New Dubai areas 'offer good value'
Dubai, September 14, 2012
A range of properties coming up along Al Khail Road and in International Media Production Zone (IMPZ) in Dubai offer good investment opportunity, says a leading property expert.
With recent reports suggesting apartment prices rising up to 10 percent a quarter and land sales reporting the highest number of transactions ever, people have started wondering if there is still opportunity in the market.
“There is a raft of properties coming on the market at a more affordable price for the middle management professionals. They are being built along Al Khail Road and in IMPZ, where the infrastructure is yet to fully develop,” said Niall McLoughlin, senior vice president, Damac Properties.
“Prices remain attractive and will undoubtedly grow substantially over the medium term as the road networks are improved and shopping, education and healthcare is added.”
“Dubai’s property market is still in its infancy. As the emirate grows into an international powerhouse, linking trade between the East and the West, valuations and rental returns are only set to increase further as further infrastructural enhancements come on line. There has not been a better time to invest in Dubai in the past four years,” said McLoughlin.
Bank of America Merrill Lynch recently released its medium-term outlook report, “GCC 2020” which predicts that a ‘diversified economy, continued population growth and superior infrastructure investment’ in the UAE will have positive impact on Dubai’s retail, hospitality and real estate market.
Dubai also aims to create 950,000 new jobs by 2020, taking the working population in the Emirate past two million, on the back of the increased investments.
Speaking about Damac properties, he said: “Properties in IMPZ and Jumeirah Village Circle, for example, still have the same outstanding quality of finish and facilities that our clients have come to expect from Damac Properties. It is simply that these areas are awaiting the final infrastructure which will bring these new areas of Dubai to the fore.”
Lago Vista is a three tower development set in a graceful crescent-shaped portico. Each comes complete with access to a swimming pool, Jacuzzi and tennis courts. Retail outlets are available from the ground floor.
Emirates Gardens 2 has a state-of-the-art health club, swimming pool, private parking and retail and restaurants.
“Investors benefit from all of the added facilities, plus great finishing at a fraction of the cost in other areas of Dubai. We are also seeing rental returns of between 8 – 10 per cent in some of these apartments, which is driving value well above like for like properties in the same location.”
The UAE is the most confident country in the Middle East and sixth on a global scale, according to a recent Nielsen survey as valuations growth in the property market, the working environment remains strong and the country retains a tax-free policy, encouraging overseas investment.
This is supported by a report from the Dubai Statistics Centre which said that Dubai’s economy gained around Dh10 billion last year to reach Dh306.2 billion.
Damac Properties now has 36 buildings delivered, with 7,374 units. A further 50 developments are underway and at various stages of construction. Once complete this will add a further 9,849 units to the portfolio. – TradeArabia News Service
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