Abu Dhabi house prices seen stable in Q1
Dubai, February 9, 2010
House prices in Abu Dhabi are likely to remain stable in the first quarter, but rents will keep declining due to increased supply, property consultancy Landmark Advisory said on Tuesday.
'We expect continued relocation from Abu Dhabi to Dubai, which will put further downward pressure on Abu Dhabi rents,' said Jesse Downs, the firm's director of research and advisory services.
Rents for high-end homes in the United Arab Emirates' capital fell by up to 15 per cent in the fourth quarter, but it was low-quality units that fared worst, Downs said.
Residential prices were stable in the fourth quarter, but sales volumes increased relative to previous quarters, the report said.
Office rents in the capital, home to most of the country's oil, are also likely to keep falling as more supply is delivered and landlords become increasingly flexible to guarantee good occupancy rates, it said.
In neighbouring Dubai, villa prices were unchanged in the fourth quarter while apartments fell by 4.3 per cent.
Average rents for villas and apartments fell 2.2 per cent and 3 per cent respectively, the report said.
House prices in Dubai are seen falling a further 10 per cent in 2010, while prices in Abu Dhabi will likely be unchanged, a Reuters poll showed in January.
Rents in Dubai and Abu Dhabi are expected to fall 10 per cent and 15 per cent respectively, the poll found.-Reuters
More Construction & Real Estate Stories
- Emaar unveils luxury homes in ‘BLVD Crescent’
- Emaar's retail spin-off plan 'won't affect rating': S&P
- Alargan HQ becomes Kuwait's first Leed project
- Tecom parks to become carbon-free zones
- New Tekla software accelerates information flow
- Damac unveils first Trump Estates in ME
- GFH in key London property placement
- Green Valley unveils new UAE, Turkey projects
- Jotun colour collection tracks new trends
- RAK Properties to distribute $27.2m profit
- Top construction firms head to Bahrain
- Investors pull out of $65m Bahrain project
- Projects stalled in Bahrain due to 'mismanagement'
- Emaar rules out plans for new tall tower
- Barwa net profit surges 27.3pc
- RAK Properties adds new villas to Flamingo project
- Saudi launches housing scheme to ease shortage
- R&M wins Oman residential project contract
- Asian skyscraper prices tower over rest of the world
- Tamleek opens new office in Dubai
- $29m allocated for Bahrain drainage projects
- Indian group plans $300m Bahrain Bay investment
- Drake and Scull awards key supply contract
- FCC wins $702m Doha metro line contract
- SPF Realty sees Dubai project success
- Abu Dhabi set for big property show
- Aldar working on $1.5bn UAE housing projects
- Gulf Finance House to start $3bn Tunisia project
- Abu Dhabi to see 10pc surge in new homes
- Saudi construction sector booming on new contracts