Real Estate & Investment News in United Arab Emirates from Propertyshowrooms.com

Dubai residential property 'will outperform commercial'

Wed, 8 Feb 2012 00:00:00 GMT

Residential property in Dubai will perform better than commercial assets, such as offices, over the course of 2012.

This is one of the predictions featured in an overview of the emirate's real estate market published by the Dubai Chronicle, which noted there was an increase in the number of transactions in the residential sector in the final quarter of 2011, compared to the previous three-month period.

While rents for offices in prime locations remained broadly stable during this timeframe, the secondary market struggled with oversupply and weakening demand, the publication stated.

According to the news provider, Dubai's residential real estate industry is in a better position because "stronger demand fundamentals are sustained by solid population growth".

Last month, Jones Lang LaSalle highlighted villa developments as more favourable investments than flats, noting the former are "generally expected to outperform apartments this year".

The firm was optimistic there will be an increase in the number of transactions completed in the United Arab Emirate's real estate market during 2012, with private investors and high net worth individuals expected to account for a larger proportion of purchases.

Abu Dhabi property deals rise in 2011

Fri, 27 Jan 2012 00:00:00 GMT

The value of real estate transactions completed in Abu Dhabi in 2011 reached AED 42.9 billion (£7.5 billion), authorities in the emirate have revealed.

Adel Hussain, a media consultant for the municipality, told Gulf News that this represents a five per cent increase compared to the volume of deals recorded in 2010.

Acting executive director of municipal services Awaidah Al Qubaisi told the publication there is now more positive sentiment surrounding property in Abu Dhabi than there was 12 months ago.

"There was increased investor confidence last year in the Abu Dhabi economy, which resulted in the high number of transactions. The municipality has also worked to simplify transaction processes," he stated.

Earlier this month, Jones Lang LaSalle predicted there will be a greater volume of property deals in the United Arab Emirates (UAE) in 2012 than in 2011, as a growing number of high net worth individuals and private investors are showing an interest in the UAE's residential market.

More transactions predicted in UAE property market

Wed, 25 Jan 2012 00:00:00 GMT

A rise in the number of real estate transactions carried out in the United Arab Emirates (UAE) has been predicted this year.

In its Top Trends for UAE Real Estate in 2012 report, Jones Lang LaSalle stated that the UAE property market will be driven forward by private investors and high net worth individuals.

The firm added the majority of purchases are likely to be in the residential sector, although cautioned there will be increasing polarisation between the highest quality assets and less desirable projects.

Craig Plumb, head of research at Jones Lang LaSalle in the Middle East and North Africa, commented: "Lower prices, more choice of higher quality product and its role as a regional safe haven will increase the attractiveness of the UAE market to both occupiers and investors in 2012."

Earlier this month, the REIDIN.com December property price index for Dubai and Abu Dhabi revealed the value of real estate in Dubai climbed by 1.09 per cent, compared to November, while in Abu Dhabi, prices dropped by 0.65 per cent during the same period.

Dubai property a target for "adventurous investors"

Thu, 12 Jan 2012 00:00:00 GMT

Despite Dubai's construction and property markets experiencing significant difficulties during the recession in the United Arab Emirates (UAE), there are signs the industry is recovering.

This is according to Assetz, which noted construction on some projects in "quality locations" has resumed recently.

The firm pointed out prices and rents have started to climb as a result of a lack of supply of prime apartments in desirable areas, particularly in completed developments.

However, investing in property in Dubai is not for everyone, the organisation stressed.

"Adventurous investors may wish to look at this market, but will need to visit to gain local knowledge or deal with a good agent," the Assetz report stated.

Earlier this month, the Dubai Land Department reported a 20 per cent increase in the number of real estate transactions processed during 2011, compared with the previous year. Collectively, the deals were valued at 143 billion UAE dirhams (£25 billion).

Director general of the Land Department Sultan Butti bin Mejrin praised the local government for its efforts to return Dubai's real estate market to stability and growth.

Indian investors eyeing Dubai property

Wed, 6 Jul 2011 00:00:00 GMT

Indian investors are said to be eyeing Dubai property after big rises in Mumbai and Delhi have made the emirate an attractive prospect.

Steep corrections in Dubai have led to prices stabilising in prime regions, Emirates 24 reports, with experts suggesting Indian speculators will take advantage of this trend.

Floyd Pinto, manager of customer care at Better Homes, told the newspaper that Indian buyers already constitute the largest group in real estate purchases in Dubai.

"The enquiries have gone up and we could expect a rise in transactions," he remarked. "There are enquiries typically for every property from low range to high end."

According to Mr Pinto, those looking to purchase in bulk are asking after top-quality properties at mid-range prices.

Chairman of Emaar Properties Mohammed Alabbar recently said that the United Arab Emirate government's decision to extend the validity of visas for overseas real estate investors should boost confidence in the sector.

Dubai property market sees $33.5bn worth of transactions

Mon, 21 Mar 2011 00:00:00 GMT

Despite the recent economic crisis, the level of transactions in the Dubai property market reached $33.5 billion during 2010, new figures have shown.

The news may encourage more people to invest in property in the UAE, with it suggesting that confidence in the region is increasing.

Indeed, according to head of the emirate's Land Department, Sultan Butti Bin Mejrin, the numbers were "promising, considering the crisis".

Since their peak which occurred in mid-2008, real estate values in Dubai have slumped by 62 per cent after the global credit crisis saw speculative demand fall.

However, the latest figures from Deutsche Bank show that real estate prices in Dubai fell 1.7 per cent in February.

The organisation claimed that the emirate's property market is still not back on track and could see declines of up to 30 per cent in next two years.

"We do not see any improvement in fundamentals that could trigger a recovery," the bank said in its report.

Growing number of investors looking at Dubai

Fri, 11 Mar 2011 00:00:00 GMT

The number of overseas investors active in the UAE property market is starting to rise, as the economic situation continues to improve.

This is according to Landmark Properties, which noted that those looking to buy property in the emirates are becoming increasingly confident about the long-term growth prospects on offer there.

"From the end of last year onwards, we have seen a definite increase in interest from overseas clients," Michael Michael, director of sales at the firm, said.

He explained that while the majority of the investors were from countries within the GCC or Eastern Europe, there are others from further afield.

"[This indicates] a growing sentiment that Dubai's property market is now offering investors greater value for money," Mr Michael added.

According to the property firm, overseas clients are increasingly looking for different types of property, across a variety of sectors. The company forecast that industrial property will be the most popular among clients as a result of the quantity of quality stock in Dubai and the emirate's good trade and business prospects.

Political instability likely to boost UAE property investment

Tue, 1 Mar 2011 00:00:00 GMT

Political unrest and instability in nations such as Tunisia and Libya is expected to act as a boost to the property market in the UAE.

The chief investment officer and acting general manager of private banking at Emirates NBD has commented on how situations in MENA countries will positively impact property investment in Dubai.

Gary Dugan explained: "The premium segment of Dubai's property sector is likely to get a boost from capital inflows from some of the countries that are facing political turmoil in the region."

The expert forecast that those with assets in the MENA region are increasingly moving capital towards the emirate, which is recognised as the most secure market in the region.

"Local equities still prove attractive, but investors should wait before buying emerging market equities, which face near-term challenges and equity prices in general are no longer as low as they were. Investors are advised to buy global developed market equities but with care," Mr Dugan added.

Prices uncertain on UAE property

Sat, 24 Jul 2010 00:00:00 GMT

A lack of activity within the Dubai property market is making it impossible to assess exactly how low prices have dropped.

Writing for Bloomberg. Zainab Fattah interviewed a number of analysts and experts on the property market in Dubai on the matter.

The lack of foreclosure auctions and sales means potential purchasers do not have enough data to see what properties are worth in the region.
In addition, the Dubai Land Department's data is also too patchy and incomplete to offer a proper idea of prices.

Prices are known to have fallen since their 2008 peak but Craig Plumb of Jones Lang LaSalle said that until there are more foreclosures, "we are not going to see the bottom of the market".

The National Newspaper, however, has reported that the prospects for the UAE are improving.

A debt restructuring plan has been devised for bankers and the developer Emaar Properties recorded a quarterly profit increase.

The newspaper noted that property sales had suffered as a result of the recession and prices may still continue to fall before recovering.

Buyer's market appearing in the UAE

Fri, 9 Jul 2010 00:00:00 GMT

Individuals looking to buy property in the UAE will be heading into a buyer's market, with falling prices and oversupply driving demand from prospective purchasers.

The latest report from property consultant Cluttons has revealed that investors are increasingly finding themselves in a favourable position when buying real estate in the emirate.

In particular, a drop in value of property in Dubai is likely to lead to an increase in demand for homes in the region.

Steve Morgan, head of Cluttons UAE, explained that buyers now had the ability to negotiate with vendors.

"Ongoing price reductions have opened up the Dubai property market for a wider selection of potential purchasers, who are becoming increasingly discerning in their property search," he added.

"Whereas once the landlord or seller held a strong position, we now see buyers negotiating with landlords to bring prices well below the asking price."

The government has introduced a new guarantee for investors in the region, which aims to ensure projects are completed and finance secured.

Lifestyle buyers returning to the UAE

Wed, 24 Feb 2010 00:00:00 GMT

There has been a shift in the type of buyers purchasing property in one development in the UAE, it has been announced.

Since the economic downturn, many investors have been avoiding the property market in the emirate, but now one developer has reported that British lifestyle buyers are taking their place.

At the Oceana Residence, developer Asteco recorded AED60 million worth of sales last month.

Ian Hollingdale, Asteco's head of the development project, explained that the majority of investors were Brits.

He continued: "Prior to the downturn, many sales were made to investors who were primarily using their purchase as an investment vehicle.

"Now investors are also end-users, buying into a family-focused resort lifestyle. Of course some owners will rent out their apartments when they are not in use, but the buyers' sentiment has changed."

Earlier this year, a Sales and Price Index for Dubai was launched. It represents the emirate's first accurate property index and will help to bring transparency to the market.

Developers in the UAE focus on sustainability

Fri, 19 Feb 2010 00:00:00 GMT

The UAE has received a glowing report about the prospects of its economy in 2010 and in turn its investment potential.

Speaking ahead of their property exhibition for the region, Cityscape has given its backing to new real estate builds in the area.

Chris Speller, Cityscape group director, explained that developers in Abu Dhabi had placed sustainability, cost cutting and target delivery at the forefront of their new projects in the emirate and as such the location could represent a good investment option for individuals.

He continued: "Abu Dhabi officials expect the emirates' economy as a whole to grow by as much as four per cent this year."

The Cityscape conference will showcase more than 120 speakers representing the numerous investment companies and will focus its themes around transparency, investment strategy and project delivery.

Earlier this year, REDIN.com launched a Sales and Price Index for Dubai, the emirate's first accurate property index, with the aim of increasing transparency in the region's property market.

UAE offers investors 'opportunities not found elsewhere'

Mon, 18 Jan 2010 00:00:00 GMT

According to one property expert individuals should not be put off looking to the UAE for investment opportunities.

Reports that the property market in Dubai is now stabilising and these claims may make the country an attractive prospect for people once again.

Nicholas Marr, CEO of homesgofast.com, admits that the economic climate has caused investor confidence to lessen but insists that there is still plenty of scope for people to buy.

Mr Marr declared that it was the business sector that had been hit hardest by the economic fallout, insisting that lifestyle buyers could still find good unique purchase prospects.

"The compelling reasons why Dubai was the place to invest are still there albeit in a different guise," he said.

"However time will prove that Dubai still offers overseas investors opportunities not found in many other regions."

The most recent figures released by the Colliers International house price index found that property prices in Dubai increased by seven per cent in the third quarter of the year.

New agreement will 'increase transparency' in the UAE

Tue, 12 Jan 2010 00:00:00 GMT

The Real Estate Regulatory Agency (RERA) is looking to "increase transparency" within the property market in UAE after striking a new deal with the Ministry of Labour.

The new guidelines will go a long way towards ending any malpractice within the region, something which RERA is keen to put an end to.

Marwan bin Ghulaita, chief executive officer of the agency, said the move, which will see property brokers no longer referred to as simply "sales staff", has been implemented in an attempt to ensure a professional approach is taken towards investment.

"This in turn will boost confidence in property dealings and in the networks of agents and third parties investors depend on to execute their transactions," he explained.

Mr Bin Ghulatia went on to describe the move as "the first step towards the complete classification of the real estates professions in Dubai".

The news comes after the central bank governor of the UAE, Sultan Nasser al Suweidi, stated that economic growth is set to rise over the coming year.

Dubai 'set for rise in 2010'

Thu, 24 Dec 2009 00:00:00 GMT

Dubai's property market is set for a surge in prices in 2010, it has been predicted.

Head of sales, marketing, PR and customer relations at developer Victory Heights Talal Chihabi told Trade Arabia that after a hard 2009, better times are on the way.

"The price rise would come on the back of a return of economic growth in the UAE, after a year of economic uncertainty and the completion of new developments," he stated.

Mr Chihabi predicted that the country will return to economic growth in the second quarter and that this will help bring about an average price rise of ten per cent.

The completion of attractive new build homes and pledges by the UAE's central bank to support increased lending for house purchases will help this process, he added.

Strategic consulting firm AT Kearney's 2010 Real Estate Global Opportunity Index recently said that the UAE will be the world's 18th best country in which to invest in real estate next year, compared to being 31st in 2008.

UAE destinations 'among region's best long-term prospects'

Wed, 30 Sep 2009 00:00:00 GMT

International property investors in the Middle East and north Africa should look to those places that have the best prospects for the long term, a report has said.

A study of the region by International property research firm Jones Lang LaSalle acknowledged that the area has suffered during the recent world economic crisis.

However, it said, those places with a good long-term prospect due to being competitive and offering healthy market conditions should still offer opportunities.

It cited Dubai and Abu Dhabi as among those places that should do well in this regard over the next two or three years.

The other places mentioned as prime places to invest in the report were Cairo in Egypt and Casablanca in Morocco.

Earlier this month, it was suggested that those buying in Dubai should look to purchase two-bedroom rental apartments, as these are always in strong demand among migrant workers.

This was recommended by head of research at overseas investment company Property Frontiers Christopher Chadd, who argued that Abu Dhabi's greater resources made it a better bet than its neighbouring emirate.

Dubai tipped as long-term only

Tue, 15 Sep 2009 00:00:00 GMT

Dubai is starting to offer good prospects for investors who can manage cash purchases - but only as long-term undertakings, an expert has said.

Editor of overseas investor magazine BuyAssociation Paul Collins remarked that the world property market is now improving, although he cautioned that a full recovery has not yet been established.

Referring to Dubai - where the decline in prices slowed down in the second quarter of this year - he stated: "This could be a perfect time to go for it because there will be some amazing offers on new developments that are out there."

However, long-term projects are necessary because it is the sort of economy that sees large booms and busts over shorter periods, Mr Collins asserted.

The expert was speaking after the second quarter report in global property prices by Knight Frank.

It showed that Dubai's property prices dropped by 7.5 per cent in the three months to June, compared with 41 per cent in the first quarter.

Dubai "attractive" for overseas property investors

Sat, 8 Aug 2009 00:00:00 GMT

The global economic downturn should not put property investors off from purchasing real estate in Dubai, a UAE businessman has stated.

Speaking in an interview with Gulf News, president of the Al Yousuf Group Eqbal Al Yousuf stated that the sector could give investors profits of "more than 20 per cent" in the long term.

"Dubai is still the Middle East's business hub," he remarked, adding that it has been an "attractive destination" for foreign investors since the market was opened up to overseas buyers.

Mr Al Yousuf added that the collapse of the property market in Dubai may have been exaggerated in the international media, adding that it was not as badly affected by the economic downturn as some may have thought.

Figures recently released by Colliers International showed that properties in the emirate are now worth an average of nine per cent less than they were in the first quarter of 2009.

Standardised UAE property laws 'would benefit investors'

Fri, 7 Aug 2009 00:00:00 GMT

Standardised laws are needed to help the UAE property sector recover from the economic downturn, it has been suggested.

Speaking to Emirates Business 24/7, chief executive officer at John Charcol Middle East Chris Dommett explained that federal and local legislation regarding property needs revaluating in order to improve "clarity and consistency".

This, he told the news source, "would boost the confidence of both local and foreign investors," something that may interest those considering purchasing property abroad.

However, Mr Dommett admitted that the federal nature of the UAE means each emirate will have to have control of their own laws.

His comments were supported by senior legal consultant Stephen Ballantine, who told the news source that current laws have been "badly drafted" and need a "thorough review".

Earlier this week, research from Colliers International revealed that properties in Dubai have decreased in value by around nine per cent since the first quarter of 2009.

Dubai property prices fall, figures show

Thu, 6 Aug 2009 00:00:00 GMT

The average value of residential property in Dubai decreased during the second quarter, a new report has revealed.

According to the latest Dubai House Price Index from Colliers International, properties in the emirate are now valued at around nine per cent less than they were in the opening three months of the year.

Villas saw their values shrink by 18 per cent over the time period, something that may be welcomed by those who have been considering purchasing such a property for investment purposes.

However, the prices of apartments remained more resilient, with these falling by three per cent.

Ian Albert, regional director for Colliers, explained that prices in the market seem to be approaching their lowest point.

"We would expect Q4 2009 to be a better indicator of future trends," he remarked, adding that Ramadan and summer holidays often lead to results for the third quarter being distorted.

The figures differ slightly from those released by property firm Asteco recently, which suggested that values of villas and apartments have dropped by 13 per cent and 15 per cent respectively.

UAE tip for foreclosed property seekers

Tue, 4 Aug 2009 00:00:00 GMT

Those looking at countries in which to buy foreclosed property should consider Abu Dhabi, an expert has said.

Head of research at investment portal Property Frontiers Christopher Chadd claimed that the investment prospects are particularly good for the emirate because its development has lagged behind that of neighbouring Dubai, meaning it has an "advantage" in having observed the latter's mistakes.

"The discounts are not the same as Dubai, but the state is far richer and the potential going forward is far greater," Mr Chadd commented, stating that for this reason an investment in Abu Dhabi would be a "solid addition to most portfolios."

Earlier this week, property experts CB Richard Ellis produced their second quarter analysis of the market in Abu Dhabi, which noted that it has suffered heavily from the downturn in the past year.

However, the report added, there are "encouraging" signs of stability emerging, with price falls being "significantly less" than in the first quarter of 2009.

UAE market 'becoming more stable'

Fri, 31 Jul 2009 00:00:00 GMT

The property sector in Abu Dhabi is stabilising after a period of swift decline, property experts CB Richard Ellis have said.

In its analysis of the market in the emirate during the second quarter (Q2), the firm noted that there have been declines in prices and activity, notably in the off-plan market, which has come to a "swift and abrupt end".

However, the situation has been improving, the report stated, noting: "Encouraging signs emerged in terms of price stability with declines during Q2 significantly less than previous quarters."

Such a situation may indicate that the market is bottoming out, which could make the near future a good time for investors to make acquisitions.

Earlier this month it was suggested that the market in Dubai may have hit its base.

Property firm Asteco reported that the fall in the costs of apartments and villas in the second quarter was less than in the first three months of the year, with prices now rising in developments such as the Palm Jumeirah project.

UAE developers 'adopt new strategies to attract investors'

Fri, 10 Jul 2009 00:00:00 GMT

Developers in the United Arab Emirates (UAE) are adopting new strategies in a bid to attract more investors during the economic downturn, it has been suggested.

According to an article in the Gulf News, purchasers now want to see evidence that projects are progressing rather than selecting properties from brochures.

With developers witnessing a fall in off-plan sales, many are now adopting new approaches to attract buyers such as "linking them with banks and lenders" or offering discounts for paying in cash.

Shyam Sunder, general manager of marketing at ETA Star, told the news source that "retention is more important than acquisition" at the moment and the only way to ensure confidence in the market is to "build and show".

The recent dip in the UAE property market could benefit investors in the long term, particularly as Dubai recently announced plans to bid for the 2020 Olympic Games and World Expo.

Property price falls 'draw investors to UAE'

Wed, 1 Jul 2009 00:00:00 GMT

The credit crunch does not appear to be putting off investors in the Middle East, one company has suggested.

Speaking as one of his firm's subsidiaries Anatara Resorts opened a new property in Liwa, Abu Dhabi, Minor Hotel Group chief operating officer Dilip Rajakarier indicated to Emirates Business 24/7 that the economic downturn is assisting those in the real estate sector.

"Investors are keen to invest in the future while property prices are down," he remarked.

The UAE economy will shrink by 0.8 per cent this year due to the effects of the global recession, according to a collection of forecasts assembled by the National.

However, a recovery is expected to begin next year, with Morgan Stanley publishing a report this week that suggests the worst may be over for the country.

How strong the upturn will be is dependent "on the momentum for global growth and the timely resolution of imbalances in its domestic property and credit markets", according to Mohammed Jaber, an analyst at the bank.

Dubai 'set for a comeback'

Wed, 3 Jun 2009 00:00:00 GMT

Dubai is set to bounce back from its recent property market dip because it still offers the infrastructure to attract investors, it has been stated.

Organiser of the Worldwide Property Show Mike Bridge said of the emirate: "Dubai is very much seen as a good place to live offshore," commenting that people from the UK may look to move there to avoid higher taxes being raised to pay for pensions.

He noted that factors such as the infrastructure, weather and high quality hotels are "not going to disappear" and that these will help draw back buyers.

Mr Bridge stated that there has been a recent upsurge in buying in the emirate, following a period of downturn when things were "pretty quiet".

Figures from HSBC have shown that Dubai property prices rose by four per cent in April and five per cent in May, while in Abu Dhabi saw a two per cent jump in April and a seven per cent increase last month.

Brits living abroad 'confident' about finances

Tue, 19 May 2009 00:00:00 GMT

Britons who have moved abroad overwhelmingly believe that they are better equipped to survive the recession than if they had stayed at home, a study has revealed.

NatWest carried out a poll of expatriates and identified the United Arab Emirates as the place where they are most confident.

The survey covered aspects such as the future of property prices, as well as changes in quality of life and employment prospects.

Overall 87 per cent of respondents told the bank they believe they are better off, even though many countries are facing economic problems.

Dave Isley of NatWest remarked: "The dream shared by many Brits of living a prosperous life abroad still appears to be alive and kicking, despite the global economic factors which have to some extent affected British expats."

Real estate firm Jones Lang LaSalle recently revealed that Abu Dhabi is the area of the Middle East and North Africa that investors expect to perform best over the next 12 to 24 months.

Oil country prices falling, says Rics

Thu, 5 Mar 2009 00:00:00 GMT

Oil-rich countries are seeing their property prices fall rapidly as a consequence of the recent plunge in the value of the commodity, the Royal Institution of Chartered Surveyors (Rics) has stated.

The Rics global property survey has identified significant falls in some of the world's leading oil producers, which have suffered as the global recession has taken its toll on oil prices.

Among these, the UAE has seen 85 per cent more surveyors expecting prices to fall than rise, whereas there had been a positive balance of 45 per cent in the previous quarter.

Such a trend could mean that now and the near future offer good prospects for investors, who may be able to buy at cheaper prices before seeing values rise when the world economy recovers and demand for oil increases.

This week saw the conclusion of the Abu Dhabi Economic Forum, in which officials have expressed optimism that the emirate will weather the economic storm.

Mohamed Jabber, the vice-president of Morgan Stanley, said the world economy will be in a "stability phase" by 2010, with China the first nation to emerge, Zawya.com reports.

Dubai property law changes 'may benefit investors'

Mon, 2 Mar 2009 00:00:00 GMT

New property developers in Dubai can no longer begin selling off-plan homes without paying 100 per cent of the land price, the emirate's Real Estate Regulatory Agency (Rera) has announced.

They will also have to use a proportion of a project's value to get construction underway, Emirates Business 24-7 reports.

"Besides paying land value in full and injecting 20 per cent of the project value to start construction, new developers will have to link payments to construction," chief executive officer of Rera Marwan bin Ghalita told the news source.

He added that the new regulations are to be implemented in March, while a new "cool off" law that will give investors 15 days to decide on whether they wish to commit to a contract will also be introduced in the future.

The announcement follows a recent prediction from Vince Easton of property consultancy firm Sherwoods, who told Arabian Business that the emirate's job market is likely to influence real estate prices.

Dubai property show opens to subdued demand

Wed, 18 Feb 2009 00:00:00 GMT

There has been a weak response to the opening of this year's International Property Show in Dubai, it has emerged.

The expedition, which began on Sunday, has seen far fewer visitors than when it was held last year, the Khaleej Times reports.

Dawood Al Shirawi of event organisers Strategic Marketing and Exhibition said that holding the event during the recession has been a "big challenge".

"Developers need to remain focused on their goal of continuing with the projects that they have already started and ensure that these projects are delivered on time," he told the news source, adding that Dubai is one city that is likely to recover from the credit crunch the fastest.

However, Abdullah M Al Shizawi of agricultural land firm Heart of Capital was less optimistic, stating that it could be take up to half a decade for the real estate industry to improve.

It was recently announced that Dubai's World of Discovery theme park, which is being developed by Nakheel, has been delayed by 12 months due to the credit crunch.

Egyptian bank 'may buy stake in Dubai developer'

Wed, 11 Feb 2009 00:00:00 GMT

One of Egypt's state-owned banks is examining the possibility of purchasing a share of UAE property developer Damac, it has emerged.

According to Reuters, the Housing and Development Bank is looking into investing in a stake of the real estate firm, which is Dubai's largest private construction company.

Damac is currently building property developments in Egypt worth in excess of 20 billion USD (13.5 billion GBP), including a 16.3 billion USD project on the country's Red Sea coast.

Such a move could affect property investors looking to make a purchase in either of the two countries, however Damac has refused to shed any light on the speculation, with vice president of corporate communications Niall McLoughlin telling Emirates Business: "It is a market rumour and we will not comment on it."

In related news, the Real Estate Regulatory Authority in Dubai recently moved to stop developers from increasing service charges after investors in the emirate expressed their anger at rising costs.

Service charge limit imposed by Dubai authorities

Tue, 10 Feb 2009 00:00:00 GMT

Dubai's property regulator has moved to prevent developers from increasing service charges with the introduction of a new set of rules.

The Real Estate Regulatory Authority (Rera) has made the move after some investors in the emirate became angry that developers have been increasing service charges while property prices were falling, Gulf News reports.

UK-based investors who have been considering purchasing property in Dubai may welcome the move, as it may mean it will become cheaper to make a purchase.

Chief executive for Rera Marwan Bin Ghalita told the news source that the agency had been receiving "a lot of complaints" over the issue.

"We are in the final step on creating one service charges formula to make sure that all developers follow it when calculating service charges," he added.

In related news, Dubai's state-owned developer Emaar Properties could have its credit rating cut by Moody's Investors Service, which is assessing its position on the company.

Dubai receives Irish recognition

Fri, 6 Feb 2009 00:00:00 GMT

The director of the UK office of Dubai's Department of Tourism and Commerce has welcomed news that the emirate has been voted as the best destination for the Middle East and Africa.

Ian Scott said that he was "delighted" with the recognition from the Irish Travel and Trade News Awards, noting that the win "reflects Dubai's position as one of the world's leading destinations".

"Dubai's evolution from a small port to the global hub it is today has been successfully achieved by the pioneering vision of its leaders and its impressive diversification into new sectors," he remarked, adding that the emirate offers a range of attractions for men, women, couples and families.

The award may help raise the profile of Dubai in Ireland, something that could benefit overseas property investors based in the UK.

However, the news comes as the property sector in the emirate is facing difficulty, with Dubai Waterfront Properties noting that rental prices have dropped by a third in the last two months due to oversupply.

Falling demand brings slide in Dubai rental prices

Fri, 6 Feb 2009 00:00:00 GMT

A lack of demand has seen the cost of renting property in Dubai fall by up to a third during the last two months, it has been claimed.

According to Nehad Abdelhamit, consultant at Dubai Waterfront Properties (DWP), annual rents for a two-bedroom villa in some of the emirate's most prestigious locations have dropped by almost 33 per cent, Arabian Business reports.

The flood of homeowners adding their houses to the rental market has been cited as a reason behind the falling prices.

"Most of the properties are not selling, so they are renting them instead to secure an income. People have got mortgages to pay," Ms Abdelhamit told the news source.

And Farida Khan, also of DWP, shared her opinion, stating: "There is so much stock available and much less demand."

The news follows the recent announcement that credit firm Moody's Investors Service is assessing its position on state-owned Dubai developer Emaar Properties.

Dubai developer faces rating evaluation

Thu, 5 Feb 2009 00:00:00 GMT

One of Dubai's leading property developers may have its credit rating cut by Moody's Investors Service, it has emerged.

The credit agency is assessing its position on six companies based in the emirate, including state-owned construction firm Emaar Properties.

Downgrading the company's credit rating may make it more difficult for Emaar to access the loans needed for it to fund new developments, something which could have an impact on the price of property in Dubai.

"Dubai has been hit harder than other economies in the region because of its higher debt load, relatively limited cash resources and a reliance on business sectors," Moody's explained in a statement, with senior vice president of the firm Philipp Lotter stating that the liquidity of companies operating in the emirate "cannot be taken for granted".

The announcement comes following recent research by property tracker reidin.com, which found that investment in Dubai's real estate sector fell during the final three months of 2009.

Investment falls in Dubai real estate

Fri, 30 Jan 2009 00:00:00 GMT

Investment in Dubai's real estate sector during the final quarter of 2008 fell compared to statistics from the previous quarter, new data has revealed.

The figure exceeded DH 58 billion (GBP 11 billion) over the final three months of the last year, research from online property tracker firm reidin.com showed.

A statement by the company said that the drop in investment "reflect[s] the current economic downturn, which has affected the property and real estate market in the region".

However, the website noted that "this has also created opportunities for regional and global investors to benefit from", news that may be welcomed by buyers who have been considering purchasing property in the emirate.

A study conducted by HSBC Holding earlier this month suggested that Dubai's property sector will see an improvement in activity when funding becomes easier to access.

According to Business 24-7, the survey forecast that buyer confidence will return once this takes place.

Investment potential shown as Dubai Airport sees record number of passengers

Thu, 29 Jan 2009 00:00:00 GMT

The popularity of Dubai and the United Arab Emirates has been underlined by Dubai International Airport posting record visitor numbers.

Boasting the world's largest air terminal, the airport served a staggering 34,348,110 passengers in 2008.

To put this into perspective the figure is more than half of the entire population of the UK.

Airport chief executive Paul Griffith explained that staff had dealt with the 9.01% increase in passenger numbers admirably.

"Anticipating record traffic during the peak season, we launched a summer rush campaign to ease the flow of passengers through our terminals," he told wam.org.ae.

"Some 300 volunteers were deployed around the airport, from parking areas all the way to the concourse, to help and guide passengers.

"The summer rush campaign's success can be gauged from the fact that between June and September, a record 12 million travellers passed through Dubai International without one incident of congestion or delay."

In golf, Europe's Ryder cup committee is expected to announce the new captain in Dubai on Wednesday.

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Dubai to benefit from midhaul trend

Wed, 28 Jan 2009 00:00:00 GMT

The tourism and property sectors in Dubai will receive a boost from the emirate's emergence as a "mid-haul favourite" this year, it has been claimed.

According to cheapflights.co.uk, mid-haul destinations are increasingly popular with British holidaymakers looking to travel further than countries in the eurozone without booking a long-haul flight.

The flight comparison website conducted an analysis of user searches which found that Dubai is currently the most popular mid-haul destination among UK travellers.

Nadine Hallak, travel expert at cheapflights.co.uk, commented: "Travel patterns are shifting to more adventurous pastures.

"It's clear that people are keen not only to save money, but also to escape the credit crunch by continuing to take holidays while enriching their travel experience by trying something different."

The Moroccan city of Marrakesh was another mid-haul destination revealed to be popular among Britons this year.

A large number of international visitors are expected in Dubai this week for the Dubai Desert Classic, a European Tour-sanctioned golf event which begins at the Emirates Golf Club on Thursday (January 29th).

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Middle Eastern developers 'upbeat' over property market

Tue, 27 Jan 2009 00:00:00 GMT

Property developers in the Middle East are remaining optimistic for the future of the sector despite the global economic downturn.

Speaking ahead of the opening of the Abu Dhabi Real Estate and Investment Show (IREIS) 2009, Antoine Georges, exhibitions director for event organisers Dome, stated that the economy in the UAE remains strong and that there are no plans for real estate firms operating in the region to cancel or postpone any of their projects.

"IREIS 2009 is of special importance because it is the first major real estate show to be held after the aggravation of the global financial crisis," he added, noting that the exhibition is expected to expand by 25 per cent on previous years, with approximately 100 firms attending from ten countries.

A similar event is also taking place in Dubai, with the International Property Show being held in the emirate's International Convention and Exhibition Centre next month, Aim 168 Real Estate reports.

Distressed selling good opportunity for investors

Tue, 27 Jan 2009 00:00:00 GMT

Distressed selling, an urgent sale of assets due to negative market conditions, of assets at a lower price will ironically ensure that 2009 is a positive year for investors in the GCC and around the world, said senior executives at United States investment bank Morgan Stanley, which manages...

Bank predicts fall in Dubai property value

Wed, 21 Jan 2009 00:00:00 GMT

Property in Dubai could fall in value by as much as 60 per cent during the course of 2009, one United Arab Emirates investment bank has claimed.

Shuaa Capital has cited negative population growth, project cancellations and lack of mortgage availability as some of the reasons for its forecast, with prices not expected to stabilise until the final quarter of the year or the start of 2010.

"'Prices in Dubai could lose 50 to 60 per cent by the end of 2009 from their peak last summer," analyst for the bank Roy Cherry explained, noting that it will be "tough" for the market to demonstrate "resilience" during the first six months of the year.

The prediction follows a recent report by real estate firm Asteco, which found that rental rates for apartments in the emirate levelled off throughout 2008.

Average growth for such properties was four per cent, the study found, with the rental market improving since the suspension of loan issuance by some banks.

Beckham planning Dubai property purchase

Fri, 9 Jan 2009 00:00:00 GMT

Football star David Beckham is believed to be considering another investment in luxury Dubai property.

The 33-year-old England international already owns one villa in the emirate with wife Victoria, but has now been approached by representatives of the Burj Dubai tower, according to reports.

Currently under construction, the skyscraper is set to be the tallest building in the world at about 820 metres and will be ready for occupation in September this year.

A source close to developer Nakheel Group told the Daily Star: "Beckham and the Burj Dubai would be the perfect fit … I believe he is being sounded out."

If he agrees to buy an apartment in the tower, the purchase is expected to cost Beckham about £5 million.

The former Real Madrid player recently flew into Dubai to attend a training camp with AC Milan, the club he joined on loan from LA Galaxy this year.

He made his debut for the Italian side in a friendly match against Hamburg on Tuesday (January 6th).

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Abu Dhabi property show to feature daily seminars

Thu, 8 Jan 2009 00:00:00 GMT

An upcoming property show in Abu Dhabi is to feature daily seminars covering aspects of the real estate sector, it has emerged.

The talks will address the latest developments in the United Arab Emirates property sector, as well as issues that have arisen following the global economic turndown, organisers of the International Real Estate and Investment Show 2009 revealed.

Antoine George, executive director of Dome, which is overseeing the three-day event, said the seminars will be held by experts and chief executives of major property developers.

"This will allow all participants to get acquainted with the latest developments in this vital sector amidst the current global financial crisis," he explained.

The issue of property sustainability may also be discussed at the event, after a survey by developer Nakheel found that the environmentally-friendly credentials of a property are now more important than its location.

According to the study, 47 per cent of those surveyed believe this to be the most important factor when making a purchase in the region.

Property sustainability 'most important' for Gulf investors

Mon, 5 Jan 2009 00:00:00 GMT

Investors interested in making purchases in the Middle East consider the sustainability of a property to be more important than its location, a new survey has revealed.

According to a study by developer Nakheel, half of respondents consider how environmentally-friendly a property is to be the most important element when buying, with 47 per cent feeling reliability is the deciding factor.

Healthy living and innovation came joint third in the study, with each believed to be most important by 43 per cent of those surveyed.

Managing director of Waterfront Nakheel Matt Joyce explained that this is the fist time environmental concerns have been seen as an influence on buyers.

"In the past, quality has been one of the most important factors for potential customers," he added.

London-based property advisor Mohammed Kashani-Akhavan recently described Dubai as being an ideal option for overseas buyers, noting that it is "a great time to invest" in the emirate.

Dubai infrastructure to benefit from public spending increase

Mon, 5 Jan 2009 00:00:00 GMT

New infrastructure development is expected to take place as a result of a 20 per cent increase in Dubai's public spending.

The emirate's government - which is due to reveal its budget next month - is to raise public spending in an effort to boost its economy in the current economic downturn.

Included in the development is continued expansion of the emirate's airport, director general of the Dubai Department of Finance Nasser al-Sheikh has stated.

Such expansion could help improve access to the region, one factor which overseas property investors may wish to consider when making a purchase in Dubai.

In related news today, investors considering buying property in the Middle East now rate sustainability and environmental credentials as the factors most likely to influence their decision, a study by property developer Nakheel has found.

Research by the firm revealed half of believe these factors to be most important, with 47 per cent stating they are most attracted by reliability.

DIP Launches 'Sunset' Mixed Development Project

Mon, 5 Jan 2009 00:00:00 GMT

Dubai Investment Properties (DIP), one of the leading real estate developers in UAE, announced the launch of its exclusive multi-million 'Sunset' mixed-use development project in Dubai...

Dubai Investment Properties Launches Luxury 'Sunset' Mixed Development Project

Mon, 5 Jan 2009 00:00:00 GMT

Dubai Investment Properties (DIP), one of the leading real estate developers in UAE, announced the launch of its exclusive multi-million 'Sunset' mixed-use development project in Dubai...

Dubai is safe place to invest

Mon, 5 Jan 2009 00:00:00 GMT

An overseas property expert has claimed that the Dubai market features a wealth of opportunities for low-risk investment.

Nicholas Marr, chief executive officer of Homesgofast.com, said that he considers the emirate to be "one of the safest places to buy real estate abroad".

Although admitting that the property market in Dubai has recently taken a knock from the global economic downturn, Mr Marr claimed that the emirate still offers "much room for capital growth".

He commented: "Like the rest of the world, Dubai has been affected by the global slowdown, but it appears not at the rate of other major housing markets.

"With the price reduction will come further demand once confidence returns to the markets."

Last month, Shelter Offshore reported that the many new golf developments being built in Dubai are set to attract more overseas buyers in the emirate over the next few years.

According to the website, Dubai is bidding to become "one of the world's leading golfing destinations".

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Sustainability Key Factor for Property Buyers

Fri, 2 Jan 2009 00:00:00 GMT

Sustainability is a key factor for potential property buyers, reveals a survey conducted by Dubai's master developer Nakheel...

Investors Cry Foul Over Dubai Property

Fri, 2 Jan 2009 00:00:00 GMT

Complaints by investors and buyers are piling up against brokers and developers as Dubai's real estate market enters the New Year...

Dubai developer announces waterfront site completion

Tue, 23 Dec 2008 00:00:00 GMT

Construction of a new waterside property development in Dubai is now complete, it has been announced.

Cayan Investment and Development has finished its Dorrabay site at Dubai Marina - a AED350 million project which includes one, two and three-bedroom apartments, along with townhouses and duplexes.

Those who have already purchased homes at Dorrabay - which also features a gym, swimming pool and children's play area - are beginning to receive the keys to their new homes following their completion.

Chief executive of Cayan Investment and Development Kareem Derbas said the project should be seen as a boost to the emirate's property market prospects.

"We are confident that the project execution will go a long way in building customer confidence in our projects and the real estate industry as a whole," he explained.

Property investors considering making a purchase a site such as Dorrabay may be encouraged to hear that property advisor Mohammed Kashani-Akhavan recently described Dubai property as one of the best choices for long-term investment.