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The end of 2021 and the beginning of 2022 for Dubai were marked by a resounding opening and subsequent successes of Expo-2020. About 8 years were spent on organizing the event, and even being in danger of disruption due to COVID-19, it was not canceled. However, due to the circumstances, it had to be postponed for a year ahead. The predictable success of the opening of the event, which provided strong stimulation for the emirate's economy, especially its construction sector, played a big role in strengthening Dubai as a global real estate market. However, the amount of funds invested in the project and the amount of infrastructure created for the exhibition raised the question of further use of available resources after the completion of Expo (March 31, 2022). The solution was a small...

Dubai's real estate market is increasingly predicted to slow down and stabilize growth rates, but this does not apply to the premium segment. Luxury real estate, especially residential, continues to beat the record figures of the past years, driven by both an endless stream of wealthy foreign buyers and a shortage of such goods on the market. In any case, in the last couple of months, several areas have stood out, driving the market for themselves. and Business Bay, JLT, Dubai and Dubai Sports City. and JVC, Dubayland, DAMAK Hills and Springs. In the segment of luxury apartments, the leadership is occupied by the Center of Dubai, Dubai Marina, Dubai Hills Estate, Palm Jumeirah and JBR, and the villa is Palm Jumeirah, Dubai Hills Estate and Villa. Data for the first half of 2022 indicate...

The construction of Palm Jebel Ali archipelago began in 2002 as part of the larger Palm Islands project, which also includes the Palm Jumeirah and The Deira Islands archipelagos. However, if Palm Jumeirah was successful and managed to open before the onset of the global economic crisis in 2008, the other two were less successful. Specifically, Palm Jebel Ali was frozen already in 2009, amid financial problems in the emirate and a reduction in the inflow of foreign investment into the country. Since then, the project has been in a state of «coma». With the exception of rare news about the possible possibility of using the partially built archipelago for other purposes, neither the private sector nor state institutions have expressed any ideas regarding any development of the...

A review of the growth dynamics of the Dubai real estate market, conducted by a number of analysts during September 2022, showed that in the first 9 months of this year, more than 67,000 real estate transactions were recorded in the emirate. Together, they brought in about $49 billion. According to the Dubai Land Department (DLD), the results of the current period were the largest in the history of observations. The previous record was held in 2009, when about $31.5 billion was received. The local market tried to match this bar in 2021, when $27.9 billion was received. However, it was 2022 that managed to consolidate the growth that began last spring, showing an increase in sales by 76% in annual terms in the period under review. If August of this year was able to break the 12-year...

The Dubai Land Department (DLD) and its Chamber of Commerce and Industry signed a memorandum of understanding (MoU) according to which both organizations will direct special efforts to develop transparency in the emirate's real estate rental segment, as well as ensuring a healthy investment environment capable of attracting a stable influx of foreign investors. Under the memorandum, business councils and business cooperation groups under the leadership of the Chamber will be able to own and lease residential and commercial real estate in the emirate, including offices. Such institutional cooperation, according to the parties, will help to create an ideal working environment for local and international business in Dubai. Abdul Aziz Al-Gurar, Chairman of the Chamber of Commerce and...

The impressive recovery of the real estate market of the United Arab Emirates, which began in the spring of 2021, maintained stability without any problems in the first half of 2022, even despite all the existing economic and geopolitical problems. However, soon the current state of this national market may be disrupted, and the growth rate will noticeably slow down. The main reason, according to some experts, is an oversupply of residential real estate, as well as an extremely intensive increase in the key interest rate, which determines the high cost of mortgage loans. The first six months of this year showed impressive indicators of an increase in the number of transactions, their cost, real estate prices and rental rates. Pre-sales of real estate under construction, produced by...

Continuing to grow in August, prices for residential real estate in Dubai in August are getting closer to historical highs. The average price for the purchase of apartments in annual terms increased by 7.7%, and the average price for the purchase of a villa — 15.8%. Monthly growth was 0.5% and 0.3% for the respective categories in the period from July to August 2022. On average, apartment prices, so far, are 24.7% lower than in peak 2014, and villa prices are 7.3% lower. In general, 2022, like 2021, shows extremely active growth in both sales and prices of residential real estate. At the same time, sales began to strengthen in the sectors of commercial and industrial real estate, land plots. An important role is played by the ever-growing influx of foreign buyers and investors,...

Since the beginning of 2022, Dubai has begun to record a pronounced increase in the business activity index. The old business began to return to the country and a new one began to open. Particular growth was shown by companies operating in the field of e-commerce, logistics and some agricultural segments. E-commerce began its triumphant march during the height of the pandemic, but logistics and agriculture have grown already this year. In no small part due to the current economic and international crisis, the food crisis and some other factors. Against the background of current events, the country's oil and gas sector also demonstrated growth, the impressive results of which became clear already at the beginning of the second half of 2022. All this has led to an extremely rapid recovery...

The number of daily cases of coronavirus in the United Arab Emirates peaked at the beginning of 2021, stopping at around 4,000 cases. In the future, a downward trend began to develop, reaching double-digit values by the end of November. In January 2022, a new peak was recorded (3,000 people), but today daily cases do not exceed 400 cases. An established system of medical care and public vaccination successfully contain any local outbreaks of the disease. Despite the fact that the acute phase of COVID-19 has long ended, residents and foreign buyers of residential real estate in Dubai still have a strong preference for buying large, spacious properties. This is also true for tenants who are looking for large housing on the market en masse. Such real estate is still considered by many as a...

According to the latest market forecasts from its participants, the segment of modern office spaces for large companies should grow in the coming year. Flexible office spaces began their «march» through the Dubai market in 2018, taking an 8% share in the total emirate office market. Premises designed for quick and convenient conversion for current work purposes quickly gained popularity among both employees and companies, but their sales collapsed catastrophically (approx. Together with the office market as a whole), when COVID-19 hit the world. The blow was so strong that even in 2021, due to the active post-pandemic recovery, the share of flexible offices in the market did not exceed 5%. Isolation and remote work made large offices an extra commodity on the market and a...

The Dubai government has spent years preparing for the long-suffering World Expo-2020. When creating the infrastructure and organizing the event, the city had to face many obstacles, including the postponement of the exhibition for a whole year, which eventually led to the holding of Expo-2020 in 2021. The event ended on March 31, 2022 and was an absolute success, but the amount of money spent dictated the need to find a new use for the created areas, roads, leisure facilities and other objects necessary for such an event. The final decision was the conversion of the exhibition venue, District 2020, into a completely new, fully pedestrian area of the emirate — Expo City. Six months were allotted to prepare for the re-opening of the world Exhibition site, and in October 2022 the...

Over the past year and a half, the tourism sector of the United Arab Emirates has significantly recovered, overcoming the obstacles that were put before the industry by COVID-19. Along with the new growth of the tourist market, the hotel rental market and the short-term rental housing market have also entered the recovery. Both are now going hand in hand, trying to master the ever-increasing volume of tourists to the country. However, the «post-pandemic» tourist and tenant differ markedly in their preferences from tourists and tenants who visited the country in 2019. Preferences have changed in where people want to travel, what they are looking for, and what amounts they are willing to spend. In addition to this, the development of the remote employment market also affects....

Villas have always been at the top of the price pyramid of the Dubai real estate market. This is the most popular, the most exclusive and expensive product. So much so that even in a situation where the market as a whole is beginning to gradually stabilize, premium segment villas are still rising in price under the pressure of enormous international demand. Developers have tried and are trying to keep up with demand, launch new projects, often designed for a specific audience of foreign buyers, but the Dubai market is large and requires no less attention. In addition, there are other problems that do not allow developers to get involved in the construction of expensive and exclusive villas for the richest. In view of this, with the beginning of the explosive recovery of the UAE real...

Prolonged explosive growth is not something that is useful for any market, including the real estate market. This is true for any country at any level, including the Dubai real estate market. Breaking all expectations and breaking all records, the growth of the emirate's construction sector in the last 2 years has already begun to turn from its main strength into its main weakness. But fortunately, after a 10% jump in prices in the second quarter of 2022, the local real estate market finally began to slow down, cool down and stabilize. Although not in all segments. Today, the cost per square meter of residential real estate, on average, is around $3,220 — the result of an increase of 10.1% in the period from April to June 2022. This is above stable $2,300 – $2,600 per square...

Inflation continues to rise, rising all over the world and, in particular, in the UAE. Many countries have used the increase in interest rates on lending as a means of combating inflation, and one of the leaders in this sense is the United States. The Federal Reserve of the United States has already raised the key lending rate several times since the beginning of 2022 and will continue to do so at least until the end of the year. The situation with the United States is important to understand, since the Central Bank of the UAE has long linked the exchange rate and the movement of its own key rate to the movement of those in the United States. Since the rate on mortgage lending issued by national and private banks directly depends on the key rate, its growth means an inevitable rise in the...