The UAE real estate industry has been on a roller coaster ride for the last 5 years or so. Amazing boom-times followed by a massive crash in 2008. Since the crash, there remains uncertainty on the future of the real estate industry in the Emirates and the deliberation continues on how best to steer the economy along the path of recovery.
A few things seem to be on the cards next year that may help uplift the real estate market in the country. As written in the Gulf News, the real estate community in Abu Dhabi is expecting the most significant piece of real estate legislation to be issued since it introduced its first real estate laws in 2005. The much anticipated real estate law is expected to introduce measures to support the real estate development market, particularly in the investment zones such as Saadiyat Island, Reem Island and Al Raha Beach.
In Dubai, a new visa rule that will allow foreign investors who own properties worth more than Dh 1 million to be entitled to three-year multiple-entry visit visa is something that may really woo real estate investors as their entry-and-exit to and from the city becomes more flexible. In terms of protection of rights of all parties in any real estate transaction with a broker, all these are great steps towards encouraging people to invest in real estate in this market.
All in all, the real estate market in the UAE appears to have bottomed out. However, significant progress has been made in restructuring and in governance within the industry, steps that are encouraging for the industry’s recovery. They say that a key catalyst of the projected solid growth in 2012 is the expected turnaround in the real estate market. Let’s keep our fingers crossed!
Happy New Year.
Kabir Mulchandani
Skai Holdings Dubai
http://skaiholdings.com