#ONHOLD: THE TIGER WOODS-DUBAI

[Number 49]

Clearly, the 'off plan' property market is now dead.
Going forward, developers will need to have all their funding in place on day 1 for any new projects and they will obviously need to be confident that they can sell the completed construction. In other words, there won't be much new development for the forseeable future!
The Dubai Govt. are now publically admitting (although giving no individual detail) that a huge percentage of planned projects will never happen.
Master Plans will be rewritten and communities will need to consolidate.
Basic economics tells us that as supply diminishes so prices begin to rise (assuming there is sufficient demand) and inevitably the Dubai economy will stabilise and then grow.
The timing is entirely dependent on the speed at which the population of Dubai increases as this will generate the demand. With other countries around the World raising taxes and cutting public services it is expected that Dubai will be a very attractive option to live and work in.
A lot of people (investors and developers) will have lost money as a result of the crash which is regrettable. However, during the boom years the Dubai property market was like playing in a casino with a 'one way bet' and it had to end as it made no sense.
Sooner or later the Dubai Govt. will need to take action to sort out the numerous developer/investor disputes, but I don't believe they see that as a high priority.

[ah786]

http://www.guardian.co.uk/sport/2010...f-course-dubai

[unknownpleasures]

Originally Posted by Number 49

Clearly, the 'off plan' property market is now dead.
Going forward, developers will need to have all their funding in place on day 1 for any new projects and they will obviously need to be confident that they can sell the completed construction. In other words, there won't be much new development for the forseeable future!
The Dubai Govt. are now publically admitting (although giving no individual detail) that a huge percentage of planned projects will never happen.
Master Plans will be rewritten and communities will need to consolidate.
Basic economics tells us that as supply diminishes so prices begin to rise (assuming there is sufficient demand) and inevitably the Dubai economy will stabilise and then grow.
The timing is entirely dependent on the speed at which the population of Dubai increases as this will generate the demand. With other countries around the World raising taxes and cutting public services it is expected that Dubai will be a very attractive option to live and work in.
A lot of people (investors and developers) will have lost money as a result of the crash which is regrettable. However, during the boom years the Dubai property market was like playing in a casino with a 'one way bet' and it had to end as it made no sense.
Sooner or later the Dubai Govt. will need to take action to sort out the numerous developer/investor disputes, but I don't believe they see that as a high priority.

Accurate summation!

[Face81]

Nothing new here, as it was known for some time, but now it's official. The project is going to be on hold for a while.......

Dubai Holding unit suspends Tiger Woods golf resort


Mon Jan 31, 2011 8:20am EST

* Dubai Properties cites poor market condition for luxury

* Company says to keep commercial agreement with Tiger Woods


DUBAI, Jan 31 (Reuters) - Dubai Properties, part of a conglomerate owned by the ruler of Dubai, has suspended its Tiger Woods residential and golf course project, citing poor market conditions for luxury developments.

The developer, a unit of Dubahi Holding, had planned the resort with Woods, a former world number one, who was to have designed the golf course.

"Tiger Woods Dubai can confirm it has suspended the project," Dubai Properties said in a statement on Monday.

"This decision was based on current market conditions that do not support high-end luxury real estate. These conditions will continue to be monitored and a decision will be made in the future as to when to restart the project." The golf resort was slated to have 292 residential plots for palaces, mansions, luxury villas and golf villas, according to the development's website. It also includes an 18 hole golf course.

Dubai Properties said it would maintain the commercial agreement with Tiger Woods and his organisation. The once-booming property market in Dubai was hit hard by the economic crises, causing a collapse of the real estate market in the emirate. (Reporting by Praveen Menon; Editing by Amran Abocar)

Source

[pakboy]

this project is a unique one, dnt think it should be affected by all the financial catastrophe happening over the world due to its uniqueness and will be the place for rich golf lovers so it should be made.

[Parisian Girl]

Tiger Woods in Dubai (Getty Images).

Feb 9, 2011

Former world No.1 golfer Tiger Woods said he will meet this week with Dubai Properties Group to discuss the future of the stalled Dubai golf development bearing his name.

Woods, who is in the emirate for the start of the 2011 Dubai Desert Classic tournament, said the future of the multi-billion dollar project remained unclear.

“A lot of it depends on what Dubai Properties want to do going forward. And we have a few meetings set up this week,” he told reporters.

DPG, a unit of debt-hit Dubai Holding, confirmed last week it had suspended work on the 55 million sq ft Tiger Woods Dubai in light of the emirate’s real estate slump.

A property boom in Dubai collapsed at the end of 2008 when it was hit by the global financial crisis and the Gulf state's debt crisis.

“This decision was based on current market conditions that do not support high-end luxury real estate. A decision will be made in the future when to restart the project,” DPG said.

Original plans for the course included 287 luxury villas and mansions, a boutique hotel and a clubhouse. The course, designed by Woods, was due to be completed by September 2009.

The last update, issued by Dubai Properties in February last year, said construction had stalled at the eighth hole.

The developer said in November 2007 that Woods planned to build a 16,500 sq ft mansion overlooking the golf course that would include a gym, theater, library and pool.

At the time, villas on the luxury project were selling for between $12m and $23m.
Dubai Properties said it may revisit the project in the future and would retain its deal with the golfer.

“We maintain a good relationship with Tiger Woods and his organisation and will retain our commercial agreement together,” the company said.

http://www.hoteliermiddleeast.com/10...alled-venture/

[SA BOY]

whats there to thrash out, project dead, Tiger been paid, desert taking back first 8 holes

[THE DUBAI GUYS]

Revealed: Tiger Woods paid $55.4m for failed Dubai golf resort
By Shane McGinley

* Thursday, 10 February 2011 7:15 AM

Tiger Woods received $55.4m from UAE developer Tatweer to promote a golf resort in Dubai, just 24 days before the collapse of Lehman Brothers in 2008.

Documents seen by Arabian Business reveal that Woods was originally paid $26,250,000 to promote the Tiger Woods Dubai resort, following a contract first signed on 20 June 2006.

However, on 22 August 2008, both Woods and Tatweer signed an “Amendment to Golf Course Design and License Agreement” which contained 15 new clauses.

On top of the $26,250,000 already paid to Woods' company ETW (Eldrick Tiger Woods), the new deal stated that ETW would be paid “the sum of $70m as a promotional fee”.

The document broke down the extra payments as:

*$26,166,177 would be paid to ETW within ten days of the agreement being signed

*$14,583,333 would be paid to ETW within ten days of Woods appearing at the official opening of Tiger Woods Dubai.

In addition, the new deal stated that Woods would no longer receive a villa on the resort, but “the Parties hereto agree to keep confidential the fact that ETW has agreed to waive its right to receive the Chosen Development Unit.”

The new deal also added that Woods' company would receive a “one-time fee of $28,800,000” if he agreed to develop a second golf resort with Tatweer.

In total, the potential value of the new deal was worth $98.8m to Woods – more than the $92.2m he had earned in prize money up to 2008.

The $1.1bn Tiger Woods Dubai project was first scheduled to open in September 2009. However, it was officially suspended last week by Dubai Properties Group (DPG), which Tatweer is now effectively a part of.

Original plans for the 55 million sq ft project included 287 luxury villas and mansions, a boutique hotel and a clubhouse.

“This decision was based on current market conditions that do not support high-end luxury real estate. These conditions will continue to be monitored and a decision will be made in the future when to restart the project,” the company said last week.

Both DPG and Woods' agent declined to comment on the payments made to Woods.

When asked on Wednesday whether he had signed an amended contract, Tiger Woods told Arabian Business: “No, I’m not going to talk about that, sorry.”

http://www.arabianbusiness.com/revea...rt-379679.html

R

[SA BOY]

Tigers laughing, got $55mil and did nothing

[RedWayne28thfloor]

Originally Posted by SA BOY

Tigers laughing, got $55mil and did nothing

If I wasn't sure the world had gone bloody mad well I am now! How could they possibly hope to recoup the money paid to Woods to promote a golf course? Utter madness and business suicide

[Number 49]

"Tiger Woods" isn't just a person it's also a marketing brand and he will try and protect its integrity.
So, here's a bet...Tiger wins the golf this week and restarts the golf course in his name!

[RedWayne28thfloor]

Originally Posted by Number 49

"Tiger Woods" isn't just a person it's also a marketing brand and he will try and protect its integrity.
So, here's a bet...Tiger wins the golf this week and restarts the golf course in his name!

With what they paid him he certainly could do!!!!!

[A Almarzooqi]

[ostendadler]

Is it playable?

[clubbernut]

Looks better than expected. I imagined the vegatation to be half dead by now