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The following list is currently being circulated within the UAE, I don't think it is official, but it is surely interesting. Does anyone have Project details to add to the list?



The Grand total is US $ 75,828,000,000 or AED 277,530,480,000.

you are going mad sage LOOOOOOOOOOL

uaekid wrote:you are going mad sage LOOOOOOOOOOL

I am simply passing on information received, why does that make me mad?

And by the way, I went MAD years ago

thats it ? 60 projects, I thought it is much wors from what i'm reading in Df. ohh well tuff luck for the greedy companies I guess

It's interesting the way things are being handled.

I had a letter from my mortgage bank, saying that because my project has been delayed, that they are not paying the developer the advance rental payments monthly, but will pay the whole lot on handover. Apparently this makes it sharia compliant.

Chocoholic wrote:It's interesting the way things are being handled.

I had a letter from my mortgage bank, saying that because my project has been delayed, that they are not paying the developer the advance rental payments monthly, but will pay the whole lot on handover. Apparently this makes it sharia compliant.

If this was the case, how would they ever manage to buid the Project?, I thought the whole idea was to protect the money in an Escrow account, and partial releases would be made upon certified claims.

good work, let me add the mother of all projects to the cancellation list:
Arabian Canal $ 50billion.

No idea!

I don't know, I'm just whacking the payments I would have made in a high interest account, to let it earn something! Might as well.

Sage what is the source of this list?

just asking...

Could anybody explain me what does mean "on-hold" practically?

Real situation. My friend bought a flat when only plot was available (sand) 2 years ago. I mean one contractor promised to build a house during 2 years otherwise they would pay him 10% penalty.

My friend paid a downpayment at the beginning and then during those 2 years he paid the contractor (not bank) some amount monthly.

So 2 years are over and there is the same sand as two years ago but according to the contract he have to continue paying...

I know that it's common practice recently that some contractor builds a building for 4 year, not 2 as promised... but if the contractor put it "on-hold" the time will be uncertain...

Is there any law or regulation for the maximum time of construction in the UAE?

How about monthly payments?

P.S. By the way I just found the project in the Sage's list...

it is a nice way of saying we are broke

quatroporte wrote:Sage what is the source of this list?

just asking...

I have received it in several e-mails, tried to find out the source to no avail.

lol nice one uaekid. we are broke heheh

i got this info from an email too. yeh projects which were not launched are on hold. But projects which were started i.e piling and other stuff are on as usual.

rudeboy wrote:lol nice one uaekid. we are broke heheh

i got this info from an email too. yeh projects which were not launched are on hold. But projects which were started i.e piling and other stuff are on as usual.

Sorry to disappoint you, Trump Tower has the Piling completed and it was still canned.

sage & onion wrote:

rudeboy wrote:lol nice one uaekid. we are broke heheh

i got this info from an email too. yeh projects which were not launched are on hold. But projects which were started i.e piling and other stuff are on as usual.

Sorry to disappoint you, Trump Tower has the Piling completed and it was still canned.

thats a dodgy project so i wouldnt be suprised about its slow progress. there are many more in JVS

macjul wrote:good work, let me add the mother of all projects to the cancellation list:
Arabian Canal $ 50billion.

how do u know itr? I am supposed to head there to write an article about it. Can you provide me the source?

desert surfer wrote:

macjul wrote:good work, let me add the mother of all projects to the cancellation list:
Arabian Canal $ 50billion.

how do u know itr? I am supposed to head there to write an article about it. Can you provide me the source?

You might want to read this:

http://internationalpropertyinvestment. ... or-on-hold

Projects in Dubai Cancelled or on Hold - Dubai Crash Update
Dubai’s major developers are canceling or delaying projects until such times as the property market returns to boom time

Burj Dubai
Nakheel have canceled all sales on Palm Jebel Ali until further notice. Ali Mansour, project director, said,

“We will definitely reassess sales strategies in the light of the current market conditions. Everything is under review now and we have no new plans for the near future. There are no sales on Palm Jebel Ali happening as of now. The only sales that happened were in the year 2003-2004.

Thus far, despite aggresive marketing, Nakheel have only sold 52 of the 1,800 plots on the crescent “A”. We are assuming this means a delay on the Jebel Ali harbor development also.

Limitless have cancelled a launch of the Arabian Canal which was planned to run from the Dubai Marina, around the new airport and back to the Palm Jebel Ali.

Rufi Real Estate have canceled two residential towers that had been planned on The World and Meydaan, although a spokesman for the company stated that they were ‘optimistic that real estate prices would pick up by mid-2009.” Not optimistic enough to put their money where their mouth is apparently.

Tamweer has already fired 50% of their staff, both of Dubai’s major mortgage providers have had to be bailed out by Abu Dhabi’s real estate bank, Damak have cancelled a number of projects in Tunisia, India, Pakistan, Algeria and Morocco, Bonnington Land have cancelled three developments at Jumeirah village, although these were canceled due to lack of electricity rather than financial issues.

Other News from Dubai
In an attempt the stave off a complete collapse of the property market, Dubai’s government has decided to release information regarding the actual amount of debt in the emirate. Until yesterday, this was a closely guarded secret, and some i felt that this secrecy was one of the reasons behind the dramatic reversal of fortunes in Dubai. The phrase “shutting the barn door after the horse has bolted,” comes to mind, but -

According to Emaar chairman Mr. Mohamed Alabar, who is also a member of Dubai’s executive council, the level of debt owed by the government is $10 billion, with a further $ 70 billion owed by state-owned companies. Dubai’s GDP is $54 billion, which puts Dubai’s debt to GDP ratio at 148%. Draw your own conclusions from that.

Mr Alabbar, who was speaking at the Dubai International Financial Centre (DIFC) conference, added that the Government would support companies that got into financial difficulty because of the credit crisis. Mr Alabbar is head of a committee that has been set up to handle Dubai’s response to the global economic crisis and his comments are effectively a government guarantee. Mr Alabbar also said that Dubai’s debt of $10billion compared with sovereign assets of $90billion while its companies owed $70billion against assets of $270billion. Whether these are pre- or post-crash valuations was unclear. “The Government can and will meet all its obligations going forward,” he said. “Dubai’s borrowing is not being used to cover expenditure or to provide subsistence, it is funding our long-term infrastructure development.”

The UAE Government is dominated by Abu Dhabi, the richest of the emirates, and its involvement is thought to be a signal to worried banks and investors that the vast wealth of Abu Dhabi is now implicitly supporting Dubai.

Mr Alabbar also said that Dubai’s largest companies would have to work together to find a way through the economic difficulties, particularly in the property sector.

Mr Alabbar’s Emaar, which is building the Burj Dubai, the world’s tallest building, will collaborate with Nakheel, which built the palm islands off the Dubai coast, and Dubai Holdings, the Government’s property unit. The three companies control 70 per cent of Dubai’s property development industry, but will be allowed to work together to limit supply and prevent the market from being flooded with new apartments, in the hope of keeping prices inflated.

Mr Alabbar said: “We have to recognize the reality on the ground and work differently. We have to collaborate and in time, in the future, we can be competitors again.”

After pressure from small investors eager to dispose of off-plan property, Emaar have also waived a clause that required a payment of 30% of the property value before a sale was permitted.

Well ur article is dated November 2008.I called the contractor of arabain canal and he said work was goign on as usual. thjis was in december

I dont know if it has been cancelled. I just called the marketing team and am going to arrange meeting with them. Going to management side most former ppl have left the company. I have been to arabain canal 2 times last yr ...... funny how reversal of fortune can screw everything

desert surfer wrote:Well ur article is dated November 2008.I called the contractor of arabain canal and he said work was goign on as usual. thjis was in december

I dont know if it has been cancelled. I just called the marketing team and am going to arrange meeting with them. Going to management side most former ppl have left the company. I have been to arabain canal 2 times last yr ...... funny how reversal of fortune can screw everything

Make sure you actually get a site visit then.

that was a good post Sage re article

Like i have been saying Dubai Inc is near to bankrupt

arniegang wrote:that was a good post Sage re article

Like i have been saying Dubai Inc is near to bankrupt

We are praying hard for a reversal m8

sage & onion wrote:

arniegang wrote:that was a good post Sage re article

Like i have been saying Dubai Inc is near to bankrupt

We are praying hard for a reversal m8

Mate join the realism department, it will get a lot worse throughout 2009. If you got Sky News, watch it when you get home. The big news today is BP have released their 2008 profit/loss accounts. Yes they made a 18 billion profit last year. This was only due to Jan - Sept oil prices. To date this month, they have made a loss on the month of 2 billion. On the assumption oil remains near to the current level they are looking at a loss for 2009 at 20 billion plus. 18 billion profit and their share price plummeted.

Put this into relative terms of say Abu Dhabi. Their reserves at the Emirates Central Reserve are 500 billion AED. It is their rainy day fund. In the grand scheme of things it isn't a lot of money considering they will have to use that fund to not only bail out their own losses but of other emirates including dubai this year.

arniegang wrote:

sage & onion wrote:

arniegang wrote:that was a good post Sage re article

Like i have been saying Dubai Inc is near to bankrupt

We are praying hard for a reversal m8

Mate join the realism department, it will get a lot worse throughout 2009. If you got Sky News, watch it when you get home. The big news today is BP have released their 2008 profit/loss accounts. Yes they made a 18 billion profit last year. This was only due to Jan - Sept oil prices. To date this month, they have made a loss on the month of 2 billion. On the assumption oil remains near to the current level they are looking at a loss for 2009 at 20 billion plus. 18 billion profit and their share price plummeted.

Put this into relative terms of say Abu Dhabi. Their reserves at the Emirates Central Reserve are 500 billion AED. It is their rainy day fund. In the grand scheme of things it isn't a lot of money considering they will have to use that fund to not only bail out their own losses but of other emirates including dubai this year.

You also have to consider that the main oil exploration in the Emirate of Abu Dhabi was carried out when prices were in the $20's and below per barrel. Also the Oil that is in the ground is relatively cheap to bring up.

I don't really believe figures like those being released by BP as what was happening when the prices were below $20.00?

Sage

Its called inflation. The cost to bring a barrell out of the ground is way in excess of what it was only a few years ago.

I read somewhere Dubai's break even point for a barell is $42.

$42 is not the break even point, its their budget balance point. As you can see the oil is $40/barrell right now and has been througout the year.

arniegang wrote:Sage

Its called inflation. The cost to bring a barrell out of the ground is way in excess of what it was only a few years ago.

I read somewhere Dubai's break even point for a barell is $42.

Considering that Dubai has relatively little oil that may be correct, Abu Dhabi however is vastly different.

K-Dog wrote:$42 is not the break even point, its their budget balance point. As you can see the oil is $40/barrell right now and has been througout the year.

And that is for the UAE not Dubai. Dubai doesn't have any oil.

i just looked up ADNOC production costs and it is the same as Dubai.

Also found this quote

However, Dourian cautioned that if Abu Dhabi doesn't amend its spending plans this year in line with the falling international oil prices, "they will either end up with a budget deficit or struggle to balance their budget, unless there's another spike in oil prices, which given the current trends, looks unlikely."

Let me add something I know firmly.MUDON project cancelled totally.Dubai Property is down the drain.Meydan race course is ongoing,to be completed on October 2009.

arniegang wrote:Sage

Its called inflation. The cost to bring a barrell out of the ground is way in excess of what it was only a few years ago.

I read somewhere Dubai's break even point for a barell is $42.

It's hard to believe in such kind of a declaration. I read in respectable magazine ("The Economist" as I can remember) that production cost for a barrell from tar sand that had lifted from the utmost Notrhen region of Canada was $37 in 2007.

As you know it's the highest cost in the world. The cost in the UAE is a few times lower due to weather conditions and methods of mining.