Dubai Real Estate Investment + 7.5% in 1-H
Emirati and Indian investors led the real estate investment market, according to DLD
Total real estate investment in Dubai increased 7.555 Y-Y to Dhs 57-B ($15.5-B) in 1-H of Y 2016, according to the emirate’s land department.
Investment in the emirate’s property market totalled Dhs 53-B ($1.44-B) last year.
The DLD said 1-H for Y 2016 total comprised 26,000 investors from 149 nationalities.
Among them, GCC nationals accounted for Dhs 22-B, or 8,000 transactions, with the Lion’s share attributed to Emiratis at Dhs 14.523-B from 4,543 investments.
Citizens of Saudi Arabia came in second with Dhs 4-B from 1,946 investments followed by Kuwaitis with 743 investments worth more than Dhs 1-B and Qataris, Omanis and Bahrainis.
Arab investors from outside the GCC contributed more than Dhs 7bn to the market with 7,577 investments by 16 nationalities. Jordanian investors led this group with Dhs 1.5bn through 765 investments, followed by Egyptians with Dhs 1.37bn through 710 transactions and Lebanese with Dhs 1bn through 423 transactions.
Other foreign investors accounted for Dhs 28-B of the total, through 14,314 investments belonging to 149 nationalities. These were led by Indian investors with Dhs 7-B from 3,656 transactions, British nationals with Dhs 4-B through 2,010 transactions and Pakistani nationals with Dhs 3-B through 2,073 transactions.
“The Dubai real estate market has managed to maintain its robust appeal this year and is now emerging as one of the foremost property investment destinations in the world, bolstered by the decline in some regional economies and serious challenges faced by other countries around the globe,” said DLD director general HE Sultan Butti Bin Merjen
“The diversity of the investor base reflects the extensive ranges of different products offered by the real estate sector in Dubai, along with the quality and trust that investors place in its national economy.”
Earlier this month, DLD said real estate transaction values in 1-H of the year dropped 12.4% to Dhs 113-B.
The emirate’s residential market has remained subdued so far this year, with a recent report from Bayut.com suggesting apartment rents had fallen 6% in 1-H of y 2016.
By Robert Anderson
Paul Ebeling, Editor