International Financial Centre

The dynamics of housing markets suggests that there will always be periods of rise and fall phases, but in recent years, the uae real estate sector has demonstrated unprecedented growth. However, the only constant for all cycles – is that after every recession is necessarily positive growth. Rents for property in man-made island of Palm Jumeirah and the upscale residential area of The Springs in the first quarter of 2010 increased by 5 and 2% respectively. Furthermore, in these areas Dubai was recorded the highest level of deals, thanks to affordable credit and prices. Rental rate of villas in the emirate has not changed compared to last quarter, and in some locations even slightly increased. Despite the demand for real estate projects with easy exit in the direction of Abu Dhabi, such as The Green Community and the Arabian Ranches, the increased number of free sites have led to some decline in rental rates.

A similar The situation in the residential area of Mirdif. On average in the first quarter, prices for apartments in Dubai real estate market fell 5%, but closed areas with developed infrastructure, such as a new center of the city and Downtown Dubai man-made island The Palm Jumeirah property values have increased by 2%. Market players say that rent or sell apartments in buildings that have only recently been put into operation, it is difficult. This is because that in the new buildings on the market at the same time leave hundreds of housing units and to sell property or rent owners have to make concessions in terms of cost of housing. According to experts, because of supply new finished property will be hardest hit areas of Discovery Gardens, Dubai Marina and Jumeirah Lakes Towers. Is still demand for residential property in Dubai is concentrated in the closed locations with good infrastructure, but there is a big difference between asking price and one that investors are willing to pay. Demand for office property in Dubai is reduced, which leads to a decrease in rents by an average of 7%. In addition, the reason for the decline was the commissioning of new buildings in areas of International Financial Centre, jlt, and Tecom. Interestingly, some developers in response to changing market conditions they want to redesign the office buildings into residential buildings or mixed type. This suggests that the developer did not seek quick profits by selling an exceptional property, and tuned for long-term use of assets by putting objects in a rented or leased.