Uae Real Estate Market Report

UAE REAL ESTATE MARKET REPORT UAE REAL ESTATE MARKET REPORT ISSUE ISSUE 2 CONTENTS IN THIS ISSUE FIND A HOME ISSUE 2 - JULY 2017 THE PERFORMANCE 1TRENDS 2MARKET 3REVIEW p.10 Property Trends p.20 Increasing Transparency p.42 Our Performance p.16 Cautious Optimism p.21 Abu Dhabi Regulation p.44 Dubai Community Focus Progress p.56 Abu Dhabi Community p.22 Rental Scene Focus p.24 Maturing Market p.66 Northern Emirates p.25 Levy Of VAT Community Focus p.26 Serviced Apartments p.29 Market - Data

DIGITAL AGENT 4 UPDATE 5 SPOTLIGHT 6 INVESTORS

p.74 Newest Releases p.78 Propertyfinder p.85 Top Investors in Dubai p.75 Tech Trends Real Estate Brokage Award p.86 Optimising Property p.81 Our Awesome Agents Returns in Turbulent Times p.88 Maintaining And Maximising Your Investment

YOU SPRINT FROM OFF- LUXURY AGENT 7PLAN 8 MARKET 9 SECTION

p.92 Should Developers Show p.100 Thriving Luxury Sales p.104 Consumer Search Patterns Some Restraint? p.101 Bridging the Gap Between p.106 Top 5 Searched p.93 Dubai: Placemaking Luxury And Affordability Communities p.94 Saadiyat Island Premier Residential Offering p.96 Outlook On Lending

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1 MESSAGE FROM THE COMMERCIAL DIRECTOR

DEAR READER,

Welcome to the second edition of propertyfinder Trends. Our mission is simple; to We received such positive feedback from the first issue, we set ourselves the task of producing this data-packed ‘part two’ with more articles, more information and an provide consumers with a fast abundance of market insight.

Our mission is simple; to provide consumers with a fast and reliable search experience, and reliable search experience, and increase transparency in the UAE property market. Fortunately, that’s what end users are looking for too, resulting in record lead levels for and increase transparency our customers. On average we attract around 3 million visits per month across the Group, generating a plethora in the UAE property market. of data. Our challenge is to interpret and present these findings in the most insightful way.

Fortunately, that’s what end Propertyfinder Trends is designed to do just that, provide valuable insights for all things property in Dubai, Abu Dhabi and the Northern Emirates, with the main emphasis users are looking for too, placed on highlighting key trends that our customers may find useful when running their business or property portfolio. In this edition, you will find consumer search resulting in record lead levels trends including the most popular communities (which may include a few surprises), articles from leading industry for our customers. experts on the current market, the impact of RERA’s recent legislative changes and how The Municipality of Abu Dhabi are regulating the industry in the capital.

2017 has brought several changes in the real estate market, especially in Dubai, but the good news is that transaction numbers are significantly higher than last year. The market remains fiercely competitive. We have seen some consolidation with company mergers and expect to see more in the second half of the year. We are also seeing record numbers of new customers taking listing subscriptions which is really encouraging.

We hope you find this publication insightful - one thing is for sure, technology and consumer behaviour are changing daily, which is why we continue to invest heavily in attracting the best global talent to join Propertyfinder Group. We thank those for their work in this volume of propertyfinder Trends!

Paul Spargo Commercial Director

2 3 MARKET SNIPPETS

The Zaha Hadid styled and designed Opus, by premier Dubai based developer Omniyat, is scheduled for completion this summer. The Opus is the first Dame Zaha Hadid designed building in Dubai and will be home to the region’s first ME by Meliá hotel. The building will be a combination of residential, serviced THE DAME apartments, hotel and commercial units. The Opus will be the next iconic building in Dubai’s ZAHA HADID cityscape, instantly recognisable for the organic void at its heart. The Opus aligns with Omniyat’s vision of BLUEWATERS treating each project as if it were a unique work of art, showcasing once more that Omniyat are the pioneers Ain Dubai {‘Ain” in Arabic means “eye”} will be the largest and tallest of producing inimitable luxury lifestyle experiences. observation wheel in the world once it opens at Bluewaters, an island destination by Meraas located off the southern shoreline of Jumeirah Beach Residence.

The wheel itself will stand at over 210 metres and is the latest landmark to be added to Dubai’s iconic skyline by Meraas, a company that has set itself apart through a series of imaginative designs and architecture at places like City Walk, Boxpark and Last Exit. These unique destinations are reimaging how the city looks and feels. MARKET As the centerpiece of a new destination at Bluewaters, Ain Dubai stands alongside 700 apartments and 4 penthouses spread across 10 elegant mid-rise residential buildings. The island community will also have 17 townhouses, 2 luxury hotels and 200 retail and dining outlets, with access to a monorail and 265-metre long pedestrian bridge that connects to another Meraas destination at The Beach. SNIPPETS Dubai’s status as a world-renowned destination for both Construction at Bluewaters is 75% complete and the handover for residents and tourists is being reinforced by the launch of the residences is scheduled to commence in Q1, 2018. multiple state-of-the-art projects that will take the city’s wow factor to new heights.

Casablanca Villas is a collection of fully furnished and serviced luxury boutique villas inspired by the enchanting vibes of Casablanca city. With a Casablanca Villa, you’re CASABLANCA getting more than just a villa – it’s the value proposition the property carries; from inspiring architecture, to undeniable vigour and peaceful ambiance. VILLAS

Whether you are an investor or end-user, furnished and serviced Casablanca Villas will appeal to you as a high-yielding property investment or a home in an international golf community.

The Tower at Dubai Creek Harbour supports the Located in AKOYA Oxygen, a completely self-contained master development with everything needed for goals of Dubai Plan 2021 to establish the city as a a happy, healthy lifestyle is right there onsite. The whole family will find something to interest and engage global business and leisure hub, and will add real them for every occasion. There is a huge choice of shopping, dining and entertainment, all set within a economic value by driving the growth of the core stunning green backdrop, along with quality, everyday amenities such as schools and nurseries. DUBAI CREEK sectors of tourism, hospitality, aviation and retail, among others. With its location in an international golf community, Casablanca Villas bring the ultimate golfing lifestyle to residents’ doorsteps – from a championship-standard course to PGA qualified coaches, a pro shop, state-of- HARBOUR Emaar has unveiled high-end residences in Dubai the-art clubhouse and world-class dining. Creek Harbour, including Dubai Creek Residences, Creekside 18, Harbour Views and Creek Horizon in Generous offering of fully furnished and serviced luxury boutique villas from AED 1.6 million are offered The Island District all scheduled to be completed directly from DAMAC Properties. ahead of the opening of Expo 2020.

4 5 ATTRACTIONS

Dubai Safari Park is set to open in 2017 after logistical delays stalled the launch of the $272 million attraction.

Around 1,000 animals from the much-maligned Dubai Zoo will be relocated to the 120-hectare site in Al Warqa, bringing the total number of creatures accommodated there to 4,000, according to local media reports. With the likes of La Perle by Dragone, touted as the region’s Shaped like an oval spaceship and first permanent theatre show, also slated to welcome their with a 3D-printed structure, the first visitors this year, Dubai is further bolstering its status Museum of the Future will become as a family tourism destination following the opening of a hive of innovation and technology. several theme parks in 2016. His Highness Sheikh Mohammed bin Rashid Al Maktoum, whose poetry will be engraved in the exterior, predicts the DUBAI SAFARI museum will be “a global destination for inventors and entrepreneurs”. Located PARK close to Burj Khalifa, the completion date is slated for 2017.

"The world is entering a new era of accelerated knowledge and great technological revolutions. We aim to lead in that era, not to follow and lag behind. The Museum of the Future is the first step of many to come, marking ATTRACTIONS the beginning of great achievements." said His Highness Sheikh Mohammed.

MUSEUM OF THE FUTURE

ALADDIN CITY

Aladdin City will feature three golden glistening towers to resemble the folk hero’s lamps. There will be two commercial towers and a 33-storey hotel, connected by two bridges made to look like dragons and lizards. Aladdin City will be built on Dubai Creek, although no completion date has been announced.

“The development of such a project in this area will have a global cultural and historical impact and pride for generations to come, and will contribute to the progress of the emirate and its dream to be No 1 in everything,” says Hussain Nasser Lootah, Director-General of the Dubai Municipality.

6 7 SayTRENDS goodbye to onecheque payment

1 2

Property Cautious Trends Optimism TRENDS DUBAI APARTMENTS FOR RENT: PROPERTY Apartment rents in Al Furjan have dropped a massive 10.8% compared to just 6 months ago due largely to new stock being handed over which means there are some great rental offers currently available in Al Furjan. Apartments in DSO (-7.7%), International City (-7.4%), IMPZ (-6.3%) and JVT (-6.2%) also fell significantly over the given period. TRENDS The declines were not restricted to emerging communities. The Palm Jumeirah (-5.8%) and Downtown Dubai (-4.7%) also saw significant falls. Downtown with its high concentration of high end serviced apartments, has traditionally been Dubai’s most expensive place to rent an apartment, but with so many big and impressive developments under construction with more to come, it’s subdued low rise neighbour, Old Town is proving more popular with renters. Rents have held steady in Old Town falling just -0.8% in the past 6 months, and with a median advertised price of AED 123 per square foot has just become Dubai’s most expensive.

DUBAI APARTMENTS Critics have described the UAE property market as one Lukman Hajje Chief Commercial Officer, driven by hype as opposed to solid fundamentals of AREA PRICE PER SQ FT RENT PRICE PER SQ FT SALE RENTAL YIELD PER SQ FT supply and demand. In the days when developers would Propertyfinder GROUP SEP 2016 MAR 2017 %CHANGE SEP 2016 MAR 2017 %CHANGE SEP 2016 MAR 2017 advertise new project launches with offers to “Win Your 83 74 -10.84% 995 1,002 0.70% 8.34% 7.39% Own Private Island” and prospective buyers would queue Al Furjan overnight to secure an expensive piece of air with the plan to on-sell for a premium within 24 hours, few could Barsha Heights (Tecom) 86 84 -2.33% 1,166 1,143 -1.97% 7.38% 7.35% argue. Dubai, with it’s thriving SME sector, is the most diversified GCC economy, and the UAE as a whole is far better Business Bay 95 94 -1.05% 1,500 1,518 1.20% 6.33% 6.19% THE HISTORY: diversified than other GCC economies with only 20% of revenues coming directly from fossil fuels. Oil continues Culture Village 102 100 -1.96% 1,731 1,657 -4.27% 5.89% 6.04% Those of us who’ve been here for more than 10 years to underpin the local and regional economy so a sluggish oil price will directly and indirectly influence the UAE remember these heady days Pre-Gobal-Financial-Crisis. DIFC 109 107 -1.83% 1913 1855 -3.03% 5.70% 5.77% The days of newly minted cowboy real estate agents and property sector. unregulated developers. The days when virtually everyone Discovery Gardens 80 77 -3.75% 822 813 -1.09% 9.73% 9.47% became a frenzied property punter rushing to big $100+ per barrel oil prices are a thing of the past. GCC property expos to buy and flip. Buyers rushed in to make governments have had to heavily reassess their revenue a quick buck, and like most get rich quick schemes, many streams and expenditure. A VAT will be introduced across Downtown Dubai 128 122 -4.69% 2,338 2,182 -6.67% 5.47% 5.59% got burnt. the region at the start of next year. This is the new reality. Dubai Investment Park (DIP) 68 65 -4.41% 729 725 -0.55% 9.33% 8.97% Those days are long gone and thankfully, will never return. We hear much about the affordability crisis in Dubai and Abu Dhabi, but the UAE property market is far Dubai Land 65 64 -1.54% 791 763 -3.54% 8.22% 8.39% The UAE is only 45 years old. It’s one of the youngest better diversified than ever. There are definite affordable countries in the world. This fact is easily forgotten when pockets within Dubai and Abu Dhabi and property in the Dubai Marina 106 105 -0.94% 1,646 1,615 -1.88% 6.44% 6.50% you go about your daily life in super modern convenience. Northern Emirates is by almost any metric; affordable. Expats who make up reportedly over 85% of the UAE total population, have been able to purchase property Dubai Silicon Oasis (DSO) 78 72 -7.69% 855 835 -2.34% 9.12% 8.62% in freehold communities for less than 15 years. The UAE property market is still in its infancy compared to other Dubai Sports City (DSC) 78 78 0.00% 881 895 1.59% 8.85% 8.72% property markets around the world; some of whom have Today it’s a market driven hundreds of years of history and regulation. The UAE Greens 104 101 -2.88% 1,340 1,341 0.07% 7.76% 7.53% freehold property market, to continue the analogy, is mostly by end users, and to virtually a new born. a lesser extent, long term IMPZ 80 75 -6.25% 910 877 -3.63% 8.79% 8.55% Today it’s a market driven mostly by end users and, to a investors, mortgaged as lesser extent, long term investors, mortgaged as opposed International City 68 63 -7.35% 715 718 0.42% 9.51% 8.77% to cash buyers. Rises and falls in prices are temperate and opposed to cash buyers. influenced by fundamentals of supply and demand and Rises and falls in prices are Jumeirah Beach Residence (JBR) 98 97 -1.02% 1,604 1,536 -4.24% 6.11% 6.32% sentiment caused by regional and international political and economic events and currency movements. temperate and influenced by Jumeirah Lakes Towers (JLT) 96 97 1.04% 1,216 1,212 -0.33% 7.89% 8.00% fundamentals of supply and In a small market heavily reliant upon expats and Jumeirah Village Circle (JVC) 78 77 -1.28% 900 937 4.11% 8.67% 8.22% international investors, ripples abroad can cause waves demand and sentiment caused on local shorelines. We saw that in 2008/2009 and again in 2016 when record low oil prices and regional turmoil by regional & international Jumeirah Village Triangle (JVT) 97 91 -6.19% 1,019 972 -4.61% 9.52% 9.36% exasperated and prolonged a softening of the UAE political and economic events market which had already been in slow decline since mid Motor City 77 75 -2.60% 959 945 -1.46% 8.03% 7.94% 2014. When not so coincidentally is when, the oil price and currency movements. started to fall steeply from $100-$120 per barrel to $26 Old Town 124 123 -0.81% 2,128 2,092 -1.69% 5.83% 5.88% per barrel in Feb 2016. A 14 year low. Palm Jumeirah The oil price has stayed above $50 for most of the past 12 104 98 -5.77% 1,899 1,878 -1.11% 5.48% 5.22% months, still low by historical standards. The Views 113 112 -0.88% 1,652 1,651 -0.06% 6.84% 6.78%

10 11 TRENDS DUBAI VILLAS FOR SALE: RENTAL YIELD PER SQUARE FOOT - DUBAI Apartment rents in Dubai Marina (-0.9%), JBR (-1%) and Business Bay (-1.1%) were relatively flat. Business Bay was VILLAS: no doubt boosted by the opening of the Dubai Canal. Dubai Marina and JBR rents holding at AED 105 and AED 97 Affordable villas continue to be hot property in Dubai and per square foot respectively, as tenants settle in to watch the Bluewaters Island Project emerge just off the coastline. two affordable villa communities; Mudon and Dubai Land For investors, Dubai villas can offer interesting options. Bluewaters is expected to be (partially) operational within 12 months and will add amazing views and lifestyle benefits saw price rises of 3% and 3.2% respectively in the past 6 Like their apartment counterparts the best villa rental to Marina and JBR residents. months, while prices in JGE (-7.2%), Jumeirah Park (-6.6%), yields per square foot can be found in affordable (mostly) Dubai Sports City (-5%) and the Meadows (-4.4%) saw emerging communities like JVC (6.5%), JVT (5.5%) and According to our figures, apartment rents in JLT which increased by 1% were the only in Dubai to buck the downward notable declines. By comparison, all higher ticket items, Al Furjan (5.2%). Some of the more established popular trend. Traditionally the poor cousin of Dubai Marina life, traffic flow and amenities in JLT have steadily improved over these communities suffered from in increased external villa communities also offer decent yields such as The recent years. JLT is home to several parks, many restaurants and interesting small businesses as well as 2 metro stations. competition and in the case of JGE, internal new releases. Springs (6.1%), Arabian Ranches (5.4%), Dubai Sports City And you still get 8% more space for your dirham in JLT compared to Dubai Marina. (5.3%) and The Lakes (5.2%). Again if the villa community Emirates Hills and Palm Jumeirah continue to demand is relatively affordable the rental yield is healthy but they DUBAI APARTMENTS FOR SALE: prices above AED 2,500 per square foot and remain steadily decline as you move up the food chain. Dubai’s most expensive. While JVC asks just AED 754 per In general Dubai apartment prices continued to fall over the past 6 months. The biggest declines were seen in square foot and remains Dubai’s most affordable villa Emirates Hills and Palm Jumeirah both offer 3.1% yields Downtown (-6.7%), JVT (-4.6%), JBR (-4.4%), Culture Village (-4.3%) and JVT (-4.6%). Most other Dubai communities fell community. per square foot which in virtually any other market in the modestly or were relatively flat but a few communities including JVC (+4.1%), Dubai Sports City (+1.6%), Business Bay world is acceptable, but in Dubai appear distinctly lack- (+1.2%), Al Furjan (+0.7%) & International City (+0.4%) actually witnessed increases. lustre.

In the case of Al Furjan and JVC, completed, affordable, ready-to-move-in apartments were handed over. This is still an undersupplied segment in the Dubai market. International City at AED 718 per square foot is still Dubai’s most affordable. DUBAI VILLAS AREA PRICE PER SQ FT RENT PRICE PER SQ FT BUY RENTAL YIELD PER SQ FT Despite its’ large steady declines, at AED 2,182 per square foot, Downtown is still Dubai’s most expensive community , SEP 2016 MAR 2017 %CHANGE SEP 2016 MAR 2017 %CHANGE SEP 2016 MAR 2017 ahead of Old Town at AED 2,092 per square foot. Al Barsha 48 50 4.17% 1,105 1,094 -1.00% 4.34% 4.57% RENTAL YIELD PER SQUARE FOOT - DUBAI APARTMENTS: Dubai continues to be a multi-tiered market where the most desirable locations offer the worst rental yields, while the Al Furjan 47 49 4.26% 959 943 -1.67% 4.90% 5.20% best yields are found in emerging communities surrounded by desert and mass construction.

Discovery Gardens (9.5%), JVT (9.4%) and DIP (9%) continue to offer world-leading rental yields per square foot. Arabian Ranches 66 63 -4.55% 1,193 1,170 -1.93% 5.53% 5.38% Apartment yields in International City (8.8%), DSC (8.7%), IMPZ (8.6%) DSO (8.6%), Dubai Land (8.4%), JLT (8%) and Motor City (7.9%) continue to be excellent. Dubai Land 44 43 -2.27% 885 913 3.16% 4.97% 4.71% Dubai’s worst apartment rental yields per square foot are found in its most desirable locations: Palm Jumeirah (5.2%), Downtown (5.6%) and DIFC (5.8%). Still excellent by international standards, all offer mortgaged buyers positive cash Dubai Sports City (DSC) 68 64 -5.88% 1,277 1,213 -5.01% 5.32% 5.28% flows. Emirates Hills 89 82 -7.87% 2,673 2,674 0.04% 3.33% 3.07% Here market forces present a neat risk versus reward synopsis. Blue Chip communities for investors are deemed to be safer and, despite their popularity have a relatively smaller pool of well-heeled tenants who can afford AED 120+ per square foot per annum in rent. Emerging communities cater to that large and growing middle income segment Jumeirah Golf Estates (JGE) 65 65 0.00% 1,395 1,295 -7.17% 4.66% 5.02% seeking affordable rents but for buyers there are many, many projects and apartments complete, under construction and off plan to choose from so these communities tend to be less liquid. Jumeirah Islands 56 53 -5.36% 1,402 1,364 -2.71% 3.99% 3.89%

Dubai continues to be a multi-tiered market where Jumeirah Park 61 57 -6.56% 1,184 1,106 -6.59% 5.15% 5.15% the most desirable locations offer the least favourable Jumeirah Village Circle (JVC) 49 49 0.00% 749 754 0.67% 6.54% 6.50% rental yields per square foot, while the best yields are found in emerging communities surrounding by Jumeirah Village Triangle (JVT) 56 55 -1.79% 1,014 1,003 -1.08% 5.52% 5.48% desert and mass construction. Meadows 65 62 -4.62% 1,401 1,339 -4.43% 4.64% 4.63%

DUBAI VILLAS FOR RENT: Mudon 50 45 -10.00% 897 924 3.01% 5.57% 4.87%

Dubai villas have had a mixed 6 months. We saw significant increases in Al Furjan (+4.3%) and Al Barsha (+4.2%). Villa Palm Jumeirah 83 80 -3.61% 2,554 2,560 0.23% 3.25% 3.13% rents were flat in JGE and JVC, yet these were the abnormalities. Most communities saw declines; a direct result from a continued sluggish oil price and regional economy. The Lakes 78 74 -5.13% 1,439 1,423 -1.11% 5.42% 5.20% Mudon by DP witnessed the biggest decline with rents dropping a big 10% in the past 6 months driven largely by the completion and handover of 400 homes in Phase 2 of the development in October 2016. But any large scale handover The Springs 73 67 -8.22% 1,140 1,095 -3.95% 6.40% 6.12% will have a short term impact on rents and owners will compete with one and another for limited tenants.

The next largest declined came in The Springs (-8.2%), Emirates Hills (-7.9%), Jumeirah Park (-6.6%), Dubai Sports City (5.9%) and Jumeirah Islands (-5.4%). While the declines in Emirates Hills and Jumeirah Islands can be largely attributed to regional economic stagnation which in the UAE often hits the very top of the market hardest, other communities in this list are all direct competitors of Al Furjan, where a high volume of large affordable villas came online in Q1 2017. Data is based on median advertised price per square foot on propertyfinder.ae and may not reflect the reality of property transactions. “-” means the data was inconsistent or based on an insufficient number of listings in that area.

12 13 TRENDS ABU DHABI VILLAS FOR RENT: ABU DHABI APARTMENTS FOR RENT: Villa rents in Abu Dhabi continue to fall across all segments of the market from the most affordable communities; Al Reef (-10.9%) and Hydra Village (-5.3%) to the mid range; Khalifa City (-8%) and Al Salam Street (-3%) to the very top end; Rents continue to decline in Abu Dhabi where a reduction in government spending in direct correlation to sluggish Saadiyat Island (-8.5%). oil prices has reduced employment and demand for housing in the capital. Abu Dhabi’s most popular communities including Al Reef, (-8.4%) Al Reem Island (-8.1%), Al Ghadeer (-7.1%) and Corniche Area (-5.2%) all saw significant declines. Al Raha Beach remained flat while Saadiyat Island bucked the trend with a 3.9% increase. Apartments in Saadiyat are ABU DHABI VILLAS FOR SALE: Abu Dhabi’s most expensive asking AED 106 per square foot per annum. As with rents, Abu Dhabi villa sale prices in general have continued to fall at a steady pace with Al Raha Gardens ABU DHABI APARTMENTS FOR SALE: (-11.8%) seeing the biggest decline. Falls were more modest in Al Raha Golf Gardens (-5.3%), Saadiyat Island (-5.2%) and Khalifa City (-4.5%) yet still significant. Villa prices in Al Salam Street and Hydra Village witnessed very small increases. Saadiyat apartments saw a 6.1% decline and are now no longer Abu Dhabi’s most expensive to buy. Prices held better in Al Raha Beach despite a decline of almost 3%. Al Reem Island (-4%) and Al Reef (-3.3%) also saw similar declines, RENTAL YIELD PER SQUARE FOOT - ABU DHABI VILLAS: while apartments in Al Ghadeer and Yas Island actually saw small increases. Al Ghadeer sits on the Dubai border and although technically in Abu Dhabi, is closer to Dubai’s commercial and lifestyle centres than to those in Abu Dhabi. While Hydra Village offers the best rental yields per square foot in Abu Dhabi with 7.8% just ahead of Al Raha Gardens. All prices in Yas Island may have received a boost with the announcement of AED 12 billion to be invested in developing popular Abu Dhabi villa communities continue to offer investors 5%+. the promenade and surrounding areas; the relocation of the Abu Dhabi Media Free Zone Authority TwoFour54 and the world’s first Mercedes Benz AMG showroom. ABU DHABI VILLAS

RENTAL YIELD PER SQUARE FOOT - ABU DHABI APARTMENTS: AREA PRICE PER SQ FT RENT PRICE PER SQ FT SALE RENTAL YIELD PER SQ FT SEP 2016 MAR 2017 %CHANGE SEPSEP 20162016 MAR 2017 %CHANGE SEPSEP 20162016 MAR 2017 Al Reef (8.6%) offers the best yield per square foot in Abu Dhabi while apartments in Abu Dhabi’s other popular communities all achieved close to and over 7%. Al Raha Gardens 63 64 1.59% 956 843 -11.82% 6.59% 7.59%

Al Raha Golf Gardens 61 59 -3.28% 1,092 1,034 -5.31% 5.59% 5.71% ABU DHABI APARTMENTS

AREA PRICE PER SQ FT RENT PRICE PER SQ FT SALE RENTAL YIELD PER SQ FT SEP 2016 MAR 2017 %CHANGE SEP 2016 MAR 2017 %CHANGE SEPSEP 20162016 MAR 2017 Al Reef 64 57 -10.94% 817 788 -3.55% 7.83% 7.23%

Al Ghadeer 84 78 -7.14% 1,011 1,021 0.99% 8.31% 7.64% Al Salam Street 67 65 -2.99% 1,162 1,181 1.64% 5.77% 5.50%

Al Raha Beach 103 103 0.00% 1,524 1,479 -2.95% 6.76% 6.96% Hydra Village 57 54 -5.26% 685 690 0.73% 8.32% 7.83%

Al Reef 83 76 -8.43% 919 889 -3.26% 9.03% 8.55% Khalifa City 50 46 -8.00% 830 793 -4.46% 6.02% 5.80%

Al Reem Island 99 91 -8.08% 1,316 1,264 -3.95% 7.52% 7.20% Saadiyat Island 82 75 -8.54% 1,586 1,504 -5.17% 5.17% 4.99%

Saadiyat Island 102 106 3.92% 1,530 1,436 -6.14% 6.67% 7.38% Yas Island - - - 1,179 920 -21.97% - -

Corniche Area 96 91 -5.21% - - - - - THE NORTHERN EMIRATES

Corniche Road 100 95 -5.00% - - - - - Prices have been more stable in the Northern Emirates. Always the cost effective option for budget conscious renters and buyers, many of whom commute to and from Dubai each day. Prices moved up and down in the very low single digits across the Northern Emirates in both sale and rent over the past 6 months. Yas Island - - - 1,435 1,443 0.56% - - For investors the rental yield per square foot in Sharjah and Ajman in particular looks particularly enticing. We’ve seen some launches of freezone off-plan projects recently in Sharjah which is now competing with Dubai and RAK for non GCC buyers.

NORTHERN EMIRATES - AJMAN - RAS AL KHAIMAH - SHARJAH Al Raha Beach remained flat while Saadiyat Island HOUSING TYPE PRICE PER SQ FT RENT PRICE PER SQ FT SALE RENTAL YIELD PER SQ FT bucked the trend with a 3.9% increase. Apartments SEP 2016 MAR 2017 %CHANGE SEP 2016 MAR 2017 %CHANGE SEPSEP 20162016 MAR 2017

in Saadiyat are Abu Dhabi’s most expensive asking Apartment 36 35 -1.68% 530 537 1.23% 6.73% 6.54% AED 106 per square foot. Villa 33 34 4.29% 570 563 -1.25% 5.72% 6.04%

14 15 TRENDS CAUTIOUS OPTIMISM

In a market that has encountered unsustainable and hindsight can In the latter stages of the cycle, it considerable headwinds in recent now tell us that a cyclical downturn usually pays off to have a contrarian years, it’s understandable that few and change in sentiment was view. With only 8% of agents agents anticipate prices will increase inevitable. predicting price growth, it is starting in the second quarter of 2017 – just to feel like the crowd is overly 8% predict residential villa prices After the last three years of decline, focused on the negatives. will rise and only 11% expect it is tempting to stick with the apartments to make gains. Although crowd and focus on the negatives. With regards to positive If I am to run the same calculation Supply in February 2017 to that of clients. All of this acts as a general these forecasts are explicitly for Particularly since those risk factors fundamentals, there are the today, my previous apartment the previous month of January 2017 barometer which gives me a clear the current quarter, it’s likely that are still clear for all to see. It is obviously positive GDP statistics; would now deliver me circa 8% net and also to that of December 2013, understanding of the market, and 12-month predictions would paint a undeniable that continued US population growth and the general return on my equity. It is now clearly when the residential market was helps to shape my opinions and similar picture. dollar strength, rising interest rates, hype surrounding Expo2020. more appealing to buy. The higher reaching its peak and found the confidence levels. together with a significant pipeline yield also provides a cushion against following: From a front row seat, I have of housing supply and geopolitical However, what’s really interesting any continued rental price declines. The first quarter of 2017 has watched the residential property tension in the region, all impact on is something that does not attract Interestingly, in the popular Springs M1* Money Supply for February been Espace’s best on record. market erode value for the past the fragile state of confidence in much attention. That is, the extent community, it is now possible to 2017 is 1.89% above January 2017 When I analyse our year-on-year 3 years. I have read the reports, Dubai’s property market. to which the “weight of money” can achieve net yields of up to 6.5% and and 28% above December 2013 performance for the first quarter I listened to clients, and importantly, However, a combination of “big act as a stimulant to the residential net returns on equity of circa 10% M2** Money Supply for February see the following: paid close attention to our own picture thinking” and positive property market. I have been for finance buyers using 75% LTV 2017 is 1.14% above January 2017 transaction data. market fundamentals encourages us looking for evidence to support my mortgage products. This provides and 19% above December 2013 Revenue growth of 21% to believe that modest price growth opinion that there is a significant great financial incentive to buy M1 Monetary Deposits for 35% more sales transactions A variety of factors laid the might now be on the horizon in amount of cash sitting on the rather than rent, which is a very February 2017 is 2.1% above 58% more leasing transactions foundations and exacerbated the prime residential communities. sidelines. It is my belief that this different picture to that of 2014. January 2017 and 28.9% above market decline. These are now well The “big picture thinking” is “weight of money” is now acting as December 2013 Increase in cash buyers, with 38% of documented, ranging from the rather subjective, yet insightful a stimulant to the market. This is a In 2017, I have witnessed several our 2017 first quarter transactions strong US dollar and rising interest nonetheless. It is a general principle trend that is expected to continue clients, both end-users and The increase in Money Supply is due being in cash, compared to 30% for rates, to the increase in new housing that guides one basic assumption to unfold in the months ahead. investors, choosing to buy, despite to a combination of factors, ranging 2016 in the same quarter. supply, not to mention the negative which is as follows: the longer we In recent years, I have watched the fact that they continue to from an increase in population and impact that a low oil price can have are in the correction phase of the previously active investors remain have legitimate concerns about new account openings, as well as Although I am certainly not blind on market sentiment. cycle, the closer we must be to the stubbornly inactive, and listened the market. This is the “weight of continued wealth creation that is to the risks of buying a property start of the new upwards trending to many end-users who take the money” in action. One client told still held in liquid assets within the in Dubai, I am more optimistic It should also not go unnoticed that cycle. This might seem like an decision to rent (or continue to rent) me, “I don’t really like the market UAE. than I have been at any time the market decline occurred after obvious statement but it is one that rather than buy. The reason for this but I have to do something with during the last 3 years. I also think a three year cycle of exceptional is often overlooked by the crowd. has been simple. Who wants to buy my cash”. He understands that as a This brings me to my conclusion that the inflationary risks of not growth. That growth rate was clearly into a market that is in the midst of cash investor there is an opportunity and to the final component of my buying should not be overlooked, a double digit decline? It has also cost of around 6 per cent per cautiously optimistic outlook for particularly for anyone with a longer been the case that yields were low annum when holding liquid cash the residential market. It is the term strategy in mind. which reduced the incentive for rather than property. Effectively, environment in which I immerse investors, and removed the financial the market would have to decline myself every day, the front line I have witnessed several clients, both benefit of owning your own home. by more than 6% every year for it of the residential real estate I remember crunching the numbers to reward him for the decision to market. I attend three morning end-users and investors, choosing to for the apartment I was renting hold a liquid cash deposit over a sales meetings every week. I see buy, despite the fact that they continue in 2014. I realised I would only residential property investment. every offer, every new listing, and generate a net return of circa 4% track our buyer enquiry volumes to have legitimate concerns about the on my equity, if I chose to buy the To support my view on the “weight on a weekly basis. I know of market. This is the “weight of money” property rather than rent it. This was of money”, I have looked closely every property that we sell and not a sufficient incentive for me at at the Money Supply Data from I speak regularly to each of our in action. that time. the UAE Central Bank. I compared brokers to better understand the the different measures of Money opinions and motivations of their John Lyons Head of Sales & Leasing, Espace Real Estate

EspaceRealEstateDubai EspaceRealEstate

Espace Real Estate EspaceRE

16 17 THE MARKET

1 2 3 4 5 6 Increasing Abu Dhabi Rental Maturing Levy of Serviced Transparency Regulation Scene Market VAT Apartments Progress MARKET OUTLOOK INCREASING ABU DHABI TRANSPARENCY REGULATION PROGRESS

WITH TRAKHEESI PERMITS AND MAKING BABY STEPS WITH KEY QUALITY LISTINGS STAKEHOLDER MEETINGS

The most common complaints we hear from consumers are that properties are not available, the images are We are yet to see the end not representative of the property, or the advertised Paul Spargo The responsibility for regulating the real estate sector in price is inaccurate. As the leading portal in the UAE, our Commercial Director, results but we are now Abu Dhabi was handed to the Department of Municipal mission has always been to promote best practice in the Propertyfinder GROUP Affairs And Transport (DMAT) by law no 3 of 2015. That law nearly year and a half into industry, to drive quality listings on our site and improve Dubai transactions in Q1 of 2017 are also +25% on the came into force on 1 December 2016 and now all brokers, transparency in the market. Why? Because that's what previous year according to The Land Department. It's the new law and good surveyors, developers, auctioneers, Owners’ Association consumers want, plus there are many studies to show obviously too early to say what effect the Trakheesi managers and assessors have fallen under their remit. This progress has been made. that investors gravitate towards transparent property permits have had on the market, but it's certainly a step has essentially become the equivalent of Dubai’s RERA. markets and that has to be a good thing for everyone in the right direction of improved transparency and a living and working in the UAE. more professional industry which have always been a The new law is heavily focused on the off-plan market. high priority at propertyfinder. A large portion of it is dedicated to regulating off-plan In October 2016, Dubai's RERA (Real Estate Regulatory sales and ensuring that the abuses which occurred in Agency) introduced a new initiative, one of many Abu Dhabi Municipality are following RERA's lead and 2008, where funds were taken but nothing was built, designed to regulate the industry, by introducing permits although progress has been slower, it is attempting are eliminated. DMAT quickly set about the process of for all advertised listings. In January, this rule became to regulate the industry in the capital. The market registering developers and staging training courses for the mandatory and now real estate companies advertising is extremely tough still - the most recent merger of various regulated functions. listings in Dubai cannot advertise any property without NBAD with FGB to form First Abu Dhabi Bank is just a valid permit. We welcome this initiative and any that one example of a large scale merger impacting many We are now nearly a year and a half into the new law and improve transparency in the market. As a direct result, employees and having a knock-on effect for the property progress has been “measured”. Developers are well on we have seen a significant reduction in Dubai listings on market. There is undoubtedly a big issue with the their way to being registered while progress with brokers propertyfinder. In April 2016 there were 165,963 Dubai distribution of bank stock and lack of regulation, causing and surveyors has been slower. The new law is also just listings and that figure reduced to 112,791 in April 2017, a large duplication, not least of all the amount of duplicate 100 Articles with lots of implementing regulations still to reduction of 32%. listings on the portals. The distribution of properties by be published. the banks to most real estate agents has always resulted So what does that mean for consumers and our in a large duplication giving consumers a false sense of The truly admirable thing about the DMAT however is its customers? Well for consumers, it's great news - they supply in turn giving them bargaining power. willingness to listen to the stakeholders. The department browse through fewer listings and almost certainly hear is largely made up of civil servants will little or no "Sorry, that properties not available" a lot less because A new training program for Real Estate Agents was knowledge of the activities they are licensing, and with duplicate or fake listings have dramatically reduced. introduced in February this year. The programme is that comes the danger of them developing a framework conducted by the Department of Municipal Affairs Abu Dhabi is starved of foreign investment into its real based on their partial knowledge. To combat this, they For the majority of our customers, it's great news too. And Transport (DMAT), in collaboration with education estate sector. The overwhelming majority of developers are are holding regular open forum Q&A sessions with various Traffic to propertyfinder.ae continues to grow and is institute, the Abu Dhabi Centre for Technical and Abu Dhabi-based and the larger ones such as Aldar, TDIC groups. They invite people to meet them and there is no currently at an all time high - we had 1.4M sessions Vocational Education and Training (ACTVET). The course and Aabar are government-backed. The remaining are presentation, no speaking from their side, they just listen in April 2017 which represents an increase of 39% is mandatory for all Brokers (the cost of which must be largely made up of smaller Abu Dhabi-based developers to questions and concerns and answer them. year on year. So the number of people coming to our covered by the company) however the majority of Brokers with a few from Dubai and Sharjah. There are then a site continues to increase and that combined with a I've spoken to have yet to complete the training. So there handful from the GCC region, and you can count on the I cannot think of an example of such an open and reduction in listings, means our customers listings appear are certainly moves to regulate the industry in Abu Dhabi fingers of one hand the developers from the rest of the collaborative approach from my own United Kingdom more often in search results resulting in more leads. We and raise standards, but there's a long way to go yet. world. and I find it wonderfully refreshing. To meet and speak delivered nearly 300,000 leads in April 2017, an increase of to the people who are making the decisions, understand 45.6% year on year. In established markets like the UK or America, there is full The Abu Dhabi government is looking to bring in more their thinking and to try and help make this a success is market transparency with transaction data, listing history foreign real estate investment in the form of developers to a unique opportunity which no-one impacted by these It's not such good news for some smaller companies, less and price changes all readily available on any property. diversify the market and also investors, and they see these regulations should miss out on. We are yet to see the end willing to adhere to regulations or adapt their business In the digital age, consumers are smart and usually time regulations as paving the way. A well regulated market is results but if it is a reflection of the process then I think it - they will undoubtedly suffer. In the first four months poor. They want to know they're getting a good deal. a secure one and understandably when money is looking will be great. of this year we have seen a significant increase in the They spend significant time researching online before abroad it needs that security before investors will commit number of small business closures which is likely to engaging with any Real Estate Agent or Developer. When to a region. continue. In addition, we have seen a number of mergers was the last time you walked into a car showroom or and acquisitions which are also likely to continue as the booked a holiday without first doing your research online? market matures and consolidates. That's why it's so important to present your brand in the Ben Crompton, best possible way with great quality, available listings and Managing Partner, Crompton Partners competitive pricing. CromptonPartnersEA Crompton_Partners

Crompton Partners Estate Agents CromptonPartners

20 21 MARKET OUTLOOK RENTAL

Research among the nearly 24,500 Dubai SCENE apartments and villas advertised for rent on propertyfinder.ae shows that just about one in six The current market has seen specify the number of cheques required. Out of those that do, 1,842 listings state that tenants can some power returning to Say goodbye to one-cheque payments and the double- pay in four cheques. A further 925 mention one digit yields of a landlord-driven market and welcome in cheque, 1,052 refer to two cheques and only 140 tenants – they can start to the dawn of the tenant-favoured era. It’s certainly not will permit twelve. dictate more favourable terms the story that any landlord wants to hear but it is rapidly becoming the new “norm” of the Dubai rental market. About a decade ago, putting down an entire year’s and the amount of cheques is Our internal market intelligence, kwIQlytics, reveals rent upfront was the norm and those tenants that from the peak of the market (September 2014) we often one of those negotiation have seen rents fall by 9.7% for apartments and 13.3% whose employers did not offer such advances were for villas. Some sub-markets have been affected more often forced to borrow from the bank. However, points. Lukman Hajje heavily than others. In the villa segment, Jumeirah greater competition among landlords helped ease Chief Commercial Officer Islands fell 17.1%, Arabian Ranches 16.7%, Jumeirah the burden on tenants forming a new norm of propertyfinder Group Village Triangle 15.2%, Emirates Hills 13.6% and Jumeirah two-three cheques, with four cheques also being Park 13.6%. In the apartment segment Jumeirah Beach common. Residence slumped by 13.9%, Discovery Gardens 12.8%, Marina 11.9%, Downtown 9.1% and International City 12.4%.

As we now close the books on Q2 of 2017 and reflect by an appropriate net increase in demand. Until job on the most recent quarter it’s clear that the downward numbers, population growth, and economic growth trend on rents continues broadly across the market, enter their next positive phase, which we anticipate with final signed lease prices (not initial asking prices) seeing in mid-to-late 2018 in response to spending from for apartment rents down 1.96% and villas dropping both government and private sector in the lead up to 1.1% quarter-over-quarter. Again, some sub-markets are Expo2020, expect to see further weakening of the rental experiencing steeper drops than others for the quarter. market. Jumeirah Islands fell by 3.1%, Emirates Hills 2.9% and Jumeirah Park 2.8% in the villa segment. Apartments While the ongoing decline in rents seems to not have a also took a hit in areas such as The Views which dropped short-term endpoint in sight, savvy tenants and equally 4.8%, International City 4.6%, Downtown 2.9% and Palm astute landlords are keeping the market moving forward. Jumeirah 2.7%. In addition to lower rents, new tenants and their brokers have been able to negotiate concessions that were Why is it that the market continues to weaken? previously dismissed or largely unheard of in the Dubai The macroeconomics of falling GDP, rising inflation and market such as rent free periods, owner paid broker cost of living, coupled with a softening of the job market commissions and an increase in the number of cheques for both new and existing positions are all contributing accepted. Cheque frequency has by far been the most factors, however it may be even simpler than that. It prevalent of these with the days of one-time lump sum largely comes down to basic supply and demand. In payments a thing of the past and four cheques the new recent years, Dubai’s new development market has standard. We’ve even seen the unthinkable… monthly gone from strength to strength, with a myriad of new cheques for a growing handful of landlords. projects being announced as well as delayed projects For tenanted properties, there has been a rise in from the last boom market resuming. Handovers for this landlords eager to keep their current tenants rather than year alone are slated to be upwards of 30,000 units with face the prospect of any vacancy loss period. Instead of approximately a tenth of that amount already delivered simply offering a renewal at the same terms they have We don’t believe more legislation is required to move towards a year to date. In addition to these new handovers, we proactively been extending similar favourable incentives are also seeing secondary market “shadow inventory” such as rent reductions and an increased cheque monthly payment structure. It is more a matter of time for landlords finally hit the market, where properties which were frequency throughout the lease term. initially primarily purchased to park money or for capital Considering a one-month vacancy period equates to to become accustomed to a new reality – a combination of economic appreciation, and then left untenanted post-handover, a loss of 8.3%, which typically is close to, if not more are now being switched to income producing assets as than, the yield that most properties produce annually, factors has occurred over the past 2 - 3 years where companies are investors come to terms with the drawn-out stagnant concessions like these are not only smart business for paying their employees differently and the new workforce is putting period and minimal capital appreciation. Expect to see the investor but a win-win for all parties regardless of the more of those perpetually dark apartments in the towers market. pressure on the landlords to adjust. around you finally have some lights on! As overall supply continues to increase, it is unfortunately not being met Mark Towers Managing Director, Edwards & Towers Zhann Jochinke Chief Executive Officer, Keller Williams Real Estate

kwdubai kwdubai

Keller-Williams-Dubai kwdubai

22 23 MARKET OUTLOOK MATURING LEVY MARKET OF VAT

The short-term future of the property market looks The UAE is set to levy a 5% value-added tax (VAT) starting likely to follow the current trend and I don't foresee any on January 1, 2018. The decision is broadly in line with an dramatic changes over the next 12 months. effort to raise government revenues in the region, which have recently lowered due to oil prices. The current market has shifted from being mainly The current market has investor-led to what is now a more mature end user- shifted from being a mainly The capped VAT percentage has been recommended dominated market. by the World Bank and the International Monetary Fund investor led to what is now and will be liable to affect the UAE real estate market. House prices have been steady for the past 12 months By a general rule of thumb of taxing in the UK, Australia, without the dramatic peaks and troughs Dubai was a more mature end user Malaysia and Singapore, it is forecasted that VAT will accustomed to experiencing. This is due to the world dominated market. be payable for both the sale and lease of commercial economy changing since 2014 when the economic properties. High-end investors will also need to get to landscape was totally different to what we see today. grips with being taxed and staying on the right side of tax efficiency. Take the following three facts into account and it is pretty clear as to why the market has changed from being The UAE’s Ministry of Finance has yet to cement a The VAT inclusion will also have to be factored in by those “investor” led to “end user” led: I don't believe that any economist would argue that specified VAT framework on residential and commercial shopping for luxury goods, yet it is estimated to bypass these three factors are likely to change much in the near property, yet residential buying is expected to be taxable inflation for the average resident’s household expenses on 1. In July 2014 a dollar would cost you 37 Russian Ruble. future and therefore I believe that the market will carry on the first sale but exempted on subsequent ones. By staple foods. These 100 basic foods, which include coffee, In 2017 the same dollar costs 57 Russian Ruble. on shifting towards one that sees more tenants becoming guidance of already taxing nations, when businesses tea, children’s milk, pasta, rice and cereals, will be exempt 2. In July 2014 a dollar would cost you 0.58 GBP. In 2017 owners, whilst investors remain quiet. In effect, the charge a VAT fee on a sale it makes, it can then recover from VAT. The healthcare and education sectors will also the same dollar costs 0.77 GBP beginning of the next phase to a mature market. VAT they have paid on that purchase. The VAT amount not be impacted and result in zero rated VAT. The low 3. In July 2014 a barrel of oil would cost $115. In 2017 a payable to the government is calculated on the sum rate taxation is equally expected to not hit commodity barrel of oil costs $47. This trend has been apparent for the past 12-18 months difference between what the businesses have charged in prices for UAE citizens for crude oils, gold, natural gas and and we are seeing, in our specialist areas, that it is their sale and paid on their purchase. agricultural products such as cattle or corn. I can summarise these 3 facts as follows: becoming more and more difficult to find real 'bargains' as prices have stabilised throughout the year so far. Residential leasing is planned to be relieved of the The International Monetary Fund has indicated that a Russians were dominant investors of Dubai real estate financial burden of taxation, which will prohibit landlords VAT rate of 5% could hike the revenue of the total value prior to mid 2014 and are now virtually non existent. Undoubtedly at some point the dollar will weaken and from adding VAT on rent. As a result, landlords will stand of goods produced and services provided in the country UK investors were always very active in the Dubai most experts predict oil prices to settle above $60 per to lose on recovering taxes on expenses they incur, which by 1.5% in one year. The UAE’s gross domestic product real estate market but since Brexit have been either barrel and I believe if these factors occur simultaneously will subsequently influence a surge in higher rents for a is incentivised to jump and on this assessed value, the dormant or have repatriated funds to the UK. we will see the investors re-enter the market, and as a lucrative return on investment. country is expected to bag $6.5 billion of growth in the We live in an area that it still very dependent on oil and consequence house prices will surely rise. When will this economy by the implementation of VAT by 2019, which our oil rich neighbours are currently taking stock whilst happen? Of course we don't know but those ex-tenants will ultimately characterise the future of the real estate prices are so low and are reluctant to invest in real who are now end users are surely set to benefit. market. estate to the same level as before. The UAE’s gross domestic product is The recovery of the property sector since the financial slowdown in 2008 has shown a continued upturn in incentivised to jump and on this buyer activity. To carry over a robust and stable market post VAT, administration processes and compliance assessed value, the country is procedures will need to adapt to the landscape of the expected to bag $6.5 billion taxation system. It is too early to set in stone what the final UAE VAT law will choose to incorporate, yet official of growth in the economy by the rules will be imprinted by the summer. After its inception implementation of VAT by 2019, in the UAE, all GCC countries will be ushering in their own VAT legislation. which will ultimately characterise the future of the real estate market.

Mark Towers Managing Director, Edwards & Towers

EdwardsTowersRealEstate Lukman Hajje

EdwardsTowersRealEstate EandTdubai Chief Commercial Officer, Propertfinder GROUP Winner of the propertyfinder Real Estate Brokerage Awards 2016 in the Best Brokerage Service Category

24 25 MARKET OUTLOOK SERVICED APARTMENTS

IS THE CONVENIENCE TRUE?

We all know that when you first come to the UAE, the process of finding somewhere to live is hard. Of course, having propertyfinder assisting you every step of the Paul Stewart-Smith way makes it much easier, but as a newcomer it’s still Chief Operating Officer, a daunting task. Propertyfinder’s Area Guides, Price Propertyfinder GROUP Trackers, Blogs and the huge range of properties available on the portal all help but let’s be realistic: you’re new, naïve, and possibly never been an expat before. You are So at first sight, serviced apartments absolutely look more settling into a new country, new job and trying to get expensive. That’s to be expected, but let’s add in some used to a new life. additional data on what you need to consider when living in the UAE: Even when you think you’ve done the hard part of finding a suitable property in a desirable neighbourhood and then agreeing a price with the landlord, you soon realise the moving process has really only just begun! The costs Additional Costs* Serviced Rental keep on rising, the bureaucracy is frustrating and there’s (AED monthly average) the endless waiting at home for utility connections and deliveries of furniture and other essentials. DEWA Included 800

Could renting a serviced apartment offer a better, simpler Chiller Included 300 way get settled quickly? The Security Deposit is another 5% and another cheque… Unfortunately, the failed AC, the leaking pipe in the false

Maintenance Included 200 no wonder many banks charge for additional cheque ceiling and the electrics don’t respect “working hours” More and more people, especially when new to the books! Security deposits normally apply to both rental and and it always seems to be 2am when they go wrong! UAE, are opting to do just so, at least in the short term. serviced apartments so no gain or loss here… except maybe Why is that? Serviced apartments usually have their own TV/Internet Included 400 And is this just an option for “newbies” or could serviced until you try and get your deposit back, but more on that maintenance teams which are located on site and operate apartments be a good alternative for longer term later. 24 hours a day at no extra cost to you. Maid Service (3/week) Included 800 residents too? Are they significantly more expensive? Is there less time-consuming bureaucracy involved? Are The DEWA experience for many is one they will never TV/Internet – we can probably live without the TV, what are the drawbacks? Gym/Spa Included 300 forget! The creating of accounts, the documents required especially when you have so many other things to do - and then going back with the documents you never here, but we all need the internet. So off you go, armed To really understand the issue you have to break down Furnishings** Included 300 knew you needed! The process takes time and patience with every document you ever thought you could need in the raw data, add in a dose of reality and then add in and then you find you need a deposit - 2,000 dirhams for duplicate, colour copies, cheque book, credit card at the personal preferences. TOTAL - 3,100 apartments, double that for villas! Each month the DEWA ready – you vow there’ll be no second visit for you because bill arrives and you wonder how it can cost that much. you have all the correct paperwork! So what does the data tell us about average monthly costs? *Approximate for an average 2 bedroom apartment. ** Based on annual expenditure of AED 3,600 per year on furniture (beds, The Chiller… the what? Yes, in many areas there is a In you go, take a ticket, you look at your number…. and then sofa, white goods, TVs etc. on a second hand basis) separate charge for the air-conditioning chiller in addition read the small print warning “there are 17 people in front to your electricity bill. Chiller fees are meant to be fairer of you”. How long can that take? Two hours later you’re and reduce the big spike in AC costs in the summer, but still sitting there, forlornly staring at the screen where the still you try to keep your consumption to a minimum. numbers move slower than a glacier and you realise it So, we need to add a conservative AED 3,100 per month, Serviced Rented Battles between couples can erupt at the AC control! The can take some time! Eventually you walk out after being Apartment Type (AED per square foot (AED per square foot or AED 37,200 per year, to your rent. There’s still a gap on per month) per month) “it’s too hot” versus “it costs a fortune” discussion is one that served, wondering how you have just signed up to $150 a 2 bed 1,500 sq. ft. apartment in the mid-range, but the can run forever, especially when the monthly bill comes. In worth of internet, a home phone you will never use and a true costs are getting much closer! a serviced apartment the chiller cost is included so you can TV package that is at best underwhelming – oh sorry, did Budget 11.4 6.5 keep your AC running all day if you wish without financial I mention the deposit? So it’s time consuming, expensive Now let’s add in an extra dose of reality… repercussions – but only if you’re not a fan of the Paris and we will get to the cancellation process later! In a Mid Range 14.7 8.1 Agreement! Nevertheless, serviced apartments offer both serviced apartment, you walk in, log on to the internet, As tenants, Dubai Municipality charges you 5% of your cost savings and fewer arguments over the AC gauge. switch on your TV and look at the land-line phone that will annual rental contract. This is spread over 12 months Luxury 15.0 8.7 never ring and know that it’s all included in your charge: no and added to your DEWA bill each month. Brokers also Maintenance – some form of free maintenance is usually hassle, no queuing, no deposits and no monthly bills. charge a 5% fee, paid upfront, so just when you think included in a standard rental lease, but typically you will (Source: propertyfinder data, 2017. The metric represents the median you’ve negotiated a great deal and written your 1, 2 or 4 need to pay at least a fixed fee, plus extra for a good price per square foot for each category. Apartment type split: Budget cheques, you have to write another one. (lowest 20% prices), Mid range (mid range prices between Budget and service or essential repairs out of normal office hours. Luxury - middle 60% of prices) and Luxury (highest 20% of prices).

26 27

Maid service – we all think we won’t use one and then we all do! Serviced apartments will typically provide a maid service three times a week, replenishing towels and sheets, cleaning, tidying and ironing. Some offer a daily service, but usually it’s less often. Whatever the frequency, you won’t have to deal with a maid company, monthly bills and of course the additional cost on top of your rent.

It’s also worth mentioning gym and spa facilities, even if MARKET - this isn’t strictly a cost saving - serviced apartments must be attractive to short-term guests and holidaymakers, so the facilities are typically better and well-maintained. This is especially true in hotel serviced apartments, where all facilities are available to long-term residents. In reality, the cost of these facilities is included in your rent, but you’re not paying an additional fee to a gym which you then feel DATA guilty about not visiting!

Furniture – yes, not all serviced apartment furniture will be to your taste but at least it’s there the day you move in. A normal rental will come with lights bulbs and that is it! No curtains, lamps, TVs, sofa, beds, white goods, knives, forks, glasses, kettle, etc… anything you can think of. Not only is it a hassle to make your rented apartment liveable but it’s an So how does it all stack up? expensive one too! Well much of it is still personal choice, dependent on Overall, the pure financial equation probably still leans individual circumstances and preferences. But the hassle- towards a conventional rental, but when you consider the free financial side of serviced apartments certainly makes hassle factor, the monthly bills for various services and the them an appealing option. peace of mind a serviced apartment provides then maybe it does add up. But this isn’t the full story - what about What is my personal opinion? when you come to move to a new home or decide to leave the UAE? When I first moved here, I entered the unknown. My family remained in the UK for the first nine months while Leaving and closing down the various home services I established things here business-wise and closed things is much, much harder than it sounds. Internet and TV off in the UK. I moved to an amazing serviced apartment companies force you to visit their shops (and only certain in the Marina. Hassle-free and perfect for someone ones) to cancel a subscription, and changing your address needing to settle quickly and ensure my professional life is not as easy as it should be either! Getting final DEWA bills got the required attention. Not having to worry about the in one place, transferring the account back to the landlord small stuff made settling into Dubai so easy and allowed and then reopening a new account for a new property… it me to work out which areas I liked, get bank accounts can feel like groundhog day! sorted and understand the true cost of living in Dubai. The monthly charge meant I didn’t need to commit to a If you are leaving the country, you will need to get your year long agreement and outlay – it was perfect. Would I final bills all sorted, sell your furniture and close your bank recommend it to other “newbies”? Absolutely! account. After proving to the landlord you have done all of this, repainted the property and argued over whether One final thought, I have seen a few of my friends leave the dents and damage were already there when you Dubai since I’ve been here and it’s not a simple thing to do. moved in to the property, you get your deposit cheque The propertyfinder.ae blog has a great article on moving back. It’s very rarely the full amount - and then realise called “8 steps to make moving a breeze” you may find you have closed your UAE bank account! Of course, with helpful. a serviced apartment you have to give notice and there 1 2 3 can be an early fee charged if you leave before you overall If you are reaching that point of not just moving but leaving commitment ends (as there would be with renting) but the UAE, consider getting out of a rental well before your that’s it, you pack your clothes, close the door and leave. last day and go into a serviced apartment. That way, you Dubai Abu Dhabi Nothern can close everything, go through the arduous processes that always take much longer than expected and place Market Market Emirates If you are reaching that point of not yourself in a serviced apartment for the last month or so. Market just moving but leaving the UAE, That way, you can also send furniture home, close DEWA, get deposits back and be living in comfort for a monthly consider getting out of a rental well fee, knowing that when your last day comes around all before your last day and go into a you need to do is just pack a suitcase and close the door behind you. serviced apartment.

28 MARKET OUTLOOK EVOLUTION OF UAE property prices have in general continued to fall between PRICES Q4 2016 and Q1 2017, both in sales and rentals, largely driven by completion of new stock adding to the availability pool in emerging communities.

DUBAI ABU DHABI RAS AL KHAIMAH AJMAN SHARJAH

APARTMENT FOR RENT - PRICE PER SQUARE FOOT IN AED APARTMENT FOR SALE - PRICE PER SQUARE FOOT IN AED

120 1600 1533 101 1413 95 1400 100 97 1344 1325 91 1200 80

1000

60 55 52 800 45 679 687 40 39 33 600 564 549 30

20 400 319 319

200 SEPT 16 OCT 16 NOV 16 DEC 16 JAN 17 FEB 17 MAR 17 SEPT 16 OCT 16 NOV 16 DEC 16 JAN 17 FEB 17 MAR 17

VILLA FOR RENT - PRICE PER SQUARE FOOT IN AED VILLA FOR SALE - PRICE PER SQUARE FOOT IN AED

1400 70 64 1197 1200 60 62 58 1101 58 994 50 1000 904

800 40 708 39 718 37 704 695 33 30 600 31 29 457 24 382 20 400

10 200

0 0 SEPT 16 OCT 16 NOV 16 DEC 16 JAN 17 FEB 17 MAR 17 SEPT 16 OCT 16 NOV 16 DEC 16 JAN 17 FEB 17 MAR 17

Data is based on median advertised price per square foot on propertyfinder.ae and may not reflect the reality of property transactions. N/A means the data was inconsistent or based on an insufficient number of listings in that area.

30 31 MARKET OUTLOOK

DUBAI APARTMENTS DUBAI ADVERTISED MEDIAN PRICE IN AED PER SQUARE FOOT SEPTEMBER 2016 TO MARCH 2017 RENT BUY Dubai Marina Business Bay BUY RENT BUY RENT MARKET 1,660 150 1,550 100 1,640 140 130 1,500 95 1,620 120 1,600 90 110 1,450 1,580 100 85 90 1,560 1,400 80 80 1,540 RENTAL YIELD PER SQUARE FOOT: DUBAI 70 1,350 1,520 75 60 1,500 50 1,300 70 MARCH 2017 SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEPTEMBER 2016

APARTMENTS VILLAS Dubai Downtown Jumeirah Village Circle COMMUNITY RENTAL YIELD PER SQ FT COMMUNITY RENTAL YIELD PER SQ FT BUY RENT BUY RENT 2,400 130 1,000 100 7.39% 4.57% Al Barsha 950 95 Al Furjan 8.34% 4.34% 2,350 125 90 900 7.35% Al Furjan 5.20% 2,300 85 120 850 Barsha Heights (Tecom) 7.38% 4.90% 80 2,250 115 800 75 6.19% Arabian Ranches 5.38% Business Bay 750 70 6.33% 5.53% 2,200 110 65 700 6.04% 4.71% 60 Dubai Land 2,150 105 Culture Village 650 5.89%% 4.97% 55 2,100 600 5.77% Dubai Sports City 5.28% 100 50 DIFC 5.70% 5.32% SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR

9.471% Emirates Hills 3.07% Discovery Gardens 9.73% 3.33% The Views Al Furjan 5.59% Jumeirah Golf Estates 5.02% Downtown Dubai 5.47% 4.66% BUY RENT BUY RENT 1,670 130 1,050 90 8.97% Jumeirah Islands 3.89% Dubai Investment Park 1,660 125 9.33% 3.99% 1,000 85 120 8.39% 5.15% 1,650 Jumeirah Park 80 Dubai Land 115 8.22% 5.15% 1,640 950 110 75 6.50% Jumeirah Village Circle 6.50% 1,630 Dubai Marina 6.44% 6.54% 105 900 1,620 70 100 8.62% Jumeirah Village Triangle 5.48% 850 1,610 Dubai Silicon Oasis 9.12% 5.52% 95 65 8.72% 4.63% 1,600 90 800 60 Meadows SEP OCT NOV DEC JAN FEB MAR Dubai Sports City 8.85% 4.64% SEP OCT NOV DEC JAN FEB MAR 7.53% Mudon 4.87% Greens 7.76% 5.57% 8.55% Palm Jumeirah 3.13% Dubai Silicon Oasis Palm Jumeirah IMPZ 8.79% 3.25% BUY RENT BUY RENT 900 1,950 8.77% The Lakes 5.20% 80 110 International City 1,900 9.51% 5.42% 850 105 75 100 6.32% 6.12% 1,850 The Springs 95 Jumeirah Beach Residence 6.11% 6.40% 800 70 1,800 90 750 8.00% 65 85 Jumeirah Lakes Towers 1,750 7.89% 80 700 60 8.22% 1,700 75 Jumeirah Village Circle 55 70 8.67% 650 1,650 65 9.36% 600 50 1,600 60 Jumeirah Village Triangle 9.52% SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR 7.94% Discovery Gardens (9.5%), JVT (9.4%) Motor City 8.03% & DIP (9%) continue to offer world 5.88% Old Town Greens Old Town 5.83% leading rental yield per square foot. BUY RENT BUY RENT 5.22% 1,400 120 2,150 150 Palm Jumeirah 140 5.48% Apartment yields in International City 1,350 110 2,100 130 6.78% 2,050 100 120 The Views 6.84% (8.8%), DSC (8.7%), IMPZ (8.6%) DSO 1,300 90 2,000 110 1,250 100 1,950 (8.6%) & Dubai Land (8.4%), JLT (8%) 80 90 1,200 & Motor City (7.9%) continue to be 70 1,900 80 70 1,150 60 1,850 60 excellent. 1,100 50 1800 50 SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR

Data is based on median advertised price per square foot on propertyfinder.ae and may not reflect the reality of property transactions. “-” means the data was inconsistent or based on an insufficient number Note: The scale varies for each chart as it aims to highlight the changes, even if the change is not that significant. of listings in that area. Data is based on median advertised price per square foot on propertyfinder.ae and may not reflect the reality of property transactions. “-” means the data was inconsistent or based on an insufficient number of listings in that area. 32 33 MARKET OUTLOOK

DUBAI APARTMENTS DUBAI VILLAS ADVERTISED MEDIAN PRICE IN AED PER SQUARE FOOT SEPTEMBER 2016 - MARCH 2017 ADVERTISED MEDIAN PRICE IN AED PER SQUARE FOOT SEPTEMBER 2016 - MARCH 2017

RENT RENT BUY BUY Dubai Land Discovery Gardens Arabian Ranches Palm Jumeirah BUY RENT BUY RENT BUY RENT BUY RENT 1,200 66.5 2,580 84 800 68 850 85 1,195 66 780 66 2,570 83 760 800 1,190 65.5 2,560 82 64 80 65 740 1,185 2,550 81 62 720 750 75 1,180 64.5 80 60 2,540 700 64 79 2,530 58 1,175 680 700 70 63.5 78 1,170 2,520 660 56 63 77 1,165 2,510 640 54 650 65 62.5 76 1,160 620 52 62 2,500 75 1,155 61.5 600 50 600 60 2,490 74 SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR

Jumeirah Lakes Towers DIFC The Springs Jumeirah Village Circle BUY RENT BUY RENT BUY RENT BUY RENT 1,150 74 869 50.2 1,250 99 1,940 115 1,140 73 840 50 96 820 1,920 72 1,200 110 49.8 94 1,130 800 71 49.6 92 1,900 1,120 780 1,150 70 105 760 49.4 90 1,880 1,110 69 740 49.2 88 1,100 100 68 1,100 720 49 86 1,860 67 700 1,090 48.8 1,050 84 66 680 1,840 95 1,080 48.6 82 66 660 1,070 640 48.4 1,000 80 1,820 90 64 SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR

International City Jumeirah Beach Residence Mudon Meadows BUY RENT BUY RENT BUY RENT BUY RENT 800 940 51 1,42 65.5 70 1,650 120 780 68 1,600 50 65 110 930 1,400 760 64.5 66 1,550 49 740 64 100 64 1,500 920 48 1,380 720 62 63.5 1,450 47 90 910 700 60 1,360 63 1,400 46 680 58 80 62.5 1,350 900 45 1,340 660 62 56 70 1,300 44 640 54 890 1,320 61.5 60 620 52 1,250 43 61 600 880 1,300 60.5 50 1,200 50 42 SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR

Dubai Sports City Motor City Al Barsha Dubai Land BUY RENT BUY RENT BUY RENT BUY RENT 1,110 920 44.2 950 85 1,000 80 51 915 900 78 1,105 44 80 950 50 910 76 43.8 905 49 850 75 74 1,100 900 900 43.6 72 800 70 48 895 43.4 850 70 1,095 890 47 43.2 750 65 68 885 800 1,090 43 700 60 66 46 880 42.8 64 875 750 1,085 650 45 55 62 870 42.6 1,080 865 600 50 700 60 44 42.4 SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR

IMPZ Jumeirah Park Dubai Sports City BUY RENT BUY RENT BUY RENT 1,200 1,300 69 1,000 85 62 61 1,280 68 80 1,180 950 60 1,260 67 75 1,160 59 900 1,140 58 1,240 66 70 850 57 1,120 1,220 65 65 56 800 55 1,200 64 60 1,100 54 750 1,180 55 1,080 63 53 1,160 700 1,060 52 62 50 SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR

Note: The scale varies for each chart as it aims to highlight the changes, even if the change is not that significant. Data is based on median advertised price per square foot on propertyfinder.ae and may not reflect the reality of property transactions. “-” means the data was inconsistent or based on an insufficient number of listings in that area.

34 35 MARKET OUTLOOK ABU DHABI RENTAL YIELD PER SQUARE FOOT: ABU DHABI

MARCH 2017 MARKET SEPTEMBER 2016 APARTMENTS VILLAS COMMUNITY RENTAL YIELD PER SQ FT COMMUNITY RENTAL YIELD PER SQ FT

Al Ghadeer 7.64% Al Raha Gardens 7.59% 8.31% 6.59%

Al Raha Beach 6.96% Al Raha Golf Gardens 5.71% Hydra Village offers the best rental yield 6.76% 5.59% Al Reef 8.55% Al Reef 7.23% per square foot in Abu Dhabi with 7.8% just 9.03% 7.83% Al Reem Island 7.20% Al Salam Street 5.50% ahead of Al Raha Gardens. All popular Abu 7.52%% 5.77% Saadiyat Island 7.38% Hydra Village 7.83% Dhabi villa communities continue to offer 6.67% 8.32% 5.80% Corniche Area - Khalifa City investors 5%+. 6.02% 4.99% Corniche Road - Saadiyat Island 5.17%

Yas Island - Corniche Area -

ABU DHABI APARTMENTS ABU DHABI VILLAS ADVERTISED MEDIAN PRICE IN AED PER SQUARE FOOT SEPTEMBER 2016 - MARCH 2017 ADVERTISED MEDIAN PRICE IN AED PER SQUARE FOOT SEPTEMBER 2016 - MARCH 2017

RENT RENT BUY BUY Al Reem Island Al Reef Khalifa City Saadiyat Island BUY RENT BUY RENT BUY RENT BUY RENT 840 1,600 1,320 51 84 100 925 84 1,310 920 830 50 1,580 82 98 82 1,300 915 820 49 1,560 80 96 910 80 1,290 905 810 48 1,540 78 1,280 94 900 78 800 47 1,520 1,270 895 76 92 76 890 1,260 790 46 1,500 74 90 885 74 1,250 880 780 45 1,480 72 1,240 88 72 875 770 44 1,460 70 86 1,230 870 70 SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR

Al Raha Beach Saadiyat Island Al Reef Al Salam Street BUY RENT BUY RENT BUY RENT BUY RENT 820 66 1,190 67.5 1,530 105.5 1,540 107 815 1,520 105 1,520 106 64 1,180 67 810 104.5 105 1,510 1,500 805 62 1,170 66.5 104 104 1,500 1,480 800 1,160 103.5 103 60 66 795 1,490 103 1,460 102 58 1,150 65.5 790 1,480 102.5 1,440 101 785 1,140 102 100 56 65 1,470 1,420 780 101.5 99 54 1,130 64.5 1,460 1,400 775 101 98 770 1,120 1,450 52 64 100.5 1,380 97 SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR

Al Ghadeer Al Raha Gardens Al Raha Golf Gardens BUY RENT BUY RENT BUY RENT 980 64.5 1,100 1,040 85 62.5 960 62 1,035 84 64 1,080 940 61.5 1,030 83 920 63.5 1,060 61 1,025 82 900 81 63 60.5 1,020 880 1,040 80 60 1,015 860 62.5 79 59.5 1,020 1,010 840 78 62 59 820 1,005 1,000 58.5 77 61.5 800 58 1,000 76 780 61 980 57.5 995 75 SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR

36 37 MARKET OUTLOOK NORTHERN EMIRATES MARKET

RENTAL YIELD PER SQUARE FOOT: NORTHERN EMIRATES

NORTHERN EMIRATES - AJMAN - RAS AL KHAIMAH - SHARJAH HOUSING TYPE PRICE PER SQ FT RENT PRICE PER SQ FT SALE RENTAL YIELD PER SQ FT SEP 2016 MAR 2017 %CHANGE SEP 2016 MAR 2017 %CHANGE SEPSEP 20162016 MAR 2017

Apartment 35.7 35.1 -1.68% 530 537 1.23% 6.73% 6.54%

Villa 32.6 34 4.29% 570 563 -1.25% 5.72% 6.04%

NORTHERN EMIRATES APARTMENTS NORTHERN EMIRATES VILLAS ADVERTISED MEDIAN PRICE IN AED PER SQUARE FOOT SEPTEMBER 2016 - MARCH 2017 ADVERTISED MEDIAN PRICE IN AED PER SQUARE FOOT SEPTEMBER 2016 - MARCH 2017

RENT RENT BUY BUY Ajman Ras Al Khaimah BUY RENT BUY RENT 355 32.5 690 55 Ajman Ras Al Khaimah 685 350 BUY RENT 32 54 BUY RENT 680 1,000 80 720 40.5 345 675 53 31.5 670 70 710 340 950 40 665 52 60 31 700 335 660 900 51 50 39.5 655 30.5 690 330 50 850 40 650 39 30 645 680 325 49 30 640 800 38.5 320 20 670 29.5 635 48 750 38 SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR 10 660 700 0 650 37.5 SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR Sharjah BUY RENT For investors the rental yield pe 540 72.5 Sharjah 72 BUY RENT 535 square foot in Sharjah & Ajman 900 66 71.5 530 800 65 in particular looks particularly 64 71 700 525 63 600 70.5 62 520 enticing. We’ve seen some 500 70 61 400 60 515 69.5 launches of freezone off plan 300 59 510 58 69 200 SEP OCT NOV DEC JAN FEB MAR 57 100 projects recently in Sharjah 56 0 55 which is now competiting with SEP OCT NOV DEC JAN FEB MAR Dubai & RAK for non GCC buyers.

38 39 PERFORMANCE REVIEW

1 2 3 4

Our Dubai Abu Dhabi Nothern Emirates Performance Community Community Community Focus Focus Focus PERFORMANCE REVIEW

OUR LEADS PER LISTING ONLINE SEARCH INTEREST PERFORMANCE DUBAI

Established in Dubai in 2007 the propertyfinder Group now employs around 220 individuals from 78% over 24 nationalities, across 7 countries. 115% increase increase Our clear simple objective is to create the shortest path for property seekers to connect to the right property and to be the most effective marketing channel for real estate brokers and developers across the region.

MAR 16 MAR 17 In our core UAE market, propertyfinder.ae has been the clear number one property portal for MAR 16 MAR 17 majority of the past decade and continues to increase its market share as well as its ROI for clients. ABU DHABI KEY STATS MARKET SHARE

• 62% of all UAE visits to property portals come to propertyfinder.ae 73% 4% 113% increase • Over 410,000 users per month view on average 12 million pages increase and 33 million properties on our portal 11% b • 52% YOY increase in total leads per month sent to broker and 62%

developer clients (March 2016 vs March 2017) 23% MAR 16 MAR 16 MAR 17 Q1 2017 UAE Desktop Visits, SimilarWeb MAR 17 • 123% increase in leads per listing in all Emirates independent comparison data (Mar 17 vs Mar 16) • A recent survey of our client base by our Customer Care NORTHERN EMIRATES department recorded a 94% client satisfaction rate • Users spend on average 7.74 minutes on our portal compared to 29% less than 6 on other websites, making our portal most engaging increase 115% • Househunters visit on average 9 pages on propertyfinder.ae; increase 51.6% higher than the nearest competitor

LEADS TO PROPERTYFINDER.AE MAR 16 MAR 17 MAR 16 MAR 17

PAGE VIEWS 39% INCREASE

March 2016 10,046,409 March 2017 14,005,003 52.5% increase SESSIONS 39% INCREASE

March 2016 1,010,359 March 2017 1,407,129

USERS 26% INCREASE

March 2016 408,835 March 2017 515,157

MAR 16 MAR 17 Data shows the unique number of users, page views, sessions, leads and leads per listing on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Mar'16 to Mar'17), hence it may not reflect the actual situation on the propertyfinder at a particular moment in time. Data source: Propertyfinder.ae internal data and Google Analytics. Online Search Interest is the ratio of the number of searches to the number of listings on propertyfinder.ae

42 43 PERFORMANCE REVIEW

DUBAI DUBAI APARTMENTS FOR RENT VILLAS FOR RENT Dubai Marina has maintained its number one position since last year and remains the most viewed Arabian Ranches, The Springs and Jumeirah remained the three most popular areas for villas for rent with apartment community for rent with the highest number of listings. the highest number of listings.

7-8 BR 2% Top 10 most popular communities 4-8 BR 3% Top 10 most popular communities 6 BR 6%

2016 2017 Total Listings Total Views 2016 2017 Total Listings Total Views 5 BR 22% Dubai Marina 1 1 19% 19% 3 BR 15% Arabian Ranches 1 1 11% 10% Palm Jumeirah 4 2 9% 7% The Springs 2 2 9% 9% Downtown Dubai 2 3 8% 8% Jumeirah 3 3 7% 8% Jumeirah Lakes Towers 3 4 7% 6% Jumeirah Park 8 4 7% 8% 4 BR 29% Business Bay 6 5 6% 4% Umm Suqeim 4 5 7% 6% Jumeirah Beach Residence 9 6 5% 4% Reem X 6 7% 5% Al Nahda 10 7 4% 3% Palm Jumeirah 9 7 5% 4% Dubai Sports City 5 8 4% 4% 2 BR 35% Al Barsha 7 8 5% 5% Jumeirah Village Circle 7 9 3% 3% Meadows 6 9 5% 5% International City X 10 2% 3% Mirdif 5 10 3% 6% 3 BR 30% Rank Rank

15000 Median size (SQ FT) Median size (SQ FT) 1 BR 34%

2 BR 8%

1800 1670 STUDIO 13% 1 BR 2% 1441 1300 1300 1363 1346 1365 1268 1226 Views by bedroom 6000 Views by bedroom 5680 1135 5200 5300 970 900 4561 850 854 895 3809 4033 4335 3944 4344 4197 714 3500 3153 654 600 2698 2524 2272

Top 10 communities: Data shows the unique number of listings and impressions on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep'16 to Mar'17), hence it may not Views by bedroom: Data shows the total number of impressions on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep'16 to Mar'17), hence it may not reflect the actual reflect the actual situation on propertyfinder at a particular moment in time. Median size: Data is based on median advertised price per square foot on propertyfinder.ae and may not reflect the reality of situation on propertyfinder at a particular moment in time. Data source: Propertyfinder.ae internal data. property transactions. Data source: Propertyfinder.ae internal data

44 45 PERFORMANCE REVIEW

DUBAI DUBAI APARTMENTS FOR SALE VILLAS FOR SALE Dubai Marina and Downtown both maintained their top two positions since last year and remain most Arabian Ranches is the most popular community for villas for sale with Palm Jumeirah and Jumeirah Park viewed apartment communities for sale. respectively ranking 2nd and 3rd.

7-8 BR 4% 4-8 BR 4% Top 10 most popular communities Top 10 most popular communities 6 BR 10% 2016 2017 Total Listings Total Views 2016 2017 Total Listings Total Views 3 BR 16% Arabian Ranches 1 1 12% 14% Dubai Marina 1 1 16% 20% Palm Jumeirah 3 2 8% 9% Downtown Dubai 2 2 13% 9% Jumeirah Park 5 3 7% 6% Palm Jumeirah 5 3 10% 9% Reem 9 4 7% 5% Jumeirah Village Circle 4 4 7% 8% 5 BR 23% The Springs 2 5 6% 9% Jumeirah Lake Towers 3 5 5% 6% Jumeirah Golf Estates 8 6 5% 4% Business Bay 7 6 5% 4% Dubai Hills Estate X 7 5% 2% Dubai Sports City 6 7 5% 5% 2 BR 35% Mudon X 8 4% 2% Jumeirah Beach Residence 9 8 4% 4% Meadows 4 9 4% 6% Al Furjan 3% 2% X 9 4 BR 25% Dubai Land X 10 4% 1% Dubai Silicon Oasis 8 10 2% 3% Rank Rank

Median size (SQ FT) 1 BR 32% Median size (SQ FT) 15000 3 BR 27% 1900 1807 1797 STUDIO 13% 2 BR 7% 1 BR 3% 1350 1388 1333 1288 1318 1284 1200 1155 1123 Views by bedroom Views by bedroom 990 1040 900 857 811 880 6100 735 55005358 4678 4613 3970 4099 3909 3842 3660 3787 2899 3153 2272 2698 2524

Top 10 communities: Data shows the unique number of listings and impressions on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not Views by bedroom: Data shows the total number of impressions on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not reflect the actual reflect the actual situation on propertyfinder at a particular moment in time. Median size: Data is based on median advertised price per square foot on propertyfinder.ae and may not reflect the reality of situation on propertyfinder at a particular moment in time. Data source: Propertyfinder.ae internal data property transactions. Data source: Propertyfinder.ae internal data

46 47 PERFORMANCE REVIEW DUBAI COMMUNITY FOCUS

PROPERTYFINDER’S MOST VIEWED NEIGHBOURHOODS From Arabian Ranches to The Lakes, we take a closer look at the most popular communities.

Ranking: based on the number of views and a community has received Enquiries & views progession: gives you an idea of how these differ when compared to the same month YoY

Apartment Villa Arabian Ranches DIFC Ranking Ranking

st st th th 1 1 <20 13

RENT SALE RENT SALE

Enquiries & views progression - Villas Views by number of bedrooms - Villas Enquiries & views progression - Apartments Views by number of bedrooms - Apartments

116% 129% NUMBER OF BEDROOMS SEP 16 TO MAR 17 NUMBER OF BEDROOMS SEP 16 TO MAR 17 PERCENTAGE 51% 54% 33% 46% 18% 18% 6+ 9% 20% 4 1% 12% 16% 13% 18% 17% 3% 2% 8% 5% 8% 1% 8% 5 23% 3 10% -8% -1% -7% --8% -10% -20% -19% 4 16% 2 38% 3 39% 1 36% SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR 2 13% Studio 16%

Enquiries Views Enquiries Views

Business Bay In Arabian Ranches, villas Downtown Dubai In Downtown, 1 bedroom Ranking Ranking with 3 bedrooms are viewed apartments receive the most the most. views. rd nd thiii st 5 6 3 2 RENT SALE RENT SALE

Enquiries & views progression - Apartments Views by number of bedrooms - Apartments Enquiries & views progression - Apartments Views by number of bedrooms - Apartments

175%

129% NUMBER OF BEDROOMS SEP 16 TO MAR 17 NUMBER OF BEDROOMS SEP 16 TO MAR 17 82% 4 65% 58% 3% 55% 50% 3 10% 39% 36%43% 42% 31% 33% 25% 26% 27% 18% 21% 20% 3 14% 15% 14% 15% 3% 2% 2 37% 2 26% 0% -9% -11% -11% 1 42% 1 40% Studio 8% Studio 17% SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR

Enquiries Views Enquiries Views

Ranking: Based on the unique number of listings and impressions on propertyfinder.ae. Enquiries and views progresion: Data shows the unique number of listings, impressions and leads on propertyfinder.ae. Views per number of bedrooms: data is based on the number of views of properties per bedrooms, community and property type as advertised on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep'16 to Mar'17), hence it may not reflect the actual situation on propertyfinder at a particular moment in time.

48 49 PERFORMANCE REVIEW

Apartment Villa Dubai Sports City Ranking

Dubai Marina In Dubai Marina most viewed th th th th 8 19 7 14 Ranking apartments are those with 1 RENT RENT SALE SALE

st st and 2 bedrooms. 1 1 Enquiries & views progression - Apartments Most popular by number of bedrooms - Apartments

98% RENT SALE 82% NUMBER OF BEDROOMS SEP 16 TO MAR 17

43% 42% 44% 27% 33% 3 5% 20% 23% 19% Enquiries & views progression - Apartments 7% 10% 5% Most popular by number of bedrooms - Apartments 2 25%

-16% 1 37% SEP OCT NOV DEC JAN FEB MAR 172% NUMBER OF BEDROOMS SEP 16 TO MAR 17 Studio 33% 95% Enquiries Views 58% 58% 53% 46% 55% 4 4% 33% 37% 39% 41% 14% 22% 3 14% Enquiries & views progression - Villas Most popular by number of bedrooms - Villas -45% 2 36% 196% 1 38% NUMBER OF BEDROOMS SEP 16 TO MAR 17 83% 98% 68% 49% SEP OCT NOV DEC JAN FEB MAR Studio 8% 23% 6 10% 14% 11% 0%

-10% -1% 5 64% Enquiries Views -15% -35% -49% 4 23% 1-3 Beds 2% SEP OCT NOV DEC JAN FEB MAR

Enquiries Views

Dubai Silicon Oasis More than half of the total International City views for apartments in Dubai Ranking Ranking In International City, studio Silicon Oasis are for apartments receive the most th th th th th th th th 11 17 10 >20 1 bedroom. 10 >20 14 >20 views.

RENT RENT SALE SALE RENT RENT SALE SALE

Enquiries & views progression - Apartments Most popular by number of bedrooms - Apartments Enquiries & views progression - Apartments Most popular by number of bedrooms - Apartments

156% 102%

NUMBER OF BEDROOMS SEP 16 TO MAR 17 64% 83% 67% 70% 75% 57% 61% 60% 66% 50% NUMBER OF BEDROOMS SEP 16 TO MAR 17 45% 43% 49% 34%30% 3 5% 33% 32% 17% 23% 21% 9% 7% 16% 2 22% 5% 4% 2 5% 1 37% 1 52% -12% Studio 21% Studio 57% SEP OCT NOV DEC JAN FEB MAR SEP OCT NOV DEC JAN FEB MAR

Enquiries Views Enquiries Views

Ranking: Based on the unique number of listings and impressions on propertyfinder.ae. Enquiries and views progresion: Data shows the unique number of listings, impressions and leads on propertyfinder.ae. Views per number of bedrooms: data is based on the number of views of properties per bedrooms, community and property type as advertised on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not reflect the actual situation on propertyfinder at a particular moment in time. 50 51 PERFORMANCE REVIEW

Apartment Villa Jumeirah Park Jumeirah Park is 4th most Ranking popular community for villas Jumeirah Beach Residence Almost half of the total views th th for rent and 3rd most popular Ranking for apartments in JBR are for 4 3 for villas for sale. 2 bedrooms. RENT SALE th th 6 8 Enquiries & views progression - Villas Most popular by number of bedrooms - Villas

RENT SALE 221%

NUMBER OF BEDROOMS SEP 16 TO MAR 17

73% 52% 49% 40% 46% 5+ 11% 37% 28% 33% Enquiries & views progression - Apartments Most popular by number of bedrooms - Apartments 2% 11% 2% -2% 4 52% 84% -23% 78% 3 37%

57% 48% NUMBER OF BEDROOMS SEP 16 TO MAR 17 44% 33% 28% 26% 28% SEP OCT NOV DEC JAN FEB MAR 27% 24% 4 8% 13% 10%12% 3 26% Enquiries Views 2 45% 1 18% SEP OCT NOV DEC JAN FEB MAR Studio 3% Jumeirah Village Circle

Enquiries Views Ranking

th th th th 9 14 4 16 Jumeirah Lakes Towers JLT is 4th most popular RENT RENT SALE SALE Ranking community for apartments Enquiries & views progression - Apartments Most popular by number of bedrooms - Apartments for rent and 5th most popular 173% th th SEP 16 TO MAR 17 120% NUMBER OF BEDROOMS for apartments for sale. 92% 4 5 75% 3 3% 69% 68% 70% 54% 51% 40% 2 30% RENT SALE 29% 32% 27% 17% 1 42% Studio 24% SEP OCT NOV DEC JAN FEB MAR Enquiries & views progression - Apartments Most popular by number of bedrooms - Apartments Enquiries Views 116% Most popular by number of bedrooms - Villas 63% NUMBER OF BEDROOMS SEP 16 TO MAR 17

31% Enquiries & views progression - Villas NUMBER OF BEDROOMS SEP 16 TO MAR 17 PERCENTAGE 22% 82% 14% 18% 17%16% 16% 20% 3 10% 2% 3% 9% 11% 5+ 13% 2 32% 40% 36% 29% 33% 21% 24% 20% 24% 6%10% 4 48% 1 38% 4% 3 18% Studio 19% -6% SEP OCT NOV DEC JAN FEB MAR -10% 2 16% SEP OCT NOV DEC JAN FEB MAR Enquiries Views 1 4% Enquiries Views

Ranking: Based on the unique number of listings and impressions on propertyfinder.ae. Enquiries and views progresion: Data shows the unique number of listings, impressions and leads on propertyfinder.ae. Views per number of bedrooms: data is based on the number of views of properties per bedrooms, community and property type as advertised on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not reflect the actual situation on propertyfinder at a particular moment in time. 52 53 PERFORMANCE REVIEW

Apartment Villa Meadows Meadows is 9th most popular The Springs Ranking commmunity for villas for Ranking

th th nd th 9 9 rent and for sale. 2 5

RENT SALE RENT SALE

Enquiries & views progression - Villas Most popular by number of bedrooms - Villas Enquiries & views progression - Villas 111% Most enquiries by number of bedrooms - Villas 82% NUMBER OF BEDROOMS SEP 16 TO MAR 17 55% 48% 46% +6 7% 38% 30% 15% 19% 17% 16% 18% 17% 5% 7% 9% 13% 3% 5 36% 1% NUMBER OF BEDROOMS SEP 16 TO MAR 17 -2% -5% -17% -25% 4 40% -13% -16% -19% 4+ 1% -29% 3 17% -33% 3 56% SEP OCT NOV DEC JAN FEB MAR 2 0.1% SEP OCT NOV DEC JAN FEB MAR 2 43%

Enquiries Views Enquiries Views

The Springs is 2nd most popular community for villas for Palm Jumeirah rent, just behind Arabian Ranches, and 5th most popular Ranking The Palm is 2nd most popular for villas for sale. community for apartments to nd th rd nd 2 7 3 2 rent and for villas for sale. RENT RENT SALE SALE The Lakes Ranking Enquiries & views progression - Apartments Most popular by number of bedrooms - Apartments

131% rd th NUMBER OF BEDROOMS SEP 16 TO MAR 17 > 67% 3 20 49% 43% 40% 32% 30% 4 2% 19%24% 14% 8% RENT SALE 3% 3 25% -3% -14% 2 49% SEP OCT NOV DEC JAN FEB MAR Enquiries & views progression - Villas Most popular by number of bedrooms - Villas 1 19% 104% 94% 80% Enquiries Views Studio 5% 75% 72% NUMBER OF BEDROOMS SEP 16 TO MAR 17 57%

27% 24% 29% 6+ 8% 15% Views & enquiries progression - Villas 0% 6% 8% 84% Most popular by number of bedrooms - Villas 5 8% -1% 4 24% NUMBER OF BEDROOMS SEP 16 TO MAR 17 PERCENTAGE 22% 22% 3 58% 11% 0% 3% 9% 6 19% 0% SEP OCT NOV DEC JAN FEB MAR 2 2% -4% -2% -4% 5 29% -18% -26% -33% 4 46% Enquiries Views

SEP OCT NOV DEC JAN FEB MAR 3 3% Enquiries Views 1-2 Bed 0.5% Ranking: Based on the unique number of listings and impressions on propertyfinder.ae. Enquiries and views progresion: Data shows the unique number of listings, impressions and leads on propertyfinder.ae. Views per number of bedrooms: data is based on the number of views of properties per bedrooms, community and property type as advertised on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not reflect the actual situation on propertyfinder at a particular moment in time.

54 55 PERFORMANCE REVIEW

ABU DHABI ABU DHABI APARTMENTS FOR RENT VILLAS FOR RENT Al Reem Island and Khalifa City both maintained their top two positions since last year and remain most Khalifa City also maintained its top position since last year and remained most popular villa community popular apartment communities for rent. for rent.

5-8 BR 1% Top 10 most popular communities Top 10 most popular communities 7-8 BR 8% 4 BR 6%

2016 2017 Total Listings Total Views 2016 2017 Total Listings Total Views Khalifa City Al Reem Island 1 1 31% 28% 1 1 24% 30% Al Reef 6 BR 13% Khalifa City 2 2 9% 11% 3 2 13% 15% Corniche Road 8 3 6% 5% Mohamed Bin Zayed City 2 3 7% 12% 3 BR 22% Al Raha Beach 6 4 5% 5% Al Mushrif 5 4 6% 4% Al Khalidiya 3 5 5% 6% Al Raha Gardens 4 5 5% 4% Al Reef 9 6 4% 5% Al Bateen 9 6 4% 3% Between Two Briges Mohamed Bin Zayed City 5 7 4% 5% 8 7 4% 2% 5 BR 25% Muroor Area 4 8 4% 4% Al Karama 10 8 3% 2% Corniche Area X 9 3% 3% Muroor Area 7 9 3% 2% Al Mushrif X 10 3% 2% 2 BR 30% Eastern Road X 10 3% 1%

Rank Rank 4 BR 23%

Median size (SQ FT) 7000 Median size (SQ FT) 1721 1709 1711 3 BR 15% 1 BR 27% 1518

2 BR 8%

1238 4500 1190 4349 STUDIO 13% 0-1 BR 7%

Views by bedroom 3500 Views by bedroom 3210

2424 680 1849

Top 10 communities: Data shows the unique number of listings and impressions on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not Views by bedroom: Data shows the total number of impressions on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not reflect the actual reflect the actual situation on propertyfinder at a particular moment in time. Median size: Data is based on median advertised price per square foot on propertyfinder.ae and may not reflect the reality of situation on propertyfinder at a particular moment in time. Data source: Propertyfinder.ae internal data. property transactions. Data source: Propertyfinder.ae internal data.

56 57 PERFORMANCE REVIEW

ABU DHABI ABU DHABI APARTMENTS FOR SALE VILLAS FOR SALE Al Reem Island, Al Raha Beach and Al Reef maintained their top three positions since last year and remain Al Reem Island is the top most popular villa community for sale and has the highest number of listings out most viewed apartment communities for sale. of all Abu Dhabi communities.

7-8 BR 8% Top 10 most popular communities 4-8 BR 7% Top 10 most popular communities 6 BR 9% 2016 2017 Total Listings Total Views 2016 2017 Total Listings Total Views Al Reem Island 1 1 55% 55% Al Reef 1 1 26% 27% Al Raha Beach 2 2 19% 16% Yas Island 3 BR 21% 4 2 13% 10% Al Reef 3 3 9% 11% Saadiyat Island 3 3 12% 10% Yas Island 5 4 6% 5% Al Raha Gardens 5 4 6% 6% Saadiyat Island 6 5 5% 5% 5 BR 25% Hydra Village 6 5 5% 10% Al Ghadeer 4 6 4% 8% Khalifa City 2 6 5% 8% Rank Al Raha Golf Gardens 8 7 4% 3% Al Salam Street 9 8 3% 3% Abu Dhabi Gate City 3% X 9 2% 4 BR 21% 2 BR 35% Mohamed Bin Zayed City 7 10 2% 4%

Rank

Median size (SQ FT) Median size (SQ FT) 3 BR 22%

1 BR 25% 5378 1901 5397 2 BR 12% 1550 STUDIO 11% 0-1 BR 3% 3901 3817 Views by bedroom 3500 1279 1238 Views by bedroom

2430 836 1848 685

Top 10 communities: Data shows the unique number of listings and impressions on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not Views by bedroom: Data shows the total number of impressions on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not reflect the actual reflect the actual situation on propertyfinder at a particular moment in time. Median size: Data is based on median advertised price per square foot on propertyfinder.ae and may not reflect the reality of situation on propertyfinder at a particular moment in time. Data source: Propertyfinder.ae internal data. property transactions. Data source: Propertyfinder.ae internal data.

58 59 PERFORMANCE REVIEW ABU DHABI COMMUNITY FOCUS

PROPERTYFINDER’S MOST VIEWED NEIGHBOURHOODS IN ABU DHABI

From Al Ghadeer to Khalifa City, we take a closer look at the most popular communities.

Ranking: based on the number of views and a community has received Views & enquiries progession: gives you an idea of how these differ when compared to the same month YoY

Apartment Villa Al Ghadeer Al Raha Beach

Ranking Most popular by number of bedrooms - Apartments Ranking Most popular by number of bedrooms - Apartments

NUMBER OF BEDROOMS SEP 16 TO MAR 17 th th nd th th th th th NUMBER OF BEDROOMS SEP 16 TO MAR 17 4 13% 13 <20 7 11 4 19th 2 12 2 27% 3 25% RENT RENT SALE SALE 1 34% RENT RENT SALE SALE 2 35% Studio 39% 1 24% Studio 3%

Al Reem Island Most popular by number of bedrooms - Apartments Al Raha Beach is 4th most popular community for Ranking apartments for rent and 2nd most popular area for NUMBER OF BEDROOMS SEP 16 TO MAR 17 st th st th 3 16% apartments for sale. < 1 17 1 20 2 37%

RENT RENT SALE SALE 1 33% Studio 13%

Al Raha Gardens

Ranking

th th th th <20 5 10 4

RENT RENT SALE SALE

Enquiries & views progression - Villas Most popular by number of bedrooms - Villas

67% NUMBER OF BEDROOMS SEP 16 TO MAR 17 36% 6 6% 11% 4%3% 5 28% -1% -9% -11% -17% -16% -26% -31% 4 38% -41% -44% 3 25% SEP OCT NOV DEC JAN FEB MAR 0-2 1% Enquiries Views

Ranking: Based on the unique number of listings and impressions on propertyfinder.ae. Enquiries and views progresion: Data shows the unique number of listings, impressions and leads on propertyfinder.ae. Views per number of bedrooms: data is based on the number of views of properties per bedrooms, community and property type as advertised on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not reflect the actual situation on propertyfinder at a particular moment in time. 60 61 PERFORMANCE REVIEW

Apartment Villa Saadiyat Island

Al Raha Golf Gardens Ranking Most popular by number of bedrooms - Apartments Most popular by number of bedrooms - Villas Ranking th th th rd NUMBER OF BEDROOMS SEP 16 TO MAR 17 16 14 5 3 4 2% th th th th <20 18 < 7 NUMBER OF BEDROOMS SEP 16 TO MAR 17 RENT RENT SALE SALE 3 29% 20 7 10% 2 32% RENT RENT SALE SALE 6 21% Enquiries & views progression - Apartments 1 27%

23% 14% Studio 5 44% 5% 10%

4 22% -2% -14% -4%-4% -2% -20% -23% -18% 0-3 2% -37% -43% Most popular by number of bedrooms - Villas -63% SEP OCT NOV DEC JAN FEB MAR NUMBER OF BEDROOMS SEP 16 TO MAR 17 Enquiries Views 7 5% Enquiries & views progression - Villas 6 21% Al Reef is the most popular area for villas for sale in Abu Dhabi, 5 141% 34% 2nd most popular community for villas for rent and 3rd most 113% 4 31%

42% 3 5% 34% 33%37% 35% 25% 26% 19% popular for villas for sale. 14%4% 15% 5% 2 1%

-63% 0-1 3% SEP OCT NOV DEC JAN FEB MAR

Enquiries Views

Al Reef Yas Island Most popular by number of bedrooms - Apartments Ranking Ranking Most popular by number of bedrooms - Apartments NUMBER OF BEDROOMS SEP 16 TO MAR 17 4 + 5 1% NUMBER OF BEDROOMS SEP 16 TO MAR 17 th th th nd th nd rd st 3 3 30% 20 <20 4 2 26% 6 2 1 2 3 2 41% 33% RENT RENT SALE SALE 1 RENT RENT SALE SALE 1 18% 25% Studio 14% Enquiries & views progression - Apartments Studio 11% 152% Most popular by number of bedrooms - Villas 64% Yas Island, which holds the 51% 37% 40% 39% 4% -1% 18% Most popular by number of bedrooms - Villas Yas Marina Circuit, is 2nd most NUMBER OF BEDROOMS SEP 16 TO MAR 17 -10% -8% -25% -24% -39% NUMBER OF BEDROOMS SEP 16 TO MAR 17 6 6% popular community for villas 5 6 5% 37% SEP OCT NOV DEC JAN FEB MAR 4 5 22% for sale. 26% 3 4 19% 26% Enquiries Views 2 3 28% 4% 2 25%

Ranking: Based on the unique number of listings and impressions on propertyfinder.ae. Enquiries and views progresion: Data shows the unique number of listings, impressions and leads on propertyfinder.ae. Views per number of bedrooms: data is based on the number of views of properties per bedrooms, community and property type as advertised on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not reflect the actual situation on propertyfinder at a particular moment in time. 62 63 FIND A HOME

Apartment Villa

Hydra Village

Ranking Most popular by number of bedrooms - Villas

th th th >20 13 5th NUMBER OF BEDROOMS SEP 16 TO MAR 17 11 4 8% RENT RENT SALE SALE 3 53% 2 38% 0-1 1%

Khalifa City has maintained its number one spot as most popular community for villas for rent. Khalifa City THE BEACH EMPTIES Ranking Most popular by number of bedrooms - Villas

NUMBER OF BEDROOMS SEP 16 TO MAR 17

nd st th th 8 5% 2 1 16 6 7 9% 6 19% RENT RENT SALE SALE 5 29% 4 21% Enquiries & views progression - Villas 3 5% 70% 0-2 13%

49% 42% 27% 28% 21% 10% 13% 3% 5%

-10% -12% -11% -25%

SEP OCT NOV DEC JAN FEB MAR

Enquiries Views

Ranking: Based on the unique number of listings and impressions on propertyfinder.ae. Enquiries and views progresion: Data shows the unique number of listings, impressions and leads on propertyfinder.ae. Views per number of bedrooms: data is based on the number of views of properties per bedrooms, community and property type as advertised on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not reflect the actual situation on propertyfinder at a particular moment in time. 64 PERFORMANCE REVIEW

NORTHERN EMIRATES NORTHERN EMIRATES APARTMENTS FOR RENT VILLAS FOR RENT Al Nahda maintained its top position since last year and remains the most viewed apartment community Al Hamra Village and Mina Al Arab in Ras Al Khaimah are two most viewed communities for villas for rent for rent in the Northern Emirates. in the Northern Emirates.

7-8 BR 3%

6 BR 4% Top 10 most popular communities 4-8 BR 2% Top 10 most popular communities

2016 2017 Total Listings Total Views 2016 2017 Total Listings Total Views Sharjah - Al Nahda 1 1 39% 36% 3 BR 14% RAK - Al Hamra Village 2 1 20% 15% Sharjah - Al Taawun 3 2 19% 9% RAK - Mina Al Arab 3 2 15% 15% Sharjah - Al Qasemiya 2 3 8% 10% Ajman - Al Mwaihat 10 3 9% 9% 5 BR 25% Sharjah - Al Khan 8 4 7% 5% Ajman - Al Zahraa 7 4 9% 6% Sharjah - Al Majaz 7 5 5% 5% Sharjah - Al Riqqa 8 5 7% 11% Sharjah - Al Mamzar X 6 4% 2% Ajman - Uptown 1 6 7% 12% RAK - Al Hamra Village 6 7 4% 4% Ajman - Al Naemiyah X 7 5% 4% Ajman - Downtown 4 8 3% 5% 2 BR 33% Sharjah - Al Heerah X 8 5% 6% Ajman - Al Naemiyah X 9 2% 3% Ajman - Al Rawda X 9 4% 5% Ajman - Emirates City 5 10 2% 7% RAK -Waterfront X 10 3% 1% 4 BR 32% Rank Rank

Median size (SQ FT) Median size (SQ FT) 3 BR 21% 1 BR 37%

2 BR 11%

5000 5000 0-1 BR 3% 2348 STUDIO 14% 2100 4000 1900 Views by bedroom Views by bedroom 3000 3000 2864 1500 2850 1400 2477 1150 1166 1115 2300 861 900 1695

Top 10 communities: Data shows the unique number of listings and impressions on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not reflect the actual situation on propertyfinder at a particular moment in time. Median size: Data is based on median advertised price per square foot on propertyfinder.ae and may not reflect the reality of Views by bedroom: Data shows the total number of impressions on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not reflect the actual property transactions. Data source: Propertyfinder.ae internal data. situation on propertyfinder at a particular moment in time. Data source: Propertyfinder.ae internal data.

66 67 PERFORMANCE REVIEW

NORTHERN EMIRATES NORTHERN EMIRATES APARTMENTS FOR SALE VILLAS FOR SALE Al Mamzar in Sharjah is the most popular community for apartments for sale in the Northern Emirates. Al Mwalhat in Ajman is the most popular community for villas for sale in the Northern Emirates.

4-8 BR 4% 7-8 BR 6%

Top 10 most popular communities 3 BR 18% 6 BR 12% Top 10 most popular communities

2016 2017 Total Listings Total Views 2016 2017 Total Listings Total Views Ajman - Al Mwaihat X 1 Sharjah - Al Mamzar 8 1 19% 8% 35% 23% 5 BR 41% RAK - Al Hamra Village 4 2 16% 11% 2 BR 33% Ajman - Al Rawda 9 2 20% 16% Ajman - Emirates City 3 3 10% 24% Ajman - Al Zahraa 2 3 19% 12% Sharjah - Al Qasbaa X 4 8% 3% Ajman - Uptown 1 4 5% 15% Ajman - Downtown 5 5 8% 8% RAK - Al Hamra Village 4 5 5% 7% RAK - Al Marjan Island 9 6 6% 3% RAK - Mina Al Arab 3 6 4% 8% Sharjah - Al Khan 2 7 5% 7% Sharjah - Muelih Commercial 5 7 3% 8% Sharjah - Al Nahda 1 8 4% 9% Ajman - Al Hamidiya X 8 2% 1% Ajman - Uptown 7 9 3% 4% RAK - Waterfront X 9 1% 1% 1 BR 32% Ajman -Al Naemiyah X 10 3% 3% RAK - Al Sheikh Mohammed X 10 1% 1% Bin Zayed Road 4 BR 14% RankRank Rank

3 BR 15%

Median size (SQ FT) Median size (SQ FT)

STUDIO 14%

2 BR 10% 1365 1859 1783 1780 881 1566 1600 0-1 BR 2% 1166 1208 5000 5000 4169 861 686 Views by bedroom 3650 3773 3513 Views by bedroom 541 1696

Top 10 communities: Data shows the unique number of listings and impressions on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not reflect the actual situation on propertyfinder at a particular moment in time. Median size: Data is based on median advertised price per square foot on propertyfinder.ae and may not reflect the reality of Views by bedroom: Data shows the total number of impressions on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not reflect the actual property transactions. Data source: Propertyfinder.ae internal data. situation on propertyfinder at a particular moment in time. Data source: Propertyfinder.ae internal data.

68 69 PERFORMANCE REVIEW NORTHERN EMIRATES COMMUNITY FOCUS

Ras Al Khaimah

Enquiries & views progression - Apartments Most popular by number of bedrooms - Apartments

84% NUMBER OF BEDROOMS SEP 16 TO MAR 17 53% 50% 43% 4 + 1% 20% 23% 20% 8% 10% 2% 4% 3 7.5% -6%-7% -19% 2 22% 1 30% SEP OCT NOV DEC JAN FEB MAR Studio 37% Enquiries Views

Enquiries & views progression - Villas Most popular by number of bedrooms - Villas

127% NUMBER OF BEDROOMS SEP 16 TO MAR 17 91% 68%70% 71% 63% 5 + 14% 51% 50% 24% 21% 4 7% 5% 10% 31%

-1% 3 30% 2 17% 1 4% SEP OCT NOV DEC JAN FEB MAR

Enquiries Views

Sharjah Ajman Enquiries & views progression - Apartments Most popular by number of bedrooms - Apartments Enquiries & views progression - Apartments Most popular by number of bedrooms - Apartments

NUMBER OF BEDROOMS SEP 16 TO MAR 17 NUMBER OF BEDROOMS SEP 16 TO MAR 17 125% 122% 103% 4 + 1% 84% 3 + 8% 72% 70% 66% 68% 53% 52% 51% 46% 45% 3 16% 31% 37% 2 28% 36% 31% 31% 28% 24% 21% 7% 11% 17% 4% 4% 2 35% 1 41% -3% -12% 1 34% Studio 21%

SEP OCT NOV DEC JAN FEB MAR Studio 14% SEP OCT NOV DEC JAN FEB MAR

Enquiries Views Enquiries Views Most popular by number of bedrooms - Villas Most popular by number of bedrooms - Villas Enquiries & views progression - Villas Enquiries & views progression - Villas NUMBER OF BEDROOMS SEP 16 TO MAR 17 NUMBER OF BEDROOMS SEP 16 TO MAR 17 183% 184% 585% 484% 7 + 5% 132% 6 + 16% 392% 119% 115% 332% 307%299% 339%323% 305% 260%248% 218% 6 13% 71% 5 37% 172% 165% 63% 47% 39% 34% 17% 25% 4 32% 5 48% -6% -10% 3 10% 4 10% 3 13% SEP OCT NOV DEC JAN FEB MAR 0-2 4% SEP OCT NOV DEC JAN FEB MAR 2 10% Enquiries Views Enquiries Views

Ranking: Based on the unique number of listings and impressions on propertyfinder.ae. Enquiries and views progresion: Data shows the unique number of listings, impressions and leads on propertyfinder.ae. Views per number of bedrooms: data is based on the number of views of properties per bedrooms, community and property type as advertised on propertyfinder.ae. This is an overall snapshot of the data over the entire timeframe (Sep’16 to Mar’17), hence it may not reflect the actual situation on propertyfinder at a particular moment in time.

70 71 DIGITAL UPDATE

1 2

Newest Tech Releases Trends NEWEST RELEASES TECH TRENDS

Q & A WITH OUR CPO

What are the latest trends in the industry? Alex Miauton We have officially surpassed an important threshold: our traffic Chief Product Officer, is now predominantly mobile in all our markets, which can be Propertyfinder GROUP as high as 74% in Saudi Arabia.

myCRM has now over 500 local and international clients These trends can also be observed among our advertisers. from the MENA region. With highly anticipated V3 now More and more agents are spending less time at the office fully established, myCRM’s performance and growth are and more time on-the-go, meeting vendors and home exceptional. In just twelve months we’ve seen: seekers. They have thus ditched their laptop and are managing their entire activity directly from their smartphone. - 160% increase in clients - Nearly 0.5 million leads per month What’s propertyfinder’s response to these trends? - 222% increase in published properties We introduced many mobile tools for brokers and real estate - 5 times more registered owners agents in the last quarter and have made it a strategic priority (Source: myCRM data, May 2017 vs May 2016) to continue doing so in the months to come. This focus on mobile products has facilitated the growth of our spectrum of Agent profiles on mobile myCRM has also launched market leading iOS and customers and resulted in a huge escalation in the number of Android apps which lets brokers upload and publish listings. Over 2,000 brokers feature on our dedicated “Find listings straight from their smartphone, saving them Agent” section of our website to help househunters valuable time and making it easier to manage stock on find their right property quicker. the go. Now mobile users can also contact their agents faster as Agent profiles also feature on the mobile version of Available now from the Apple Store and Google Play. our portal. We introduced many mobile Request a free demo at mycrm.com tools for brokers and real The new “Transactions” section on Find Agent page estate agents in the last highlights the number of sale and rental deals completed

quarter and have made it a What do you think is next for the real estate market? strategic priority to continue I believe that the next steps will be the gradual movement towards exclusivity. Although we have seen an increase doing so in the months to in landlords signing exclusive mandates with real estate brokers, it is not a common practice in the MENA region come. yet. In that sense, we are convinced that with today’s market configuration, finding the right real estate professional is at least as important as looking for the right listing. What objectives drive propertyfinder’s new products? As a real estate marketplace, what we care about first and How is propertyfinder developing its products to continue foremost is to match end users’ demand with genuine supply driving transparency in the market? that will result in real estate transactions. In order to be as Following that thought, we are heavily investing into efficient as possible in doing so, it is our job to make sure that developing a brand new Verified Agent section. Our objective the listings displayed on our portal are accurate, genuine and is to connect the best agents directly to a home buyer, seeker available. Verified Listings launched almost 2 years ago and and seller. In the continuity of Verified Agents, we have started Building Reviews has been a massive success. The Trakheesi initiative launched to collect transaction data. This is also a big step for us that will eSimsar.com & Sarouty.ma by the Land Department this year is another great step in the help us promote the best operators, bring more transparency right direction that will bring more market transparency and to the market and reduce the expectation gap between Brokers and developers in Saudi Arabia and Morocco are Househunters will soon be able to write building reviews eradicate duplicate, fake or bait listings. asking and transaction prices. constantly on the go. for towers and areas they live in on propertyfinder’s new Thanks to our Al Mosawiq by eSimsar and Sarouty broker Review page to help us drive even more transparency in apps, they can easily manage their real estate business the market and help movers with their decision making and upload properties from their smartphone. process. Have a question for Alex? alexmiauton [email protected]

74 75 AGENT SPOTLIGHT

1 2

Propertyfinder Propertyfinder Real Estate Awesome Agents Brokerage Awards AGENT SPOTLIGHT

Darren Murphy PROPERTYFINDER REAL ESTATE BEST AGENT

''I think over the last 2 years, propertyfinder has emerged as BROKERAGE AWARDS the number one property portal in Dubai, so to win this award out of 4,000 brokers really meant a lot to me. I think the awards are helping the clients really identify who are the right agents to go to, and have created a lot more trust TESTIMONIALS in the market. Our 2016 award winners tell us WHY YOU should enter this year’s race for the best in the industry. I think anybody who has had a successful year, would be crazy not to enter the award, because if you've got that award under your belt, it can only help with clients, giving them trust and the believe that you're the agent to deal with.''

Darren Murphy, Associate Director, Allsopp and Allsopp

Gulf Sotheby's BEST MARKETING CAMPAIGN

'Recognising the leaders of the industry contributes to raising the standards of quality and service. I believe we managed to raise the brand awareness of our campaign in the local market and a special thanks to propertyfinder who gave us the platform for the local players to be able to look at each other’s work, get inspired, and compete, and propertyfinder really encourages them to step up to the next level.''

Marie Jirat, Director of Marketing, Gulf Sotheby’s

Edwards and Towers BEST BROKERAGE SERVICE "We're very proud of course, to be named as number one. I Premier Estates feel (the awards) give us a really good insight into who our competitors are, and to understand who is in the market, what Winning the awards from a BEST NEWCOMER BROKERAGE SERVICE we're up against, and what standards we need to reach to be number one. It also allows clients to understand the quality of portal that is so significant ‘’I think any company within any industry wants to be who they are dealing with; if they are dealing with an agency recognised for their hard work and their achievements. I that have been 'placed' in the awards, then they know that in the market place is great. think it’s also great for the general public, that they know the the service that they are going to get is going to be a lot better We've seen the awards raise industry is being monitored by a third party. than perhaps the majority of the other agencies in the market. Its amazing how far the award reaches and how many people the standards both in the get to know about it. It really put Premier Estates on the realtor The immediate impact (of the award win) is that it really boosts office and within the industry map and it allowed our brand to be instantly recognisable to staff morale. It also really helps when pitching to owners for the competition, and to buyers and sellers. exclusive listings and it facilitates us bringing in new agents, as as a whole. its a really good thing to mention during the interview, to help I think any company likes to receive awards, particularly when us stand apart that we've won this award. it’s been given by such a well known brand as propertyfinder. What it did for us is it really made us look at our company If you are doing the right things in this market, propertyfinder under the microscope, as when you know you are presenting will recognise you for it. They see how we are doing our listings We like the competition, we raised our standards to ensure we your company to a third party, you really do start to look quite on a day to day basis, how we are dealing with our clients with won in 2016 and all the new people that enter the competition, deeply into parts of your organisation. So the overall benefit the Call Tracking on a day to day basis, the feedback, and level only give us that extra emphasis to make sure that we do a that we gained from just entering, I would recommend to all of complaints.'' better job, which can only be good for the industry.'' companies to do.’’

Simon Kennedy, Managing Director, Edwards and Towers Mark Towers, Founder, Edwards and Towers Jackie Johns, Managing Partner, Premier Estates Find out more at awards.propertyfinder.ae

78 79 AGENT SPOTLIGHT

Earlier this year propertyfinder launched a new initiative exclusively for our Verified Agents to recognise their PROPERTYFINDER REAL ESTATE achievements and success, be it a large residential or commercial deal. Multiple outstanding transactions or unbeatable customer service. We’ve seen a record number of submissions each month BROKERAGE AWARDS and here are our winners so far.

Since 2014 the propertyfinder Real Estate Brokerage FEBRUARY 2017 MARCH 2017 Awards have celebrated brokers and agents who strive to deliver the highest standards of quality and service in the Mohamed Adib Amin Sunny Adhiya UAE. Senior Property Consultant Each year industry experts gather to review submitted Senior Residential Consultant Better Homes Arab Vision entries in specialist categories and on the night best performing agents are recognised and awarded for their efforts. An elite consultant specialising in luxury properties, Sunny’s achievements in March: Mohamed Adib Amin closed two deals for two villas worth AED 81 million. Sealed the deal with an investor for 9 off-plan properties worth AED 18.5 million The two 8-bedroom mansion villa enquiries, received Completed a deal for units in Marina worth AED 2 from propertyfinder, have the highest residential million transacted values in Dubai to date. Secured sales for 3 independent Sidra Villas worth AED 11.5 million and another sale for a villa in Dubai What do you think contributed to your success in this Hills worth AED 11 million particular deal? I always make a point to promptly answer clients’ calls All leads were received through propertyfinder.ae in a at all times. In cases where I’m not able to answer their span of only two weeks. calls, I make sure to call them back as soon as I am available. This may seem like a simple thing to do, but Tell us, what advice would you give to a broker who is it is often overlooked by many agents and is one thing new to the UAE property market? that makes clients feel important and well looked after. The UAE market and the Land Department is evolving I also made sure I’m always on time to property viewings and getting bigger and better every day. You need to and come prepared to show the properties and answer have up-to-date information on any new law, rules and WHY ENTER? all clients’ questions accurately. I always make sure that regulations that are being injected. This lets agents all aspects of the deal benefit and satisfy both the seller portray a positive image of themselves because they’re The propertyfinder Real Estate Brokerage Awards offer and buyer. are able to answer any question, big or small. You must brokers an excellent opportunity to: follow the CET rules of real estate – Commitment, Ethic and Transparency to succeed. Benchmark agency success APRIL 2017 Stand out from competitors as an award winner DO YOU HAVE WHAT IT TAKES? Boost employee morale Angela Gegg Boost client confidence in your products and/or services Head Of Commercial Celebrate your win with industry peers Edwards & Towers

In April Angela finalised the sale of an AED 127 million office with full commission, after months Can you be our next Awesome Agent? of negotiations. The deal was very complex as it had Did you secure a big win? Or closed a large leasehold ownership, so unlike the majority of broker commercial deal? Tell us why you’ve got what it deals in Dubai, this involved a deep understanding of takes to win. long-term lease agreements, Musataha title and full- building management logistics. The building is located What are the benefits of being our Awesome Agent of in Dubai Internet City and is one of the premium single- the month? owned office properties in Dubai. Carry the official Awesome Agent badge under What one thing do you do as a broker, to differentiate your Agent profile yourself from others? Get extra exposure from featuring on our blog I don’t believe in 9 to 5. I'm constantly in touch with Get featured on our social media: Facebook, my clients and always answer calls and messages, even LinkedIn and Twitter after the clock. Most of my clients contact me late and Exclusive mention in our monthly newsletter expect me to be available for them and as an agent. I Personalised email signature have met many agents who turn off their phones in the Chance to win the Agent of the Year Award evening and on weekends and don’t understand that Submit your winning entry to [email protected] as we are commission-based, we must be available for our clients. I am also very straight forward and don’t sugar coat things. Next Awards: December 2017. propertyfinder Agents will be contacted for submissions after summer. Read more on our blog: /www.propertyfinder.ae/blog/awesome-agent

80 81 INVESTORS

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Top Investors 5 Ways To Maintaining & in Dubai Optimise Returns Maximising Your Investment INVESTORS TOP INVESTORS GET LEADS IN DUBAI WHERE DO THEY COME FROM?

Value of Transactions/ Country of origin transactions Dubai real estate transactions totaled more than investors AED 259 billion in 2016, according to to Dubai Land (AED) Department (DLD). Nearly 56,00 investors from various GCC 12,768 investors 35 billion nationalities bought property in the emirate last year. Saudi Arabia 3,294 transactions 8 billion UAE nationals were the biggest investors in 2016, while Qatar and Kuwait 1,776 investors 2 billion other major buyers included Saudi Arabia, India, Britain, Pakistan and Jordan. Oman and Bahrain 545 investors 1 billion

In 2016, developers launched new projects valued at Egypt 1,364 investors 2.4 billion over AED 100 billion. Among the 60,595 real estate Jordan transactions completed in Dubai last year, 41,776 were 1,331 investors 2.5 billion cash sales while mortgage-based transactions were India 6,263 investors 12 billion worth AED 128 billion. Pakistan 3,372 investors 4.4 billion

Great Britain 3,372 investors 5.8 billion

Investors’ top areas Towards the end of 2016 there was a small but clear upturn in buyer activity, which has convinced many realtors and market experts to expect an increased activity in 2017 as Expo 2020 nears. 2017 could be the start of a new cycle in the UAE property sector as investors YOU CAN CALCULATE who were previously hesitant enter the market.

Highest number Business Bay of investments LAST MONTHS 3,508 Highest worth Burj Khalifa of value AED 7 billion

Al Yafra 3 Highest number of inland sales

Sheikh Mohammed Highest number Bin Rashid Gardens of building sales 699 Highest number Al Thunaya 5 of land mortgage transactions 352

Source: Dubai Land Department data 2016

85 INVESTORS OPTIMISING PROPERTY RETURNS IN TURBULENT TIMES 5 WAYS INVESTORS CAN OPTIMISE THEIR RETURNS:

Intuitive judgments using the following tools can make the difference between smart, This has been an interesting decade, from the cruelty of Here's an example. Take the largest, full sea view two calculated decisions and rash, quick decisions. the global financial crisis where property prices nearly bedroom property on Shoreline, Palm Jumeirah and halved, to the 2013 surge of investment activity that made compare that property to pre and post crash: Dubai the best performing property market worldwide and back to the mild slowdown we are currently Short-term model Rent AED 200,000 AED 200,000 1. experiencing. Using it to generate higher yields where short-term rental However, that is a typical cycle that every market Sale Price AED 5,000,000 AED 3,400,000 investors gain four-fold through the following: participant should accept before and after entering into it. There are fundamental reasons driving the property Gross Rental Yeld 4% 5.9% market that are nearly always correlated with the HIGHER YIELDS PROPERTY STAGING VACANT POSSESSION PERSONAL USE economy and overall visibility of what the future may hold for the subject market. Staging properties and By staging the property, Properties that have vacant Properties that are rented In the Dubai market, the drop we have seen in the Then it’s a perception of risk. What is the right cap rate renting them on a short- and having it well possession currently on a short-term basis can aftermath of the global financial crisis was mainly for Dubai prime property? Let’s consider the following 5 term basis (daily or furnished, designed, and command an appropriate be of significant use to its attributed to overall global slowdown, as well as the fact factors: monthly) can generate decorated, the liquidity will premium (anywhere owner. For international that property prices were significantly overvalued at the The risk-free rate (Look at EIBOR from time to time to higher yields based on increase substantially between 6-9%*) over owners, it serves as a time. determine the number) current rates as long as properties with long- holiday home for the family How do we know it was overvalued? Well, it’s simple–look Age of the property occupancy surpasses 70% term lets. This will also when they are in town. at the cap rates. The cap rate is the rate of return on a real Credit-worthiness of the tenant per annum increase the liquidity of the For domestic owners, it estate investment property based on the income that the Demand vs. supply dynamics apartment with end-users serves as a guest house for property is expected to generate. This is calculated by Economic fundamentals (Population growth, having the upper hand in the owner’s guests or for dividing the investment’s net operating income (NOI) by employment growth, etc.) this market personal use for weekends, the current market value of the property. holidays, etc.

Taking all of the above into account, and taking into consideration that the risk-free 2008 rate was significantly higher than today, it is intuitive to see how the property was overvalued back then. If we assume that Dubai prime property should have a cap rate of 5%, then one can argue that property prices are undervalued today. 2. Invest in off-plan 4. Use the low interest rate environment to In uncertain times, developers, big and small come up increase IRR with very attractive payment and pricing plans for new As long as the interest rate that your bank is charging schemes. If you believe in the supply/demand dynamics you on your mortgage is less than the cap rate you are and the fact that there will continue to be pent-up getting on your property, then you are "in the money" and demand for the city as population growth is on the rise, your internal rate of return (IRR) will be relatively high. The then making smart off-plan property investments in higher the spread between the interest rate and the cap neighbourhoods that are already in demand and have rate, the better off you are and subsequently the higher limited supply (e.g. Dubai Marina, Downtown, Palm your IRR. Jumeirah) is a good way to optimise property returns. This is because property prices under construction are normally at a 15-20% discount to similar ready properties in the same location. You can benefit from the immediate 5. Seek the right advice upside at completion, as well as higher yields. Brokers will talk to you about capital appreciation and sell you the future and will sometimes hide the cap rate. You need to have a “margin of safety” today so that you can beat the market in case of a downturn. Thus, always Keep your property available 3. ensure you talk to the right industry professionals and Short-term rentals ensure that your property is available ensure that the cap rate of the property you are buying and liquidity is certain. Ensure you have a good is above market cap rate for the subject location, and relationship with your tenant so you do not face difficulties that your purchase price is at, or lower than, the last with them in the future. transaction price.

Abdullah Alajaji Managing Director, Driven Properties

DrivenPropertiesDubai DrivenProperties

Driven properties real estate DrivenRE

86 87 INVESTORS

MAINTAINING AND MAXIMISING WHY CHOOSE TO HAVE YOUR PROPERTY FULLY MANAGED? YOUR INVESTMENT Landlord Benefits: Tenant Benefits: If you reside in or outside of Dubai and have a busy Tenants like to rent property they know is being schedule or travel frequently, you’ll need eyes and ears managed professionally on the ground in Dubai that you can count on A tenancy contract with terms that protect both A point of contact for the tenant for emergencies, landlord and tenant with tenancy contract registration property maintenance and all enquiries pertaining to with the Government Ejari System the tenancy A provided on-the-ground point of contact for Effective property management is a Local landlord representation that will act in your best emergencies, property maintenance and all enquiries convenient and cost saving solution interest and provide a service that will ensure landlord pertaining to the tenancy for property owners. It is a beginning- compliance with tenancy terms and Dubai policies to-end hassle-free service that looks To be kept up-to-date with the laws and procedures after property, owners, tenants, Financial Benefits: to avoid error through misunderstanding or lack of tenancy contracts and maintenance Confidence that maintenance problems are monitored expertise repairs. There are many factors to and attended to and advice on any action required to To have access to established relationships with consider in order to maximise the prevent or avoid major maintenance issues that can be developers, owners associations, utility and Government revenue potential and maintain the very costly departments and thorough knowledge of procedures investment of any property. Marketing of property in advance of tenants' departure Connections to professional and preferred partners to find a suitable replacement tenant at the earliest that will present value-added services at the most The benefits of a reputable and A procedure to safeguard the landlord and ensure the competitive rates reliable property management property is handed back at the end of the tenancy Assurance you are dealing with a licensed and company can be vast. If you wish without pending bills or outstanding debts reputable company that is regulated and compliant to generate revenue from your Competitive cost for property refurbish including with the Real Estate Regulatory Agency policies and investment, your ultimate goal painting, general maintenance, pest control and laws would be to find suitable tenants as cleaning through reliable maintenance team Thorough screening of tenants to provide full details of quickly as possible for the right rental Proactive and accurate notices to be issued to the who will be residing in your property to present a good amount. A priority for busy property tenant to prevent situations that could result in loss of caliber of tenant owners is the convenience of the revenue or delayed recovery of property Long term relationships with large corporations and service to assist with tenant enquiries Timely issuance of renewal notices, in line with the law, extensive client databases who have become good and receive timely notifications of to request rental increase or eviction and secure the tenants for landlords tenancy requirements. To avoid landlord the maximum value for the property Priority and maximum property exposure in many any periods of vacancy, it is very Representation at Dubai Police, Rental Dispute Centre marketing and advertising avenues to limit periods of important to have the confidence and courts that could incur high legal costs without vacancy your property will be exposed property management company support Collection and disbursement of funds for landlords who effectively in the market to reach a be kept informed of landlord rights save investors money in the long Tenants like to rent property they know is being do not have a local bank account or require assistance wide audience of potential tenants. and any amendments to the relevant term. managed professionally and therefore managed with third party payments including service charges laws, especially in an ever expanding properties rent sooner, saving the landlord money Property inspections check your tenants are abiding Many tenants prefer renting a and developing market such as In the event that investors cannot by the tenancy contract, to prevent subletting, over property that is managed, as they Dubai. travel to Dubai at the time of building occupancy, incorrect use of property or a threat to the know that the property is better completion for the handover, a safety of the property or its occupants cared for, with regular inspections Property management companies property management company can and a maintenance contract. Tenants can also assist with third-party step in and represent them. also have access to immediate payments which offers overseas A legalised Power of Attorney is often contact through the managing agent owners an effective solution to required if the investor cannot attend management companies. This activity is supported by All real estate activities in Dubai are governed by RERA rather than direct contact with the onshore banking requirements. in person. a pool of international property owners who need their and in addition to a Trade License, a RERA certificate is landlord, who can often be living On-time payment of maintenance Familiarity with not only the investment to be under the right care in their absence required. Check the activity on the Trade License as they overses and/or less contactable. This services can be vital for non-local procedure but also the standards of or simply for their own convenience. When searching for can vary depending on the type of business. Management point of contact for both landlords owners. Equally as important are developers in Dubai, an experienced a property management company, look for companies companies with Real Estate Supervision Activity are not and tenants provides a convenient ongoing inspections and care of your property management company that have the right experience and credentials. Check entitled to receive or collect rental cheques in favour of service that removes the time and property. Property inspections are will ensure no defective items are the company’s business operations which includes their their companies. A property management company must stress involved for homeowners. generally conducted on a quarterly missed during handover inspections. property portfolio (number of properties managed and in have the license activity of "Leasing and Management of basis for those occupied by long- Identifying faults is key, as later this which communities), office location and working hours. Other People's Property" which allows them to collect and There are many laws and regulations term tenants. This will provide can result in costly repairs once Check the experience and longevity of the property disburse rental funds. This should be further supported in Dubai regarding the leasing owners with assurance that the the property warranty has expired. management team as this is very important to build long- with a Government capital commitment and bond of AED of properties. In the event of any terms and conditions of the contract The management company should term connections and have assurance of expertise and 5 million. leasing dispute, legal costs can be are being abided by and tenants advise on required final payments know the people you can rely on and contact. Customer substantial and an effective property are maintaining the property to a and procedures that are outlined feedback and testimonials always provide insight into management company should satisfactory level. The knowledge, by developers to ensure a smooth the existing client ratings of performance and service offer background knowledge and experience and contacts the property collection of keys. standards and can normally be found on company’s Zarah Evans experience to assist towards a quicker management companies possess in websites. Managing Partner, Exclusive Links solution. Owners need professional order to obtain the right maintenance Over the past 10 years, Dubai ELREDdubai Exclusivelinks

and transparent advice and need to company to service properties will has seen a growth in property Exclusive-Links-Real-Estate-Brokers ELREDdubai

88 89 OFF- PLAN

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Should developers Dubai: Abu Dhabi: Outlook On show more restraint? Placemaking Saadiyat Lending Island’s Premier Residential Offerings OFF-PLAN SHOULD DEVELOPERS DUBAI: SHOW SOME RESTRAINT? PLACEMAKING

HOW DOES IT CONTRIBUTE TO ECONOMIC DEVELOPMENT? Developers have been ramping up launches of their off-plan projects in the last six months with no stop in sight.

Even real estate agencies working almost entirely on Developers should not off-plan projects have raised concerns that there is have access to more than In an age defined by the millennials and the shared and an overload of new project launches. digital economies, the idea of placemaking has become At over 210m, Ain Dubai will tower high above the 20 projects at a time; more important than the actual development, especially coastline overlooking Jumeirah Beach Residences, Developers are locking in the money, but in the long and then more projects when it comes to urban planning and the creation of offering visitors unforgettable views of the Burj Al Arab, run, the situation may turn on its head as increasing mixed-use developments. supply may outstrip demand, and lead to a lull in can be approved, once Palm Jumeirah, and Burj Khalifa, among other familiar interest or a slump in pricing trends. sights. As the centrepiece of life at Bluewaters, Ain the first three to five are In its simplest form, placemaking involves planning, Dubai reflects the spirit of a city that continues to push designing, constructing, and managing public spaces in a Currently, customers are starting to get bombarded delivered. engineering boundaries. with 25-50 emails and messages per week from way that promotes values ranging from health, happiness, different real estate agencies and developers and well-being to creativity, diversity, and participation. Once back on the ground, residents and visitors will be advertising property launches multiple times. With a nod to the pearls of wisdom from the People want to live, work, learn, and visit unique places able to explore the exciting entertainment zone located at secondary market, where an owner can engage only that enable them to create a sense of belonging, and the base of Ain Dubai, as well as a shoppers’ paradise with three companies, developers should be required to it is this connection that generates social capital and a over 200 retail and dining concepts that are designed use no more than five to seven agencies per project, competitive advantage. to enhance Dubai’s reputation as a leading choice for and then rotate the agencies for the next project. business and leisure travellers. Another resolution would be that developers should An essential step in the placemaking process is being able not have access to more than 20 projects at a time; to identify what makes a place unique and can impact and then more projects can be approved, once the Bluewaters will also be a modern family-oriented on perceptions towards quality of life, attractiveness to destination that embodies the richness of urban life in a first three to five are delivered. This could contribute businesses, and economic development. to a more robust formula for demand and supply, city that is home to more than 200 nationalities. With an and a more stable investment scenario for all exclusive selection of premium apartments, penthouses stakeholders. This is one of the reasons why destinations like City Walk, and townhouses, residences offer those seeking a new The Beach, Boxpark, The Outlet Village, Last Exit, and life in the city a culture and an experience that extends One of the latest trends in the market is real estate Kite Beach include a mix of indoor and outdoor spaces beyond the home. agencies buying domain names for every project filled with walkways and activities that are designed to launch with some connection to the name of the bring people together. It is also the case for Bluewaters, The island will be connected to the shore by a multi- project. On average, we see ten new websites or which will be home to Ain Dubai, the largest and tallest mode transport system providing ease of access to and microsites springing up for every launch. This may observation wheel in the world and a new landmark in from the island. A purpose-built bridge connects directly be unethical because these websites are created Dubai. with Sheikh Zayed Road, while a fleet of driverless vehicles to confuse the consumer into believing these are official communications from the developer, which will transport passengers from Dubai Metro’s Nakheel is not only risky for the developer's brand but Harbour and Towers station – the same station that will can also create questions regarding credibility of ferry visitors to and from Expo2020 Dubai. information. A solution could be invoked by RERA, which can draw strict guidelines for such activities. A leisurely walk across a 265-metre pedestrian bridge will lead to more experiences at The Beach and, with It is difficult to caution restraint as Dubai Expo2020 Bluewaters expected to attract millions of visitors each edges nearer, but introducing authoritative rules year, the social and economic impact of the placemaking will help the real estate market mature in the right that has gone into the island is set to extend beyond the direction and ultimately strengthen the economy. island’s spectacular shoreline.

Kalpesh Sampath Michel M Nader COO, SPF Realty Marketing Manager & Media Planning, MEERAS

Spfrealty Spfrealty MeerasDubai MeerasDubai

Spf Realty LCC Spfrealty Meeras Dubai MeerasDubai

92 93 OFF-PLAN SAADIYAT ISLAND’S PREMIER RESIDENTIAL OFFERINGS

Abu Dhabi’s evolution into a world-class tourism destination continues apace, with a firm focus on the future that also preserves the heritage and culture of the UAE. Saadiyat Island is Tourism Development and Investment Company (TDIC)’s flagship project and the capital’s premier island destination.

Development on the 27-square kilometre island, which lies 500 metres off Abu Dhabi’s coast, is based upon environmentally-sensitive principles, with residential units centred around natural beauty, cultural experiences and architectural excellence. The island’s premier selection of homes will provide visitors and residents unparalleled experiences set in inspired backdrops.

Mamsha Al Saadiyat, a name quickly becoming synonymous with beachfront living, will offer exclusive homes in a vibrant and cosmopolitan community. As the first residences completed in the Saadiyat Cultural District, Mamsha Al Saadiyat’s homes will feature high- end furnishings in contemporary glass, timber and metals designed specifically for distinguished beachfront living.

Saadiyat Lagoons, a community tailored to nature and activity-focused lifestyles, will also include an equestrian Situated close to Saadiyat Jawaher Saadiyat, an exclusive gated community, is centre and 10 kilometres of pristine landscaping in the located minutes away from the Saadiyat Cultural District form of parks, gardens, running tracks and cycle routes. Marina District, Cultural and faces the Gary Player-designed Saadiyat Beach Currently under development, Saadiyat Lagoons are District and Beach Golf Club. With its bold geometric styles accented by destined to be the Island’s largest residential and leisure premium glass, stone and wood, Jawaher’s modern district. District, TDIC’s master- sculpted villas and townhouses aspire to transform the planned residential and everyday life of residents into the extraordinary. Situated close to Saadiyat Marina District, Cultural District and Beach District, TDIC’s master-planned residential and leisure communities Along with the exclusivity of being close to Zayed leisure communities will place visitors and homeowners National Museum, Louvre Abu Dhabi and Guggenheim within easy reach of the island’s exceptional hotels and will place visitors and Abu Dhabi, Jawaher Saadiyat’s visitors and residents will restaurants such as St. Regis Saadiyat Island Resort and homeowners within also be near Saadiyat Beach District, a natural showcase Park Hyatt Abu Dhabi Hotel and Villas, outstanding of crystal clear waters and a Mediterranean-style beach educational institutions including New York University Abu easy reach of the island’s club with a view of the region’s first championship golf Dhabi, Cranleigh School Abu Dhabi and Redwood Nursery, exceptional hotels and course. and plenty more incredible dining, shopping and leisure attractions. restaurants. As for completion dates, Mamsha Al Saadiyat is expected to be completed in Q3 2018, Jawaher Saadiyat in 2018 and Saadiyat Lagoons District in 2019.

TDIC

Tdicae Tdicae

94 95 OUTLOOK ON LENDING

Warren Philliskirk Director, Mortgagefinder.ae

The year has started strongly with an increase in mortgage applications from 2016 of around 20% in the first quarter, being driven almost exclusively by the owner- occupier sector. This sector is the real catalyst for the market and it’s very healthy to have the demand being With a still relatively flat driven by genuine use and not speculation. housing market being Investor interest in mortgages is very limited as we see driven by end users their focus mainly in the off-plan sector where finance is more constricted, and coupled with the advent of choosing to buy rather than 30/70 payment plans being the norm, limits the finance requirement until completion. rent, if the costs start to tip in favour of renting then we The biggest factor in the mortgage market in 2017 will be a steady increase in interest rates. With the cost of local could see a swift knock-on banks’ funding increasing due to liquidity squeezes and the US Fed increases, we are in for a steep hike based on effect. the current data. We already have had two of the main players in the market increase their offering in the first quarter and there will be more to follow. Could rates get that high? The best way to protect yourself Will this impact the market? Rates historically are still low from increasing rates is to lock in the best deal you can and 30% lower than in 2007 - 2008 at the peak of the find and at present there are some excellent two and property boom. Then the increase was being driven by three-year deals still available from banks which will give sheer demand, and when property is increasing 25% a some respite. Don’t just go to the cheapest introduction year, paying 7% on your mortgage rate still made sense. deal or floating Eibor deal, as in a rising rate market this is the wrong strategy. By paying slightly more, but locking Now the dynamic has changed, with a still relatively flat it in, you will avoid the inevitable jump, think about what Why choose us? housing market being driven by end users choosing would happen if your mortgage went up 30%. to buy rather than rent, if the costs start to tip in favour Best fixed rates from 3.25% per annum of renting then we could see a swift knock-on effect. Could you manage? Protect yourself from the start is our However, when you look at the average annual cost of advice and 95% of our clients choose fixed-rate options Up to 100% discount on arrangement fees a mortgage for a property purchased at AED 2 million once they have reviewed all the options and scenarios. it would cost in the region of AED 100,000 per year. The Your mortgage is a long term liability which you need to Professional advice from industry experts same property to rent would cost in the region of AED keep working on. Ensure you always seek the best offer to 150,000. So rates will have to almost double from today to minimise your repayments over the term. With access to more than 20 UAE lenders and over 250 mortgage products tip the scale negatively. we've helped hundreds of families find their happy place.

Let us help find yours.

+971 4 383 9383 [email protected] mortgagefinder.ae A Company

96 LUXURY MARKET

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Thriving Bridging The Gap Luxury Sales Between Luxury And Affordability LUXURY MARKET THRIVING BRIDGING THE GAP BETWEEN LUXURY SALES LUXURY AND AFFORDABILITY

PROPERTIES IN THE HIGH-END LUXURY SEGMENT SEE SIGNIFICANT INTEREST Defining an ideal place to call home is always evolving and now the lines between luxury and functionality are in the bounds of a blur – leading to the conceptualisation of smart residential projects that let owners indulge in comforts that turn up the dial on their quality of living while omitting an eye- watering financial burden.

Luxury living continues to dominate the real estate sector in Dubai, yet now a rising demand for homes that answer the need of a new customer segment known as millennials is ushering in. According to recent findings, 44% of millennial expats are keen on purchasing a home in the UAE within the next three years. Identifying the unique needs of this young, tech-savvy and connected new crop of individuals forms the first step in defining and designing concepts that best complement the urbanites fluid lifestyles.

AKOYA Imagine, a cluster of homes surrounded by couples and families, whose residential needs have the lush greens and fairways of its international golf outgrown traditional home-dwellers. course is a prime example of this latest demand. Set at the heart of the AKOYA Oxygen master Now that millennials are shaping the property development, AKOYA Imagine offers a range of market, it’s crucial to consider that as Dubai’s real modern and stylish villas aimed at young estate market evolves and approaches maturity, there is an even greater need for developers to integrate their strategies to make plans for projects As the first quarter of 2017 drew to a close, the top build confidence, and if an individual is prepared that cut through all customer segments. Having tier of the market continued to see high activity to place hundreds of millions into Dubai realty, identified the long-term impact of such a strategy, amid claims of softening and global gloom. The others follow that sentiment. These sales also DAMAC Properties has committed itself to bringing health and pricing of luxury real estate markets is set standards, and so many of the amenities and to market a wide mix of products that appeal to its not always internationally fueled; spending habits of features that are currently trending in the luxury customers as attractive and lucrative investment affluent prime property and trophy hunting buyers market sector tend to trickle down throughout opportunities. From less than AED 1 million to tens are always to be found. the entire marketplace making all sectors more of millions – the range is broad, which essentially appealing to purchase as trends are copied. translates to a comprehensive product offering that As the world’s luxury property brand, our gateway accommodates everyone. into Dubai is served from our international offices Whether completed or off-plan, we are which constantly attract the attention of affluent experiencing growth in both of these sectors. The new-age home owner continues to cause and high net worth individuals (HNWIs) coming High value villa sales tend to be more attractive the shift towards emerging real estate needs and into the UAE. With multiple property sales closed within completed developments, often to families fresh expectations. Real estate developers need to recently within Gulf Sotheby’s International Realty, relocating from abroad to avoid homeland stay on top of their game to keep this new wave all exceeding AED 100 million, this is fact not fiction economies and in search of a healthier climate and of customers effectively and constantly engaged and we do not see this slowing down anytime soon. safer environments to set roots. Within off-plan, through innovative offerings that best resonate with apartments tend to lead purchases and usually their idea of a home and inspired living. Why is this positive news? appeal to a younger audience, generally becoming Luxury property purchases tend to set the bar for trophy property purchases that will serve as the entire property market. Affluent high value sales vacation and entertainment homes.

Chris Whitehead, Niall McLoughlin, Managing Director, Gulf Sotheby's International Realty Senior Vice President, DAMAC Properties

GulfSothebyRealty GulfSothebyRealty DamacPropertiesOfficial DamacOfficial

Gulf Sotheby Realty GulfSIR Damac Properties DamacOfficial Winner of the propertyfinder Real Estate Brokerage Awards 2016 in the Best Marketing Campaign Category

100 101 AGENT SECTION

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Consumer Top Searched Search Patterns For Areas By Device Type AGENT SECTION

CONSUMER EMAIL ENQUIRIES: WEEKDAYS VS. WEEKENDS During the week, nearly 40% of email enquiries are sent between 9am and 3pm, with the highest volume at 11am. Weekends have a slightly different pattern as people will generally take their time and wake up later. The majority of SEARCH PATTERNS enquiries are being sent before lunch and in the evening, peaking at 11am and even more so after 5pm. Help your customers jump that property ladder by working within their timeframes.

Do you know when and how househunters browse on our portal? Check out these key insights into consumer search trends and our top tips to help you get even more enquiries and eliminate missed opportunities! ENQUIRIES

TIME OF DAY (H) 1 3 5 7 9 11 13 15 17 19 21 23

EMAIL ENQUIRIES PER HOUR - WEEK DAYS EMAIL ENQUIRIES PER HOUR - WEEKENDS

Tip: The real estate market never sleeps. Make sure your agents are checking their emails outside of the usual working hours, or on Sunday morning to ensure any weekend leads are answered first thing. This will give you an advantage over your competitors, which will have a big impact on the decisions they make when choosing their agent.

CALL ENQUIRIES: WEEKDAYS VS. WEEKENDS CALL AND EMAIL ENQUIRIES BY DAY OF WEEK Weekdays are a busy time for calling enquiries. People tend to make most calls between 10am and 4pm, peaking at The majority of call and email enquiries are received during the week, especially from Tuesday through to Thursday. lunch time, between 11am and 1pm. Weekend peak times soar a little later and power through till 3pm, after which Friday, being the start of the weekend, is quietest of all, yet we see a pickup on Saturday. the hubbub gradually falls flat. ENQUIRIES ENQUIRIES

TIME OF DAY (H) 1 3 5 7 9 11 13 15 17 19 21 23 DAY OF WEEK SUN MON TUE WED THU FRI SAT

CALL ENQUIRIES BY DAY OF THE WEEK CALL ENQUIRIES PER HOUR - WEEK DAYS EMAIL ENQUIRIES BY DAY OF THE WEEK CALL ENQUIRIES PER HOUR - WEEKENDS

Tip: Busy times call for busy offices. Tip: No missed calls. Are you ready to pick up those important phone calls during peak hours? Minimise calls going to voicemail to help It would be a good idea to have extra staff available when demand grows on busy days. You can ensure you won’t you sell or rent your properties as soon as they hit the market. Agents are expected to offer professional service and be miss the latest hot leads from us! Additionally, make sure to make the most of our Call Tracking feature to minimise property experts, that means you need to be available when the market is at full steam. missed opportunities.

104 105 TOP 5 SEARCHED COMMUNITIES GET LEADS ON MOBILE VS ON DESKTOP

Have you been wondering which areas generate the most interest this year? Here is a quick snapshot of top 5 most popular communities split by the type of device used.

1. Bur Dubai 1. Bur Dubai 1. Dubai Marina 2. Dubai Marina 2. Dubai Marina 2. JVC 3. JVC 3. Downtown Dubai 3. Palm Jumeirah 4. Downtown Dubai 4. Business Bay 4. Arabian Ranches 5. Dubai Sport City 5. JLT 5. JLT

Palm Jumeirah YOU CAN GET TO YOUR Dubai Marina Bur Dubai

JLT Business Bay Dubai Downtown Dubai Sports City JVC

Motor City

Arabian Ranches

Data is based on Google Analytics On Site Search report in Q1 2017, taking into consideration searches for Dubai communities only.

106 107 #PFTRENDS2017 UAE REAL ESTATE MARKET REPORT ISSUE 2