The company, also known as Alaqaria, posted a profit of 63.8 million riyals ($17.5 million) in the first quarter of 2009.
Qatar's Barwa Real Estate Company was ordered by the government in January to take over Alaqaria. After the takeover, Alaqaria will become a subsidiary of Barwa with the market capitalization of the combined firms reaching 11.1 billion Qatari riyals ($3.05 billion), the company has said.
The takeover is backed by the government and Qatari Diar Real Estate Investment Company (Qatari Diar), which owns 45 percent and 27 percent of the share capital of Barwa and Alaqaria respectively.
Barwa reported that first quarter net profit rose 8.3 percent to 210 million riyals (57.72 million) on Monday. The company said increased revenues from rents and services and the sale of property.
Barwa's activities focus on retail, office, hospitality and residential property development, while Alaqaria specializes in industrial housing.
Qatar is ensuring its key property firms weather the storm by pushing through defensive mergers and using the real estate arm of the country's sovereign wealth fund to invest in them.
The world's largest exporter of liquefied natural gas, Qatar has said it will keep on spending to maintain growth momentum in its domestic market while it continues to invest in trophy assets overseas, like London's Shard skyscraper project and the US Embassy in nearby Mayfair.
Consolidation in the oil-exporting region has been on the rise since late last year as the financial crisis and an oil price slump ended an economic boom, forcing firms involved in everything from property to investment to search for ways to weather the downturn.
