Confessions of a Real Estate Agent - April 2018

Sheikh Rashid bin Saeed Al Maktoum, the father of Sheikh Mohammed, the current Ruler of Dubai and Vice President of the UAE, understood the transience of the wealth gained from oil.

Sheikh Rashid’s famous quote – “My grandfather rode a camel, my father rode a camel, I drive a Mercedes, my son drives a Land Rover, his son will drive a Land Rover, but his son will ride a camel” – reflected his concern that Dubai’s oil would run out within a few generations – and that there would be little to show if the oil revenue was not invested wisely.

OpinionSteven Leckie29 March 2018Dubai's future and 2020, Dubai trends, life in Dubai, living in DubaiComment

The affordable housing challenge re-examined

Over the past five years, the UAE’s two biggest real estate markets, Abu Dhabi and Dubai, have acknowledged the rising housing demand from mid-income white collar workers. While Abu Dhabi has set a quota for affordable housing in new developments, Dubai is yet to implement such a measure. Developers are taking notice, albeit slowly, of the housing requirements of a previously underserved market.

Why Dubai is still proving popular with overseas buyers

Of all the phrases that were aired with the most conviction at Cityscape 2017, the UAE’s annual real estate and infrastructure showcase that took place over five days in late September, “hitting bottom” must have achieved something close to top billing.

Whether uttered as much in hope as expectation, it was everywhere: in speeches, breakout sessions, sales pitches and lunch-break conversations, as though sentiment alone might be sufficient to drag the city’s property market out of what has been a sluggish period.

Real estate snapshot: highs and lows of the past decade

It has been a decade since the property market faced its toughest challenges beginning in late 2008. The Dubai real estate market has since undergone a major transformation as it continues to mature and develop in line with the city’s growth.

We spoke to five property market experts to understand the fundamental differences between 2008 and today, the major challenges that the real estate industry had to overcome and continue to grapple with, as well as the industry’s biggest achievements to date.

UK businesses regain paradise in Dubai

Businesses in the UK are keen to explore new markets and talent pools in the wake of Brexit and they consider Dubai as one of the best options to expand their operations in the region, according to a report.

The Dubai Multi-Commodities Centre (DMCC), one of the world's leading free zones for commodities trade and enterprise, in its latest report said 27 per cent of British firms have a greater appetite for international business expansion during the post-Brexit period.

BusinessSteven Leckie25 March 2018Khaleej Times, UK business Dubai, business hub Dubai, Dubai VAT, Dubai trendsComment

Bullet-Point Property: Dubai No. 71

Airbnb was officially sanctioned by the Dubai Tourism authority in 2016, and Ras Al Khaimah followed suit in January 2018, signing an agreement with Airbnb to promote "new rules and responsible home sharing," seen as the last hurdle to a full-scale launch in the emirate.

Owners planning to rent their properties short-term in Dubai or Ras Al Khaimahneed to register with the relevant tourism authorities and gain a permit but there are now licensed specialist companies who will fully manage the property and administer the paperwork required so that overseas and local owners can gain an income from their holiday homes without getting involved in the day to day running. Read more here

Another busy week for Dubai property: -

Nearly 85% of Dubai's property market components are tax free

Dubai's real estate will feel little impact from the UAE's recent introduction of VAT, with nearly 85 per cent of the industry’s components tax free, officials said on Tuesday.

The UAE has exempted residential properties and bare land from the 5 per cent tax, introduced in January, while newly-built residential properties that are supplied for the first time within three years of their construction are zero-rated. Unlike exempt goods and services, when businesses have zero-rated services and goods, they can reclaim VAT they have paid on costs from the government.

China remains biggest non-oil trade partner of Dubai in 2017

China remained Dubai's biggest non-oil trade partner in 2017 with 176 billion dirham (47.95 billion dollars) worth of trade, local media reported Monday.

This accounted for 13.6 percent of Dubai's total non-oil foreign trade, which grew 26 billion dirham to reach 1.302 trillion dirham in 2017, from 1.276 trillion dirham in 2016, the United Arab Emirates (UAE) state news agency WAM reported.

BusinessSteven Leckie20 March 2018China invests in Dubai, investing in Dubai, trade partners DubaiComment

Dubai has gone hipster and it’s quickly transforming the emirate’s glitzy image

New arts areas are helping to overturn the stereotypes of the much maligned city, says Clare Vought. In a series of warehouses in an industrial area on the fringes of the city, a 159-seat independent performing arts space sits alongside galleries displaying local art; a café sells chia matcha smoothies, buckwheat granola and raw salad bowls; and an independent record store is proffering its own zine — the brainchild of a local DJ.

BusinessSteven Leckie20 March 2018evening standard, tourism, Dubai, Dubai trendsComment

Dubai best globally for infrastructure: Knight Frank

In a benchmark of Dubai against other key global cities such as London and New York, the city lagged against rivals on issues such as the ease of doing business, but had the best ranked infrastructure of any country listed.

According to data compiled by property consultancy Knight Frank in its annual Global Hub Report, the UAE vastly outperformed every other country in the region when it came to the number of sea freight and international passenger numbers.

The study assesses a country’s strength as a hub for doing business. Other countries benchmarked include Australia, the UK, China, Singapore and the US.

Air freight was also a strong area for Dubai, ranking third behind the US and China, with 16.7 million ton-km.

BusinessSteven Leckie19 March 2018infrastructure development, Dubai trends, Gulf NewsComment

Bullet-Point Property: Dubai No. 70

Dubai’s world-class infrastructure, geographical location, the frequency of air connectivity and the Emirates’ liberal socio-economic policies and political stability make Dubai a natural choice for Indians to invest in their second, third or fourth home.

Indian nationals, who form the largest foreign investor group in Dubai’s real estate, have bought properties worth AED 83.65 billion in the last five years – from 2013 to 2017 – in Dubai’s property sector, according to statistics compiled by Dubai Land Department. Read more here

Airbnb gains a foothold in the UAE market

The number of guests travelling to Dubai using the Airbnb platform has increased by over 50 per cent since 2016.

Despite a significant delay in its arrival caused by legal uncertainty, Airbnb is finally gaining a foothold in the UAE market, emboldened by regulators who are now keen to promote Airbnb’s offering of apartments and villas to a more youthful, intrepid audience.

BusinessSteven Leckie17 March 2018rak tourism, Airbnb, Dubai property, Dubai tourism, Dubai trendsComment

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