Dubai and Abu Dhabi real estate long-term investments
Dubai and Abu Dhabi are best placed for long term real estate investment compared to the MENA region…
September 27, 2009 2:40 by kippreport
Dubai and Abu Dhabi are best placed for long-term real estate investment compared to the MENA region, according to a report by property consultant Jones Lang LaSalle.
“Long term investors have been deterred from investing in the MENA region by the short term speculative mentality of both investors and developers over the last few years. As a result, few sales have occurred, despite the continued interest of such investors,” said the report.
“The ability of different markets to attract long-term regional and global investors will be of critical importance to their progression into the stabilization and recovery phases of their cycle as the emphasis shifts from a short term to a longer-term investment paradigm.”
However, the real estate sectors in Abu Dhabi and Dubai benefit from the UAE government’s drive to make the nation “more competitive and transparent,” the report said, citing a study that placed the UAE among the world’s top 30 most competitive countries.
However, Jones Lang LaSalle foreshadowed further declines in the property values in Dubai due to an expected oversupply of hotels and offices. Nevertheless, the report claims the emirate has exhibited signs of recovery.