing Facilities with Radius Group

Abu Dhabi Airports Free Zone (ADAFZ) has signed a Musataha agreement with Radius Group, a leading developer of industrial and logistics company, to develop a US$87 million warehousing facility.

Situated in Al Falah District, spanning over 140,000 square metres plot of land, the project will deliver over 90,000 square metres of best-in-class warehouses.

This strategic investment will enhance Al Falah District’s logistics capabilities, create employment opportunities and boost the local economy.

The strategic agreement with Radius Group underscores ADAFZ's commitment to attracting FDI to meet the growing demand for high-quality light industrial space, fostering growth in trade and industry and solidifying Abu Dhabi's position as a leading business and investment hub.

Wilson Chan, Senior Vice President of Free Zone Cargo and Logistics at ADAFZ, said: “This development demonstrates ADAFZ’s dedication to attracting leading businesses to Abu Dhabi.

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"By leveraging the emirate’s strategic location and world-class facilities, we are creating a thriving hub for businesses to serve the entire region.

“The increasing demand for efficient and scalable warehousing solutions in the free zone and precisely Al Falah District is a direct reflection of the emirate’s robust economic growth, expanding trade activities, and need for premium infrastructure.”

Radius Group, globally recognised for its expertise in developing advanced industrial facilities, will equip the warehouses with cutting-edge climate control systems, energy-efficient lighting, security features, and adaptable optimised storage solutions.

David Simons, Founder and Chief Executive Officer at Radius Group, said: “We are pleased to further our investment in the UAE and specifically in Abu Dhabi through this partnership with ADAFZ on this landmark project.

"This investment reflects our confidence in Abu Dhabi’s thriving logistics sector and ADAFZ’s strategic importance as a regional hub for industrialisation and logistics.”

Knight Frank MENA’s Industrial & Logistics team provided strategic commercial advice to Radius Group, facilitating their entry into Abu Dhabi commercial real estate and the land lease process.

Mikhail Vereshchagin, Associate Partner – Industrial and Logistics at Knight Frank, said: “We are honoured to contribute to the fast-growing logistics market in the UAE and provide our expertise on major development projects. It is a privilege to support Radius Group once again, this time in Abu Dhabi.”

With completion slated for 24 months, ADAFZ and Radius Group are setting the stage for a new era of logistics excellence in Abu Dhabi.

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