Your Personal Property Investments & The UAE Real Estate Market

there is no info on executive tower available yet, at least not for the public

homebuilders? they're also the developers of lake city. hope the tower will look better
adnan saffarini didn't do a good job with designing lake city

do you have any renders for the executive tower at least?

actually they have removed a big part of the dmcc in jlt, as 3 more clusters have been added to the masterplan

dmcc has updated the website and it seems like they have also moved out the gemplex out of jlt

when you drive past jlt direction abu dhabi you can see some concrete monsters coming up near the gardens, this is the new dmcc

yes, it's called the "two seas"

check the bahrain thread!

it looks like this

stupid question: is this more creative than this supersized 3rd palm deira?

i think i can post this one in here



Real estate 'to be top contributor to Dubai economy'


With more than 85,000 residential units and 23 million sq ft of retail space coming onto the Dubai market by 2008, the real estate and construction sectors are poised to become the top contributors to the emirate's Gross Domestic Product (GDP), effectively displacing oil as the centerpiece of its economy, says a study.

According to a research report by EFG-Hermes, the region's leading full service investment bank, new real estate demand in Dubai is driven and facilitated by rapidly growing mortgage availability at low rates, linking the market closer to the level of interest rates, which are at historical lows thus encouraging demand and pushing prices to new highs.

The research further indicates that in the short-to-medium term, demand is responsible for the real estate market's behaviour. In addition, Dubai's favourable demographics (4.7 per cent population Compounded Annual Growth Rate (CAGR) between 1998 and 2003, and a sharp rise in residence permits), legal developments and financial deregulation have been the key drivers of the boom.

Commenting on the sustainability of real estate growth in the emirate, Mustafa Abdel-Wadood, CEO of EFG-Hermes UAE, said: "In order for this boom to continue, the market needs to maintain and strengthen the current set of favourable circumstances, including low interest rates. The continuation of the inflow of expatriates and the increasing recognition of Dubai as a tourist destination and a post-retirement refuge are also necessary to create sufficient demand to match the quantity and quality of the new developments."

"The development of solid legal and institutional frameworks is essential to settle conflicts regarding property ownership, curb speculation and ensure smooth transactions and price behavior. Also, to curb speculation and rationalize market behavior, the development of new real estate investment vehicles such as real estate funds and Real Estate Trusts is essential," noted Ahmed Gad CFA, the author of the report and co-ordinator for building materials, construction and real estate research at EFG-Hermes.

With a solid research offering that includes macro-economic, strategy, company and sector reports, EFG-Hermes' research arm has recently extended its coverage of the UAE to include the real estate sector and telecoms, adding to its coverage of the banking sector and economics.

Abdel-Wadood added: "As the UAE investment market matures and gains depth, it is increasingly important to have independent, objective, and insightful analysis. This is where EFG-Hermes brings real value with its unique research capabilities, which we consider our core asset in delivering fundamentally-driven brokerage services and investment banking expertise to the region."

In addition to the UAE, EFG-Hermes research covers economics in Saudi, Egypt, Kuwait and Jordan; banks in Egypt, Kuwait, Saudi and Oman; investment companies in Kuwait; cement companies in Egypt and Saudi Arabia; telecoms in Egypt, Bahrain, Qatar, Jordan; and real estate in Lebanon.

i don't trust all these articles

one article says the market will grow even more
another one - like this right here - says it's slowing down

one day there will be a crash for sure, simply because they have to set the prices down as it's impossible to get some 200.000 people in the completed towers simultaneously in 2007
once the apartments & villas are cheaper more people can afford to move in.
then the occupancy rate will grow, the prices will rise again to what they're now

maybe this even is the way dubai wants it to be? :dunno:

i only see a "short-time crash" for dubai's property market.

i have a feeling the crash will bring the prices back to where thy were at the very beginning.

this means all the investors will lose a hell lot of money in the worst case or they won't earn what they hoped to earn one day.

technically it's impossible to get so many people into the country within 1 year. besides all of them have to be able to pay the current prices which will rise even more until projects are completed in 2007.

we should not forget how many people dubai needs to fill all residential units in 2010. MILLIONS!!! this will never work!

but again, once more people can afford an apartment or villa in dubai due to the low prices caused by the crash
the big advantage is that dubai as a city will be very new and extremely beautiful, as everything is masterplanned. people will love it! this will lure people to dubai, filling the units.

as soon as a few hundreds of towers & villas have been completed
make it 2008
and a lot more will be finished after the projects to be completed in 2008. a hell lot!
just think of the following:

what do you think? how many people will be able to live in the following projects??

dubai waterfront
jebel ali airport
palm deira
palm jumeirah
palm jebel ali
DUBAILAND!!!!
business bay
park square
the world
difc
burj dubai complex
media city
silicon oasis
jumeirah islands
dubai marina
jumeirah lake towers
the lost city
jumeirah gulf estates
festival city
emirates living
international city
jumeirah village
discovery gardens
the views @ emirates golf club
the gardens
international media & production zone


these are the projects which offer residential units

you can easily put 5 million+ people in these!!! and we know there is more to come, much more!!!
arabian bays
seven pearls
the arabian canal @ dubai waterfront and jxb airport
....

how do you plan to get 5 million+ people to buy an apartment/villa until 2010???????????

the real question is:

what do dubai's leaders really have in mind?
i mean, they know how many projects they have and how many units these will have!
they know it will be dubai's toughest job to fill everything.

i think they have something in mind to attract even more people. whatever it is.

a very interesting article

Dubai real estate crisis: 150,000 housing units needed every year

Posted: 10-11-2005 , 13:14 GMT

A new survey published by the Emirate newspaper Al-Bayan revealed that Dubai real estate market needs 750,000 new housing units until 2010 to put an end to the waiting lists, which contribute significantly to the high level of renting fees.



Many real estate companies agreed that it is not sure that the introduction of 85,000 new housing units annually will be enough to reduce rental fees or to satisfy the demand in Dubai. The population of Dubai is expected to rise from 1.1 million to 2.1 million souls in 2010, while the number of tourists is expected to increase to 15 million in 2015. Many renting offices and companies agree that renting rates in the city will not decline or be corrected before 2007.



Many of the middle-income earners are leaving Dubai to a cheaper city, or sending their families back to their mother-city and staying alone in Dubai to work.



The real estate market in Dubai sees a growing demand for renting villas due to the severe shortage in housing apartments. Most of the real estate developers in the private sector tend to construct towers, aiming to gain fast and large profits.



The market is also witnessing a tendency by several development companies which prefer to purchase large land plots to construct a group of villas on them. Market analysts assess that the market needs 150,000 housing units and not 85,000 annually, but the problem is that the contracting sector can not provide this number.



Meanwhile, the number of housing units for renting in Dubai amount to approximately 300,000 apartments, but the market is in need to 150,000 new housing units to avoid the increasing rise of the renting fees, which increased by 200% during the last two years.