news brief 08 · 2016. 5. 29. · kingdom tower testing to begin as 1km saudi project aims higher...


IN THE MIDDLE EAST FOR 28 YEARS Page 2


REAL ESTATE NEWS UAE

PRICE CONFUSION CHOKES UAE PROPERTY MARKET POTENTIAL

DUBAI DEVELOPER OF DUBAI LAGOON PROJECT ASSURES COMPLETION AFTER DELAYS

DUBAI DEVELOPER DEYAAR TO ALLOW UP TO 25% FOREIGN OWNERSHIP SECOND PHASE OF ANANTARA THE PALM APARTMENTS TO GO ON SALE NAKHEEL RECEIVES SIX BIDS FOR PALM JUMEIRAH MALL CONSTRUCTION PROPERTY BURST ON PALM JUMEIRAH TO PROVIDE HUNDREDS OF NEW APARTMENTS

CITYSCAPE SPIN-OFF NEXT MOVE LIVE TO LURE END BUYERS OF DUBAI PROPERTY

BUSINESS BAY STAGES A COMEBACK AS DUBAI PROPERTY MARKET PICKS UP EMAAR LAUNCHES MIRA OASIS TOWNHOUSES IN REEM NAKHEEL LEASES RESTAURANT AND RETAIL SPACE AT THE POINTE AT PALM JUMEIRAH

IT'S THE EASIEST WAY TO MAKE MONEY IN DUBAI HOSPITALITY AND RETAIL MAKE GAINS FOR EMAAR PROPERTIES IN 2013 DUBAI COLD CALLING CRACKDOWN: RERA URGES COMPLAINTS AGAINST ERRANT PROPERTY BROKERS

ABU DHABI MELIA HOTELS AND BANYAN TREE PLAN TO OPEN BOUTIQUE HOTELS IN ABU DHABI

ABU DHABI WAITS ON NEW STOCK AVAILABILITY WORK IN PROGRESS TO REOPEN CLOSED BEACHES ON SAADIYAT ISLAND

KSA

KINGDOM TOWER TESTING TO BEGIN AS 1KM SAUDI PROJECT AIMS HIGHER THAN BURJ KHALIFA AS WORLD’S TALLEST

EMAAR TIES UP FOR NEW SAUDI PROJECTS NORTHERN EMIRATES

LOCAL DEVELOPERS START TAKING NORTHBOUND ROUTE RAK CROWN PRINCE ISSUES THREE DECREES ON DEPARTMENTS OF

MUNICIPALITY, LAND AND PROPERTY




DEVELOPER OF DUBAI LAGOON

PROJECT ASSURES COMPLETION AFTER

DELAYS

SUNDAY 23 FEBRUARY 2014

The developer of Dubai Lagoon project in Dubai Investment Park has confirmed funding in place to expedite the completion of the master development.

"We have finalised funding for the project and the project will be built on a funding and off-plan sales model," a spokesperson for Schon Properties, the developer, told Emirates 24|7.

"After the previous [property] crash, we will not rely solely on off-plan sales going forward to build the development, and have arranged partial funding for completion of the project," he revealed.

The company will soon be disclosing details on funding ventures and new tie-ups.

Dubai Lagoon is a master development comprising over 3,800 apartments in 52 low-rise buildings divided into seven zones, retail components, plus a community-catered shopping mall.

A number of investors have claimed delays in completion of the project, having raised the issue with Real Estate Regulatory Agency (Rera), the regulatory arm of Dubai Land Department.

The project, they claimed, was expected to be completed in 2008.

When asked if old investors were still continuing with the project, the spokesperson said: "Nearly 97 per cent of our investors have continued with us.

"We have faced three per cent default from purchasers who had purchased at high prices.

"We have offered investors discounts of up to 40 per cent on outstanding invoices through the downturn and co-operated with existing buyers by shifting them to earlier completion zones."

Schon Properties denies investor claims on work stopping on the project.

Citing numerous reasons for delays, the spokesperson said: "There were many factors for the delay of the Dubai Lagoon project, despite our best efforts to avoid them.

"The project was launched on January 2006, but a hold on the building permit was issued on March 2006 because of the Road and Transport Authority's Purple Line of the Metro being incorporated in master plan.

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"After the new affection plan, given by Dubai Municipality and a new building permit was awarded in November 2007, the real estate market crashed in October 2008, decreasing sales by 98 per cent and decreasing collections by 95 per cent."

He added that since 2008 until September 2012, the project was being built, albeit at a slower pace with almost Dh75 million being spent on construction for Zones 1, 2, 3 and 4 in that period.

"During this period, the collection from existing buyers nearly stopped.

"Since then, the collections from existing buyers have improved and with Expo 2020, the project is on track for expedited completion."

It was in October 2012; Rera implemented a building-by-building completion policy, with work starting on building C12, the spokesperson said.

The developer claims that work on the Zone 1 is nearly completed and handover is in the second half of 2014. The entire master development is expected to be completed by 2016.

Asked what guarantees have been giving for completion to Rera and buyers, the spokesperson said that the company has offered penalty clauses on delays to existing and new buyers to compensate them for delay and to guarantee them completion of the project.

Source: Emirates 24/7

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DUBAI DEVELOPER DEYAAR TO ALLOW

UP TO 25% FOREIGN OWNERSHIP

MONDAY 17 FEBRUARY 2014

Dubai property developer Deyaar said today that it planned to allow foreigners to begin investing in its shares and hold up to 25 per cent of its share capital.

At present, nationals from Gulf Cooperation Council countries can own up to 49 per cent of Deyaar’s shares; they currently hold 3.7 per cent, bourse data shows. Foreigners from outside the GCC have been prohibited.

The Deyaar board’s recommendation will be subject to approval by the company’s shareholders in an extraordinary general meeting to be held soon. Shares in the company jumped 9.8 per cent on Sunday morning after the plan was announced.

The move is part of a trend by companies in the United Arab Emirates and Qatar to review their foreign ownership caps before international index compiler MSCI raises those countries to emerging market status in May, which is expected to attract fresh foreign money.

Union Properties, another Dubai property firm, is also seeking to increase its foreign ownership limit.

Deyaar’s board also resolved that the company’s share capital is sufficient to meet future expansion and growth, the company said.

Source: The National

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PRICE CONFUSION CHOKES UAE

PROPERTY MARKET POTENTIAL


Unreliable and confusing data is distorting the UAE property market and risks inflating the market.

That is the fear of some industry analysts who say investors are buying into vastly inflated figures that are fuelling speculation.

There is still little publicly available official house price information for investors to tap beyond periodic reports from local and international brokers.

Instead property brokers, property data companies, listings websites and banks fill the information vacuum pushing out their own statistics on sales and rents, which often contradict each other significantly.

“In the current market where everybody is getting excited about real estate, asking prices rise more quickly than achieved prices, which means that the gap between the two is widening,” says Craig Plumb, the head of research at Jones Lang LaSalle’s Dubai office. “The lack of reliable information does cause distortion to the market. We believe that asking prices are currently probably around 20 per cent higher than achieved sales prices.”

According to the property broker Asteco, house prices in Dubai increased by nearly 60 per cent last year. The website propertyfinder.ae reported a 45 per cent increase in average values in Dubai’s key neighbourhoods over the same period. And the property data company Reidin reported that they rose 22 per cent over the year.

One reason for the significant discrepancies could be in the information that the three companies are providing.

While propertyfinder.ae only analyses the asking prices provided in all 270,000 property listings it carried last year, Asteco attempts to provide actual sales price data, which is provided by its own property brokers combined with other market information. Reidin uses a combination of sale prices along with data provided by its own team of researchers who act as mystery shoppers and question property managers to find out information.

“At the moment there is very little that individual buyers can do to find out reliable information about the market, but we believe this is an opportunity for the government and the industry to work together to provide more reliable information,” added Mr. Plumb. “In Dubai you can look on the Rera website and see how much rents are in the area. It would be great if there was something similar for prices.”

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He adds that a lack of information about the amount of new homes being built has also created difficulties for developers because they tend to underestimate the number of new homes coming to the market through other developers and build more homes than the market can absorb.

Both the Dubai Land Department (DLD) and Statistics Centre–Abu Dhabi (Scad) provide information about property development in the Emirates.

DLD, the government body responsible for registering all property transactions in Dubai, publishes daily transaction information, quarterly totals of the value of property changing hands and some information about sales purchased through cash and mortgages.

A DLD spokeswoman said that the body would continue to provide the information but she knew of no plans to provide more detailed information.

In Abu Dhabi, Scad publishes information about the number of housing completions each quarter.

Jerry Oates, the general manager for Asteco’s Abu Dhabi office, says the market is thirsty for data.

“The lack of official data makes everyone more reliant on rumours and people’s opinions,” Mr. Oates said. “We find a lot of institutions ask for our data as soon as it comes out because schools, offices, occupiers will use this data as the benchmark for their HR in terms of allowances. It’s those sorts of things that become more important where there is so little data.

“If I put a confidence level on our research it would be about 80 to 90 per cent. In Abu Dhabi it’s about as good as it can get without getting a Land Registry registering every one of the deals, having access to the Tawtheeq system, which nobody has.

“If there was more reliable data you would probably get a lot more funds coming into the market because they look for data and growth analysis and are always thirsty for more data.”

Ahmet Kayhan, the chief executive of Reidin, whose data is used by the likes of CBRE and Jones Lang LaSalle, says that even though his index uses a mixture of asking prices and achieved sales prices, the information supply is weighted to ensure a robust outcome.

“It’s all about statistics,” he says. “We have access to 12 million property data points per month from 35 countries, so if you have enough data points you can get a pretty clear picture of what is going on. In the UAE we use a mixture of asking prices and transactional data but we weight the information so we can take the difference into account in our figures.”

And Ann Boothello, a marketing specialist for property at dubizzle.ae, adds that publishing an asking-price index provided useful information to the market.

“We provided data as it is because our users tell us that they want to see this data,” she says. “Lots of our users come onto the site just to gauge how the market is doing so we provide it almost as a duty.”


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KINGDOM TOWER TESTING TO BEGIN

AS 1KM SAUDI PROJECT AIMS HIGHER

THAN BURJ KHALIFA AS WORLD’S

TALLEST


Half a million cubic metres of concrete and about 80,000 tons of steel set to be used to build the world’s first kilometre tall tower are to be tested to check that they can be used at high elevations.

Saudi Binladin Group, the construction company building what is expected to be the world’s tallest tower, said it had appointed Advanced Construction Technology Services (ACTS) to carry out quality control checks on the construction materials to be used on the ambitious Kingdom Tower project in Jeddah.

The Lebanese-based ACTS said it would deploy about 100 expert staff members to the Jeddah project and would install a fully-equipped site laboratory, which would carry the day-to-day quality control operations and would also provide specialised testing services from its laboratory facility in the Briman area in Jeddah, which it said was one of the largest testing facilities in the Middle East.

ACTS said that the extreme height of the Kingdom Tower meant that it would be required to use high strength, high performance concrete and to use special equipment to evaluate how the concrete flowed so that it could be pumped to very high elevations.

The tower would overtake the 828-metre Burj Khalifa in Dubai as the world’s tallest building when it is expected to be completed in 2018.

Work on the tower, which has been valued at 4.6 billion Saudi riyals (Dh4.5bn), officially started last April 1 after Jeddah Economic Company appointed the contractors Mace and EC Harris to work on the project.

In August 2011 Kingdom Holding struck a deal with Saudi Binladin, the world’s largest construction firm, , to build the tower and help to finance the project after various construction delays had led to speculation that the development had stalled.

Nabil Batrawi, the project director at Saudi Binladin, said, “We selected ACTS after a thorough evaluation of their capabilities and strength.”

Khaled Awad, the chairman of ACTS, said, “We will be investing our experience and knowledge to provide accurate, traceable and reliable test information in the largest mega-tall building in the world.”

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Kingdom Tower is the centerpiece of a plan to build a 5.2 sq km new Kingdom City urban centre along the Red Sea coast.

“For super tall buildings testing materials like concrete and steel tends to occur on an ongoing basis,” said Mark Lavery, the associate director for tall buildings at Buro Happold Consulting Engineers. “Each concrete mix is tested for strength and stiffness, amongst other tests, and tested before construction starts to check that it can be pumped under pressure so that you can get it to the correct location … Materials tend to behave in pretty much the same sorts of ways at these altitudes, much of the problem is the difficulties in getting them up there.”


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DUBAI DEVELOPER EMAAR’S PROFITS

TOP DH2.5BN AMID PROPERTY REVIVAL


Strong performance across its malls, property and hotel units helped to push quarterly profits up by 48 per cent at Emaar Properties.

Full-year net income rose 21 per cent to Dh2.56 billion, beating expectations. The Dubai-based company generated Dh756 million in profit in the fourth quarter, capping a bumper year for property, retail and hospitality in the emirate.

Dubai’s largest listed property developer said annual sales rose 25 per cent to Dh10.3bn, driven by a 33 per cent increase in revenues for the company’s property division to Dh5.5bn as the company benefited from a revival in the Dubai property market last year.

Emaar said the value of its residential sales in Dubai for the full year 2013 was Dh12bn, nearly three times that of 2012 as it launched new projects including the Address Residence Fountain Views I, II and III; The Address Residence Sky View and Burj Vista in Downtown Dubai; The Hills and Vida Residence in Emirates Living; and Palma and Rosa villas in Arabian Ranches.

Emaar’s retail and hospitality businesses also pushed up revenues by 17 per cent to Dh4.8bn as 75 million visitors flocked to the Dubai Mall – 15 per cent more than 2012 and the company benefited from an influx of tourists to its hotels.

Revenues from the company’s global operations in 2013 were Dh1.167bn, representing a further 11 per cent of the total revenue.

“Our strong pipeline of projects, which reflect our commitment to creating long-term value for our stakeholders, will serve as a key growth driver for the company and for Dubai,” said Mohamed Alabbar, the chairman of Emaar Properties.

Emaar said its leasing and retail business recorded a total revenue of Dh3.285bn over the period – 21 per cent higher than the 2012. The Dubai Mall’s 1,200 shops reported a 26 per cent rise in sales during 2013 compared to the previous year.

Meanwhile, its hospitality and leisure business which comprises 12 hotels and resorts consisting of over 1,900 rooms, reported revenues of Dh 1.515bn – up 10 per cent on the previous year. Occupancy levels at The Address Hotels + Resorts remained at around 84 per cent during the year, around the same levels as 2012.

“These are very impressive results and roughly in line with what we were expecting – although beating the Bloomberg average,” said Saleem Khokhar, the head of equities at NBAD’s asset management group. “Both sides of the business appear to be in good health. The increase in revenues from the

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property side of the business has come from previous sales but will start to appear in Emaar’s bottom line from 2015 to 2017 as these projects start to complete.”

Emaar has long been mulling spinning off its retail business into a separate company which could increase investor returns but would remove a steady income stream from the company which without it would be more exposed to the peaks and troughs of the property market.

The results came as ratings agency Moody’s raised Emaar’s rating two levels to Ba1 from Ba3 – the highest non-investment grade – on Emaar’s “strong” financial performance.

Moody’s said that Emaar had been a “clear beneficiary” of the recovery in Dubai’s real estate market and that “resilient recurring cash flows from its investment portfolio coupled with the success of its new project launches and reduced gross debt levels has significantly strengthened the credit profile of the company.”

The move follows Standard & Poor’s decision to upgrade Emaar by one level to investment grade or BBB minus on February 5.

Emaar shares rose 1.18 per cent in trading yesterday to a new six year high of Dh8.55 before the results were published.


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PROPERTY BURST ON PALM JUMEIRAH

TO PROVIDE HUNDREDS OF NEW

APARTMENTS

TUESDAY 18 FEBRUARY 2014

The Palm Jumeirah is set for a fresh burst of property letting and construction activity, with hundreds of new apartments being started and released.

The Kuwait-based IFA Hotel Investments will start to release residential and serviced apartments at the Balqis Residence in its mixed-use Kingdom of Sheba complex on the Palm Crescent this week.

Separately, the master developer Nakheel said yesterday it was launching 504 apartments in its Palm Tower, a 50-storey landmark development on the trunk of the palm-shaped island.

IFA Hotels said it would launch a limited number of its one, two and three-bedroom apartments as well as four and five-bedroom villas in the freehold Balqis Residence, which is to comprise 389 villas, town houses, penthouses and apartments. The project is located near the breakwater and close to the Atlantis, The Palm.

Launched in 2006, work on the Kingdom of Sheba complex slowed down during the global financial downturn but has been restarted.

“About 83 per cent of the construction is complete,” said Joe Sita, the chief executive of IFA Hotel Investments, referring to the Balqis Residence. “It has a 15-month time frame left.”

The residential component comprises 240 units of one-, two- and three-bedroom apartments as well as four- and five-bedroom villas besides 108 serviced apartments.

The Balqis Residence will include a holiday and ownership project.

While the luxury residential apartments and villas can be rented out for a minimum of six months, the serviced apartments can be leased out for a night to a few weeks, said Stuart Cassidy, the vice president of client operations at IFA Hotels and Resorts.

The company declined to give price of the units or the rise in prices of the units since they launched.

The Kingdom of Sheba complex is to include two hotel components – a 70-room serviced apartment and condominium phase, which is expected to be available in three years, and a 550-room luxury hotel.

Both of these are to be managed by IFA Hotel Investments.

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Almost 90 per cent of the 240-residential apartments in the Balqis Residence units have already been sold, Mr. Sita said, with buyers from Russia, the Commonwealth of Independent States, the UAE, Iran and Europe.

The financing has been through a combination of equity, third-party debt, investors and pre-sales.

“Now it is much easier to get funding than three or four years ago,” Mr. Sita said.

The holiday ownership, or timeshare, model is increasingly popular in Dubai, with IFA Hotel Investments joining the likes of Viceroy The Palm and Anantara Residences The Palm for similar products.

IFA Hotel Investments also owns the Fairmont Heritage Place, which has five units for fractional ownership with 13 owners for each unit. They were released last year.

The company also manages the 562-unit Fairmont Residences on the Palm, which it launched in 2005.

Other international hotel operators that offer shared ownership products include Ritz-Carlton, Marriott Residence Club, Marriott Vacation Club, Hilton and Four Seasons.


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NAKHEEL RECEIVES SIX BIDS FOR

PALM JUMEIRAH MALL CONSTRUCTION


Dubai developer Nakheel has now received all tenders for the construction of Nakheel Mall, its Dh2.5 billion 418,000 square metre retail, dining and entertainment complex on Palm Jumeirah.

Six proposals were received, with bids starting at Dh1.18bn, the company said. A construction contract is expected to be awarded within three months.

Nakheel Mall will be built at the heart of The Palm, at the northern end of the island’s trunk.

Due for completion in 2016, the complex will include 200 shops, 4,000 parking bays, two anchor department stores, a nine-screen cinema and six medical clinics.

There will also be a roof plaza with 12 fine dining restaurants as well as a host of cafes and eateries inside.

Nakheel has also received seven tenders for the construction of 942 townhouses at the proposed Warsan Village gated community near International City, the Dubai developer said.

One of the bids came in at Dh695 million. A construction contract is expected to be awarded this quarter and the townhouses are expected to be completed in about 20 months.

The 47.5-hectare development will also feature a recreation centre, mosque and 250 apartments set above a retail plaza with 365 outlets.


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SECOND PHASE OF ANANTARA THE

PALM APARTMENTS TO GO ON SALE


The Dubai-based developer Seven Tides plans to sell 64 apartments at its Anantara The Palm Residences this weekend.

Seven Tides said it would be selling two floors of flats at the block of 442 serviced apartments and 14 penthouses located next to Dubai’s Anantara The Palm Resort & Spa at the Next Move Live property show, which will be held at Madinat Jumeirah from Thursday to Saturday.

Last May, Seven Tides put 170 apartments comprising three floors of the same block up for sale. The company says it has sold 77 of those.

Apartments at the development start at Dh2.6 million.

“The market is exceptionally buoyant at the moment and property on the Palm Jumeirah is highly sought after, so it is a good time to release the second phase of our luxury development,” said the Seven Tides chief executive, Abdulla bin Sulayem. “The fact that the apartments are already constructed is obviously a distinct advantage for investors.”

Next Move Live is a new property show, set up by the organisers of Dubai’s Cityscape, aimed at catering to a consumer audience.

During the previous boom, Cityscape became a byword for crowds of investors pushing and shoving to put down deposit cheques for off-plan properties they expected to soar in value overnight.

According to the organisers, about 22 developers have signed up to the new event including Aldar, Damac, Pacific Ventures and Flash Properties.


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CITYSCAPE SPIN-OFF NEXT MOVE LIVE

TO LURE END BUYERS OF DUBAI

PROPERTY

THURSDAY 20 FEBRUARY 2014

More than 4,000 people are expected to descend on Next Move Live, the Cityscape spin-off property show this weekend as developers and agents hope to attract more end users into the Dubai property market to buy both existing and off-plan properties.

Next Move includes just 30 exhibitors including developers, estate agents and banks. It hopes to attract the sort of people who buy homes to live in rather than investors.

During the previous boom, Cityscape, which takes place in September, became a byword for crowds of investors pushing and shoving to put down deposit cheques for off-plan properties they expected to soar in value overnight.

“We have made this show small on purpose,” said Wouter Molman, the director of Cityscape Group, which is organising the exhibition. “We wanted to make sure that the majority of exhibitors here were property brokers because consumers want to be able to buy property that is ready to move into.”

Mr. Molman added that so far around 4,000 had registered to attend the show – about 20 per cent more than the company had originally expected.

However, when The National visited yesterday few visitors were to be seen and most of those in the exhibition hall were exhibitors.

The attempt to tempt more ordinary people to buy homes in Dubai comes as real estate brokers across the emirate estimate that prices have risen anything between 22 and 60 per cent last year and are expected to return to their pre-crisis levels over the coming months.

It also comes as Dubai has witnessed a return of off-plan selling in the emirate where people put down payments on homes that will not be completed for three or four years.

Earlier this year the Dubai Land Department director general said that he expected house prices in the capital to rise by 35 to 40 per cent this year after climbing 30 per cent last year. He warned that the city was planning new rules to control speculation on properties that were sold off-plan before they were built to prevent Dubai experiencing another property boom and bust.

The Dubai developer Pacific Ventures reported that it had sold 180 of the 500 flats it was marketing since the start of the year – a number which includes secondary sales as well as off-plan flats.

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The company is currently marketing around 40 flats at its Burj Pacific scheme in Downtown Dubai as well as between 12 to 14 flats a piece at its Jumeirah Village Triangle projects Pacific Edmonton Elm and Pacific Residencia. It is also about to start marketing its Pacific Village scheme of 167 villas and town houses, which it will also be selling off-plan.

“A lot of our off-plan sales have been to end-users, not to bulk buyers. You’d be surprised,” said Miguel Guadalupe, the chief operating officer of Pacific Ventures.

“People are investing now but they’re doing it cautiously via a construction-based payment plan because they want to wait. They think it’s safer than buying a villa that’s already built because if they change their minds it’s harder to get rid of the already built property than the off-plan one.”

“We have already started organising visits with some of the visitors who have come to the show earlier today,” said Abdulla bin Sulayem, the chief executive of the Dubai-based developer Seven Tides, which opened sales on 64 already built apartments at its block of 442 serviced apartments at its Anantara The Palm Residences during the show.

“We are open to three types of buyers; those who live in Dubai and want to make use of these luxury services, those who want to come and visit Dubai for perhaps one month a year and investors,” Mr bin Sulayem said. “Probably 75 per cent of our buyers are investors who do not plan to live in the property themselves.”

Apartments at the development start at Dh2.6 million.


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BUSINESS BAY STAGES A COMEBACK

AS DUBAI PROPERTY MARKET PICKS UP

SATURDAY 22 FEBRUARY 2014

Only a thin blue hoarding separates the busy shopping district of Downtown Dubai from the new waterside office and residential area of Business Bay – yet the two locations feel worlds apart.

Turn right along a narrow road from The Dubai Mall and you are suddenly faced with piles of sand and heaps of junk. Shiny green glass buildings stand next to half-finished structures of grey skeletal concrete stalled by the downturn.

This is Business Bay, one of the areas of Dubai hit hardest by the global financial crisis. Its master plan, drawn up in 2003, envisaged the biggest office district in the Middle East, with towers of offices and homes along the lines of Canary Wharf in London’s Docklands.

With the recovery in the Dubai real estate market and a new wave of optimism hitting the city, things appear to be finally looking up for Business Bay. And as it regenerates, the area is altering its identity – with the emphasis shifting from office towers, giving greater weight to residential and leisure, rather like Downtown Dubai.

Work on Business Bay started back when high office rents and low vacancy rates prompted a building boom in office towers. Investors bought off-plan offices, like apartments, in the hope of getting high rents.

But Business Bay was a victim of its timing. Construction work on many of its projects was scheduled to start just as the global financial crisis hit the emirate and many companies exited the country, leaving office space empty.

Over time, Business Bay became known in the city as a soulless expanse of office space and an area where a few hardy expatriates made their homes, putting up with unmade roads and taxi drivers’ bafflement in return for cheap rents in luxuriously built apartments. Local agents estimate that apartments in Business Bay rent for about 25 per cent less than similar apartments in Downtown Dubai.

From a vantage point on the shore of the Dubai Creek extension, one can make out clusters of completed sleek glass buildings including the 0-14 Tower, or Swiss Cheese Tower; the world’s tallest hotel, JW Marriott Marquis; and Blue Bay Tower, looming over empty plots of sand and construction sites, many of which remain stalled.

One Monday morning this month, 24 cranes were within sight from one spot in the Business Bay area. About half of them were moving, reflected perfectly in the grey waters of the partially completed waterway.

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Schemes such as Iris Bay, a striking 32-storey grey and white reclining half-disc that resembles an iPod speaker, and KM Properties’ 19-storey B2B office tower appear half-completed, remaining stalled at the same stage of construction they were years earlier.

On the other hand, work continues apace at Damac’s 22-storey Bay’s Edge tower, what will be a huge gold-coloured, D-shaped block of 220 furnished apartments. The site, a stone’s throw from The Dubai Mall, is a hive of activity with dozens of men in blue boiler suits toiling away, moving diggers and huge black pipes.

Bay’s Edge is just one of five stalled office projects in Business Bay that Damac is in the process of converting into serviced apartments, some of which had already started construction, while others were in the design stage.

Meanwhile, work finally appears to have also restarted at Omniyat’s The Pad development, a 24-storey reclining block designed to look like a classic early 2000s media player. Work on the project, which was originally started in 2008 when the scheme was known as “the iPod”, has reached a height of about 12 storeys.

When they were initially launched, both projects were described by their developers as being in Business Bay. However, when they were launched the second time they were marketed as being in Downtown or the Burj Area.

“Over the past year to 18 months we have started to see a return to construction activity at Business Bay,” says Craig Plumb, the head of research at the surveying firm Jones Lang LaSalle’s Dubai office. “However, this is led by the residential and hospitality sectors, which means that the nature of the area is starting to change from a district that had been planned to be predominantly offices, to one where there are far more apartments and hotels. At the moment we are working on at least two schemes that have changed from office towers into apartment blocks.”

“We are already starting to see schemes in areas that could really be classified as being in Business Bay being described as Downtown, and we expect to see that trend continuing,” Mr Plumb adds.

And it looks like construction at Business Bay is set to speed up this year.

On February 2, Arabtec announced that the Abu Dhabi Government-owned investment company Aabar had awarded it a contract to build three mixed-use towers in Business Bay as part of a wider contract to build 37 towers in Dubai and Abu Dhabi at a cost of more than Dh22 billion. Construction will begin in the next two months and is expected to be completed by 2020, Arabtec said.

Certainly local trade’s people are reporting an increase in business in the area.

“Business here is definitely getting better,” says Omron Shebli, the general manager at The View Cafe, which looks out over Business Bay from the top of Ubora Tower. On a Monday at lunchtime, the cafe was largely empty; Mr. Shebli suggested things would pick up later in the day.

“I’ve been here one year and eight months. Trade started slowly but business is definitely picking up. In the evenings now we are full, as more people are coming here after work and more people are living here in the new towers,” he said.

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Mohammed Benour works at the flower shop between Ubora and Churchill Towers. “I think there is quite a buzz here now and we get quite a few people coming to buy flowers, especially on Thursdays and Fridays,” he says. “After two years when all these new developments like Mohammed bin Rashid City start to happen and work on the 2020 Expo starts to happen, then I think the place will really come into its own and we will have many more customers.”

But office workers in the area are not so sure. Co-workers Tarek Hendi, Hesham Awwad and Ahmed Suwi were having lunch in a bustling Marad Restaurant in Business Bay.

“This place will happen over time, but at the moment I wouldn’t be tempted to move here,” says Mr. Hendi. “If I didn’t work here then I wouldn’t come here.”

“This place would be more convenient for single people,” adds Mr. Awad. “There are no schools close by and a lot of the places to go are still under development. It’s not like Dubai Marina or JLT, which are a lot more developed and have more things to do, more restaurants.”


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MELIA HOTELS AND BANYAN TREE

PLAN TO OPEN BOUTIQUE HOTELS IN

ABU DHABI

SATURDAY 22 FEBRUARY 2014

Mid-sized hotel brands are joining the list of chains adding rooms in Abu Dhabi.

The Spanish brand Melia Hotels International is looking to enter Abu Dhabi in the next couple of years and would join Banyan Tree Hotels and Resorts, which expects to make it to the capital in a similar time frame.

The Madrid-listed company is already present in Dubai with a 164-room property. The Singapore-based Banyan Tree has two properties in Ras Al Khaimah.

“This part of the world is among the most dynamic markets in the world,” said Gabriel Escarrer, the chief executive of Melia Hotels International.

The Palma de Mallorca-based company would expand in Dubai with a 137-room luxury ME Dubai in the Downtown district next year. It entered Dubai in 2011 with a property in Bur Dubai.

“Small luxury hotels should be in line with the positioning of Abu Dhabi as an exclusive destination for sophisticated travellers,” said Chiheb Ben Mahmoud, the head of hotel advisory at Jones Lang LaSalle, Middle East and Africa region.

“Small niche, boutique hotel operators meet, before anything, the needs and objectives of hotel owners who would like to differentiate themselves and would like to develop, own and asset manage special hospitality concepts.”

While in the medium term these hotels could face challenges as Abu Dhabi establishes itself as a destination, the location could be a good launch pad for a regional expansion, he said.

Melia Hotels is also looking at Qatar and Saudi Arabia for new hotels, including one in Riyadh by 2016. The company reported an operating profit of €201.3 million (Dh1.01 billion) in the first nine months of last year, up 9.3 per cent over the previous year.

The emirate expects to receive 3.1 million guests this year, after a run last year that reported 2.8 million tourists.

Abu Dhabi has 21 hotels in the pipeline, accounting for about 6,480 rooms waiting to come on-stream in the next three years, according to STR Global.

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Banyan Tree expects to be in Dubai and Abu Dhabi in the next three years, said Abid Butt, the chief executive of Banyan Tree. During the first half of last year, Banyan Tree’s operating profits were S$46.3 million (Dh134.1m), up 14 per cent.

Melia Hotels and Banyan Tree Hotels and Resorts are equally upbeat about Dubai.

“The country is working well to position the city worldwide for both corporate and leisure [tourists]. As a quality destination it is one of the few in the world,” Mr. Escarrer said. “But we need to careful here to be sustainable.”

It has 54 properties in the pipeline in South East Asia, Latin America and North Africa, including three in Morocco. The family business, in which Mr. Escarrer’s family controls 67 per cent of the stake, has more than 300 properties in its portfolio, with the majority in Spain, Germany and Cuba.

With an eye on Expo 2020, Mr. Butt said Dubai needs to have more sectors such as budget and mid-scale brands to attract travellers of all income levels.

“On the supply side, Expo 2020 might put a little bit of spike, but absorption here is fabulous,” Mr Butt said.

In the middle of the year, his company aims to launch two brands – one aimed at extended stays, from a couple of weeks, and the other an upscale brand. Both want to tap into the emerging middle class in Asia.

Of its 24 properties, Banyan Tree has nine in China, and 15 out of 18 in its pipeline will be in that country by next year.

“China has the largest middle class. It is an emerging destination and an emerging economy, and it might be slowing down. But whether it is growing by 9 per cent or 12 per cent, it is still growth,” said Mr Butt.


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EMAAR LAUNCHES MIRA OASIS

TOWNHOUSES IN REEM WEDNESDAY 19 FEBRUARY 2014

Emaar Properties has launched Mira Oasis, a new contemporary townhouse community within Reem, a master-planned neighbourhood.

Reem is located near Arabian Ranches at the crossroads of Al Qudra Road and Emirates Road.

The master development has several features such as a desert botanical park, sand surfing and camel riding trails, go karting track, dune buggies, rock climbing wall, cricket pitch, soccer field, and a skate park.

The development is anchored by a majestic central park with interactive fountains, walkways and a captivating water feature.

The launch of Mira Oasis follows the strong response from investors to Mira, the first residential project in Reem, according to Emaar.

Mira Oasis comprises 411 townhouses designed to the highest standards and inspired by contemporary styles. All of them have large balconies, modern fittings and fixtures, driveways and courtyards.

The three and four-bedroom residences are ideal for families, with each home offering ample privacy. The Reem community, also

Featuring cycling and walking pathways, assures a relaxed lifestyle ambience and promotes the active outdoor lifestyle of residents. Schools, mosques, and retail plazas, which are in close proximity, add to the residents' quality of life.

Ahmad Al Matrooshi, Managing Director of Emaar Properties, said: "Mira Oasis in Reem is the ultimate getaway for a relaxed lifestyle. With a unique developmental approach featuring the widest array of outdoor sports and leisure activities, Reem is bringing a new concept to urban neighbourhoods."

Arif Amiri, Chief Commercial Officer, Emaar Properties, said: "We received strong interest from international markets for Mira homes in Reem, and are therefore marking an international sales launch offering potential investors in Saudi Arabia and Pakistan the opportunity to be part of Mira Oasis."

The sale will be held on a first-come, first-served basis on February 22, 2014, at 10am in Dubai (Emaar Pavilion, Downtown Dubai) and Abu Dhabi (Emaar Sales Centre, Al Nahda Tower); 9am in Jeddah (Jeddah Gate Sales Centre on King Abdullah Road) and at 11am In Islamabad (Islamabad Marriott Hotel, Aga Khan Road).


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LOCAL DEVELOPERS START TAKING

NORTHBOUND ROUTE

WEDNESDAY 19 FEBRUARY 2014

Buoyed by the interest swirling around the Dubai property market, some developers are looking for first-mover advantage by taking on projects in the northern emirates and bring buyers in their wake. One such developer, Green Valley Real Estate, is testing out possibilities with the launch of a Dh100 million all-villa developments in Fujairah.

Ras Al Khaimah is also recording a steady topping up of new releases, from RAK Properties at the Mina Al Arab master development.

“We do see increased interest in this market, not just from existing and new investors but also end-users who are priced out of the Dubai marketplace,” said John Steven, managing director at Asteco Property Management. “Especially since several developments provide quality completed master plans that are attractive to residents.”

For end-users, there are the “soft” attractions such as new international curriculum schools opening up there as well as malls, all tied to an “improved transportation infrastructure”.

“In general, real estate in all the emirates are improving and historical trends clearly indicate that with the current rental increases in Dubai and Abu Dhabi, tenants will be looking towards the northern emirates a lot more for cost-effective accommodation.”

Market potential

The crystallisation of favourable factors has not gone unnoticed by Wiaam Mahmoud Rabah, chairman of Green Valley Real Estate. “The project was to be launched five years ago but the [downturn] made us put it on hold,” Rabah said. The villas, priced at Dh1.6 million and over, are to be handed over in another 24 months.

“The features — the mountains for instance — found in Fujairah are different from the ones in Abu Dhabi and Dubai,” Rabah said. “For this we decided to head to Fujairah for those who want to own a villa by the sea or enjoy their vacations. We realized the market potential for a holiday destination, especially given the heightened demand for getaways in the midst of conflicts in parts of the Middle East.”

But can the developer guarantee title deeds for the owners? “After the Real Estate Regulatory Agency (Rera) was established in Dubai and resolutions passed by Abu Dhabi in 2008, all real estate registration matters for ownership are controlled by strict regulations,” Rabah said.

According to Stevens, “As a result of the new oil pipeline connecting Abu Dhabi to Fujairah, there is a lot more increased economic activity in Fujairah. This will lead to increased demand and a rise in rental rates and, ultimately, drive new construction activity.”

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According to Asteco estimates, Fujairah recorded a 15 per cent gain in rental values last year over 2012, with a two-bedroom unit leasing at between Dh30,000-45,000 a year

Source: Gulf News

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NAKHEEL LEASES RESTAURANT AND

RETAIL SPACE AT THE POINTE AT PALM

JUMEIRAH


Dubai developer Nakheel has begun leasing at The Pointe, its new, Dh800 million, 136,000 square metre retail, dining and entertainment complex on Palm Jumeirah.

The news comes a week after Nakheel signed a contract for Dh375 million with Gulf Technical Construction Company for the construction of The Pointe, which is at the tip of Palm Jumeirah, across the bay from Atlantis. Around 130 opportunities for shops, restaurants and cafes are available.

Due for completion in 2016, The Pointe is accessible via The Palm Monorail - soon to be connected to Dubai's mainland tram system - and by boat from the island's growing number of hotels and resorts. There is also a car park with 1,600 spaces.

The project, with a spectacular fountain display as its centerpiece, is one of several new Nakheel developments underway at Palm Jumeirah. Others include Nakheel Mall, The Palm Tower, The Boardwalk and Palm West Beach.

Last week, Nakheel began leasing at its new community retail centre at Al Furjan in Dubai, with 70 per cent of available space already booked. Other developments in the company's growing retail portfolio include the Nakheel Mall, Ibn Battuta Mall and Dragon Mart Mall, as well as neighbourhood retail centres at Jumeirah Park, Discovery Gardens and International City.

Big appetite for space at Nakheel retail projects

Restaurants and retailers are hungry for space at Nakheel's new malls and community centres, with 160 bookings confirmed at of the developer's upcoming retail projects, the company announced today (Wednesday).

More than 70 per cent of space at Nakheel's 10,000 square metre community centres at Al Furjan - launched for lease less than two weeks ago - is already taken, while 55 per cent of Nakheel's International City neighbourhood mall is booked.

In addition, 120 retailers have staked their claim on Nakheel Mall - a new, 418,000 sqm retail, dining and entertainment complex on Palm Jumeirah - accounting for 40 per cent of available retail space at the island's new centerpiece.

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A Nakheel spokesman said: "Our upcoming projects - be they local community centres or world class malls - will boost Dubai's economy by creating jobs in the construction, retail, hospitality and the food and beverage sectors. In turn, this will support Dubai's tourism industry and contribute to the government's tourism vision for 2020."

Nakheel's growing retail portfolio also includes The Pointe at Palm Jumeirah, a 136,000 sqm waterfront shopping and dining complex, open for lease this week; a mall and night market at Deira Islands; Dragon Mart Mall and Ibn Battuta Mall, both of which are undergoing significant expansion; and neighbourhood centres in Jumeirah Park and Discovery Gardens.


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IT'S THE EASIEST WAY TO MAKE

MONEY IN DUBAI

THURSDAY 20 FEBRUARY 2014

It could be the easiest way of making money in Dubai. Just refer a name and if he/she buys a property, then the agent shares a part of commission with you.

The commission amount ranges between one and two per cent of the property value.

Real estate consultants working with private developers have adopted a new sales approach whereby they ask people, using social networking platforms, to refer names of potential buyers.

Although such offers are not generally posted on open forums, the consultants first befriend people by sending friendship requests. Once their request is accepted, the message for referral is send.

"We at (-) have plenty of investment options available which you can explore to your network and can also earn a handsome commission with each sell. I would love to hear your opinion on this proposal," reads a message sent to some of Linkedin.com users.

Emirates 24|7 has names of the companies, but has withheld their names.

On twitter, the agents send out direct messages, offering part of their commission to those referring potential buyers.

A real estate, who works with a top private developer, admitted he was using the social networking platform to get contacts of potential buyers.

"You don't know someone from your contacts could invest in a property in Dubai and you can get one to two per cent commission of the value of the purchase," the agent said asking not to be named.

"Our company gives us between two and four per cent commission. And if you have given a referral and he buys, we will share that commission with you in cash," he added.

Dubai has put on top of the list for global cities that will witness double-digit price growth in 2014 by Knight Frank's Prime Global Forecast. Property prices rose by over 20 per cent in 2013.


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ABU DHABI WAITS ON NEW STOCK

AVAILABILITY


Abu Dhabi may have removed the 5 per cent rental cap, but the substantial new residential supply — 40,000 units forecast for the next three years — could ensure that rent spirals do not go out of hand.

“The high volume of expected new supply may at least help to curb some of these inflationary pressures... although this is likely to be location specific and dependent on the local market fundamental,” stated a new report issued by the realty firm, CBRE, on Abu Dhabi’s realty trends during the fourth quarter of 2013.

Reem Island will absorb the bulk of the new handovers, with CBRE estimating this to be around 45 per cent of the total. (Abu Dhabi removed the rent cap in November last year.)

Already, some of the impact from the roll-back of the rent cap is being felt, with residential lease terms up by 9 per cent during the fourth quarter alone. For the full year, rents gained an average of 16 per cent. The sharpest gains were for one-bedroom units, by 11 per cent, during the final three months of 2013.

“Despite Abu Dhabi’s impressive return to growth, the market remains polarised in its performance, with significant variation found between the emirate’s key residential locations and by the age of the specific property,” the report stated. “With a large portion of the capital’s housing stock now quite dated in appearance, there has been widespread tenant migration towards new developments upon completion, which in turn has resulted in sustained rental deflation for many older units.”

In the near term, what could become more pronounced is the rental divide between ‘on-island’ and ‘off-island’ locations during the fourth quarter, apartments at off-island neighbourhoods were leasing 44 per cent lower, CBRE reports “The average annual rental for a two-bedroom apartment unit off-island is now Dh66,500 [per] annum... This compares with Dh115,000 on-island,” the report stated.

Apart from the substantial new stock that is already in the pipeline, brand new stock is also on the anvil.

According to Robin Teh, country manager at Chesterton UAE, “the area close to the Dubai border, and by extension in proximity to the many developments associated with Expo 2020, should see a lot of development activity from the Abu Dhabi side. Aldar Properties has, I believe, some extensive land bank there and that should be top of any planned agenda.”

The CBRE report also sounds upbeat on the possibility of new projects.

“We can expect an increase in the level of residential investment, particularly within established master plan locations. This in turn may lead to an increase in the number of new construction starts as we move

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through 2014, after what has been a relatively quiet period for the new development launches,” it stated.

Source: Gulf News

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WORK IN PROGRESS TO REOPEN

CLOSED BEACHES ON SAADIYAT

ISLAND


Abu Dhabi authorities are working together to reopen the closed beaches on Saadiyat Island following a minor oil spill.

“We are working closely with the relevant authorities to monitor the situation, with a view to reopening the beaches as soon as it is appropriate,” the Abu Dhabi Tourism and Culture Authority (ADTCA) said in a statement issued to Gulf News on Tuesday.

“On advice from the relevant authorities, and as a public health and safety precaution, the authority issued beach closure orders for properties along Saadiyat Beach after oil washed up over the weekend,” ADTCA said.

The closure order is applicable to all beaches on the island until further notice, according to the authority.

Residents on the island and visitors were advised to stay away from the beaches following the incident.

The Environment Agency-Abu Dhabi (EAD) is investigating the matter.

The EAD was notified on Friday about the oil spill that occurred along the St Regis Saadiyat Island Resort beach and the Park Hyatt Hotel beach on Saadiyat Island, an EAD statement issued to Gulf News on Tuesday said. However, the authorities did not explain what the source of the spill is.

Members of EAD’s Environmental Emergency Team immediately visited the site and conducted an initial environmental assessment confirming the occurrence of a minor oil spill, Dr Humaid Al Kindi, Section Manager of Emergency Management and Environment Quality at EAD, said.

The team collected water samples for analysis and investigation into the cause is currently going on, he said. The agency is working with various partners, including the respective hotels, to ensure that the issue is handled properly, Al Kindi said in the statement.

Source: Gulf News

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HOSPITALITY AND RETAIL MAKE GAINS

FOR EMAAR PROPERTIES IN 2013


With retail and hospitality making up 46 per cent of Emaar Properties 2013 revenues, it will set up another debate whether the developer should spin these off into a separate entity altogether. Net profit for the year totalled Dh2.56 billion against Dh2.11 billion a year earlier, on revenues of Dh10.32 billion (Dh8.24 billion in 2012), Emaar said in a statement on Monday.

There were sequential gains as well, with revenues in the fourth quarter at Dh2.76 billion and 18 per cent higher than the Dh2.34 billion in the third quarter. “The company’s recurring income through rental/lease, malls and hospitality segments contribute an increasing share of revenue as the company benefits from growth in economic conditions, tourism and higher hotel occupancy,” said Krishna Murthy, general manager at Dubai International Securities.

“Also, as a result of overall improvement in the real estate market, the company is in a position to realize a better selling price and resulting in healthier gross margins.”

The company’s core property operations generated Dh5.528 billion in revenues, while there was also upbeat numbers from non-UAE operations, which now make up 11 per cent (Dh1.16 billion) of overall turnover. The value of unit sales in Dubai is Dh12 billion, nearly three times compared to 2012 sales.

Outside of the UAE, there were launches of the Downtown Erbil in Kurdistan of Iraq, and a second high-rise was launched in Saudi Arabia through Abraj Al Hilal 2 in Jeddah Gate. There were multiple launches by Emaar Misr in Egypt and Emaar Turkey brought out The Address Residences Emaar Square, Istanbul.

Retail (inclusive of the malls) and hospitality grossed Dh4.8 billion last year, up by 17 per cent from 2012’s Dh4.09 billion. The Dubai Mall’s 1,200 plus outlets recorded a 26 per cent rise in sales during 2013 over the previous year. Its 12 hotels brought in revenues of Dh1.515 billion, up 10 per cent.

Emaar shares closed at Dh8.55 on Monday from the previous day’s Dh8.45 a share. The company earlier this month converted the outstanding amount of its $500 million convertible bond issue. “The debt convertibility to additional equity shares may save finance cost for the company and improve the share’s liquidity,” Murthy said.

Source: Gulf News

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RAK CROWN PRINCE ISSUES THREE

DECREES ON DEPARTMENTS OF

MUNICIPALITY, LAND AND PROPERTY


RAS AL-KHAIMAH, 16th February, 2014 (WAM) -- As per the directives of H.H. Sheikh Saud bin Saqr Al Qasimi, Supreme Council Member and Ruler of Ras al-Khaimah, H.H. Sheikh Mohammed bin Saud bin Saqr Al Qasimi, Crown Prince of Ras al-Khaimah has issued three Emiri Decrees on referring to retirement, merging the Department of Land and Property with the Department of the Ras Al Khaimah Municipality and the appointment of the Director-General of the Department of the Municipality of Ras Al-Khaimah.

The Decree, No.07 for the year 2014, stipulates that both Mubarak Ali Al Shamsi, Chairman of the Department of RAK's Municipality, and Mohammed Saqr Al Asam, Director-General of the Department, are to retire as of today, 16th February 2014.

The Decree also stipulates that all Decrees and decisions that are inconsistent with the provisions of this Decree should be cancelled.

The second decree, No.08 for the year 2014, stipulates the merging of the Department of Land and Property, including its administration and all sections, with the RAK Municipality under the title of the Department of Ras Al Khaimah's Municipality.

The third decree, No.09 for the year 2014, stipulates the appointment of Munther Mohammed bin Shakar Al Zaabi, Director-General of the Department of Ras Al Khaimah's Municipality. The decree stipulates the cancellation of all Decrees and decisions that are inconsistent with the provisions of this Decree.

The Decrees are active from the date of issuance and are to be published in the Official Gazette.

Source: Emirates New Agency (WAM)

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DUBAI COLD CALLING CRACKDOWN:

RERA URGES COMPLAINTS AGAINST

ERRANT PROPERTY BROKERS


The Real Estate Regulatory Agency (Rera), the legal arm of the Dubai Land Department (DLD), is encouraging people to register complaints against real estate agencies making cold calls.

Complaints have been received against three companies engaged in making unsolicited calls to potential clients and property owners.

"A new regulatory article has been introduced by us that covers telemarketing.

"We encourage anyone who has a complaint in this regard to contact us and request to speak with the Inspection Department," Yousif Al Hashimi, Deputy Chief Executive Officer, Rera, told Emirates 24|7.

In August 2013, Rera issued a circular to all real estate offices on the issue of property brokers making unsolicited calls.

It reminded that real estate brokers were not allowed to make either telemarketing phone calls or send telemarketing SMS messages to property owners who have not registered their properties for sale or rent in the real estate offices using the official templates.

Asked if any broker had been fined for violation, Al Hashimi revealed: "We have received three complaints so far and are taking the necessary action related to these cases."

A broker, violating the rule, is first given a warning letter and those repeating the offence face a fine of Dh50,000.

Ravi Kumar, who owns an apartment in Dubai Marina, says: "A year back, I was constantly getting calls, asking if I wanted to buy an apartment.

"Now, brokers call me, asking if I am planning to sell my apartment. I haven't registered with any of these companies for any service... I am not sure how they got my details."

When told people can register their grievance with Rera, Kumar welcomed the news, saying, "This is a very good move.

"Brokers shouldn't bother us unless we register with them. I will soon be calling Rera to register my complaint."

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Rera says that contacting property owners directly in order to offer sales and marketing services is not only a breach of the guidelines, it goes against the whole ethos of the profession.

But real estate brokers are allowed to place advertisements promoting their own services and can promote projects that have been pre-approved with the developer, owner or landlord.

"When advertising their services on-line, every real estate office is required to include their unique registration number, which must be placed on all communication documents," Rera states.

Cold calling

Cold calling is the sales process of approaching prospective customers or clients -- typically via telephone, by email or through making a connection on a social network -- who were not expecting such an interaction.

The word "cold" is used because the person receiving the call is not expecting a call or has not specifically asked to be contacted by a sales person. (Wikipedia)

Source: Gulf News

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EMAAR TIES UP FOR NEW SAUDI

PROJECTS


The two companies will launch the projects under the partnership entity, Emaar Jameel.

Mohammed Abdul Latif Jameel, President of Abdul Latif Jameel, and Mohamed Alabbar, Chairman of Emaar Properties, signed the MoU, which will see Emaar extend its world-class competencies in premium real estate development to create master-planned communities in the Kingdom.

Jameel said: "Abdul Latif Jameel is a socially responsible business organisation with a proven track-record in undertaking real estate projects, consumer financing, automobiles and general trading. Through our community-oriented initiatives, we have created thousands of jobs in Saudi Arabia and other countries in MENAT region, and we continue to focus on driving youth entrepreneurship.

"Today's announcement demonstrates our commitment to build world-class real estate developments that meet the two key requirements of the Kingdom - creating more jobs and meeting the demand for homes. Emaar will bring its proven competencies in developing integrated communities that support all-round economic growth."

Alabbar added: "We are thankful to Abdul Latif Jameel for the partnership to develop world-class real estate projects, which will be highlighted by a truly international and world-class design and superior build quality.

"Emaar will leverage the experience of developing master-planned 'Downtowns' that have strong positive economic impact, including the creation of new jobs and supporting youth entrepreneurship. Our integrated community developments will meet the growing demand for high-end and affordable luxury homes in the Kingdom, in addition to driving the hospitality and retail sector growth and strengthening all-round infrastructure."

The master-planned communities by Emaar Jameel will draw on the latest technologies and offer smart connectivity. Featuring landscaped central parks, Grand Mosques, educational institutions, healthcare centres, children's play areas and community centres, all the developments will be tailored to meet the lifestyle requirements of residents. Envisaged as 'work, live and leisure' environments the projects will be designed by international architects, drawing on design inspirations from the region.

Founded by Abdul Latif Jameel in 1945, Abdul Latif Jameel Group is strongly focused on community service, particularly in community investment and creating job opportunities for young entrepreneurs and poverty alleviation, arts and education.

Emaar Properties already has a strong presence in the Kingdom through is business subsidiary Emaar Middle East, which is developing Jeddah Gate and Al Khobar Lakes, two premium lifestyle communities

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that are already established neighbourhoods. Emaar, The Economic City, listed on the Tadawul, is developing King Abdullah Economic City, one of the regions largest of its kind developments.


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With 29 years of Middle East experience, Asteco’s Valuation & Advisory Services team brings together a group of the Gulf’s leading real estate experts.

Asteco’s network of offices in Abu Dhabi, Al Ain, Dubai, Northern Emirates, Qatar, Jordan and the Kingdom of Saudi Arabia not only provides a deep understanding of the local markets but also enables us to undertake large instructions where we can quickly apply resources to meet clients requirements.

Our breadth of experience across all the main property sectors is underpinned by our sales, leasing and investment teams transacting in the market and a wealth of research that supports our decision making.

John Allen BSc MRICS

Director, Valuation & Advisory +971 4 403 7777 [email protected]

Julia Knibbs MSc

Manager – Research and Consultancy - Dubai +971 4 403 7789 [email protected]

VALUATION & ADVISORY

Our professional advisory services are conducted by suitably qualified personnel all of whom have had extensive real estate experience within the Middle East and internationally. Our valuations are carried out in accordance with the Royal Institution of Chartered Surveyors (RICS) and International Valuation Standards (IVS) and are undertaken by appropriately qualified valuers with extensive local experience. The Professional Services Asteco conducts throughout the region include: • Consultancy and Advisory Services • Market Research • Valuation Services

SALES

Asteco has established a large regional property sales division with representatives based in UAE, Saudi Arabia, Qatar and Jordan. Our sales teams have extensive experience in the negotiation and sale of a variety of assets. LEASING Asteco has been instrumental in the leasing of many high-profile developments across the GCC.

ASSET MANAGEMENT Asteco provides comprehensive asset management services to all property owners, whether a single unit (IPM) or a regional mixed use portfolio. Our focus is on maximising value for our Clients.

OWNER ASSOCIATION Asteco has the experience, systems, procedures and manuals in place to provide streamlined comprehensive Association Management and Consultancy Services to residential, commercial and mixed use communities throughout the GCC Region.

SALES MANAGEMENT Our Sales Management services are comprehensive and encompass everything required for the successful completion and handover of units to individual unit owners.

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