news brief 17 - asteco property management … to make the sheikh zayed road commute irrelevant. in...

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IN THE MIDDLE EAST FOR 30 YEARS

ASSET MANAGEMENT SALES LEASING

VALUATION & ADVISORY SALES MANAGEMENT OWNER ASSOCIATION

RESEARCH DEPARTMENT

NEWS BRIEF 17 SUNDAY 26 April 2015





REAL ESTATE NEWS UAE

UAE'S MASDAR CITY UNVEILS 4-BED ECO-VILLAS THAT GENERATE OWN ELECTRICITY

UAE'S BLOOM UNVEILS NEW SAADIYAT ISLAND PROJECT UAE SMALL BUSINESSES WANT TO CONVERT PRICEY LOANS INTO

BUSINESS MORTGAGES

DUBAI SEVEN TIDES BRINGS THE BEST OF BRITAIN TO DUBAI ASTECO TO LEASE EXCLUSIVE OFFICE SPACE IN AL HABTOOR BUSINESS

TOWER, DUBAI WHICH NATIONALITIES BOUGHT MOST PROPERTY IN DUBAI IN 2015

REGISTER YOUR DUBAI PROPERTY BEFORE JUNE 30 OR FACE PENALTIES 465 SKYSCRAPERS IN DUBAI HAVE A 'WOW' JOB FACTOR

DEVELOPERS QUEUE UP TO LAUNCH MID-INCOME HOUSES IN DUBAI GRECIAN 'WHITE AND BLUE' FOR DUBAI MOTORCITY'S OIA RESIDENCES

FREEHOLD OR LEASEHOLD: WHICH PROPERTY 49% CHEAPER TO RENT IN DUBAI?

DUBAI’S NEXT WAVE OF HIGH-RISES ARE BY THE WATERFRONT MAKANI TO BE USABLE ON GOOGLE AND HERE MAPS

DUBAI CREEK WORLD HERITAGE SITE BID SUBMISSION ON JANUARY 31, 2016

EMAAR UNVEILS MAPLE AT DUBAI HILLS ESTATE DUBAI HOTELS AND OUTLETS GEAR UP FOR MORE CHINESE TOURISTS

LEGOLAND DUBAI MAKES WAVES WITH PLANS TO INCLUDE WATER PARK ABU DHABI

WHERE IN ABU DHABI CAN YOU RENT ONE-BED FOR DH55,000... 0% DOWN PAYMENT ON YOUR NEXT PROPERTY PURCHASE IN ABU DHABI?

LOWER OIL PRICES SEEN COOLING ABU DHABI'S RESURGENT PROPERTY SECTOR

TDIC LAUNCHES MODERN VILLA PROJECT IN UAE TAMOUH LAUNCHES CITY OF LIGHTS’ HORIZON TOWERS AT CITYSCAPE

ABU DHABI ETIHAD TOWERS SETS PACE IN ABU DHABI’S PREMIUM PROPERTY MARKET

NEW SAADIYAT ISLAND VILLA COMMUNITY CLOSE TO GOLF COURSE LAUNCHED

STABLE OUTLOOK FOR ABU DHABI URBAN PLANNING ALDAR ‘AFFORDABLE HOUSING’ PROJECT ENTICES MID-MARKET EARNERS





SEVEN TIDES BRINGS THE BEST OF

BRITAIN TO DUBAI

MONDAY 13 APRIL 2015

Centrally located on the trunk of Palm Jumeirah, the resort and residential community is set to add a

distinctly English flavour to the city’s luxury hospitality offering.

Dubai - Luxury resort and residences to add quintessentially English flavour to Palm Jumeirah hotel

scene from Q1 2016; developer-guaranteed ROI of 10 per cent an attractive proposition for regional and

international investors looking for portfolio opportunities.

Dubai-based luxury property developer and holding company Seven Tides has unveiled its newest

upscale project, the DUKES Oceana, Dubai hotel and residences, located on Palm Jumeirah.

The first international property for the DUKES Collection brand, whose flagship hotel DUKES London is a

popular destination for GCC travellers, the five-star hotel and adjacent residences are scheduled to be

handed over within quarter one of 2016.

Centrally located on the trunk of Palm Jumeirah, the resort and residential community is set to add a

distinctly English flavour to the city’s luxury hospitality offering.

“With this launch we are bringing quintessential British charm and style to the UAE and blending it with

cosmopolitan luxury to create a unique residence and hotel situated in the heart of Dubai’s most

desirable island community, Palm Jumeirah,” said Abdulla bin Sulayem, CEO, Seven Tides.

“The residences will be launched on April 14, 2015 for investors and other guests, with the show

apartments open for viewing,” he added.

The 273-room hotel will offer world-class leisure and entertainment facilities including a stunning private

beach, indoor pool, and outdoor infinity pool plus state-of-the-art gym, along with a number of

restaurants.

Guests can choose from Great British Restaurant (GBR) serving modern British brassiere-style cuisine, a

traditional fish and chips café located on the promenade overlooking the Dubai Marina and JBR, top floor

Asian restaurant with stunning views over the palm, the Champagne Lounge for a traditional afternoon

tea or light dining experience, Cigar and Coffee Lounge.

Abdulla bin Sulayem, CEO, Seven Tides

The 227 studio and one-bedroom apartments that comprise the DUKES Oceana, Dubai residences are

targeted at the regional and international investment community, with Seven Tides guaranteeing a

return on investment (ROI) of 10 per cent per annum for the first five years.

“International HNWIs consider lifestyle appeal as a major criteria when looking to grow their investment

portfolio and Palm Jumeirah fits the bill in every respect. This is further endorsed by Dubai’s

longstanding reputation as a globally connected gateway and world-class commercial hub offering a high

standard of living,” said Bin Sulayem.

Sold as fully furnished freehold residences, the 185 studios and 42 one-bedroom apartments range in

size from 286 to 652 square feet (studios) and 782 to 834-square feet (one-bedroom apartments).





Generous sized living and bedroom spaces reflect the elegant DUKES design philosophy and feature

luxury designer furnishings, expansive walk-in wardrobes and elegant en-suite bathrooms

complemented by smart home technology throughout and custom designed kitchens equipped with the

latest domestic appliances.

Prices start from Dh 760,000 for a studio, with a one-bedroom commanding up to Dh 2.5 million.

Says Bin Sulayem: “Dubai continues to offer value for money even at the top end of the investment

spectrum, especially when it comes to apartment square footage compared to other major metropolises

such as London or New York.

“Investors will also be able to enjoy complete peace of mind knowing that their investment is being

managed by the DUKES operations team around-the-clock, and that it’s in professional hands from day

one.”

Residents will also have full access to the DUKES Oceana, Dubai suite of leisure facilities and support

services.

Established in 2004, Seven Tides has developed its own portfolio of commercial, residential and resort

properties in some of the world’s most desirable locations. Its award-winning flagship hotel, DUKES

London, is situated in the fashionable Mayfair district and has been a hospitality icon in the capital for

well over a century.

Source: Khaleej times

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ASTECO TO LEASE EXCLUSIVE OFFICE

SPACE IN AL HABTOOR BUSINESS

TOWER, DUBAI

WEDNESDAY 15 APRIL 2015

Asteco, one of the region’s leading real estate consultancy and property management firms, has been

appointed the sole leasing agent for the Al Habtoor Business Tower, one of Dubai’s most prestigious and

sought after addresses.

Within close proximity to JBR and with views over Dubai’s iconic coastal developments including Palm

Jumeirah, Burj Al Arab and the Arabian Gulf, the 37-storey Al Habtoor Business Tower is one of only two

commercial buildings in Dubai Marina.

The exclusive development boasts a range of facilities and services including three floors of parking, F&B

and leisure incentives for the neighbouring Habtoor Grand Beach Resort and Spa as well as a range of

office configurations to suit differing client requirements. Available office space ranges from a minimum

of 1,600 square feet to full floor options of 7,000 square feet. Prices start from AED140 per square foot

which includes service charges, and all utilities.

“Al Habtoor Business Tower is in a prime location in the bustling Dubai Marina. Given the population

density and large talent pool in the area, the tower represents an ideal opportunity for businesses

looking to make the Sheikh Zayed Road commute irrelevant. In addition to location and the spectacular

coastal views, the office space is well laid out with a wide range of quality fittings and finishes.

“One of the most common enquiries we receive is for fitted office space of between 1,500 and 2,000

square feet, therefore Al Habtoor Business Tower’s new offering of smaller units represents an ideal

match for the current market demand,” said Sean McCauley, Director – Agency, Asteco Property

Management.

The business tower has built a solid reputation with corporate tenants and is currently home to a range

of foreign consulates, multi-national corporations and investment firms. Current and prospective tenants

also benefit from the tower being solely owned and as such have one point of contact for all business

needs.

The Al Habtoor Business Tower appointment underscores Asteco’s burgeoning partnership with the Al

Habtoor Group having been appointed as sole leasing agent for the towers and retail outlets in the

multi-billion dollar Al Habtoor City development. The Al Habtoor Group has grown at pace with the UAE,

and whilst best known for construction, the company is recognised globally through its interests in the

hotel, automotive, real estate, education and publishing sectors.

“Our association with Al Habtoor Group is a prime example of a relationship based on mutual trust and

respect – criteria that has been imperative to Asteco’s 30 year success story in the Middle East,” added

McCauley.

“We’re delighted to once again be working with Asteco. The Al Habtoor Business Tower underscores a

remarkable opportunity for businesses looking to set up or relocate to a prime position in Dubai’s

Marina. The Tower is just one of many projects that has contributed to our growth within the UAE whilst

supporting the growth of the region through our economic fundamentals. As we celebrate 45 years of





business with a number of key projects and partnerships, there is no reason why we can’t replicate and

build on this success for another 45 years,” said Maan Halabi, Managing Director Al Habtoor Group

Dubai’s office leasing market grew by 12% in 2014, gradually building momentum over the course of

the year with Q4 recording the highest number of completed transactions. Tenants varied from small

sized companies looking for smaller office space to large local and international companies expanding

with requirements for over 10,000 square feet.

Source: Khaleej times

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UAE'S MASDAR CITY UNVEILS 4-BED

ECO-VILLAS THAT GENERATE OWN

ELECTRICITY

THURSDAY 23 APRIL 2015

Masdar City, Abu Dhabi’s urban innovation ecosystem, this week launched a new concept for sustainable

villas that generate enough solar energy to power the homes year-round.

The eco-villas are designed to accommodate future population growth and meet a growing demand for

sustainable family homes.

“With nearly eight million people expected to live in the UAE’s urban centres by 2020, this rising

population increases the imperative to design high-quality sustainable homes that use fewer natural

resources than existing homes,” said Dr Ahmad Belhoul, CEO of Masdar.

“Masdar City has pushed the boundaries of sustainable design since its launch, and now we are taking

our knowledge to the next level with this vision of the 21st century single-family home. The eco-villas

are central to the City’s goals to meet the lifestyle needs of a growing urban population, while reducing

these buildings’ consumption of water, energy and waste.

“We have leveraged the experience we gained during the initial phase of Masdar City’s development with

the construction and completion of Masdar Institute. We then continued to incorporate new best

practices as the City expanded in recent years. This legacy of sustainable innovation is evident in these

concept homes as we strengthen our commitment to the development of a world class community where

people will want to live, learn, work and play,” Dr Belhoul added.

The four-bedroom villa concept includes an array of high-performance solar panels that will generate

approximately 40,000 KWh per year. Careful orientation of the home, optimised natural lighting, a high-

performance envelope as well as low-energy LED lighting and other design techniques will reduce the

home’s annual energy demand to an estimated 39,000 KWh each year, slightly less energy than the

panels are expected to generate.

The eco-villa design would divert an estimated 63 tonnes of carbon dioxide emissions from the

atmosphere while reducing demand on the national electrical grid. The homes are expected to use 35

per cent less water than standard villas, thanks to low-flow toilets, faucets and showers, and other

innovative water conservation measures.

Source: Emirates 24/7

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WHICH NATIONALITIES BOUGHT MOST

PROPERTY IN DUBAI IN 2015

SUNDAY 26 APRIL 2015

Once again, investors from the Indian subcontinent have topped the list of expatriate investors in Dubai’s property market, as total transactions cross Dh64 billion in the first quarter 2015, according to the Dubai Land Department (DLD).

Indians topped the list of expatriate property investors, buying properties worth Dh3.04 billion.

Pakistanis came in second with investments worth Dh1.392 billion, followed by British nationals who bought properties worth Dh1.89 billion.

Iranians and Russians are also among the top buyers, with investments worth Dh633 million

and Dh509 million, respectively.

Overall, the total value of non-Arab investment crossed Dh12 billion through 5,466 investors

from 102 nationalities.

Emiratis were the biggest investors of all (topping the Gulf Cooperation Council (GCC) state list as well), buying properties worth Dh5.799 billion.

A total of 1,964 citizens from the GCC contributed Dh9 billion.

Saudi nationals came second with investments of Dh1.890 billion, followed by Kuwaitis with

Dh500 million; Qataris with Dh522 million; Omanis spent Dh147 million and Bahrainis, Dh199 million.

Jordanians took the first place with transactions worth Dh708 million on the list of other Arab

nationals. Egyptians came second buying properties worth Dh390 million; Lebanese, Dh505 million and Iraqi nationals Dh379 million.

They were followed by Yemen, Sudan, Palestine and Algeria, though no figures were revealed.

15 nationalities @ Dh3 billion

A total of 15 nationalities (1,220 investors) bought properties over Dh3 billion.

“The department is always keen on issuing the quarterly results of real estate transaction in Dubai for transparency that will help investors and customers in making decisions based on

strong foundations,” said DLD Director-General Sultan Butti bin Mejren.

“The figures in this report are showing a well-established trust in our real estate market, as well as full preparations and readiness with for quantum leaps in the next few years to receive

the Expo 2020,” he added.

Sales and mortgages relating to land transactions were worth Dh52 billion with commercial

land (already built on) deals amounting to Dh30 billion.





Buildings and unit transactions exceeded total value of Dh11 billion of which Dh8.41 billion were for housing units, business (commercial) units were worth Dh2.2 billion, and buildings

were around Dh1 billion.

On the land sales front, Al Yafra 2 was the most attractive with value of its transactions

reaching Dh1.467 billion.

It was followed by Al Hebya Al Thaletha with transactions worth Dh994 million and Al Warsan with deals worth Dh357 million.

As for mortgages of lands, Al Barsha South 1 came first with transaction worth Dh291 million, followed by Al Thunaya 4 and Al Thunaya 5.

As for unit (apartment) sales, the Business Bay area came first with value of transactions reaching Dh1.848 billion. It was followed by Dubai Marina with deals worth Dh1.181 billion and Al Thunaya 5 with Dh568 million worth of deals.

For unit mortgages, Dubai Marina topped the list with transactions worth Dh444 million, followed by Business Bay, Al Thunaya 5, Wadi Al Safa 2 and Burj Khalifa district.

For sale of buildings, Al Thunaya 4 topped all areas with transaction values reaching Dh172 million followed by Al Barsha South 4 with deals of Dh96 million.

Al Safa 6 came third with transactions worth Dh96 million.

For mortgages of buildings, Al Thunaya 4 registered transactions worth Dh115 million, followed by Wadi Safa 6 and Al Barsha South 4.


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WHERE IN ABU DHABI CAN YOU RENT

ONE-BED FOR DH55,000...

WEDNESAY 22 APRIL 2015

Residential rents in Abu Dhabi are not likely to ease any time this year due to an existing demand-supply mismatch, but renters can still lease one- to two-bed units in Khalifa City and Mohammed bin Zayed City for Dh55,000 to Dh80,000 per annum (pa), latest reports by real

estate consultancies reveal.

Rental have increased on an average of four per cent in the first three months of 2015 and are

expected to rise further this year due to drop in new housing supply in the capital, MPM Properties, the real estate advisory subsidiary of Abu Dhabi Islamic Bank, said in a report

released on Tuesday, to coincide with the opening of Cityscape Abu Dhabi 2015.

Only 750 new homes were delivered in the first quarter, the company said, stating it expected completion of 5,800 unit this year, which represents the lowest level of new residential supply

for five years.

A year-on-year comparison shows average rents were seven per cent higher in the first

quarter.

Sales prices declined four per cent quarter on quarter, and are down 10 to 13 per cent from their peak in the third quarter of 2014, with the decline attributed largely to a weakening

investor sentiment in the region due to a sharp drop in oil prices.

“What we are witnessing at the moment is that the lower oil price has temporarily dampened

sentiment, but the market fundamentals remain strong,” said Paul Maisfield, CEO, MPM Properties, said in the report.

“Rents have risen because of lower supply, and pent-up demand for high quality housing stock

in the city means that sales are still healthy. In addition, gross residential yields are now at 6 to 7 per cent, which is attractive to investors.”

MPM manages over 23,500 units in the capital.

Rent for 2-bed units up 4%

In its first quarter 2015 report, JLL, a real estate consultancy, said rents for prime two-

bedroom apartments continued to increase given the limited supply in the market as rates rose four per cent to reach Dh163,000 per annum (pa). Sales prices for residential units

(apartments and villas), however, remained stable at Dh16,000 per square metres.

Nearly 5,000 residential units are expected to enter the market by year-end with no major handover reported in the first three months of the year.

“We expect there to be a reduction in government spending this year due to the recent decline in oil prices, which will slow down the annual demand growth rate,” said David Dudley,

Regional Director and Head of Abu Dhabi office, JLL MENA.





“Residential demand growth will continue to be sustained from projects commenced while oil prices were high. Given a current shortage of quality housing, we expect rental growth to

continue, but at single-digit growth rates, rather than the double-digit rates we saw from 2013 to 2014.”

Average prime residential prices remained flat since Q4 2014 after two years of 25 per cent annual growth, primarily due to the recent decline in oil prices, equities markets and investor sentiment, the report said.

Sale prices stabilising

As per real estate consultancy Asteco’s Q1 2015 report, the capital registered a modest rental

rate increase for specific projects in key locations, with sales prices stabilising post a growth spurt in 2014.

Demand for high-end developments in investment zones including Saadiyat Island and Al Raha

Beach remained positive, with Reem Island reporting strong sales. “Popular” projects, the report said, registered a three per cent increase in rental rates.

“Prime and high-end residential units continue to dominate demand and command higher rental rates compared with other market locations, especially for one and two-bedroom apartments,” said Jerry Oates, General Manager, Asteco Abu Dhabi, adding, they were also

witnessing a significant increase in demand for affordable units this year.

Comparing prime investment areas with lower-end Abu Dhabi island apartments, one and two-

bedroom units in Shams Abu Dhabi are renting for up to Dh120,000 pa and Dh180,000 pa, respectively, compared with Dh70,000 pa and Dh90,000 pa for apartments in Central Abu

Dhabi.

Off-island, the price drops higher with one and two-bedroom homes in Khalifa and MBZ City leasing for Dh55,000 pa and Dh80,000 pa, respectively.

On the villa front, a four-bedroom unit in Al Reef is currently renting for Dh155,000 pa annum with a three-bedroom in Hydra Village leasing for around Dh95,000 pa. However, a luxury

three-bedroom property on Saadiyat Island is renting for up to Dh300,000 pa, the report revealed.

Experts are predicting softening in Dubai’s residential rental market, but they previously stated

that Abu Dhabi market follows the trend with a time lag of 12 to 18 months. However, a World Bank’s report said the UAE will see a decline in cost of living in 2015 with inflation projected to

more than halve from 2.1 per cent in 2014 to nearly one per cent this year.


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REGISTER YOUR DUBAI PROPERTY

BEFORE JUNE 30 OR FACE PENALTIES


The Dubai Land Department has set a deadline of June 30, 2015, for registration of all “sold” units in the emirate by property owners and failure to do so will result in penalties, Emirates 24|7 can reveal.

Developers have started to send the notice to all unit owners, asking them to comply with the new rules before June 1, 2015.

“Further to the notification received from the Government of Dubai Land department dated 19/03/2015 concerning “Registration of Real Estate Actions and Rights in Property Registry &

Interim Real estate Registration, Payment of fees to the Department” - we seek your urgent action to complete registration of your unit(s) with Dubai Land Department (DLD) before June 1, 2015,” reads the notice sent by a Dubai-bourse listed developer to unit owners.

It adds: “As mandated by DLD all sold units require to be registered before June 30, 2015, and failure to comply, will attract action & penalties.”

Emirates 24|7 reported earlier that buyers in “off plan” projects have to pay the registration fee of 4 per cent of the property price at the time of booking or within 30 days from purchase (either of the option depends on the developer). Earlier the buyer could defer the fee payment

at the time of resell or at handover.

“There are still a number of unit owners who haven’t paid the registration fee to the DLD…

ones those who have failed to register at the time when the registration fee was at 2 per cent,” said a senior executive with a top development company on conditions of anonymity.

“Those who have the title deed need not worry. What penalties or action will the land

department take is still not known,” he added.

DLD had doubled the property registration fee to 4 per cent from 2 per cent of the property

value, starting October 2013. The new fee covers all property transactions in the emirate of Dubai except for the industrial sector, including warehouses.

However, developers do mention those units owners who have fulfilled their obligations are

require to send a scanned copy of title deed.

The following documents are required to facilitate unit registration:

* Valid current passport copy

* Valid Emirates ID copy

* Non residents need to provide valid national ID copy

* Sale and purchase agreement of unit and parking particulars

* Copy of Power of Attorney and passport copy (if applicable)





* Company documents (valid trade license, passport copy)

* Original clearance letter from the facility management company

* In case of mortgaged units, bank/finance company offer letter addressed to DLD

Fees: (charges are subject to change as per DLD guidelines)

#Freehold (Completed project):

Managers cheque to DLD: 4 per cent on original price of unit and parking + knowledge fee (Dh540)

Additional fee: Dh502 (towards Emirates Real Estate Solutions)

#Freehold – payment plan for unit (delayed sale)



#Leasehold (Completed project)::

Managers cheque to DLD: 4 per cent on original price of unit and parking + knowledge fee

(Dh530)


#Leasehold – payment plan for unit (Delayed Sale)



#Freehold (Under-Construction project):

*Interim Registration


Managers cheque to DLD: Dh1,000 (Oqood registration)

#Mortgage fee:

Managers cheque to DLD: 0.25 per cent on mortgaged value + DLD fee Dh10

#Completion of Delayed Sale:

Managers cheque to DLD: Dh520

Developer fee: Dh502 (towards Emirates Real Estate Solutions)


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465 SKYSCRAPERS IN DUBAI HAVE A

'WOW' JOB FACTOR


Companies in the UAE and globally are looking at employee retention though salary hikes and bonuses, but, a new report claims that an “inspirational” office in a skyscraper can help lower attrition rate.

“For companies today, staff retention is high up the agenda. Losing star fee-earners is damaging for business, and even the cost of replacing support staff can be higher than the

rent paid on their workstations. Skyscrapers are one of several means firms have found to make the office an exciting place to be,” a UK-based Knight Frank said in a report titled “Global

Cities Skyscrapers 2015.”

“An inspirational office can encourage staff to interact and share knowledge, thus driving up productivity,” it added.

For private sector services firms (the mainstay of city office occupation) salaries typically account for around half of operating expenses. However, an unquantifiable cost is the loss of

value when successful staff leave, and the additional expense of replacing them.

“Skyscrapers are flourishing… they are seen as a away to give staff a workplace that feels special and promotes - esprit de corp – an office you want to tell people about at a dinner

party,” the report said.

Dubai has built nearly 190 skyscrapers ((350 feet high) since 2000 and is home to Burj

Khalifa, the tallest tower in the world, with Shanghai having only 90 such towers.

Emporis, which collates data on building worldwide, puts the number of high-rises at 917 and skyscrapers at 465 in Dubai.

However, the emirate has been ranked 16th on the list costliest skyscraper commercial rentals by Knight Frank with the average rent being $43.50 per square foot. Hong Kong tops the list

with average rent of $250 per square foot followed by New York where average rentals stand at $150 per square foot.

“Hong Kong is still top of the table, confirming that on a range of measures it is the world’s

leading skyscraper city. However, the lead has narrowed in particular, stronger rental growth for tower space has buoyed New York, where skyscrapers are proving popular with the city’s

fast expanding digital and creative firms,” the report said.

James Roberts, Chief Economist, Knight Frank, stated in the report that skyscrapers were a “rising tide in the modern global city” with London adding 23 new skyscrapers since the turn of

the millennium, compared to 17 in the preceding 40 years.


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DEVELOPERS QUEUE UP TO LAUNCH

MID-INCOME HOUSES IN DUBAI


Competition in Dubai’s mid to lower-end income housing market is heating up with Al Mazaya Holding, a regional real estate developer, entering the market with Q Line, a mid-income housing project, in its Dh2.6 billion Queue Point master development in Liwan, Dubailand.

“We believe in the UAE [property] market and we are catering to the medium- to low-income housing. It is a promising segment for developers and there is demand for such housing,”

company Group CEO Ibrahim A Al Soqabi told ‘Emirates24/7’.

“We have a prime location compared to other mid-income housing projects.

Those who have launched are a bit far away… it is raw land.

You can go to our project and live in our apartments.”

Prices for studio apartments range from Dh350,000, while the average price being Dh750 per

square foot.

This website had reported earlier that studio units in a project in Dubai Investments Park were

soon to be launched for Dh290,000, while some had announced payment plans post-handover of units.

Q Line, comprising four buildings with 500 units, will be completed in 2017, with the developer

looking to complete Queue Point by early 2016.

The 52-residential building development, inspired by San Francisco's urban structure, was

originally launched in 2007, but progress slowed down post the global financial crisis and slump in the emirate's property market.

The company claims 80 per cent of the residential units have been sold out.

Al Soqabi said, ‘price and location’ still remained the prime decision-making factors for investors, but they were also looking at payment plans, amenities and developer’s reputation.

Rashid Al Nafisi, Chairman, of Al Mazaya Holding, said the company has invested nearly Dh5.65 billion in the UAE real estate market and was keen to seize more opportunities in the country.

“The UAE real estate market in general and Dubai, in particular, is thriving… There is increasing demand from end users for new products.”

Al Mazaya, listed on the Dubai and Kuwait Stock Exchange, reported a 16.6 per cent growth in its profit in the first quarter 2015, compared with the same period last year and a 175 per cent increase in operating revenues generated from sale and lease operations.

The company’s Dubai portfolio comprises SkyGardens in Dubai International Financial Centre, Al Mazaya Towers in Jumeirah Lakes Towers and over 800 residential villas in Dubailand.






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0% DOWN PAYMENT ON YOUR NEXT

PROPERTY PURCHASE IN ABU DHABI?

TUESDAY 21 APRIL 2015

Abu Dhabi developers will unveil flexible payment plans with even zero per cent down payment options to book properties in the emirate during the three-day Cityscape Abu Dhabi 2015, which opens today (Tuesday).

Bloom Properties, a developer, will be offering apartments, starting Dh690,000 in its Park View project on Saadiyat’s Marina District.

Under the special promotion offer , the developer will offer units for 10 per cent down payment, followed by 1.5 per cent per month during the construction period and the balance to

be paid on handover.

The project comprises two interconnected buildings – a residential and hotel apartment tower.

Manazel Real Estate, another development company, will offer villas in Al Reef 2 on a ‘zero’ per

cent down payment plan. Though finer details were not available, the company also said every end-user (buyer) stands a chance to win a Mercedes S400 on the last day of the exhibition.

Al Reef 2 is a 500,000 square metre mixed-use development that includes 860 villas.

In its Q1 2015 Abu Dhabi MarketView report, CBRE, a global real estate consultancy, said that residential sales were expected to remain relatively stable in the short term despite limited

new product offerings to reignite market interest.

On the rental front, it said lease rates had increased by 12 per cent in the last year. Despite

this, demand has remained strong during the first quarter, particularly for two-bedroom units with average rents at Dh141,000 per annum and increasing to Dh150,000 for prime housing developments.

Average rent for three-bed units were at Dh168,500 per annum with prime projects such as St. Regis Residence fetching between Dh240,000 and Dh285,000 per annum.

CBRE expects 35,000 new residential units to hit the market over the next four years, with the focus being on investment zone areas, particularly Reem Island.


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GRECIAN 'WHITE AND BLUE' FOR

DUBAI MOTORCITY'S OIA RESIDENCES


Union Properties, a Dubai-based developer, is set to start construction on its Dh430 million 'Oia Residences' in MotorCity, Dubailand, development, Emirates 24|7 can reveal.

"We are launching 'Oia Residences', named after a small town in the island of Santorini,

Greece, and the architecture is inspired by white-painted houses of the Greek island," Director of Projects Isam Ababneh told this website.

The new project will include 271 residential units including duplex apartments with private gardens, terraces and direct access to the swimming pools.

The developer, which has completed the preliminary design, plans to award the contract for enabling works by month-end.

"The project is likely to be completed by end of 2017," Ababneh asserted.

Last year, UP announced projects worth over Dh2 billion which includes Dh1.1-billion The Vertex, a five-tower project in MotorCity spread over nearly 38 million square feet of land on

Emirates Road.

It has commenced work on phase 3 of Green Community at Dubai Investments Park (210 residential villas and 22 duplex apartments) with the project likely to be finished by June 2017.

In March 2015, company chairman Khalid bin Kalban told Emirates 24|7 that they were planning to build a Dh500 million rental portfolio over the next five years.

The developer, which sold its Auto Mall in MotorCity for Dh525 million to Texture Global Investments recently, has announced a three per cent, or Dh0.03 per share, in cash dividend and five per cent bonus share.

This website reported earlier that 78 new projects were launched in 2014 apart from the Dubai Land Department reviving at least 43 stalled projects worth over Dh10 billion through its

Tayseer and Tanmia initiatives.

Oia touch

Oia is a small town in the South Aegean on the islands of Santorini and Therasia in the

Cyclades, Greece, noted for its white and blue domed houses.

According to Wikipedia, the houses are painted in white lime-water for aesthetic purpose as

well to ensure collection of the rainwater.


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FREEHOLD OR LEASEHOLD: WHICH

PROPERTY 49% CHEAPER TO RENT IN

DUBAI?


Leasehold areas in Dubai are far cheaper to rent apartments and villas, than freehold

communities.

This is because the former caters to the affordable market segment and the latter to the affluent, according to a new property report.

“A rental comparison between the two areas shows that on an average, apartments are cheaper by 49 per cent and villas 31 per cent in leasehold areas (compared to freehold),”

Unitas Consultancy said, in its latest report, ‘Renter’s Ball: The Dynamics of the Tenancy Market in Dubai’.

However, the report said villas experienced higher rental growth rates (20 per cent) when

compared to apartments in the last five years; but rates had declined in the last one year.





“As the market adapted to cater to the pent-up demand, a flurry of new villa projects were launched by private and government sector developers.

“In the last year, the dynamics of the villa market have changed with both rents and prices having fallen; whereas apartment rental prices have remained relatively strong,” the report

added.

Six-month lag

Property prices, the report said, have hit a 'plateau'.

“There is a strong correlation between sales prices and rents (+ 0.8). Given the fact that sales prices have plateaued and have dropped from the peak, rents appear to be following suit with

a lag of approximately six months,” Unitas said.

An analysis of the income distribution among the working population revealed 84 per cent were skewed towards renting, much higher than comparable first world cities such as London (50.4

per cent) and Hong Kong (48.8 per cent).





“While this is partially because freehold ownership is still a relatively new phenomena, it is clear that income distribution levels need to be elevated in order for a wider home ownership

base to take place,” the report said, disclosing that 38 per cent of the working class could afford to rent individual units; 17 and 13 per cent could afford to rent one- and two-bed

apartments in freehold areas.

The report also revealed that the rental gap between apartments in prime locations and secondary locations was 69 per cent and it was 77 per cent for villa communities.

The highest discount was visible in the two-bed apartment segment, whereas the smallest gap was in the studio market.

Though villas continued to outperform the apartment segment over a five-year horizon in the prime and secondary market, it took a beating in the last 12 months.

“… the worst performer has been prime villa [communities] followed by regular villa

communities. Prime properties have had a sluggish performance relative to the rest of Dubai, highlighting the strong demand within the affordable segment,” the report pointed out.


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LOWER OIL PRICES SEEN COOLING

ABU DHABI'S RESURGENT PROPERTY

SECTOR


A slew of new residential units was released in 2009-12, just when demand was hit by the global

financial crisis, creating oversupply and sending prices tumbling. The sector then rallied in 2013-14

because of broad economic growth and the United Arab Emirates' status as a safe haven in the Middle

East.

Housing prices across the UAE capital's freehold markets rose about 24 percent in 2014 after an

increase of 31 percent in 2013, consultants Cluttons estimate.

But the rental market has been more sluggish, with rents rising 2 percent in the first quarter of this

year versus the preceding three months, according to a report from CBRE.

"Over the past year average rental growth has been relatively consistent, ranging between 2-3 percent

for each of the past four quarters," CBRE wrote.

Abu Dhabi has reduced its dependence on oil, but the energy sector still accounts for more than half its

gross domestic product, JLL estimates. While UAE authorities have pledged to continue spending on

economic development, and have plenty of money to continue doing so despite the oil price plunge,

some state spending may become more cautious.

The drop in crude prices has therefore led "to a softening of sentiment and there will be less (state)

spending this year than in the last two years," David Denley, JLL's regional director, told an industry

conference on Tuesday, predicting this would hurt property demand and lead to "mid-cycle stability".

"It will be relatively flat this year, maybe the year after, and we can then think about growth again," he

said. "We still think there will be growth this year, but in single digits."

Abu Dhabi has about 244,000 residential units; over the past six to seven years, about 10,000 units

have been handed over each year and a further 8,000 units annually will be completed over the next

few years, JLL estimates.

"If you talk about the actual schemes that have planning consent, there's scope for there to be another

oversupply situation," Denley said.

Abu Dhabi's Urban Planning Council approved 76 projects and master developments covering about 11

million square metres of gross floor area across the emirate during the first quarter, CBRE wrote.

LIVING COSTS

But while the supply of higher-end homes is ample, Abu Dhabi has a shortage of affordable housing,

Denley added.

The price spike in 2013-4 has meant "many residents are becoming increasingly concerned over the

escalating cost of living, particularly as utility rates are also on the rise," CBRE said.





Such concerns led Aldar Properties this week to launch Meera, a development of 400 units near the city

centre for households with relatively moderate monthly incomes of 20,000-30,000 dirhams ($5,450-

8,175).

"Previously we did have products in that category, but were targeting corporations where we built staff

accommodation," Talal al-Dhiyebi, chief development officer at Aldar, Abu Dhabi's largest developer, told

Reuters.

Aldar plans to complete 7,500 new units over four to five years. It has built about 18,000 units, of which

it has retained 5,000 to rent out.


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DUBAI’S NEXT WAVE OF HIGH-RISES

ARE BY THE WATERFRONT


“There are a number of previously masterplanned zones that are being revised or rejuvenated ... for

example, the Dubai Waterfront and at the Lagoons area,” said Simon Townsend, Head of Capital

Markets at DTZ, the consultancy. “Also, there are still parcels within Dubailand that are seeing some

activity [for high-rises].”

Another potential high-rise location in the making is Dubai Maritime City, where the revised master plan

has made ample allocations for them. Omniyat was the first to announce a project there, the Dh600

million “Anwa” residential tower.

Another location in the making is Deira Islands, where Nakheel has just unveiled the blueprint for a 16-

tower cluster.

What it means is that there is still plenty of momentum and space that the city’s developers can draw

upon for the next high-rise project. Clearly, all of the city’s future towers will not all be packed into

areas either side of the Shaikh Zayed Road. (But, in the recent past, Dubai’s developers have by and

large opted for spread-out communities with villas, town houses and mid-rise apartments.)

Other global cities are also caught up in the let’s-build-a-skyscraper mindset. And it’s no more about

such properties being best equipped to handle a city’s economic and population growth requirements.

“Moving outwards breaks up business clusters and creates political problems, like allowing development

on green fields around cities,” states a report issued by Knight Frank on Wednesday. “This moves the

pendulum of debate in favour of building upwards to provide more homes and business space.”

Business address

There is also the sheer feel-good factor — companies and their staff prefer to work out of premises that

can give them bragging rights. And having their business address in a skyscraper sure gives them those

rights.

“For companies today, staff retention is high up the agenda,” the Knight Frank report adds. “Losing star

fee-earners is damaging for business, and even the cost of replacing support staff can be higher than

the rent paid on their workstations.

“Skyscrapers are one of several means firms have found to make the office an exciting place to be. Also,

an inspirational office can encourage staff to interact and share knowledge, thus driving up

productivity.”

And investors are working up big appetites for anything that is tall — late last year, London’s eye-

catching “Gherkin” Tower was sold to a Brazilian investor, while another landmark in the city, Shard

tower, is 95 per cent owned by Qatar’s sovereign fund.

“Global real estate capital markets are seeing more activity from those who wish to deploy money in

very large sums [above the $1 billion mark],” the Knight Frank report says. “The size of skyscrapers

makes them attractive to such investors, and this will encourage a movement towards developing in

scale.”

Tally





London has had 23 new skyscrapers since 2000, while New York City took in four new ones last year

alone.

Dubai has had nearly 200 of these in the last 15 years, while Shanghai’s tally is 90.

“Increasingly, mixed-use is moving up the tower agenda — indeed the majority of skyscrapers in both

Manhattan and London’s future development pipeline are residential,” the report adds.

“As well as creating a better working environment, skyscrapers can make the city a better place to live.

If more homes can be built near to work, commuting times are cut, which benefits social and family

lives. When offices and homes are lifted above street level, the ground floors and basements of buildings

are freed up for shops and leisure facilities.

Source: Gulf News

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MAKANI TO BE USABLE ON GOOGLE

AND HERE MAPS


Dubai’s own satellite location address and navigation system, Makani, will be compatible with Google

and HERE maps, an official said.

Dubai Municipality’s Makani (My Location) assigns a 10-digit number to every building in Dubai on a

digital map and guides users to the location — down to its front door or main entrance — using the free

Makani smartphone app.

It is accurate up to one metre of the pin selected on the map.

Makani numbers are also going up on buildings, allowing residents or tourists without digital access to

guide friends, taxis or emergency responders to the location.

All they have to do is say the number over the phone or text it — there is no need to give directions,

street names or landmark references. The recipient simply copy pastes or punches in the number in the

Makani app to see the building or location.

In the future, the building or address will be traceable on Google and HERE maps as well using the

Makani number, said Abdul Hakim Abdul Kareem Malek, Director, Geographic Information System Malek

expects Google and HERE compatibility to be online by 2016, if not this year for at least one of them.

The compatibility can boost the number of people using Makani numbers and help it gain currency in

everyday use, he said.

HERE maps are found in Nokia and Windows smartphones while Google maps are popular in Android and

Apple mobiles.

There are millions of Google and HERE map users in Dubai and the Makani app itself has been

downloaded more than 10,000 times on Google Play (the Android app store). It has a 5-star rating on

the Apple store for iPhones.

The Makani app will also be available on Windows and BlackBerry smart app stores within April, Malek

said.

Makani coordinates can also be converted to formats used on other location tracking systems such as

DMS (Degree, Minutes, Seconds) and Latitude-Longitude within the app itself.

“Soon everyone in Dubai will start using Makani — friends, taxis, courier companies, ambulances,” he

added.

The system is still new; it was officially launched on April 4 by Shaikh Hamdan Bin Mohammad Bin

Rashid Al Maktoum, Crown Prince of Dubai.

However, the Makani numbers for most buildings have been available on the app for much longer than

that. The physical plates are being rolled out and expect to be in place for all buildings within six

months.

There are around 125,000 buildings in Dubai that will be registered with Makani.





Virtually all buildings recently received Makani number stickers and guides to build awareness on the

system. The stickers, sometimes found in reception areas or next to lifts, will be replaced by permanent

Makani plates on front entrances.

“Seeing is believing and the plates will help introduce a culture of change in how we give and use

addresses.”

With Makani, the problem of language, accent or pronunciation differences does not arise.

The plates can also be scanned by smartphones using the QR code reader apps, providing a digital copy

of the number that can be quickly shared online.

“Makani is a first of its kind system in the world. It’s getting great feedback and everyone will be forced

— in a positive sense of the word — to use it,” Malek said.

He added that he has met Emirates Post officials who have shown interest in Makani and praised the

advantages of the system during a presentation. “It’s their decision if they want to use it. They are

happy with it.”

Malek added that he anticipates Dubai taxi operators will use Makani by the end of the year. “Already

some taxi drivers are using it of their own accord,” he said.

Makani can also be used online through its website, makani.ae.

Malek had earlier said there is a plan to integrate other services with Makani, such as displaying the

location’s contact information, services and nearby facilities, possibly using Augmented Reality features

on smartphones.

Source: Gulf News

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DUBAI CREEK WORLD HERITAGE SITE

BID SUBMISSION ON JANUARY 31,

2016


Dubai will submit its revised bid to list its historic area around Dubai Creek as a Unesco World Heritage

Site on January 31, 2016, an official said.

After the bid, Unesco officials will visit Dubai in October 2016 to judge the area and a decision is

expected in June 2017, said Rashad Bukhash, Director, Architectural Heritage Department, Dubai

Municipality.

A Unesco World Heritage Site is a place listed by Unesco for having great cultural or physical

significance.

The history and culture of early Dubai is synonymous with Dubai Creek, an inlet of the Arabian Gulf

which was lined with trading dhows, bazaars and traditional homes.

Much of the historic area has been preserved and is going up for the Unesco listing bid.

Bukhash’s comments came on the sidelines of an architectural conservation seminar by the municipality

on Sunday, held as part of activities for World Heritage Day (April 18).

He said as part of the bid preparation, officials are undertaking studies on culture and the history of

trade in Dubai. They are also comparing the Dubai bid area to other listed sites in the world.

Bukhash added that more than a dozen visiting Unesco experts were brought up to speed on Dubai’s

restoration of some of the historic buildings.

Any restoration is carefully weighed as the site or building in question must be as true to the original as

possible.

“In general, yes, it is an issue. But what we’re doing for certain cases is in a very scientific way,” he

said.

The materials and techniques used in the process are identical to those used in the original buildings.

Also, Bukhash added, the foundations still exist, and there is evidence — such as old photographs,

documents and interviews with residents — to support the authenticity of the works.

He also mentioned that there are sites, such as post-Second World War sites in Warsaw, Poland and

some Japanese temples, which were restored and made it onto the list.

Dubai’s revised bid has limited the area to the end of Al Fahidi area from Al Shindagha area, which lies

around the mouth of the Creek. This distance is about 1.75km, much shorter than the previous

consideration until Al Maktoum Bridge further down the Creek.

Separately, Dubai is also revamping streets and facilities in its historic area under a three-year project

undertaken by the municipality and other government departments.





The upgrades will cover parts of Bur Dubai, Al Fahidi, Shindagha and Deira. There will be more shops

focused on art and culture, walkways, parking, washrooms, and other facilities. The project includes the

Al Shindagha Museum that will feature 17 pavilions.

At Sunday’s seminar, municipality officials also discussed investment in heritage and a virtual museum

project.

Source: Gulf News

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UAE'S BLOOM UNVEILS NEW SAADIYAT

ISLAND PROJECT


Real estate developer Bloom Holding on Tuesday launched Park View, a mixed-use development that is

set to take shape on the Saadiyat Island in Abu Dhabi.

Located in the university neighborhood at the heart of the Marina District, Park View will comprise a

residential and a hotel apartment building, the company said in a statement.

Bloom, a National Holding company, said the residential building will include a total of 234 units ranging

from studios to two-bedroom apartments.

Upon completion, the 188-key hotel apartment building will feature studios, one and two bedroom and

executive apartments.

The development will also comprise a wide range of commercial and leisure facilities including retail

outlets, restaurants, an infinity edge pool 30 metres above the ground, a gym, and a fitness centre.

Sameh Muhtadi, CEO of Bloom Holding, said: "Park View will prove the ideal living space for those

seeking an exclusive address. The complex when completed will offer seamless access to a wide range

of residential, hospitality, leisure and retail destinations.

"As the name implies, the development will feature panoramic views of the adjacent park and also boast

an inner garden. In addition, it will provide an enriching and eco-friendly experience for Park View

residents, and ensure their compliance with best-in-class sustainable standards in line with Bloom's

commitment to the environment."

At Cityscape Abu Dhabi, which runs until April 23, Bloom is showcasing a project portfolio which also

includes Stella Maris Tower in Dubai Marina, Abu Dhabi Marina, Bloom Central, Bloom Business Center,

Al Ghader and Bloom Gardens.

Source: REIDIN

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TDIC LAUNCHES MODERN VILLA

PROJECT IN UAE


Tourism Development & Investment Company (TDIC), a leading property developer in Abu Dhabi, UAE,

has launched Jawaher Saadiyat, its latest luxurious residential community in the Saadiyat Beach District.

Comprising 83 units; including four-bedroom townhouses and four-, five- and six-bedroom villas,

Jawaher Saadiyat is an exclusive gated-community situated on the edge of the celebrated Gary Player-

designed golf course and within walking distance to the St Regis Saadiyat island resort, Manarat Al

Saadiyat exhibition centre and Cranleigh Abu Dhabi, a leading UK school. Interested investors will be

able to register their interest today and at Cityscape Abu Dhabi where a mock-up of the development

will be revealed for the first time.

Jawaher Saadiyat’s villas and townhouses offer homeowners the opportunity to enjoy all the comforts of

modern life in a secure community intended to offer a measure of privacy, with high-end facilities and

services. Featuring bold geometrical styles, each villa will include floor-to-ceiling windows that offer

expansive views as well as allow maximum use of natural lighting. Villa residents will also enjoy unique

interior elements, such as dedicated lift services and a kitchen with an exterior entrance. In addition,

residents will be able to utilise the villas’ flat roofs as private lounges. The villas, whose built-up areas

range from 4,628 to 13,648 sq ft, will also include two to four shaded car parks. Moreover, the five- and

six-bedroom villas will feature an independent majlis with its own pantry, toilets, office and guestroom,

in addition to a dedicated driver’s and cook’s room.

“We are pleased to announce the launch of Jawaher Saadiyat, which will add to the current high-end

residential offerings being enjoyed on Saadiyat today. The demand that TDIC has received in the past

few years for its residential products has been phenomenal and goes on to show that investors are not

just looking for a great destination, but also for high quality standards when investing in their future

home,” said Ali Majed Al Mansoori, TDIC’s chairman of the board.

This ultra-modern gated community will also offer homeowners a wide range of facilities and services

that are currently enjoyed by Saadiyat residents; among them, dedicated security, beautifully

landscaped grounds, a multi-purpose court, a state-of-the-art gym, swimming pools for both adults and

children, a coffee shop, and more. Additionally, residents of Jawaher Saadiyat can benefit from exclusive

discounts and benefits through the Advantage card, a loyalty programme available to all residents of

TDIC’s communities.

Ali Yousif Al Hammadi, chief executive officer at TDIC, said: “The launch of Jawaher Saadiyat comes

following an in-depth research which showed that the market still lacks this category of four and five-

bedroom villas and townhouses. Therefore, we anticipate great appetite from potential homeowners and

investors who are seeking a stylish, modern dwelling for their families in an address that allows them to

enjoy a unique lifestyle and all its associated benefits.”

Residents will also be able to take advantage of its proximity to the Beach District’s hospitality, leisure

and retail offerings which include international five-star resorts and hotels as well as top-class sports

and leisure facilities, among them The St. Regis Saadiyat Island Resort and Spa, Park Hyatt Abu Dhabi,

The Collection retail destination, and the Saadiyat Beach Golf Club.

“We look forward to welcoming future homeowners to their enviable address on Saadiyat, which is

successfully being developed into a world-class destination that offers everything ranging from culture to





residences to sophisticated hospitality and retail elements as well as leading educational institutions,” Al

Hammadi said.

Source: REIDIN

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TAMOUH LAUNCHES CITY OF LIGHTS’

HORIZON TOWERS AT CITYSCAPE ABU

DHABI


Reem Island’s master developer, Tamouh, unveils the launch of City of Lights’ Horizon Towers at

Cityscape Abu Dhabi 2015, which will be held from April 21st to the 23rd, at Abu Dhabi National

Exhibition Centre (ADNEC).

As part of the launch, Abu Dhabi residents will now have the chance to buy properties in Horizon

Towers. With the successful development of Marina Square's community and the recent handover of

several towers within City of Lights, Reem Island is becoming a much sought-after destination in Abu

Dhabi, and is the number one searched for real estate development on propertyfinder.ae.

Horizon Towers, City of Lights’ newest addition, offer a captivating lifestyle within the premium

development, residing on a waterfront, with access to a promenade. Overlooking the marina and natural

green mangroves, the towers offer panoramic views of the Abu Dhabi city and the Reem Island skyline.

Comprising two buildings, the development features residential units ranging from 1 to 3 bedroom

apartments, and a wide array of amenities including retail outlets, restaurants, swimming pool, boutique

spa, paddle tennis, kids club, gym, fitness centre and yoga terrace. The towers’ expected completion

date is announced to be by the end of December 2016.

Joe Ong, Managing Director, Tamouh said: “Through the experience we gained from 2005 to this date,

Tamouh now stands on many years of profound knowledge of the Abu Dhabi residents’ real estate

preferences. The credibility and trust we have earned over the decade has generated considerable

interest from buyers, especially after we announced the gradual launch of City of Lights, as well as the

progress and handover of its first phase."

Commencing with the gradual delivery within City of Lights, Tamouh recently handed over the first

phase of Hydra Avenue, comprising three multi-use towers. City of Lights is a 144-acre mixed-use

development on Reem Island, characterised by interlinked plazas.

It encompasses 60 towers, including 52 upscale residential towers, 8 commercial towers, mixed-use

development blocks, and retail blocks with podium space and facilities including swimming and wading

pools, children's playgrounds, promenade, mosques, parks, marina facility, day care centre and

amphitheatre.

Source: REIDIN

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ETIHAD TOWERS SETS PACE IN ABU

DHABI’S PREMIUM PROPERTY MARKET


Office rents in Etihad Towers increased 18 per cent in the final three months of last year as demand for

Abu Dhabi’s small stock of super prime headquarters space intensified despite the oil price slump.

The landmark cluster of five glass and steel towers on the Abu Dhabi Corniche, which combines homes,

shops, offices and a hotel, witnessed the fastest growing office rents last year, according to property

broker Cluttons.

With annual rents of Dh 2,250 per square metre, the mixed-use tower complex, developed by Sheikh

Suroor Projects Department, was the second most expensive office location in Abu Dhabi.

The building is home to businesses including Samsung Engineering, General Dynamics, EADS, Gensler,

Korea Exchange Bank, CCC, National Ambulance Company, as well as the France and Fijian embassies.

Etihad Towers lags Mubadala’s Abu Dhabi Global Market Square office complex which, after a year where

leasing activity was frozen while new free zone rules were drawn up, is currently marketing office space

at Dh3,700 per square metre.

Other super prime office buildings reporting steep rent rises of between 8 per cent and 13 per cent

during the final quarter of 2014 included World Trade Centre Abu Dhabi at the Central Market site and

Nation Towers on the Corniche where rents reached Dh2,000 per square metre and International Tower

near Adnec where rents stand at Dh2,050 per square metre, Cluttons said. In total Cluttons identified

just nine super prime office buildings in the city which were available for rent.

However, although office rents for these few buildings rose steeply in the final quarter of 2014, no

increase was recorded in any grade A development during the first quarter of this year as slumping oil

prices subdued the local economy – about half of which is dependent on the hydrocarbon sector.

“With oil prices fluctuating around the US$50 per barrel mark, we are likely to see this start to impact

the rate of job creation in the oil and gas sector as the year progresses and hydrocarbon linked firms

begin reassessing their growth plans,” said Steve Morgan, chief executive of Cluttons Middle East.

“For now it is our view that with the limited amount of grade A space available and in the pipeline, and

with demand likely to persist, according to our central scenario, office rents are likely to hold steady,

with almost no movement expected this year at the top end of the market.”

But the same could not be said for Abu Dhabi’s plentiful stock of secondary and tertiary buildings, the

estate agent added.

“We expect rents in these categories to edge downwards, widening the gap between the city’s

distinctive, two tiered market,” Mr Morgan added.

Source: REIDIN

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NEW SAADIYAT ISLAND VILLA

COMMUNITY CLOSE TO GOLF COURSE

LAUNCHED


The launch of a new gated villa community on the edge of Saadiyat Beach Golf Club in Abu Dhabi is targeting a shortage of modern villas in the capital.

Tourism Development & Investment Company (TDIC) said that Jawaher Saadiyat will feature 83 properties, with four-bedroom townhouses and four, five and six-bedroom villas with floor-

to-ceiling windows.

“The launch of Jawaher Saadiyat comes following an in-depth research which showed that the market still lacks this category of four and five-bedroom villas and townhouses,” said Ali Yousif

Al Hammadi, chief executive at TDIC.

A statement from TDIC said that the villas’ flat roofs can be used as private lounges, while

each villa will come with two to four shaded parking spaces. The overall built-up space will be between 4,628 sq ft to 13,648 sq ft.

The five and six-bedroom villas will feature an independent majlis with its own pantry, toilets,

office and guestroom, in addition to a dedicated driver’s and cook’s room.

The properties will be showcased at Cityscape Abu Dhabi, which runs from Tuesday until

Thursday at the Abu Dhabi National Exhibition Centre.

Saadiyat Island has been divided into six separate neighbourhoods. The Saadiyat Beach district

is currently the most advanced with the majority of the island’s properties.

TDIC said last month that construction of the third phase of Saadiyat Beach Villas is on track for completion in June.

The third phase consists of 77 four and five-bedroom villas, taking the total in the community to 428.

Saadiyat Development and Investment Company (SDIC) also said last month that its luxury beachside villas at Hidd Al Saadiyat were 40 per cent complete.

The project is built on nearly 1.5 million square metres of natural waterfront land on the north-

east part of Saadiyat Island, and will be home to 4,000 people with 453 villas and 15 low-rise apartment buildings when complete. The villas, dubbed “beach palaces” by the developer, are

priced from Dh7 million to around Dh40m.

SDIC said that 78 per cent of the infrastructure has been completed, while the project is scheduled for completion at the end of 2016.





The first phase of Mamsha Al Saadiyat, a 1.4 kilometre beachfront mixed-use development with apartments and townhouses, had sold out according to TDIC last year.

Prime house prices in Abu Dhabi rose by 14.7 per cent last year, according to a report from Knight Frank.

However, the market slowed in the final quarter, with property broker JLL reporting that prices were unchanged during the final three months for the first time in two years, as strict mortgage caps and tumbling global oil prices prompted investors to stay away.

Source: REIDIN

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EMAAR UNVEILS MAPLE AT DUBAI

HILLS ESTATE


Designed to be Dubai’s first fully-integrated green ‘city within a city,’ Dubai Hills Estate, the joint venture of Emaar Properties and Meraas Holding located in Mohammed Bin Rashid City (MBR City), has unveiled ‘Maple’, its first townhouse community.

Surrounded by parkland and with a central green boulevard, an extensive choice of high-end retail, several community and neighbourhood parks, and a sweeping expanse of nature trails,

Dubai Hills Estate is also centrally located in easy proximity of Downtown Dubai and Al Maktoum International Airport. A luxury 18-hole golf course, dedicated link to the Dubai Metro expansion, two world-class hotels and a tennis academy are also part of the master-planned

community.

Thoughtfully designed to assure residents an active outdoor lifestyle with homes set in

immaculately landscaped gardens and green walkways, the 118 townhouses will feature three, four and five bedrooms that will appeal to end-user families and investors.

Potential investors can register interest for the ‘Maple’ townhouses at www.emaar.com, with

the sales launch to be held on April 25, 2015 at 8:30am on a first-come, first-served basis in Dubai and Abu Dhabi. The sales launch in Dubai will be held at the Emaar Pavilion on

Mohammed Bin Rashid Boulevard in Downtown Dubai, and in Abu Dhabi at the Emaar Sales Centre, Al Nahda Tower.

Ahmad Al Matrooshi, Managing Director of Emaar Properties, said: “Dubai Hills Estate is an

iconic development that will serve as an inspiring green getaway destination right in the heart of the city. A connected ‘city within a city’ that focuses on living in harmony with nature, it is

one of the ambitious mega-developments in Dubai that is centrally located. ‘Maple’, the first townhouse community, is placed to the west side of the development, bringing an extraordinary lifestyle choice to all residents.”

Assuring a premium lifestyle with spacious homes that range in area from 2,200 to 2,700 sq ft, ‘Maple’ townhouses are defined by a modern and contemporary architectural style. Potential

investors can choose from different floor plans and layouts, with all residences to have quality finishes as standard.

A distinguishing feature of the ‘Maple’ community is the green corridor that connects the

residences with green parks, a mosque, a day care centre and a retail centre in addition to jogging and cycling trails, fitness stations and shaded areas with seating benches.

Designed for families, ‘Maple’ townhouses reflect Emaar’s world-class standards in design, and are developed to high standards in project management. Adding to the convenience of

residents, are educational institutions and healthcare facilities.

Emaar is offering long-term investors and end-users the opportunity to register for the Emaar Preferred Access programme, also at www.emaar.com. Investors who make a down payment





of 30 per cent of the total value of the property and maintain ownership until hand-over is completed will be offered preferred access and the opportunity to own homes, subject to

conditions, through this new customer-oriented initiative. Interested investors and end-users can also skip the line and register for the programme even on the day of the launch. ‘Skip the

line’ avoids the need for waiting in the regular queues for property purchases or early registrations.

More information on the project is also available through the new ‘Online Sales Centre’ feature

on Emaar’s e-Services App that can be downloaded on iPads and iPhones. Potential customers can use the App to register interest and even reserve the home for a period of five calendar

days.

Source: REIDIN

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DUBAI HOTELS AND OUTLETS GEAR UP

FOR MORE CHINESE TOURISTS


It didn’t take more than 10 minutes for James Sun to tour the Deira Gold Souq with his wife last month.

The couple were in Dubai for a three-day tour, and Mr Sun, who said he was interested in

buying a watch, was not attracted by the jewellery shops.

Although usually packed with tourists and residents, the windows shining with the yellow metal

were hardly a draw, and the Chinese tourists also made their visit to the spice souq swift.

“The Chinese tourists typically trust the airport duty free shops and reputed malls such as Dubai Mall for their personal shopping,” said Guan Yuan Zhao, a freelance tour guide who has

been working in Dubai for about seven years.

The couple were among a group of 10 tourists from China Sun Tourism that was visiting the

UAE, part of a growing wave of visitors with unique requirements including access to Chinese bank payment systems, television channels and menus.

Most of the travellers are in the middle to upper-middle class, who have gained greater

disposable incomes in recent years.

Chinese tourists are expected to spend $781 million in 2023 in Dubai, up from $488m in 2013

and the hotels, shops and entertainment facilities are already gearing up to welcome them.

Dubai attracted 344,329 guests from China last year, a 25 per cent increase over the previous, and Abu Dhabi attracted 120,350 guests, a 166 per cent rise from 2013.

“In the Middle East, Dubai has benefited from this growth due to its relative proximity to these countries, travel and accommodation facilities, and the successful marketing of the

destination,” said Rashid Aboobacker, a senior consultant at TRI Consulting in Dubai.

Elsewhere in the region, Chinese travel to Mecca and Medina is forecast to rise by 50 per cent by 2023 as the country’s Muslim population is expected to grow to 2.1 per cent of its

population by 2030, according to a report last month from consultancy Oxford Economics and the InterContinental hotels group.

Source: The National

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ALDAR ‘AFFORDABLE HOUSING’

PROJECT ENTICES MID-MARKET

EARNERS


Aldar Properties is attempting to build what it calls “affordable housing” on Reem Island as part

of its plans to build 7,500 homes in Abu Dhabi over the next four years.

The capital’s largest listed developer said yesterday that it was marketing 400 off-plan flats in the Shams area of Reem Island to Abu Dhabi residents on a salary of between Dh20,000 and

Dh30,000 a month.

One-bedroom apartments are being offered to the market at Dh899,000 at Aldar’s new Al

Meera project in an attempt to attract mid-market earning expatriates to invest in its schemes.

Two-bedroom apartments would be marketed for Dh1.1 million and three-bedroom apartments for Dh1.5m.

Talal Al Dhiyebi, Aldar’s chief development officer, said the prices were 30 to 40 per cent lower than current market value.

“We have targeted these apartments at the sort of person who can typically only afford to buy a studio or a one-bedroom apartment,” he said. “But they need a larger apartment for their families. These are people working in the oil and gas sector, teachers and nurses.”

The development is one of three new projects launched by Aldar on Monday, which also included 1,000 villas available only to UAE nationals at West Yas and 700 homes, including

studios, one, two, three and four-bedroom apartments, as well as town houses, villas and penthouses at Aldar’s Mayan project on Yas Island.

Aldar’s project launch was one of a few to take place on the first day ofCityscape Abu Dhabi as

property developers shied away from building new stock at a time when a slump in oil prices has put a dampener on the emirate’s economic outlook.

According to figures released yesterday by JLL, house prices in Abu Dhabi have remained at the same levels since the final quarter of 2014 and are expected to remain stable this year.

At the same time Aldar also announced that it planned to open a 31,000 square metre mall at

Al Falah close to Masdar and Abu Dhabi airport. The mall is scheduled to open in 2017.

The developer also said that it planned to expand its existing Al Jimi Mall in Al Ain, bringing its

total leasable area to 75,000 sq metres.


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STABLE OUTLOOK FOR ABU DHABI

URBAN PLANNING


The Abu Dhabi Urban Planning Council (UPC) approved 22 new projects in the first quarter, shrugging off concerns that a weaker oil price could hit projects.

This will add more than 700,000 square metres of gross floor area in development plans to the

capital.

The oil price rout has not caused either private or public sector developers to delay or cancel

new projects, said Mohamed Al Khadar, executive director of the UPC.

“The outlook compared to last year is very stable,” Mr Al Khadar said. “We haven’t received any request to delay capital projects. Actually, we have noticed a surge from public

developers. By the end of the year we are going to have around 85 to 90 projects, adding about 10 million square metres of floor area,” he said.

Large-scale property projects in the capital require approval from the council before construction can start. Smaller developments are approved by the Abu Dhabi Department of Municipal Affairs. The list of new projects approved in the first three months of the year

includes Al Noor Tower and the Early Childhood Center for Excellence, which was first considered in 2013, and will provide learning facilities for 96 children. Both projects will be

launched on Reem Island.

Aldar’s Al Falah Mall, part of a master planned community to the east of Abu Dhabi International Airport, was also given approval, as well as Repton Abu Dhabi High School, and

the Shams residential development in Madinat Zayed.

Last year, the UPC approved 76 projects, covering a total floor area of almost 11 million sq

feet. The UPC also announced that it had launched a new strategic plan for 2016-20, to tie in with the goals of the Abu Dhabi Vision 2030. “This is a plan for how we accommodate the emirate’s growth, and the government’s needs,” said Abdulla Al Shamsi, executive director at

the UPC. The UPC declined to share details of its plan.


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LEGOLAND DUBAI MAKES WAVES WITH

PLANS TO INCLUDE WATER PARK


The upcoming Legoland theme park in Dubai will now include a water park.

It is scheduled to open alongside the wider Legoland Dubai in October next year, the developer, Dubai Parks and Resorts, and the operator, Merlin Entertainments, said yesterday.

The water park will offer attractions including a wave pool, a river ride in which visitors can design their own rafts and the interactive Imagination Station, where children can build

bridges, dams and cities and test their designs against the flow of water.

The Legoland theme park, which will be spread across 3 million square feet and will be made

from more than 60 million Lego bricks, will now have more than 100 rides and attractions.

Shares of Dubai Parks and Resorts fell 0.22 per cent to 92 fils on the Dubai Financial Market yesterday.

The multi-themed Dubai Parks and Resorts complex in Jebel Ali off Sheikh Zayed Road will also include Motiongate Dubai and Bollywood Parks Dubai, connected by the retail and

entertainment walkway Riverland Dubai, as well as the Lapita Hotel, a Polynesian-themed resort under the Starwood brand.

Merlin’s Legoland division reported £120 million (Dh664.1m) in underlying profit – about 38

per cent of the group’s total earnings – last year, up from £106m in 2013. That came as the group opened a water park at its Legoland California.

Separately, Dubai Parks and Resorts last month signed up with the Mumbai-based Wizcraft International Entertainment to create a show for the Bollywood Parks.

Hoteliers across Dubai are pinning their hopes on the expansion of entertainment offerings as

rates and occupancy are pressured by a growing supply of hotel rooms.

“While 2017 and 2018 could be the tougher years [for the hospitality sector], it could get

better in 2019 gearing up for the Expo – we will wait to see the impact of the new attractions and the theme parks,” said Stefan Viard, the general manager of Vida Hotels and Resorts and Al Manzil Hotels.

“Dubai has a few unique selling points such as a flight time between four-and-a-half hours and six hours from Europe, safety and more attractions in town, which make it more than a malls

and beach destination.”


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UAE SMALL BUSINESSES WANT TO

CONVERT PRICEY LOANS INTO

BUSINESS MORTGAGES


Small businesses are looking to roll high-interest post-crisis unsecured loans into commercial mortgages

as banks ramp up their commercial portfolios and interest rates remain low.

The number of mortgages taken out on offices and warehouses in Dubai and Abu Dhabi has rocketed

over the past year as small businesses refinance or buy their own premises, according to one Abu Dhabi

lender.

Abu Dhabi Finance (ADF) reported that it dealt with a 60 per cent increase in its commercial mortgage

portfolio between the first three months of 2015 and the same period last year.

The Mubadala-owned lender, which specialises in lending to small businesses and homeowners, said that

the growth had come from an increase in the number of SMEs buying or refinancing commercial

premises, pushing its average commercial loan size down to Dh1.8 million.

ADF said that it expected its commercial mortgage portfolio to grow in the whole of 2015 to about

Dh300m, rising from about Dh150m last year. The lender is currently offering about three to five equity

release commercial mortgages a week, mostly for warehouses in the Dubai free zones.

Free zone rules mean that until a property is 50 to 75 per cent complete you cannot register a mortgage

on it, so the company must own it itself or obtain an unsecured loan to build it.

“Partly what we are seeing is a shift from short-term unsecured finance. What we think happened was

that during the last downturn, to keep their businesses going, many SMEs had to take short-term

unsecured finance at high rates,” said Chris Taylor, the ADF chief executive, speaking at Cityscape Abu

Dhabi.

“The ones we are dealing with now have come through that, but they are still sitting with some legacy

fairly short-term expensive debt on their balance sheets. So if they’ve got property, many are seeing an

opportunity to extend that debt and turn it into a mortgage,” he said.

ADF also said that a fall in residential yields was prompting small investors to buy offices, while a more

stable economic environment was encouraging business owners who had moved into their premises two

or three years ago with an option to buy to exercise that option.

ADF estimated that taking out commercial mortgages works out at about 40 per cent cheaper than

renting at the moment.

Suvo Sarkar, the general manager for retail banking and wealth management at Emirates NBD, said the

lender is dealing with demand for mortgages for commercial offices and industrial warehouses as the

number of businesses setting up in Dubai grows and rental costs increase.

“Businesses want predictable cash flows so a mortgage with a fixed rate makes a lot more sense,” said

Mr Sarkar. “That’s why we’ve seen an increase in demand for commercial properties. I think specifically





in the last 12 to 18 months we’ve seen an increase in demand for both office space and warehousing

space.”

The bank is enhancing its range of commercial mortgage products, he said.

Interest rates for loans against commercial properties would be on a par with the overall mortgage

market, rather than at the higher cost that SME borrowers typically bear.

The six-month Emirates Interbank Offered Rate (Eibor), a benchmark for lending in the UAE, is hovering

close to record lows at 0.88 per cent.

Abu Dhabi Finance has also established a joint venture with the Khalifa Fund for Enterprise Development

aimed at lending to small businesses in an attempt to help them reduce the heavy overheads of office

rents.

The news comes at a time when the government is relying on SMEs to ramp up GDP growth amid a

weaker oil price.

But although UAE banks repeatedly say that they are keen to lend to small businesses, SME owners

frequently complain that individual requests for finance have been stonewalled.

ADF added that the number of applications for residential mortgages in Abu Dhabi grew 20 per cent in

the first three months of 2015 compared with a year earlier. However, the company added that the

number of mortgages it had signed off over that period had remained stable.

It said that it expected to grow its residential mortgage portfolio in 2015 to about Dh700m.


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With 30 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,

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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 - UAE

+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

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qualified valuers with extensive local experience.

The Professional Services Asteco conducts

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