Construction & Real Estate

Dubai’s real estate market is poised for improvement in 2013, as the emirate works to regain its reputation as a leading regional destination for investment. Recovering from the losses suffered in the aftermath of the 2008-09 global economic downturn - when property prices fell by as much as 50-60% - the residential real estate market is now forecast to greatly benefit from rapid population growth. One indication of a resurgence in activity is the price of building materials, including steel and cement, which has markedly increased in recent years. Additionally, market maturation has led to expansion in the residential segment in recent years. Local developers are steadily adopting a more long-term investment mentality, both as a result of straightforward market forces and a series of new government regulations aimed at improving transparency. The chapter includes interviews with Sultan bin Mejren, Director-General, Dubai Land Department; and Hussain Sajwani, Chairman, DAMAC.