Dubai Land Plots

	Distressed Property (67% - 72.5% discount)
		You can profit from the current economic conditions by purchasing distressed property at discounts ranging from 67% - 72.5%. IPIN's SES strategy enables you to achieve a 25% annualised return with zero risk to capital. To good to be true? Find out more

Land plots in Dubai are increasingly scarce. Since the construction boom began in 2002, the paucity of availability has led to spirally prices of Dubai land plots. However, an assessment of transactions shows no drop in demand of Dubai land plots.

According to the Land Department, under whose purview fall all transactions of land plots in Dubai, land sales have more than doubled in the first three months of 2008 as compared to the same period in 2007. In terms of volumes too there has been a significant increase. (http://www.dubailand.gov.ae/ld_website/English/english_default.aspx)

The volumes of Dubai land plots transacted is supported by the high demand for Dubai properties. The Dubai economy continues to grow exponentially and increased demand for residential and commercial properties far out paces demand. Almost everyday a new development project is announced placing more pressure on Dubai land plots. Recently AZIZI Investments, a Dubai-based real estate developer, purchased Dubai land plots worth Dh 3.5 billion to commence two realty projects. (http://www.gowealthy.com/gowealthy/wcms/en/home/news/real-estate/Leading-realty-developer-buys-1211449733532.html)

Those in the industry recognise the limited availability of Dubai land plots as a potential threat. Land comprises up to 40% of the total cost of a project. Inflation will eat in to margins and the industry hopes government intervention will stem that. Investing in Dubai land plots is seen as a sure bet. All indicators show that Dubai will maintain upward growth into the next decade and value of Dubai land plots will only increase.

There are restrictions on foreigners wanting to invest in Dubai land plots. Non-UAE and non-GCC citizens can buy Dubai land plots only through the Emaar Real Estate Company, Palm Project or Jumeira Projects. Even foreign companies can only buy properties and Dubai land plots in specified areas. The government however is keen to encourage foreign participation in Dubai real estate and increased the amount freehold property available to foreigners significantly.