Global Real Estate & Construction News from Propertyshowrooms.com

Johor 'a hotspot for Malaysian property development'

Tue, 6 Mar 2012 00:00:00 GMT

Johor, a state in southern Malaysia, is set to become a hive of activity for property developers in the nation.

In an interview with the Malaysia Star, president and chief executive officer of SP Setia Bhd Tan Sri Liew Kee Sin explained projects in the region have become his company's main source of income.

He told the publication sales of properties in Johor are not expected to slow down over the course of 2012, while the firm still has several pieces of land in the Iskandar development zone where it can build new schemes.

The state's main city, Johor Baru, has long been the first choice for Singaporeans seeking real estate in Malaysia, Mr Liew added, which is one of the reasons why his organisation chose to focus on the region over a decade ago.

The Iskandar development zone covers 221,634 hectares and the aim is to turn it into a thriving metropolis with its own economy. Firms that operate in sectors such as education, healthcare, tourism and logistics within the region will be eligible for tax breaks, among other incentives.

Malaysia house prices expected to climb

Mon, 23 Jan 2012 00:00:00 GMT

Developers in Malaysia believe house prices in the nation are likely to increase over the coming 12 months, new research has revealed.

A survey conducted by the Real Estate Housing Developers' Association Malaysia (REHDA) found that around 74 per cent of respondents anticipate a rise in the cost of residential property during 2012.

Of those, 36 per cent are predicting a ten to 20 per cent jump, while 31 per cent believe the hike will be under ten per cent. The remaining seven per cent thought prices could rise by more than one-fifth.

The increasing cost of purchasing a property in Malaysia has been attributed to the higher price of labour and materials.

As a result, optimism about the state of the country's real estate sector is lower than it was six months ago, the REHDA study found.

Speaking at the launch of the research, president of the organisation Datuk Seri Michael Yam said: "Our members are more cautious towards market conditions due to more compliance requirements imposed on the housing industry, global economic uncertainty and inadequate information and data with regards to on-stream demand and supply."

In March, the REHDA will host the Malaysia Property Exhibition, which is expected to lead to real estate sales of between 50 million and 100 million Malaysian ringgits (£10.4 million and £20.8 million), Bernama News Agency reported.

Dubai property prices climb in December

Tue, 17 Jan 2012 00:00:00 GMT

The value of residential real estate in Dubai increased in December by 1.09 per cent, compared to the previous month, new figures show.

In the latest REIDIN.com index, the price of villas rose by 1.46 per cent during the final month of 2011, while apartments only saw their value climb by 0.6 per cent during the same timeframe.

However, neighbouring emirate Abu Dhabi experienced declining real estate values, with an overall fall of 0.65 per cent recorded between November and December last year.

Apartments took the biggest hit, with prices sliding by 0.99 per cent, while villas saw 0.55 per cent wiped off their value.

Earlier this month, Assetz suggested that "adventurous investors" may want to target Dubai property in 2012.

According to the organisation, there is a lack of supply of homes in completed developments, which has helped construction work pick up in a few "quality locations" in the emirate.

Phuket's condominium supply to grow in Kata and Karon

Mon, 16 Jan 2012 00:00:00 GMT

During 2011, the Kata and Karon Beach areas of Phuket, Thailand, emerged as top locations for new condominium developments.

Nattha Kahapana, director of Knight Frank Phuket, revealed that last year, these two regions accounted for 59 per cent of the new supply in the condominium market.

He noted one of the main reasons for the rising number of new projects in Kata is the affordability of land in the district, compared to the most desirable area along Patong Beach.

Mr Kahapana added there is very little free space on this sought-after strip of land, which adds to the appeal of less-developed regions like Karon Beach and Kata.

A report published by CB Richard Ellis (CBRE) Thailand last year revealed there was an increase in the number of new condominium projects launched in Phuket during the third quarter of 2011.

However, the firm noted affordability is one of the key issues driving buyers in the marketplace, with demand strongest for Phuket properties in the under ten million Thai baht (£204,656) price bracket.

Carillion heads positive about UAE property sector

Tue, 13 Dec 2011 00:00:00 GMT

Some of the top executives at UK construction firm Carillion have expressed their confidence in the United Arab Emirates' (UAE's) real estate sector.

The National reported on a conference call between some of the company's heads, quoting chief operating officer Richard Howson as saying: "We're still anticipating good growth in Dubai and Abu Dhabi."

He added the organisation still believes it can "meet our objective of doubling our revenues between 2012 and 2015 to about £1 billion".

Chief executive officer at Carillion John McDonough told the publication that the firm feels concerns over the performance of Abu Dhabi's property market are "overcooked in a sense".

The business has a number of joint ventures with other companies in the UAE and elsewhere in the Middle East.

It is involved in the development of several projects in Dubai, many of which include residential properties, such as The Lofts high-rise apartment blocks and the Burj Dubai scheme.

Housing developers 'showing more caution' in Thailand

Fri, 2 Dec 2011 00:00:00 GMT

Developers in the Thai real estate industry are exhibiting a greater degree of caution in their investments, it has been claimed.

A report published by CB Richard Ellis (CBRE) Thailand noted that a slowdown in demand from speculators has largely driven the change.

In Bangkok, firms that are purchasing land for construction projects are focusing on the area around the route of the new purple line railway system, the organisation revealed.

The track, which is currently under construction, is scheduled to open in 2014 and will provide train services between Bang Phai Canal and Tao Pun.

Meanwhile, developers are rushing to apply for building permission at many sites across Thailand, CBRE found, because proposed alterations to town planning regulations may make it more difficult for projects to get the go ahead.

One of the main changes being suggested under the new rules is a further restriction on the size of building that can be constructed on narrow roads, the firm highlighted.

Australia 'facing oversupply of housing'

Wed, 30 Nov 2011 00:00:00 GMT

One of the problems affecting the Australian real estate sector at present is the oversupply of homes for sale, one expert has claimed.

In an interview with News.com.au, managing director of SQM Research Louis Christopher was not optimistic about the outlook for the industry.

"The worst is still in front of us. There is a huge overhang of stock for the market to work through and it is going to get worse before it gets better," he asserted.

Mr Christopher suggested that further cuts to interest rates are needed if the country's property market is to receive the boost it requires.

However, he added that the economic crisis in the eurozone could have a significant effect on Australia's real estate sector.

He made a similar point when speaking to Smart Company earlier this month, noting that the nation's banking industry has exposure to Europe, which may hold back any recovery if the debt crisis overseas worsens.

Shortfall of affordable housing in Egypt

Tue, 20 Sep 2011 00:00:00 GMT

A new survey of the Middle East and North Africa (MENA) region has revealed that Egypt has a chronic shortage of affordable housing.

The nation was named as having the greatest lack of supply of this kind of property by Jones Lang LaSalle, with the firm estimating that a further 1.5 million such homes are required to meet the needs of the country's population.

Craig Plumb, head of research MENA at the company, told Arabian Business that "this is the greatest opportunity that the development industry has at the moment".

He explained that more public private partnerships could help boost the supply of affordable properties in Egypt, stressing that more developers in the Gulf region are likely to get involved in such projects.

The Jones Lang LaSalle report cited several factors that are holding back development at the bottom end of the housing market, including the relatively low returns compared to the luxury real estate sector, as well as the scarcity of affordable land, limited access to finance for low-income households and the expense of installing infrastructure and public transport networks.

Building costs in France 'among the world's highest'

Fri, 19 Aug 2011 00:00:00 GMT

France has been named as one of the most expensive countries in the world in which to build new property.

According to a survey released by EC Harris, the European nation came fifth place in the table, behind Switzerland, Denmark, Sweden and Ireland.

However, the research stated that "construction costs are remarkably consistent among the largest EU countries".

The high price of building a property in France may mean that more investors put their money into existing homes rather than new developments.

Head of cost and commercial at EC Harris Matthew Riley warned that the supply of building materials could become a problem for developed nations in the future.

Although France does not top the table in terms of its construction expenses, it was the highest-ranked European country in the Knight Frank Global House Price Index published earlier this year.

The organisation attributed rising real estate values to economic growth during the first quarter of 2011, which has helped boost consumer spending, productivity and demand for properties.

US housing starts up

Thu, 21 Jul 2011 00:00:00 GMT

Data published by the US Census Bureau has indicated that the number of housing starts in the nation rose by 9.4 per cent during June, compared to May.

In a poll of economists carried out by Bloomberg ahead of the survey's release, those questioned predicted that the rate of new residential construction would rise by 2.7 per cent over the previous month.

The results also showed that applications for building permits - which can offer an insight into the potential number of future housing developments - increased by 2.5 per cent over the same period.

Senior economist at BMO Capital Markets in Toronto Jennifer Lee told the international news resource that the US real estate sector is "one of the weaker links in the economy".

Ms Lee also pointed out that the current climate is difficult for construction firms, that are competing to sell new properties against the cheaper, foreclosed dwellings on the market.

Earlier this month, a Jones Lang LaSalle report revealed that the second quarter of 2011 saw investment in US real estate increase, compared to both the previous three months and the same period in 2010.

Abu Dhabi developer to concentrate on existing projects

Fri, 24 Jun 2011 00:00:00 GMT

One of Abu Dhabi's largest developers has stated that it intends to focus on completing existing projects, with 7,000 new units expected to be delivered by 2014.

Gurjit Singh, chief operating officer of Sorouh Real Estate, spoke at the Reuters Real Estate and Infrastructure Summit yesterday (June 22nd) and stressed that his company's focus is firmly on its home market.

The organisation's ongoing projects are worth around 13 billion UAE dirhams (£2.21 billion).

Residential rents and prices are likely to contract further over the next six to 12 months, Mr Singh predicted, adding that he is anticipating falls in the region of ten per cent due to oversupply in the market.

Earlier this month, Emirates 24/7 published details from a Nomura report, which stated that property values in Abu Dhabi are expected to stabilise over the coming months.

Chet Riley, author of the study, told the news provider that the global investment bank anticipates residential prices will "hold rather than fold over the next six months".

Egyptian development gets go-ahead

Wed, 8 Jun 2011 00:00:00 GMT

Demand for property in Egypt could be set to rise following news that a major developer in the country is planning to push ahead with plans to build a new 3.5 million square metre housing project.

Named Tigan, the development is worth approximately $3.4 billion and will be completed by Nasr City Housing.

The project went on hold during the recent political uprising in Egypt, but is now about to go back into action, Overseas Property Professional reports.

Meanwhile, it was recently claimed that savvy investors are looking to take advantage of the opportunities that have presented themselves within the Egyptian property market.

Steven Worboys, managing director of Experience International, explained that in the wake of recent political upheaval in the country, buyers are finding that they can purchase real estate within popular tourist resorts at a reduced cost.

"The most long-sighted investors will turn events as have occurred in Egypt into an opportunity," he noted.

New port to be built in Spain

Wed, 8 Jun 2011 00:00:00 GMT

Plans are in place to transform a port in Marbella in the hope of attracting the rich and famous from nearby Puerto Banus.

La Bajadilla marina is due a 400 million euro makeover thanks to a consortium led by Qatari Sheikh Abdullah ben Nasser Al-Thani, current owner of Malaga Football Club.

Plans for an additional 500 berths arranged on a spectacular circular pier, 200-metre quay for cruise liners, a waterfront five-star hotel as well as a raft of bars, restaurants and shops will catapult La Bajadilla into the spotlight.

Hadleigh Bolt, director of boltpropertygroup.com, said: "This new marina is a great initiative and I believe it's a correct decision to create a fresh new landmark for Marbella rather than to simply remodel near-neighbour Puerto Banus.

"With the old industrial estate set to be demolished and the AVE high speed rail link destined to stretch to Marbella in the not too distant future – Port Al Thani will undoubtedly change the face of Marbella."

Turkey sees increase in migrant population

Thu, 2 Jun 2011 00:00:00 GMT

Turkey's burgeoning property sector shows no signs of slowing down over the course of this year, with market fundamentals remaining strong.

Istanbul, in particular, has been touted as one of the major regions for investment in the country. Official figures have revealed that the city's population continues to soar with the rate of migration more than doubling during 2009-10.

Over 102,000 migrants made the location their home over the course of the year, and now account for 7.7 per cent of Istanbul's total population.

Alexander Tomlinson, director of Gem Invest, noted that as more people moved to the area, districts of the city have been enjoying rapid regeneration in areas such as transportation, accommodation and retail.

"Both private developers and local authorities have recognised the impact of the near doubling of Istanbul's positive net migration rates," he explained.

"Various mega-projects have been put forward as possible solutions to needs of the ever growing population but all parties appear to agree that it is to the suburbs of Istanbul that the future lies."

Turkey ‘one to watch’ for savvy investors

Thu, 19 May 2011 00:00:00 GMT

Turkey has long been touted as the next ‘big destination’ for savvy property investors, with a stable economy, strong banking system and robust tourism market making it an ideal location for buyers.

And while the main focus has been on the economic powerhouse of Istanbul, there are other cities that are worth considering.

According to the latest Emerging Trends in Real Estate Report Europe from PwC and the Urban Land Institute, the middle class suburb of Bahcesehir is proving popular.

Just 20 minutes away from Ataturk International Airport and 20km from the centre of Istanbul, the Garden City is also home to a burgeoning student population.

"One of the key features of the area from an investor's point of view is the growing university," Alexander Tomlinson, director of agency GEM Invest, said.

"A large majority of these students will require quality accommodation driving rental demand in the vicinity."

Meanwhile, Suleyman Albay, Oceanwide Properties managing director, told Overseas Property Professional that property prices in Turkey have risen by at least nine per cent so far this year.

Housing approvals rise in Spain y-o-y

Fri, 15 Apr 2011 00:00:00 GMT

The number of approvals for new homes in Spain increased by seven per cent in January compared to the previous year, the latest statistics have revealed.

According to figures released by the Spanish government, there has been an increase in the number of housing developments year-on-year.

However, the level of planning approvals in Spain fell by 15 per cent to 6,784 compared to December - an indication that the market is still not in the full throes of recovery.

Mark Stucklin, of Spanish Property Insight, is more upbeat about the long-term chances for the Spanish property market, forecasting that building activity will increase this year.

"In my opinion, 2011 will mark the bottom of the cycle for planning approvals, though I should stress that is just a hunch. If it is not this year it will be next year, so it’s not as if I’m taking a wild guess," he said.

It follows comments from European finance minister that Spain is not expected to follow in the footsteps of Portugal and seek financial aid.

10,000 homes to enter UAE market this year

Tue, 12 Apr 2011 00:00:00 GMT

Individuals looking to purchase property in the UAE could be interested in the latest comments from an official in the region.

Sultan Butt bin Majran, director general of the Dubai Land Department, has denied rumours that the real estate market is to be flooded with tens of thousands of new homes.

According to authorities in the region, only 10,000 new houses would be completed this year.

"News that between 40,000 and 50,000 housing units would be ready in 2011 are not correct," the sultan said.

"We expect about 10,000 houses to enter the market this year but they will not put any pressure because the market is able to absorb them given the ongoing recovery in the property sector."

Meanwhile, the latest report from Cluttons has forecast that an increase in rental and sales activity in the second quarter of 2011 will lift the UAE property market.

The release of a number of delayed projects in the emirate is expected to be a primary driver behind the demand, the firm added.

Balearic Islands lead Spanish recovery

Wed, 16 Mar 2011 00:00:00 GMT

The Spanish property market recovery is being led by the Balearic Islands, with home sales in the region up 14.5 per cent in 2010 compared to the previous year.

New figures released by the Public Works Ministry show that for the first time in three years there was positive growth in the market, with a 5.9 per cent year-on-year increase in transactions across the country.

Official government data shows that some 491,000 properties were sold across the whole of Spain last year, with 10,860 of those sales on the Balearic Islands of Ibiza, Majorca, Minorca and Formentera.

Ignacio Osle, sales and marketing director of Taylor Wimpey de Espana, said that he had seen interest in the Balearics rise over the past 12 months, with buyers particularly keen on property in Majorca.

"The largest Balearic Island offers something for everyone from amazing sandy beaches to stunning scenery, idyllic coves, traditional architecture and wide range of sports and leisure activities," he explained.

However, despite this apparent turnaround for sales, last year was the worst on record for Spain's home-building industry, with planning approvals down by 17 per cent in 2010.

'Worst year on record' for Spanish house-builders

Tue, 15 Mar 2011 00:00:00 GMT

Last year was the worst on record for Spain's home-building industry, with just 91,662 planning approvals in 2010, down 17 per cent on 2009 and 89 per cent on the record 865,561 in 2006.

The news could be welcomed by individuals looking to buy property in Spain, with there still plenty of opportunities to pick up a bargain.

Indeed, the market's collapse since reaching its peak in 2007 has been mainly a result of a severe oversupply of properties available for sale.

Commenting on the fall, Mark Stucklin, head of Spanish Property Insight, said: "This figure is dramatic, it tells a story of an industry that has all but collapsed.

"And not just any industry; residential construction was responsible for much of Spain's growth in employment and GDP over the last decade."

Meanwhile, Amanda Lamb, presenter of A Place in the Sun, recently claimed that Spain is one of the top five countries for individuals to invest in property abroad.

Spanish property market sees planning approvals decline

Sat, 12 Mar 2011 00:00:00 GMT

The Spanish property market has seen planning approvals decline by 89 per cent in the last four years.

Indeed, there were just 91,662 approvals last year, compared with the record 865,561 in 2006.

While this is still bad news for the construction sector in Spain, it does at least suggest that the market is now bottoming out. Mark Stucklin, from Spanish Property Insight, said that this could be "the beginning of the end of this crisis". He added: "I forecast that 2010 will mark the bottom of this cycle for Spain's residential construction industry.

"New home construction will start growing again in 2011, albeit weakly and from an exceptionally low base."

Meanwhile, Spanish property prices are still declining with a drop of 4.5 per cent recorded in the year to February 2011. According to Kyero, there are new factors beginning to affect the market after the major changes in taxation implemented in 2010.

This year, the rise in inflation and the increase in mortgage rates are likely to be the main issues in the Spanish property market.

Developers showing greater confidence in Spain

Tue, 8 Feb 2011 00:00:00 GMT

As developers start to show greater confidence in the Spanish property market, buyers are beginning to return, one local real estate company has claimed.

Chris Mercer, director of Mercers, explained that many holiday home buyers are returning to the market in order to take advantage of the fact that the market has bottomed out.

As a result, he said that a growing number of developers are starting to embark on new projects.

"I imagine that both entities feel that the market has bottomed, prices are indeed 50 to 60 per cent off bringing them down to levels of a decade ago and from here the only way is up," Mr Mercer added.

"As always, price is king. Resales offer stunning value for money, generally they are furnished, in established areas and easier to mortgage."

Recently, the Organisation for Economic Co-operation and Development claimed that unemployment in Spain needs to be tackled if the country's economy - and property market - is to recover.

Bulgarian property market predicted to improve this year

Wed, 2 Feb 2011 00:00:00 GMT

The property market in Bulgaria will begin to improve in the second half of this year, a major property consultancy has forecast.

Colliers has suggested that there will be a rebound in sales in the country in line with an improvement in the Bulgarian economic situation.

However, according to the firm, there still remains a risk that when the market eventually turns there could be a shortage of high-end properties as a result of a lack of new developments and projects in 2010.

Meanwhile, those interested in purchasing property in Bulgaria may be interested to learn that average prices in the country have fallen to less than 33 per cent of their market peak in 2008.

Added to this, the number of building permits and new buildings had also fallen to well below their peak.

Figures released by the National Statistics Institute show that the price of real estate last year fell to 964 leva per square metre, with the cheapest homes found in the town of Kyustendil.

Long-term outlook strong in Oz, despite floods

Mon, 24 Jan 2011 00:00:00 GMT

The recent floods in Australia are expected to have a positive impact on the property and construction industries in the long-term, one expert has suggested.

Writing for the Gold Coast Mail, Noel Whittaker, director of Whittaker Macnaught Pty Ltd, has explained that although there is likely to be a short-term impact on economic activity, the future looks bright.

"Once the mess is cleaned up, the building industry and industries that depend on it will be flat out as reconstruction and renovation occurs," he wrote.

"One builder even went so far as to tell me that the floods could save the building industry as high interest rates and lack of funds had virtually crippled it."

Furthermore, Mr Whittaker advocated the benefits of diversification and only buying growth assets such as property or shares.

He told investors to keep their financial affairs in order and keep a range of assets that include "residential property, local and international shares and term deposits"

Developer sees property sales increase in Spain

Tue, 18 Jan 2011 00:00:00 GMT

One major developer in Spain has revealed that it saw an increase in sales of 50 per cent over the course of 2010.

Taylor Wimpey de Espana has announced that the official end-of-year figures were particularly bolstered by sales to those looking to buy property in the Balearic island of Mallorca.

"Mallorca has seen particularly positive figures due to two important factors," said Javier Ballester, managing director of the firm.

"Firstly, we were not hugely overstocked as the recession hit so the supply and demand was always in our favour. Secondly, Mallorca is still considered a unique place and in many ways superior to some of the mainland destinations."

Mr Ballester added that foreign buyers had been convinced to enter the Spanish real estate market as a result of the price adjustments that have been experienced in the sector.

Some homes in Mallorca, for example, have seen reductions of up to 25 per cent, he added.

Confidence to grow in UAE property market

Mon, 17 Jan 2011 00:00:00 GMT

Property investors have been advised to buy homes in the UAE now, before prices start to climb once again.

Nicholas Marr, chief executive of Homesgofast.com, has claimed that knowledgeable buyers are likely to already be looking at what is available on the market.

"Savvy investors all know that profits are made not only on the sale but on the purchase and with Dubai property prices at an all time low, 2011 could be good for the early worm investors seeking good returns as the market bounces back," he said,

The news follows statistics recently-released by Asteco which show that the average price of apartments in Dubai fell by another two per cent during the fourth quarter of 2010.

However, Mr Marr is confident about the long-term prospects for the market, stating that he expects investor sentiment in Dubai to rise over the coming 12 months.

"The Dubai credit risk has eased and investors should be happy to see that the Dubai government has taken equity stakes in Dubai World further boosting the project," he added.

Brazil achieving 'full employment'

Wed, 22 Dec 2010 00:00:00 GMT

President of Brazil Luiz Inacio Lula da Silva has said that the country is close to achieving full employment.

The news could be welcomed by those looking to buy property in Brazil as an investment as the news could lead to more people in the country looking to buy a home.

Brazil's unemployment rate fell to a record 5.7 per cent in November, down from six percent the month before, the country's national statistics agency said recently.

According to Lula, this will be a persistent pattern as more people in Brazil find work.

"We are in a full employment pattern," Bloomberg quotes him as saying in his weekly radio programme broadcast nationwide.

"The unemployment number will continue to drop," he added.

It follows recent comments by Zeca Grabowsky, chief executive of Brazil's largest real estate developer PDG.

Speaking at the Reuters Brazil Investment Summit in Rio de Janeiro, he dismissed claims that the Brazil property market was experiencing a bubble, saying that growth was being driven by real demand from people looking to buy a home for the first time.

Spain prices have 'bottomed out'

Fri, 17 Dec 2010 00:00:00 GMT

Individuals looking to buy property in Spain will be pleased to hear that the market in the country has bottomed out and prices are beginning to stabilise, Overseas Property Professional has reported.

According to the Property Industry Report published by Instituto de Practica Empresarial, one of the primary contributing factors behind the stabilisation is the lack of fluctuation in the number of approved properties and the number of started properties.

Indeed, the news provider reported that, at the end of 2010, approved properties in Spain stood at 117,000, while the number of developments started was 160,000.

The organisation has forecast that home values will continue to stabilise, adding that some regions of the country could even see prices increase because of a decrease in supply.

Jose Antonio Perez, director of research at IPC, told the news provider: "Now is the time to start working on new plans of action and getting projects and developments underway because otherwise we could find ourselves faced with another collapse in demand in 2012-13 and the subsequent price falls."

British buyers tempted by French new-builds

Tue, 30 Nov 2010 00:00:00 GMT

A new generation of British property investors have become interested in buying French real estate, it has been claimed.

The increased availability of new-build homes in the country has caught the attention of investors, with many looking to take advantage of the low cost, minimum maintenance buying opportunities.

"A shortage of homes throughout France has seen increased house building activity and the fact that they are much cheaper than resale properties with mortgages easier to obtain means there is a lot of interest," said Patrick Joseph, of French property website My-French-House.com.

"There are some fantastic opportunities to be had in the new build sector, all ready to move into and perfect for families looking for a second home within easy reach of the UK."

Furthermore, those looking to buy property in France will be encouraged by the expert's belief that the real estate market in the country is buoyant, thanks to low mortgage rates and good availability.

Warnings sounded about property bubble in Thailand

Thu, 18 Nov 2010 00:00:00 GMT

Concerns surrounding the creation of a property bubble in Thailand have been raised by the country's Agency for Real Estate Affairs (AREA), Property Report has revealed.

AREA has warned that, if created, the bubble may burst if the planned numbers of launched units are completed in a few years time.

Indeed, the news provider explains that a total of 107,508 units spanning 398 developments may be underway by the end of the year, compared to just 57,604 units from 283 developments in 2009.

And AREA president Dr Sopon Pornchokchai warned that there was a genuine risk of the bubble bursting if the market continues to grow at the same pace as this year through to 2012-13.

"It will lead to an oversupply in the market. Resale prices and rents will also drop accordingly," he told the news provider.

"This would cause troubles to financial institutions that currently extend high-percentage mortgage loans, also to shareholders of those financial institutions, and last but not least to the overall Thai economy."

New development planned for French Alps

Wed, 10 Nov 2010 00:00:00 GMT

In excess of a thousand new properties are to be built in French ski resorts, it has been announced.

The news is sure to interest individuals looking at Midi-Pyrenees property listings or those searching for Provence-Alpes-Cote d'Azur property for sale.

According to developer MGM Group, the holiday homes will be state of the art in terms of both sustainability and economy.

Richard Deans, of MGM’s UK sales office in London, said that this is the company's biggest undertaking so far this year.

He explained that with market growth in the French Alps gaining momentum, MGM is looking to take advantage by building a "higher than usual number of sites".

Mr Deans added that demand has pushed property prices in the French Alps back up to the pre-credit crunch levels of 2007.

"While current demand makes further rises inevitable, currency exchange rate fluctuations may temper the high levels of demand we saw in the summer. Sales in July and August this year were the best I can ever remember," he said.

Development in Brazil will 'change real estate market'

Fri, 5 Nov 2010 00:00:00 GMT

Development and regeneration of parts of Brazil's second largest city is set to change the real estate market in the country.

According to the Brazilian Institute of Architecture, bidding is to begin for a facelift for parts of Rio de Janeiro.

Real estate professionals believe that the refurbishment will have a knock-on effect on property prices both in the areas where the work is to be done and in surrounding regions.

The results of a recent study undertaken by the Brazil Real Estate & Land Investment Guide show that rental figures in the city have also witnessed a rapid increase.

"People are struggling to find good rental accommodation, particularly close to the beaches in the south zone such as Copacabana, Leblon and Ipanema, property owners have therefore upped their rates which are often doubled at Christmas, New Year and during the annual carnival in February," explained Ruban Selvanayagam.

Meanwhile, the Brazilian Tourist Office recently announced that there have been an "amazing" number of visits to the country's tourism website.

Construction boom boosting Turkish property market

Tue, 2 Nov 2010 00:00:00 GMT

Rapid economic growth in Turkey is helping to contribute to a construction boom in the country.

According to figures from the Turkish Statistic Institute, the construction sector has expanded by 21.9 per cent in the second quarter of 2010, Intasure has reported.

The country's economy as a whole jumped by10.3 per cent over the period, which makes it the third fastest growing in the world.

On the back of this, the Turkish property sector is also experiencing an upturn in fortune.

David Walker, vice-chairman of the Board for the Turkish British Chamber of Commerce and Industry, said: "We are seeing greater numbers of Europeans seeking to invest in Turkey's growing economy and property is one of the most popular means of doing so, offering twofold benefits for purchasers as an investment into a growth market and a tangible asset that buyers can enjoy personally too."

Indeed, statistics released by the Turkish General Directorate of Land Registry earlier this year revealed that 32,000 Brits are registered property owners in the country.

Theme park to boost Spanish property prices

Fri, 22 Oct 2010 00:00:00 GMT

A new theme park opening in Spain is likely to give the nation’s hard-hit real estate market a much-needed boost, it has been suggested.

The park, which is expected to attract as many as three million tourists every year, will be built by Paramount Pictures and will be the first one that the US giant has constructed in Europe.

Chris Mercer, director of Murcia-based estate agents Mercers, believes that the development has the potential to have a big impact on the Spanish property market.

“During construction phase, which realistically has to be three years plus, there will not be any momentous shift in house prices, especially as Spain as a whole continues to undergo a tough correction process,” he said.

“I also think it’s fairly safe to say that prices will not fall further in this area and for those waiting on the sidelines, my advice is simply to not wait any longer. Prices will inevitably start to rise as this project gets off the ground.”

Indeed, Mr Mercer used the individuals who had purchased rental property in Florida near Disney World as an example of the opportunities open to investors.

America’s Disney resorts said that the park could boost equity and rental potential by at least 25 per cent, like at its other parks.

Demand high for Turkish property

Sat, 2 Oct 2010 00:00:00 GMT

Demand from property investors and buyers in Turkey means that developers are struggling to cope.

Julian Walker, director of agent Spot Blue, highlighted the European City of Culture, Istanbul, as one region which was doing particularly well.

Its popularity with tourists and various attractions means that many buy-to-let investors have looked to capitalise on property opportunities in the destination.

The property expert explained that a number of factors, combined with strong economic growth in the country, meant that developers are struggling to meet demand from buyers.

"Istanbul offers an excellent investment opportunity, attracting an increasing domestic market looking for property rentals as well as international visitors," he added.

"Sales of properties are strong considering the global economic climate and more developments will be coming to the market to suit the cosmopolitan communities."

Individuals looking to purchase property in Turkey may be interested to hear that a recent Global Property Guide report recommended it as a favourable country for investment.

Construction in Bulgaria 'on the road to recovery'

Tue, 24 Aug 2010 00:00:00 GMT

The number of construction permits issued in Bulgaria increased in the second quarter of 2010, compared to the first three months of the year, according to figures from the National Statistics Institute.

In news which may interest those looking for property in Burgas or homes for sale in Blagoevgrad, the data highlights that 1,441 residential permits were issued between April and June 2010 for a total of 3,933 apartments, reports the Novinite.

This represents increases of 46 per cent and 41 per cent respectively, compared with January to March 2010. However, it marked drops of 21 per cent and 13 per cent year-on-year.
In particular, construction is picking up in the Varna region, where 176 permits were issued, followed by city of Sofia, the Burgas region, the Plovdiv region and the Sofia region.

The highest number of residential units will be built in Varna, followed by Blagoevgrad, Sofia and Plovdiv.

Earlier this month, data from the National Statistical Institute highlighted that house prices fell during the second quarter of 2010 by an average of 0.8 per cent.

Portuguese property 'embracing designer architecture'

Fri, 27 Mar 2009 00:00:00 GMT

Modern designer architectural styles of housebuilding are becoming more prominent in Portugal, it has been stated.

Developer Ted Baillie, who has been responsible for a number of such projects on the west coast of the country, told the Independent that the use of glass has increased, while stone and timber are less in use than before.

This is because people like to enjoy some "space and light" in their houses, he said.

Mr Baillie added: "On the Algarve there's a lot of traditional-style development but you can definitely see a move towards modern design."

Such developments may tempt people looking for Portugal property, as might other reasons such as golf tourism.

As well as providing chances for people to play themselves, the country also stages tournaments with big-name players, such as the Portuguese Open.

Won in recent years by the likes of Paul Broadhurst and Miguel Angel Jiminez, the event takes place at Estoril this year from April 2nd to 5th.

Builders anticipate apprentice wage subsidies

Tue, 17 Feb 2009 00:00:00 GMT

Canberra builders have voiced their support for a Federal Government plan to subsidise the wages of apprentices who would otherwise be fired...

UAE developer halts new builds

Fri, 30 Jan 2009 00:00:00 GMT

One of the UAE's major property developers has had to delay construction on a number of new projects due to the economic downturn.

Sorouh, Abu Dhabi's second-largest real estate firm, has been forced to complete existing builds before undertaking any new work as a result of the credit crunch, explaining that it would not make financial sense to begin construction when the market conditions are so unfavourable.

"Why would we want to launch something when the market is stressed out? It is prudent for developers to exhaust current stock before launching new ones," chief property development officer Gurjit Singh said, speaking at the Abu Dhabi Real Estate and Investment Show.

And while he refused to give details of the firm's upcoming plans, he noted that the projects will "have a sharper focus on cost management".

Emaar Properties recently stated that prices of property in Dubai are likely to fall, with chairman of the company Mohamad Alabbar predicting that values will drop by an average of 20 per cent.

Brisbane's turn for infrastructure funding: Newman

Thu, 29 Jan 2009 00:00:00 GMT

Brisbane Lord Mayor Campbell Newman says the Federal Government should not reward New South Wales with infrastructure funding for poor planning...

Sofia: 2nd attempt for sale of municipal construction company BKS-Center Sofia

Tue, 27 Jan 2009 00:00:00 GMT

Municipal construction company BKS-Center SPJSC Sofia will be sold at a 1-stage procedure. The minimal bid price will be BGN 5.2 mln and the deadline for purchase of documentation is February 16. The deadline for application is March 18. This is the se...

Housing survey prompts calls to free up land

Mon, 26 Jan 2009 00:00:00 GMT

The Housing Industry Assn says there is a shortage of land for development in SE Qld...

High profile luxury resort in Bahrain cancelled amid turmoil

Thu, 22 Jan 2009 00:00:00 GMT

A $2 billion dollar luxury beachfront development close to the Bahrain Formula One racetrack is the latest high profile project in the Middle East to be cancelled...

Mega-projects to fuel domestic cement demand in 2009

Thu, 22 Jan 2009 00:00:00 GMT

Domestic cement demand is expected to remain robust during 2009, fuelled in large part by planned investments in major infrastructure projects, integrated tourism and residential complexes, and general housing growth, according to a top official of Oman Cement Company...

Firms In UAE Renegotiate Prices Of Construction Materials

Thu, 22 Jan 2009 00:00:00 GMT

Companies in UAE are cancelling orders from building material suppliers in an attempt to renegotiate prices of construction materials...

Construction halted on 'world's tallest' tower

Mon, 19 Jan 2009 00:00:00 GMT

The credit crunch has caused state-owned property developer Nakheel to suspend construction of what is set to become the world's tallest tower in Dubai.

Work on the one-kilometre high Nakheel Harbour and Tower- the plans for which were unveiled in October of last year - has been put on hold for a year following the onset of the credit crunch and the deteriorating market conditions.

"This is part of our readjustment of our immediate business plans, to better reflect the current market trends and match supply with demand," a spokesperson for the company said in a statement, adding that foundation work for the tower is likely to take three years to complete.

Elsewhere in the emirate, a report by Asteco has revealed that rental rates for apartments levelled off during the course of 2008.

The average rent for a one-bedroom apartment now stands at AED123,000 (GBP22,480), while three-bed examples currently command rates of AED243,000.

Albania Club Med begins Construction

Sat, 17 Jan 2009 00:00:00 GMT

Jan 17th - This article below is Great News for the tourism in Albania ! There are a number of plans for big touristic projects throughout the coast but at last the first one of any genuine size is under way. This should have a snowball effect and we this expect good news to yet again increase the numbers of tourists who are coming to Albania as a new holiday destination in Europe “Construction work has begun on Albania's first Club Med seaside resort village. Four years after the government gave the go-ahead, television pictures showed building equipment and heavy machines digging near the beach on the bay of Kakome, facing Greece's holiday island of Corfu...

Work stops on world's highest tower amid fears of Middle East meltdown

Fri, 16 Jan 2009 00:00:00 GMT

Work on the world's highest tower in Dubai has been halted by the global financial crisis in the starkest sign yet that developers are facing meltdown...

Simplex wins housing contract in Libya

Thu, 15 Jan 2009 00:00:00 GMT

Simplex, an Indian construction firm, has announced it has received a contract worth 20 billion rupees ($405 million) to develop a housing project in Libya. According to the developer, the project is to consist of more than 2,000 houses and will be built over the next three years. The contract includes work on infrastructure such as...

RAK Free Zone projects on schedule

Wed, 14 Jan 2009 00:00:00 GMT

All the flagship projects and expansion plans of the Ras Al Khaimah Free Zone authority will be completed on schedule, according to the free zone's chief executive officer. "The current global financial slowdown will not impede Ras Al Khaimah Free Zone's (RAK FTZ) expansion projects to...

Redrow aims to cut costs as margins worsen

Wed, 14 Jan 2009 00:00:00 GMT

Margins at Redrow will worsen by five percentage points this year, the housebuilder warned, after announcing falls in selling prices and radical cuts in its building programme...