Inside, Cityscape Global - Outside, Dubai's 'Sagging Property Market'
Real Estate Channel reports: Dr Sam Chandan, Real Capital Analytics global chief economist, recently reflected on Dubai’s unique supply challenges in the near term: “In Dubai in particular, there is an imbalance with the relatively low market demand and the very large and growing number of real estate projects.”
Dr Chandan recently spoke at the Cityscape Global conference in Dubai, where analyst colleagues developed a consensus: “Dubai’s sagging property market is still at least two years away from recovery…” Yet supply in Dubai, which has consistently outpaced demand, is set to continue expanding into 2011. According to Jones Lang LaSalle, between “25,000 and 30,000 homes are expected to come online in the UAE in the next year.” And incredibly, this excess reflects just half of the level originally planned, as “the government acknowledged cancelling half of the registered projects.”
The sluggish state of Dubai’s real estate market did not reflect on the annual Cityscape Global conference, which, now in its ninth year, changed its name from Cityscape Dubai in response to the growing influence of other international buyers. “Although the number of exhibitors was down from peak years, the conference opened in the wake of a round of positive news for Dubai's development industry, including the restructuring of Dubai World's $25 billion in debt and confirmation that Nakheel is restarting projects.”
View the full article on Real Estate Channel: Inside, Cityscape Global - Outside, Dubai's 'Sagging Property Market'
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Posted by: Nina Turner