NEWS BRIEF #43 SUNDAY 27 October 2013

ASSET MANAGEMENT SALES LEASING VALUATION & ADVISORY SALES MANAGEMENT OWNER ASSOCIATION

RESEARCH DEPARTMENT

ASSET MANAGEMENT SALES LEASING VALUATION & ADVISORY SALES MANAGEMENT OWNER ASSOCIATION

REAL ESTATE NEWS

GCC/MENA GCC hospitality sector growth catalyst for 2014 Arabian Travel Market expansion

UAE UAE banks stand to gain from Dubai's property cooling measures: Fitch UAE inflation set to rise but stay manageable -analysts

ABU DHABI Experience first-of-its-kind Arabian Nights Village in Abu Dhabi TDIC announces main contractor for Cranleigh Abu Dhabi Abu Dhabi to demolish 250 old buildings to boost image World Trade Center Mall opens in the heart of Abu Dhabi Abu Dhabi Airports first major milestone for Midfield Terminal Building ahead of schedule Abu Dhabi chases private investors for community projects

DUBAI AED60,000 for 2-bedroom: What Dubai renters' search for affordable housing reveals Dubai's Emirates NBD among world's Top-10 bank buildings Mohammed green light for Jumeirah Corniche development Al Maktoum International at Dubai World Central: New chapter in emirate's aviation history Which nationalities bought most property in Dubai Dubai developer's public notice to defaulters No rent hike in this Dubai free zone Dubai World Central in investment surge Dubai's World Expo 2020 win to accelerate office space demand Arabtec Construction awarded final phase contract for the AED 550 million Tiara Hotel on Palm Jumeirah Abyaar completes the construction works of Hilliana Tower and sells all units propertyfinder.ae's latest quarterly report reveals emerging demand in Dubailand and Dubai Sports City Dubai property investors can register to seek stalled projects' update

QATAR Office space demand in Diplomatic District on the upswing High demand for luxury properties Average residential rents in Doha up 16%year-on-year

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KSA Jabal Omar Development: Hill gets USD29m extension Landlords warned: Don't house illegals Multibillion riyal housing schemes under way in Jubail Industrial City Saudi construction sector poised for growth as SR 487.5 billion allocated for housing and infrastructure development All land plots of beach community 2 phases one, two, three and four were completely sold out at Al Murooj district in King Abdullah Economic City

OTHER Apartment prices jump 13% in Jordan Warehouse rentals set to capture market

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AED60,000 FOR 2-BEDROOM: WHAT

DUBAI RENTERS' SEARCH FOR AFFORDABLE HOUSING REVEALS

MONDAY 21 OCTOBER 2013

Rising rents and prices of residential apartments in established communities with access to Sheikh Zayed Road are making areas like Dubailand and Dubai Sports City more popular among renters and buyers.

The third quarter report of propertyfinder.ae states that the largest proportion of future stock is expected to be delivered in Dubailand and Dubai Sports City.

The number of people searching for apartments in Dubai Sports City rose significantly, as the community jumped seven positions to take 11th position on the website's most searched rental communities' list.

DSC was in 18th position for the same period last year.

Two-bedroom apartments in Dubailand are currently being leased for Dh60,000 to Dh80,000 per annum, while lease rates are between Dh70,000 and Dh100,000 pa in Dubai Sports City.

In comparison, rents in up market Downtown Dubai ranged between Dh140,000 and Dh350,000 per annum.

The industry view is that secondary locations are improving due to the affordable factor.

Buyers' search

International City also moved up one place in the list of most searched locations for buying property in, while Jumeirah Village Circle, placed 18th in the first quarter ranking, rose to seventh position.

According to propertyfinder.ae, nearly 3,400 units are being added to Dubai's residential stock inventory in communities such as Jumeirah Park, Dubailand and Downtown Jebel Ali in the third quarter.

"The residential market is seeing robust recovery in tandem with economic growth, improving demographics, government spending on infrastructure, increasing housing regulation and positive investor sentiment," says Renan Bourdeau, Managing Director and Partner, propertyfinder.ae.

"With future stock that is expected to hit the market in 2015 also located in emerging neighborhoods such as Dubai Sports City , Business Bay and Jumeirah Village, demand for sale and rental properties in these communities is likely to continue growing," he adds. Source: Emirates Business 24/7 Back to Index

JABAL OMAR DEVELOPMENT: HILL GETS USD29M EXTENSION

TUESDAY 22 OCTOBER 2013

Hill International, a global leader in managing construction risk, announced that it had received a contract extension from Jabal Omar Development Company in connection with the Jabal Omar development in Makkah.

The two-year contract extension has an estimated value to Hill of around SR 107.5 million.

The Jabal Omar development, situated on 57 acres, includes 37 towers with a total built-up area of 2.0 million square meters (21.5 million square feet) of space, including hospitality, residential, retail, commercial and religious facilities.

Hill has been the project manager on the development since 2010.

"We are honored that JODC continues to rely upon Hill's project management expertise," Mohammed Al- Rais, senior vice president and managing director (Middle East) for Hill's Project Management Group, was quoted as saying in a statement seen here.

"We are confident that our team's performance will continue to exceed our client's expectations," Al-Rais added. Source: Arab News Back to Index

OFF ICE SPACE DEMAND IN DIPLOMATIC DISTRICT ON THE UPSWING

MONDAY 21 OCTOBER 2013

The demand for office space in the Diplomatic District is on an upswing, says a real estate expert and warns that this could push the rentals up.

"High levels of take-up has reduced the vacancy rate in the prime area and increased the potential for rental inflation," said Mark Proudley (pictured).

Giving an insight into Qatar's real estate market at a joint ARGUS Software-DTZ seminar here yesterday, Proudley, Associate Director, DTZ, said there is approximately 156,000 sq m of vacant space being marketed to lease in the area.

This means that only 10 percent of space would be left to be rented out. "This is a significant reduction in vacancy rate, which stood at 16 percent at the end of 2012."

Current office stock in the prime Diplomatic District is estimated at 1.54 million sq m.

Proudley said a further 680,000 sq m leasable area of prime commercial space that is currently under construction, though about 50 percent of that future supply is already committed to various occupiers.

Presenting an overview of Qatar's Q3 (third quarter) 2013 real estate market, he said that in addition to the Diplomatic District there is new prime commercial stock under construction at Lusail.

One tower is complete and three more towers are in the next stages of construction. These four buildings will together create a further 95,000 sq m of prime commercial accommodation. "DTZ understands that all of this commercial accommodation has been leased to Government related occupiers."

Citing figures, Proudley said the net take-up of prime office accommodation in the first nine months of 2013 stands at about 262,000 sq m. That is well above the five-year average for this period, which is 101,000sq m.

According to him, rental rates for commercial accommodation have remained comparatively stable since 2011. In the Diplomatic District, rents can vary significantly according the quantum and quality of accommodation. It is possible for large space users seeking in excess of 5,000 sq m to secure secondary accommodation from rental rates as low as QR145 per sqm/month. Rental rates of good quality commercial stock in secondary locations range from QR120-150 per sq m/month. Rates of tertiary office locations, such as office accommodation above retail can be acquired at rates from QR80-100 per sq m/ month.

Taking into account the high levels of take-up recorded in 2013, reduced vacancy rates and limited availability of the stock in the pipeline supply, DTZ forecasts that rental rates will start to increase in 2014. Source: The Peninsula

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LANDLORDS WARNED: DON'T HOUSE ILLEGALS

TUESDAY 22 OCTOBER 2013

Property owners have been warned against housing or protecting violators of employment and residence regulations.

In a statement to Arab News, the Undersecretary of the Ministry of Labor for Inspection, Abdullah Al- Sebaai, said the ministry was coordinating with the General Directorate of Passports to implement a comprehensive awareness campaign, which involves sending text messages to residents and expatriates about the importance of utilizing the remaining time of the amnesty period which ends on Nov. 3 to avoid penalties.

The Ministries of Interior and Labor will not make any exceptions when it comes to applying penalties and sanctions after the deadline of the grace period, he said, and called on citizens not to house violators.

It is the national duty of citizens to report cases of violations, he said, adding that the ministry will not exempt even large government projects from the inspection campaign after the deadline.

According to Al-Sebaai, all organizations that come under the purview of workers' regulations will be inspected. "Correction procedures are easy and convenient in all cities and provinces of the Kingdom, without any difficulties or obstacles," he said, adding that all transactions were being carried out in record time.

Despite the fact that the Ministry of Labor offices in various regions and governorates of the Kingdom continued to work during Eid Al-Adha holidays, there was hardly any crowd since expatriates were enjoying the vacation.

Ahmed Al-Faqih, owner of Al-Faqih Real Estate Development, said there are strict instructions to avoid sale or leasing of any property to illegals. He noted that property owners should verify residency permits to be submitted to authorities on request. Source: Arab News Back to Index

'DUBAI PROPERTY BUBBLE FEARS EXAGGERATED'

TUESDAY 22 OCTOBER 2013

Fears of Dubai’s real estate market experiencing a bubble are “exaggerated”, Goldman Sachs Group said in a report on Monday.

“New regulations from the Dubai Land Department are aimed at curbing speculation, while new supply is helping keep values down,” the US-based investment bank said.

Property prices are 36 per cent below their 2008 peak even after rising by about a third from a low in the second quarter of 2011, bank analysts added.

Standard Chartered said in August that despite prices soaring, Dubai's property market was not heading towards another crash and the market was more sustainable, influenced by an improved economy rather than speculation.

Although the UK-based Knight Frank said property prices and rents in Dubai have risen at the fastest pace in the world, Jones Lang LaSalle reported last month that the rate of increase (price and rent) will slow down over the next 12 to 24 months.

The Dubai Land Department has already taken steps to discourage flipping in the market by increasing registration fees to four per cent from two per cent from October 6 with Director-General Sultan Butti bin Mejrin emphasising the move would not have any negative impact on the market.

In June, Emirates 24|7 reported developers have to give a 20 per cent construction guarantee and make 100 per cent land payment before launching any new project.

“No project in Dubai is launched without a construction guarantee,” Real Estate Regulatory Agency CEO Marwan bin Ghalita had told this website.

When we raised the issue on how developers selling off plan would complete their project, he said: “Those selling off plan have already put a 20 per cent guarantee as collateral and they are not being allowed to use money from the trust (escrow) account until 30 per cent of construction is reached.”

The UAE Central Bank’s new mortgage regulation is expected to be unveiled before year-end, which Goldman Sachs analysts believe will help cool the market.

Cash remained the king in Dubai’s realty market in the first half. Nearly 80 per cent of apartments were purchased by cash buyers.

Political stability and high rental yields continue to drive Dubai attractiveness to investors.

Rental yields, the bank said, are between 5 and 6 per cent compared to global range being between 2 and 3 per cent.

Earlier, Knight Frank said rising expatriate population had led to "good" rental returns for investors with net yields between four and six per cent.

Source: Emirates Business 24/7 Back to Index

EXPERIENCE FIRST-OF-ITS-KIND ARABIAN NIGHTS VILLAGE IN ABU DHABI

TUESDAY 22 OCTOBER 2013

Sheikh Sultan bin Tahnoon Al Nahyan, Chairman of Abu Dhabi Tourism and Culture Authority (TCA Abu Dhabi) has officially opened the emirate’s first-of-its-kind Arabian Nights Village desert retreat, delivering a new dimension to the destination’s overall ‘culture-tourism’ proposition.

Set on a dedicated 85,000m? Al Khatem plot, the size of 12 professional football pitches, deep in Abu Dhabi’s heritage heartland, Arabian Nights Village is expected to be a leading international draw for visitors coming to the emirate.

"This is a stunning development and a sterling example of private sector initiative and investment which we hope others will emulate. The Village raises the bar on traditional overnight desert accommodation and we believe it will resonate well and be fully appreciated by residents and visitors alike," said Sheikh Sultan.

"I want to congratulate the owners for their attention to detail in all aspects of construction, design and interiors, as well as their f&b offering and efforts towards environmental preservation. The Village brings a whole new dimension to desert stays," Sheikh Sultan added.

Operating day safaris and overnight excursions - which both include transfers to and from the Village from Abu Dhabi - the expansive resort also houses an oasis style pool, with stunning vistas of the desertscapes in the day and the unobstructed star-lit sky at night, as well as the indoor-outdoor traditional ‘Al Maqam’ restaurant, which means ‘The Gathering Place’, and a souk selling local handmade crafts.

Conceived to give guests a chance to experience the mythical and timeless beauty of the desert and traditional Emirati life, the Arabian Nights Village boasts 30 double rooms, five 1 bedroom suites and a 3-bedroom suite, set across four distinctive themes: Bayt Al Shaaer (The Woven House), Bayt Al Bahar (House of the Sea), Bayt Al Bar (Desert Home) and Al Manhal Fort Tower.

"The very tapestry of Abu Dhabi’s culture is intertwined with the desert and hospitality. In years past, any traveler who came across a desert camp was offered three days of food and shelter. This kindness formed the foundation of Abu Dhabi’s welcoming ethos, and today we open a new chapter in this story. Al bayt baytak, our home is your home," said A. M. Simreen, Managing Partner, Arabian Nights Village.

According to Simreen, from the moment guests arrive at the Village, they are transcended back in time, helping to set the tone for their entire stay so they immerse themselves entirely in the traditional experience.

"Our unique mix of day desert safari’s and overnight excursions presents a true destination where you can enjoy a new experience while staying in rooms and suites inspired by Abu Dhabi’s rich architectural and cultural history," said Simreen.

"As you approach the Village – which emerges surprisingly from a gigantic dune valley - you enter a picturesque courtyard overlooked by two traditional-styled watchtowers - Zakher and Al Manhal - each named after residences of the late Sheikh Zayed Bin Sultan Al Nahyan, The Father of the Nation. From here on in, guests will feel transported to a different time.

"We have worked very hard to not let modern day distractions enter the experience, so there are no TVs in the rooms, and phones and internet are operational only for emergencies."

The jewel in Arabian Night Village’s suite offering is the Al Manhal Fort Tower, with three presidential bedrooms, each with opulent bathrooms, and lavish interiors elegantly furnished with rich fabrics, natural materials and authentic design details.

For visitors wanting to connect with other elements of Abu Dhabi history, they can stay in one of the themed rooms, where each draw on an individual theme of Emirati culture, from the beautiful weave work of Sadu, to the mud house inspired of homes of yesteryear and the emirate’s connection to its rich maritime heritage.

This experience spreads through all areas of the Village, most notably its centerpiece restaurant, Al Maqam. Recreating the bustling atmosphere of a vibrant Arabian dinner setting, guests will eat off locally made crockery, see live Arabic bread making demonstrations and be treated to a rich diversity of Emirati cuisine and culture, such as our musicians, henna artists and falconers.

"Every step of the journey with us is designed to invoke an emotional response to allow visitors to be transported away from their daily lives to somewhere new and magical," added Simreen.

The Village – for all its traditional practices – utilises a mix of ancient and futuristic technologies to ensure everything runs smoothly and, vitally, sustainably.

The site is powered by four sound-proofed generators and it draws on the area’s natural resources, with a specialist water treatment facility extracting and treating water on-site. Drinking water comes from a 65 metre deep well. The village also uses treated waste water to irrigate trees and its landscaped gardens. Source: Emirates Business 24/7 Back to Index

DUBAI'S EMIRATES NBD AMONG WORLD'S TOP-10 BANK BUILDINGS

TUESDAY 22 OCTOBER 2013 Dubai is home to many spectacular buildings in the world: Burj Khalifa, the world’s tallest tower, Princess Tower, the tallest residential tower, Cayan Tower, the world tallest tower with a 90-degree twist and many more.

Now, Dubai has also found a place in the list of world’s most spectacular bank buildings.

The sail-shaped tower, which houses Emirates National Bank of Dubai's head office, has been included in the list of top 12 bank buildings in the world, by Emporis, provider of building data and construction projects worldwide. (http://www.emporis.com/)

The building, designed by Norr Group Consultants Int Ltd and Carlos Ott Architect, is 125-metre-high and was completed in 1998.

It has 47 floors and with five elevators, the company said.

Bank of America Tower in the New York borough of Manhattan topped the list.

The tower, which serves the currently largest US bank as a prestigious administration building, is one of the most eye-catching in this city of skyscrapers.

The mast atop the total 366-metre building is not an antenna that has been attached to the roof, but a permanent element towering up out of the glass-clad structure.

To see pictures of the Top 10 buildings.... click here: The Top 10

Bank of China Tower in Hong Kong is second on the list and is one of the world's tallest corporate headquarters.

The bank building breaks the 1,000-feet mark, the first building to achieve the feat outside the US.

The sharp-edged appearance, the triangular elements of its form, the shiny reflective facade and the metal panels that are illuminated at night all serve to make the tower reminiscent of a gigantic crystal.

However, the Macquarie Bank Centre in Sydney is a comparatively low building without load-bearing columns and provides light-flooded, colorful workspaces that jut out into the atrium at various levels and in various shapes.

The building, constructed sustainably, is supported by a silver-gray network of steel beams laid out evenly around the blue glass of the façade.

Source: Emirates Business 24/7 Back to Index

MOHAMMED GREEN LIGHT FOR JUMEIRAH CORNICHE DEVELOPMENT

SUNDAY 27 OCTOBER 2013

His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai, has sanctioned the Jumeirah Corniche Development Project to be constructed along the beach adjoining six residential districts, starting from the area behind Dubai Marine Beach Resort down to Burj Al Arab Hotel, stretching 14 kilometres in length, thus constituting the longest Corniche in the emirate.

His Highness Sheikh Mohammed directed that the walkway and the jogging track be linked with the Dubai Canal Project, and for the Corniche project to be completed in one year’s time.

The complete length of the Corniche project. (Supplied)

His Highness stated: "Our objective is to achieve peoples’ happiness.

“We are keen to establish all the necessary component to make nationals, expatriates and visitors happy and enjoying quality life.

“Our developmental projects are integrating to attain this ultimate goal. We are committed to invest in building healthy human capital through providing ideal enabling environment.”

Sheikh Mohammed asserted that sport is an essential element of society and a fundamental prerequisite for having healthy and productive individuals.

He said: "We instructed the concerned authorities to increase the number of walking and jogging tracks around the emirate and we will create and develop more to serve various residential areas in Dubai.

“We hope the people of Dubai will make use of these tracks and practice sports for the best of their bodies and minds.

“A lazy individual lacks positive energy and does not innovate or create. We have great hopes for the future, and these hopes will not correlate unless we have a healthy and fit people that are able to fulfill their duties toward themselves and their families and stand up to their community and country.”

Sheikh Mohammed’s statement came during his tour to the project site, accompanied by Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, Deputy Ruler of Dubai; and Mohammed Ibrahim Al Shaibani, Director-General of His Highness the Ruler’s Court of Dubai.

By conclusion of the developments operations, Jumeirah Corniche will be the longest in the emirate giving the public a bigger area to enjoy several activities.

The project is a manifestation of His Highness Sheikh Mohammed’s vision to provide quality life for the people of the UAE and its visitors.

The project serves big sectors of the community, especially families, and offers public utility services, parks, beaches and outstanding touristic attractions.

In addition to the project’s value as a recreational and entertainment addition to the emirate, Jumeirah Corniche represents a crucial contribution in developing the social infrastructure in Dubai, most particularly public health.

Once completed, the project will facilitate a variety of sports including jogging, walking, swimming, rowing and other activities that suit families and contribute to enhancing physical fitness.

Eye-catching sceneries

His Highness Sheikh Mohammed was briefed by Mattar Al Tayer, Chairman of the Board and Executive Director of the Roads and Transport Authority (RTA), about the Jumeirah Corniche Development Project.

"The project includes constructing a five-metre wide walkway and a four-metre wide jogging track, in addition to lay-by facilities containing kiosks and shaded seating areas overlooking the beach, stylishly designed lighting fixtures, and public and health amenities, in addition to landscaping works which will be developed and spaced in consistent manner, giving gorgeous and eye-catching sceneries," Al Tayer said.

"The project aims to transform the sandy beach into a more vibrant area by adding aesthetic, recreational elements and public services for beach goers, be it residents or tourists who flock to Dubai beaches to savour fabulous beach sitting, jogging or hiking," he added.

Al Tayer said in a final remark: "Dubai is a favourite tourist destination for many nationalities, especially during vacations and holidays.

“This prompted the drive to undertake tourism projects of appeal to tourists, besides standing out as a testament to Dubai’s global standing in design, innovation and creativity." Source: Emirates Business 24/7 Back to Index

AL MAKTOUM INTERNATIONAL AT DUBAI WORLD CENTRAL: NEW CHAPTER IN EMIRATE'S AVIATION HISTORY

SUNDAY 27 OCTOBER 2013

At around 11am today, Dubai will experience another ‘first’ for the history books, as the emirate’s sprawling new airport welcomes its inaugural passenger flight at Al Maktoum International at Dubai World Central (DWC).

Hungarian low-cost carrier, Wizz Air, will be the first passenger plane that lands the emirate’s second airport.

The European airline will fly four-times weekly to its base in Budapest, along with direct flights to Ukrainian capital, Kiev.

When at full operation, the new passenger terminal will be able to accommodate up to seven million passengers annually.

The carrier will also shuttle Dubai passengers to onward connecting flights to Bucharest and Sofia.

Following the inaugural flight, Saudi Arabia’s low-cost airline, Nasair, will follow suit on October 28, announcing plans to operate 50 flights per week after deliberation earlier this month whether the carrier would be able to maintain its schedule.

The airport had already launched its freighter operations in June, with a major support coming in from Air France-KLM-Martinair Cargo, which made DWC its new Middle East Freighter hub from August 1; Air France-KLM is operating 14 weekly freighter flights to and from DWC, with the main hub connecting flights between Europe, Asia, Africa, India and the carrier’s freighter stations Muscat, Doha, Bahrain, Dammam and Kuwait.

Kuwait’s Jazeera Airways is the next passenger carrier that will land on Thursday, flying only twice a week (the other being Saturday).

DWC’s launch comes a month before the winner of the bid to host the World Expo 2020 will be revealed.

The emirate’s position as a two-airport stronghold can only strengthen the city’s position for the bid. Source: Emirates Business 24/7 Back to Index

WHICH NATIONALITIES BOUGHT MOST PROPERTY IN DUBAI

SUNDAY 27 OCTOBER 2013

The Dubai Economic Outlook, Quarter 2 report for 2013, issued by the Secretariat General of the Dubai Economic Council (DEC), confirms the momentum gained by Dubai's economy during Q1 of 2013.

The report estimated the growth rate of real gross domestic product (GDP) to Dubai in the Q2 of 2013 by 4.7 per cent compared to the corresponding 2012 quarter. The report attributed this growth to the growth of the four sectors, namely: real estate, wholesale and retail, transportation and manufacturing.

Striking recovery in real estate sector

The report indicates that the real estate sector in Dubai has witnessed a new wave of growth during the Q2 of 2013 in terms of both value and number of apartments. the Dubai Marina area ranks first in the number and value of transactions the largest transaction in the sector are made by Indians, British, Emirati, Pakistani, Iranians, and Russians.

Indians captured the largest purchase deals (27 per cent), followed by British (17 per cent) and Pakistani (15 per cent).

H1, 2013

In the first half of 2013, UAE nationals topped the overall list of property investors in the emirate, with Indians remaining top expat investors.

Dubai Land Department (DLD) data, released in end of July, revealed that Indians had purchased properties worth over Dh8 billion, compared to Dh9 billion they invested in the entire 2012.

British nationals came second with investments worth Dh4 billion compared to Dh5 billion to 2012. Pakistanis invested over Dh3 billion compared to Dh4 billion in 2012.

Total investment of UAE nationals in the realty sector was Dh12 billion, which equaled the entire amount they spent last year.

Saudis pumped in Dh2 billion, the amount that they had invested in whole 2012. Kuwaitis invested Dh360 million, followed by Qataris, Omanis and Bahrainis. No figures were revealed.

Among Arab investors, Jordanians bought properties worth Dh1 billion, followed by Lebanese and Egyptians who spent Dh884 million and Dh753 million respectively. Source: Emirates Business 24/7 Back to Index

DUBAI DEVELOPER'S PUBLIC NOTICE TO DEFAULTERS

SUNDAY 27 OCTOBER 2013

A Dubai-based private developer has gone public by issuing default notices to customers, who have not accepted notices earlier.

Though not issued officially by the Dubai Land Department (DLD), the private notice published in a local daily states the customer’s name, nationality and passport number, asking for rectification of default status within 30 days from the date of publication.

“We, Vakson Real Estate – have sent you (customer name, nationality, passport number) a delayed payment notification, which was not received by you.

“This is a final reminder and warning notice, notifying you top make the due payments with 30 days from this notice,” the company notice out today, October 27, reads.

It is most likely that defaulters, who don’t rectify their status, will be served with a termination notice on November 25.

Real estate developers, however, say such warning notices are never issued in local newspapers.

Developers have previously issued notices, asking investors to update their details with the Land Department.

Although developers can issue warning letters, contract termination notices officially issued as per Law number 13 of 2008 as amended and its executive regulations by DLD are legal.

In July, Mizin, the master developer of Remraam project in Dubailand, took the lead to go public, issuing final termination notice on 45 purchasers, who have failed to pay several of their installments.

The notice stated: “In accordance with law number 13 of 2008 as amended and its executive regulations Dubai Land Department (DLD), hereby notifies the purchaser to rectify the default within 30 days as of the date of publication of the notice.

“If you fail to pay the amount due within the specified period, DLD shall take the necessary legal proceeding pursuant to clause no (11) of the aforesaid.”

Emaar Properties and other private developers also started issuing similar notices to get their customers to pay and take possession of the properties.

Purchasers have the right challenge the notice. A DLD mediation committee helps to resolve the matter, but if parties fail to reach any settlement, the purchaser can move court.

How a notice of cancellation is served?

- Investor receives a notice of DLD cancellation, giving him 30 days to comply.

- During that time, the investor can register his "objection" with the Legal Affairs Department of the DLD.

- In response to the objection, DLD will schedule a meeting with the developer, investor and a repres entative of the department in an effort to achieve a settlement. - If the settlement is not achieved, after 30 days, the notice of cancellation expires and the cancellation becomes official.

- At this point, the DLD will send a notice of termination. If the DLD makes a ruling in favour of the investor, it will notify the developer and expect them to comply with that decision. Source: Emirates Business 24/7 Back to Index

NO RENT HIKE IN THIS DUBAI FREE ZONE

THURSDAY 24 OCTOBER 2013

Dubai International Financial Centre (DIFC), ranked as the world's fastest-growing international financial centre, has ruled out increase in office rentals, Emirates 24|7 can reveal.

“We haven’t increased the rents in DIFC for the past three years. We are not going to increase the rentals right now as we don’t see rents going up in other areas that we compete with,” said Brett Schafer, Chief Executive Officer, DIFC Properties.

DIFC isn’t competing with other office buildings in the emirate, he asserted, stating, “We compete with other financial centres such as London, Tokyo and Singapore.”

“The rentals aren’t going up in those markets and so we are not increasing our rents. We still offer good value compared to our competitors.”

It was in December 2010 when DIFC Authority revealed a new pricing "matrix" for office rentals and since January 2011, the rents have ranged between Dh160 and Dh280 per square foot, depending on the size of the office and its location within DIFC.

In October, DIFC said there are over 1,000 companies operating from the Centre and the combined workforce was more than 15,000 at the end of June 2013.

The centre said that accessibility provided by Dubai’s airports and infrastructure, combined with the livability and cosmopolitan culture of the emirate, had bolstered its proposition, attracting 21 of the world’s top 25 banks, 11 of the top 20 money managers, 6 of the world’s 10 largest insurers, and 6 out of 10 top law firms to the centre.

Occupancy of DIFC-owned commercial offices in the Gate District rose to 97 per cent of the leasable space, the Centre has said. Meanwhile, occupancy in its-owned retail space increased to 99 per cent, compared to 98 per cent occupancy in 2012.

Emirates 24|7 reported earlier that DIFC was seeking investment worth Dh15 billion through joint ventures to develop its remaining 10 million square feet land bank.

“We have 110 acres in our master plan, of which 25 million square feet has development potential. We have already built 15 million square feet and now we are building the remaining 10 million square feet, which will need investment of nearly Dh15 billion,” Schafer said. Source: Emirates Business 24/7 Back to Index

UAE BANKS STAND TO GAIN FROM DUBAI'S PROPERTY COOLING MEASURES: FITCH

WEDNESDAY 23 OCTOBER 2013

The doubling of property registration fees in Dubai to limit speculative buying, reinforced by planned caps for mortgage lending, could help contain property risk for UAE banks as the real estate sector recovers, Fitch Ratings has said in a report today.

The ratings agency lauds the measures taken by the UAE Central Bank to ensure that banks in the country have enough capital to fall back on when required. “In addition, the banks have already built up capital buffers since the 2008 property crisis that give them some protection against asset-quality problems,” Fitch said.

The new 4 per cent fee effective from October 6, 2013, should help property prices recover at more sustainable levels in Dubai, the agency maintains.

Some estimates suggest that real estate prices in prime areas in the emirate have risen by up to 30 per cent in 2013 to date, after falling by over 60 per cent from their 2008 peak. The higher fees go some way towards helping to prevent excessive speculation, particularly where a high proportion of purchases and sales are purely cash driven.

From a credit perspective, the UAE Central Bank’s plans to impose maximum loan-to-value limits for residential mortgages that are being finalised would do more to prevent another build-up of asset- quality problems for banks.

Despite the improving economy, signs of a real estate recovery in Dubai and property prices generally rising across the UAE, the banks are still dealing with asset-quality problems from the 2008 crisis, says Fitch, although the asset-quality is definitely improving.

Impaired loans slightly declined to 7.5 per cent on average at end-H1 2013 for the largest nine UAE banks, from 7.8 per cent at end-2012, and largely consist of exposure to real estate and government- related entities (GREs).

“It is likely that non-performing loans have peaked,” Fitch said in its report, adding that “the more upbeat operating environment and a return of market confidence in the UAE should prevent any further wide-scale asset-quality deterioration in the short term.”

Nevertheless, the ratings agency maintains that there remain some uncertainties for the property sector in Dubai, particularly outside prime areas. “Oversupply in the real estate sector as projects are completed could lead to asset-quality issues, but we expect the medium- to long-term nature of major new projects to reduce this risk,” it noted.

Debt restructuring of troubled Dubai-based GREs is progressing, but further actions cannot be ruled out, so this could add to impaired loans, the agency said.

However, it added that, “in the long term, we believe planned regulations to restrict loan concentration to GREs would benefit banks; credit profiles. Compliance may take time for some banks with high concentrations.”

Overall, UAE banks remain profitable, despite the asset-quality issues. “We believe that pre-impairment operating profit is able to absorb high credit costs. Fitch core capital ratios have also strengthened, to 13.8 per cent on average for the nine largest banks at end-H1 2013, well above the end-2008 level of 10.7 per cent. This provides a solid cushion against asset-quality deterioration.” Source: Emirates Business 24/7 Back to Index

DUBAI WORLD CENTRAL IN INVESTMENT SURGE

THURSDAY 24 OCTOBER 2013

The Dubai World Central is starting to get a lot of traction and it is not just confined to airlines launching flights from the emirate’s new aviation hub.

The master-development is garnering attention for its commercial space, with multinationals making a beeline for prime space there, according to a new report on Dubai’s commercial realty prospects by Knight Frank. “With the Dubai World Central HQ building now near full occupancy, including global FMCG corporations such as Nestle, occupiers are starting to consider available space within the surrounding business park buildings,” the report noted.

And as the countdown nears for the Expo 2020 host city announcement next month, “Investors, developers and occupiers are beginning to look at Dubai World Central as a potential hub of activity,” the report said.

Also, “With Dubai Airports’ CEO Paul Griffiths recently raising questions over the long-term future of the existing Dubai International Airport, Dubai World Central is well placed to benefit from the potential shift in activity southwards.”

It is not that all of the pull for corporate tenants in Dubai is headed towards DWC. Office properties in existing commercial hubs are feeling the benefits of all-round improvement in tenant demand. Sure, the multiple strata ownership remains an issue, but even here the Knight Frank report suggests clear demarcations are starting to appear.

“While corporate occupiers continue to consider strata title buildings, the associated complexities mean that they prefer those that are solely owned,” the report said. “Smaller, start-up occupiers, however, see strata accommodation as a viable and cost-effective option.”

New clusters are also being created to help out the small-occupier tenant base. In Business Bay, the recently launched Dubai Design District is starting to take shape as a future commercial destination, for aspiring fashion mavens and those who have just set out to make a name for themselves.

And if anyone needed confirmation that real estate is and will remain a waiting game, the Knight Frank report duly points out: “Developers who have persisted and delivered high-end projects in established business districts are now looking to capitalise on current and future occupier demand.”

Does all this mean that Dubai’s commercial realty is finally ready to play catch up with the residential?

“Empirically speaking, commercial prices always tend to follow residential real estate prices with a lag,” said Sameer Lakhani, managing director of Global Capital Partners, a consultancy. “This relationship has been observed in developed markets as well. In the US and UK, the lag has been 12 to 18 months.

“The surge in residential real estate prices clearly implies that commercial prices are expected to follow, and we have already started to witness this, particularly in the free zone area of JLT. Quite clearly, the commercial segment was witnessing a larger overhang in supply in Dubai, and we see that supply is now being absorbed; as reflected in steadily higher occupancy rates over the last 12 months.”

According to Lakhani, areas like JLT have witnessed a near 50 per cent increase in occupancy rates, a process accelerated by the creation of more small and mid-sized businesses. In Dubai, the development of free zones have been pivotal in harbouring an influx of new businesses in the region, as reflected in the superior growth rates of business formation as compared to onshore Dubai,” Lakhani said. “The DMCC free zone is now the largest such in the UAE with a 50 per cent year- on-year growth, as compared to 15 per cent in DED (Department of Economic Development) areas.” Source: Gulf News Back to Index

TDIC ANNOUNCES MAIN CONTRACTOR FOR CRANLEIGH ABU DHABI

SUNDAY 27 OCTOBER 2013

The Tourism Development and Investment Company (TDIC), has awarded the main construction work of its school, Cranleigh Abu Dhabi, which is set to open on Saadiyat Island in 2014, to U.A.E.-based Al Tafseer Contracting and General Maintenance Company.

Marking another important milestone in the development of Saadiyat’s educational portfolio, this demonstrates TDIC's commitment to develop high level education in Abu Dhabi.

Al Tafseer is scheduled to deliver the first phase of Cranleigh Abu Dhabi in time for the start of the academic school year in 2014, which includes building of the junior and senior schools, the dining halls, and the sports and swimming facilities by the end of July 2014. This comes following the completion of all piling and enabling works on site of the development.

Cranleigh Abu Dhabi will be introduced to the Abu Dhabi community during a launch event on November 12th, 2013 at the St. Regis Saadiyat Island Resort, which will showcase Cranleigh’s 147 years of educational excellence and what it will be bringing to the Emirate.

Cranleigh Abu Dhabi, which is based on the ethos and curriculum of Cranleigh School, a leading UK independent school founded in 1865, will be the first school campus on Saadiyat. Built over seven hectares of land, it will have a capacity to accommodate more than 1,600 students. In addition, it will host co-educational facilities comprising separate Junior and Senior schools with each housing its own classrooms, faculty offices, administration offices, dining hall and library.

"I am delighted that our ground-works are completed and that we are now building what will undoubtedly be one of the most impressive school campuses in the country. Admissions will open in November 2013 for children aged three to 14, and we are looking forward to opening our doors to them in September 2014 as scheduled," said Brendan Law, Director of Education at TDIC.

Cranleigh Abu Dhabi will be one of the premier educational institutions located on Saadiyat, which include prestigious facilities like New York University Abu Dhabi, scheduled to move to its new island home in 2014, and Redwood Saadiyat Nursery by Kids First Group, due to open by the end of this year, thus providing all educational levels from pre-school to university on the island.

Located next to Manarat Al Saadiyat and the U.A.E. Pavilion in the Saadiyat Cultural District, Cranleigh Abu Dhabi will also offer boarding facilities, a first for the emirate. Various boarding arrangements in purpose-built houses - separate for males and females - will be offered, including full-boarding as well as individualised day and weekly boarding options.

Cranleigh Abu Dhabi’s first-class facilities will complement the refined nature of every project on Saadiyat, including the surrounding world-class educational and cultural institutions, such as the inspirational museums designed by Pritzker Prize-winning architects which will open starting with the Louvre Abu Dhabi in 2015, followed by the Zayed National Museum in 2016 and Guggenheim Abu Dhabi in 2017. Source: WAM Back to Index

ABU DHABI TO DEMOLISH 250 OLD BUILDINGS TO BOOST IMAGE

SUNDAY 27 OCTOBER 2013

Hundreds of buildings are to be razed in Abu Dhabi as the UAE capital looks to smarten up its image.

The municipality has ordered the demolition of more than 250 structures in various parts of the city because they no longer meet building standards.

Many of the buildings, which include residential and commercial tower blocks and villas, were built in the 1970s.

Abu Dhabi Municipality told 7DAYS it had already knocked down 56 buildings over the past two years and is now planning to demolish 200 more over the next three years.

"We are getting rid of these buildings because they are too old and lack safety standards," said Abdul Aziz Zurubi, head of the environment, health and safety division.

Most of the buildings lack the minimum level of health and safety specified in the Abu Dhabi building code.

"Some of these buildings were set up badly in a way that makes them consume a lot of electricity," added Zurubi.

The official added: "Other buildings are of poor quality and cannot easily be maintained," said Zurub.

The move is part the Abu Dhabi 2030 plan, which aims to improve quality of life in the capital.

Zurub said the municipality was reviewing all buildings to ensure they conform to the vision for 2030.

"We look at things like safety standards, materials used in setting up a building, electricity and water consumption, air conditioning system and others," he said.

He said owners of buildings that fall short of regulations are told to clean up their act. In the case of demolition, the owner is given at least 18 months to evict tenants and make arrangements to knock down the structure.

"We don't do the demolition ourselves. It is the job of the owner to get a registered contractor and knock down the building. Our part is only to give instructions and provide safety measures to be followed in the demolition process," said Zurubi.

Demolition measures include protection for workers and pedestrians, as well as nearby buildings.

They must also minimize dust emissions.

A Dhs40,000 fine is imposed on contracting firms that fail to comply with the rules. Source: 7Days Back to Index

HIGH DEMAND FOR LUXURY PROPERTIES

FRIDAY 25 OCTOBER 2013

The demand for luxury properties in the country is on the rise, according to Qatar's leading property portal "propertyfinder.qa".

The portal's 2013 Quarter 3 report released yesterday noted that for the third consecutive quarter this year, The Pearl emerged as the most searched location for buyers in the country.

The top five most searched locations remain the same since the last two quarters with The Pearl leading the front followed by West Bay, Al Waab, Abu Hamour and Al Sadd. Taking seventh spot last quarter, Al Sadd has moved up two places to secure the fifth position. Featuring high-end apartments and villas, the locality has some of the best cafés, restaurants, hotels and stores in the city. While Al Gharrafa did not make it to the top 10 this time, Mushaireb made its first appearance on the list this year, garnering close to 4 percent of the property views.

While apartments remained the most searched category among prospective renters, they drew in 62 percent of the searches as compared with 47 percent and 54 percent in Quarters 1 and 2, respectively -- a clear manifestation of the growing housing demand in Qatar.

Real estate prices and rents have risen steeply in 2013 due to the higher numbers of freehold property purchases and the increasing expat population. This upward trend is reflected in the report with the securing of the top spot by the QR2,000,000 -2,500,000 purchase price band this quarter, for over the last two quarters, the most popular price bracket searched to buy was between QR1,500,000 and 2,000,000. "Interestingly, we also see demand for properties with a price tag of QR10,000,000 and more take second spot, followed by demand for homes priced at QR 2.5 to 3m, 1.5 to 2m and 3 to 3.5m.

"The six percent rise since Quarter 1 in interest in properties priced QR10,000,000 and more is a good indicator of the increasing market confidence in Qatar's property market, with over $100bn invested in new projects including residential, commercial, retail, and hospitality developments as part of the build up towards the 2022 World Cup," commented Monsi Rabah, Country Manager, propertyfinder.qa Source: The Peninsula Back to Index

DUBAI'S WORLD EXPO 2020 WIN TO ACCELERATE OFFICE SPACE DEMAND

FRIDAY 25 OCTOBER 2013

Dubai winning the bid to host World Expo 2020 will further accelerate demand for office space, which has gained momentum from early this year, according to a new report.

"Over the next year, we anticipate that office occupier demand will continue to rise. But development activity should also quicken, which in turn should keep rents fairly stable," Knight Frank, a UK-based global real estate consultancy, said in its third quarter office market update.

"In the longer-term, if the emirate is awarded the 2020 World Expo, the office sector may benefit from a general uplift in economic sentiment."

Dubai's strengthening economic fundamentals and improving labour market have supported rise in prime office occupancy rates so far this year.

With economic prospects brightening, occupiers are increasingly looking to capitalise through expansion. That in turn has helped to boost demand for office space, albeit this, for the time being at least, is limited to prime stock.

Although landlords are achieving quoting rents on Grade A office buildings from smaller occupiers, they continue to offer incentives to larger "blue-chip" occupiers in order to secure a reliable income stream.

The Royal Institution of Chartered Surveyors has said that the UAE's commercial property sector is back into the reckoning with growing interest from global occupier and investment segments.

The UAE market topped the Rics Occupier Sentiment Index and is second in the Rics Investment Sentiment Index. These indices are designed to chart how sentiment in various countries has changed compared with the previous three-month period.

On Thursday, the Dubai Chamber of Commerce and Industry (DCCI) said overall business environment in Dubai had boosted the expectation and confidence of business leaders across the emirate in light of Dubai's improved chances of hosting Expo 2020.

The DCCI survey highlighted a highly positive net expectation score of 82 per cent stating that the overall positive expectations are triggered by the general sentiment caused by the bid, which has received a very strong support from the private sector and Dubai companies.

Dubai's GDP expanded by 4.4 per cent in 2012, faster than 3.3 per cent rise registered in 2011. Retail & trade and manufacturing were the biggest contributors to economic growth, adding 1.3 per cent and 0.7 per cent, respectively.

Already this year, Dubai's economy has made a strong start with GDP growth accelerating from 4.1 per cent in the first quarter to 4.7 per cent in the second quarter, Dubai Economic Council data revealed.

- Focus on Dubai World Central

The World Expo 2020 win will put Dubai World Central master development in limelight.

Knight Frank says that investors, developers and occupiers are beginning to look at Dubai World Central as a potential hub of activity as Dubai is currently tipped as the favourite to be awarded the event. The announcement that the passenger terminal is on course to be opened on October 27 is likely to stimulate further occupational interest from service providers and manufacturing firms.

When completed Al Maktoum International Airport will be the largest airport in the world, with five runways and a capacity of up to 160 million passengers.

Jones Lang LaSalle, a global real estate consultancy, said earlier that over half of the total upcoming office space between 2013 and 2015 will be delivered in Business Bay.

The majority of upcoming office space in 2013-2015 will be in Business Bay (56 per cent of total upcoming supply). Other locations that will see new office supply are DIFC (10 per cent), Jumeirah Lake Towers (10 per cent), Dubai World Central (7 per cent) and Dubai Investment Park (5 per cent).

Nearly 312,000 square metres of office space has been delivered in the first half of 2013, more than twice the space delivered in first half of 2012, JLL said. Source: Emirates Business 24/7 Back to Index

MULTIBILLION RIYAL HOUSING SCHEMES UNDER WAY IN JUBAIL INDUSTRIAL CITY

FRIDAY 25 OCTOBER 2013

The Jubail Industrial City is set to make a giant leap in setting up housing schemes employees working for the Royal Commission and industrial companies. Around 14, 000 housing units are being built for Saudi employees at an estimated cost of nearly SR11 billion. The projects are scheduled to be completed in 2016. The Royal Commission made a major achievement two years ago when more than 1,300 housing units were delivered to its employees. The number is expected to increase to more than 2,000 units during the next three years.

Saudi Basic Industries Corporation (SABIC) is currently building about 2,801 housing units. They included 1,762 unites in Jubail Industrial City and 319 in Yanbu Industrial City. The projects are scheduled to be completed by the end of 2016. Similar housing projects are making progress in Jubail. The Saudi International Petrochemical Company (SIPCHEM) is building 354 housing units for its staff in Jubail. Around 376 housing units are under construction for the National Industrialization Company (TASNEE).

Prince Saud bin Abdullah bin Thunayan Al-Saud, chairman of Royal Commission for Jubail and Yanbu, stated that the commission succeeded in pushing forward housing project under the guidance of the wise leadership of the Custodian of the Two Holy Mosques King Abdullah bin Abdulaziz in the creation of a partnership development with the industrial sector to build housing units to employees without profit at cost. The RC Chairman said the strategy of the commission succeeded in providing infrastructure very strong in the fields of health and education.

The Jubail Industrial City with a population of around 107, 000 people, had set up several academic institutions to prepare youngsters to work in the industrial sector. Economic analyst Fadel Albuainain said that the Royal Commission had encouraged the companies and industrial sector to provide housing facilities to employees. "This will boost comprehensive development, encouraging investment, and employees owning houses in areas at high standards." Albuainain said. Source: Arab News Back to Index

AVERAGE RESIDENTIAL RENTS IN DOHA UP 16%YEAR-ON-YEAR

THURSDAY 24 OCTOBER 2013

A lack of supply in the residential market due to increasing expatriate inflow has led to an average annual rental increase of 16 percent, says the latest Asteco Qatar Q3 2013 report.

On average two-bedroom units in The Pearl Qatar development have increased by 9 percent compared with Q2 2013 and 16 percent year-on-year. A two-bedroom apartment now costs on average of upwards of QR14,000 per month, closely followed by similar sized apartments in West Bay, which now command rents of up to QR12,000 per month -- an average increase of 6 percent which has been consistent over the past year.

"Leasing rates have most notably increased in The Pearl Qatar, where availability will continue to be scarce until the completion of a number of new towers currently under construction," said Jed Wolfe, Managing Director, Asteco Qatar.

Availability of good quality villas is also limited, with rental increases apparent in most locations across Doha. On average West Bay Lagoon is now the most expensive area to lease a four-bedroom villa at QR27,000 per month, up 16 percent year-on-year, while Ain Khalid and Al Waab saw annual increases of 18 percent and 15 percent, respectively.

"The expatriate influx has also driven further demand for serviced apartments, where occupancy levels have increased from long-stay guests," added Wolfe.

Increasing rents in the freehold zones have led to an increase in expatriate tenants looking to purchase and a resurgence in investor appetite. Direct and resale prices in the Porto Arabia-Pearl increased 7 percent and 9 percent respectively, while direct and resale values for properties in Viva-Bahriya-Pearl were up 6 percent and 3 percent.

"According to figures from the Ministry of Justice, the number of sales transactions fell from Q3 2012, however, the overall value of transactions increased, indicating an increase in average property values," said Wolfe.

In the commercial sector, a significant number of property deals have been agreed for office buildings in West Bay, which will lead to a decrease in availability of prime office space in the area, potentially driving rents upwards for the remaining space available.

"The average price per square metre per annum in West Bay is QR185, which is still 5 percent lower than Q3 2012, but significantly it is 9 percent higher than Q2 2013," said Wolfe.

Although evidence should suggest that most of the demand for office space is for smaller sized office suites in West Bay, in light of increasing occupancy levels, many landlords are reluctant to enter into negotiations with potential tenants unless they consider taking up an entire or at least half a building.

Most of the remaining available office building space is either to shell and core standard, awaiting government interest, or below the standards required by most tenants, especially offices in secondary locations. Source: The Peninsula

Back to Index

UAE INFLATION SET TO RISE BUT STAY MANAGEABLE -ANALYSTS

WEDNESDAY 23 OCTOBER 2013

Figures released on Wednesday suggested inflation in the United Arab Emirates will creep higher in coming months, fuelled by a strong revival in Dubai's property sector, but a return of double-digit inflation rates still looks unlikely.

Consumer prices in Dubai rose 1.9 percent from a year ago in September, the fastest pace since December 2009, government data showed. Inflation was up from 1.7 percent in August.

In neighbouring Abu Dhabi, the biggest economy in the UAE, inflation accelerated to 1.8 percent in September, the highest level since April 2012, from 1.4 percent in August.

In Dubai's case, higher inflation was driven by a jump in housing and utility costs, which account for almost 44 percent of consumer expenses in the emirate.

Those costs rose 2.9 percent on an annual basis, the sharpest increase since January 2009 - before a crash in Dubai's real estate market triggered corporate debt problems which drove the emirate to the brink of default later that year.

But analysts said the data did not necessarily indicate an inflation problem was building again in the UAE. Housing construction projects now underway may ultimately restrain the rise in rents, capping inflation, they said.

Some argued that inflation was merely returning to normal levels after a period of being artificially depressed by the aftermath of the real estate crash.

"Inflation is rising from abnormally low levels," said Giyas Gokkent, chief economist at National Bank of Abu Dhabi.

"I see UAE annual inflation remaining in low single digits, but continuing to gradually edge up. The primary driver appears to be the recovery in rents for now."

BUBBLE

A surge of inflation could be awkward for the UAE because its dirham currency is pegged to the U.S. dollar, making it hard for the UAE central bank to tighten monetary policy while U.S. interest rates remain very low.

Dubai experienced record inflation of 10.8 percent in 2008, just before its property crash. Property consultants say apartment rents and prices in many parts of the emirate have surged more than 20 percent in the past 12 months, implying the official consumer price index may understate the inflationary pressure caused by rising rents.

"There are clearly price pressures that are not being captured by the CPI, most notably the rise in housing costs," said Liz Martins, HSBC's senior Middle East economist.

The Internation Monetary Fund warned in July that Dubai might need to intervene in its property market to avert another boom-and-bust cycle.

"Managing the pace of economic growth and its impact on inflation would be a key concern," Martins said. Dubai's population of 2.2 million is growing at a rapid annual rate of about 5 percent, according to a government estimate.

But Martins added that the rise in Dubai's inflation so far was to a large degree natural given the strength of its trade- and tourism-based economy, which has prospered in the past two years as the scars of the property crash have faded.

"With a stronger growth environment, a looser fiscal policy and a banking sector which is beginning to extend credit once again, we would expect to see inflation pick up," she said.

Over the past 12 months property developers in Dubai have been dusting off stalled building plans and drawing up billions of dollars worth of new ones, and the new supply this will create may slow rent increases in future.

"I do not think we will see double-digit inflation because the 2005-2008 period was a really exceptional one, in the sense that there was a massive housing shortage," Gokkent said.

"It is not likely that there will be a shortage any time soon in the housing sector, and even if there was you have a rent hike cap," he said, referring to government rules designed to protect tenants from sudden, rapid rent increases.

The UAE statistics office has not yet published September inflation data for the whole federation. National inflation remained steady at 1.3 percent between June and August.

A Reuters poll of analysts last month forecast average UAE inflation would accelerate to 1.5 percent in 2013 and 2.3 percent in 2014 from 0.7 percent in 2012, which was the lowest level since 1990. Source: Reuters Back to Index

ARABTEC CONSTRUCTION AWARDED FINAL PHASE CONTRACT FOR THE AED 550 MILLION TIARA HOTEL ON PALM JUMEIRAH

WEDNESDAY 23 OCTOBER 2013

Arabtec Holding PJSC, a leading engineering and construction Group specialising in complex projects in the Middle East and North Africa region, announced today that its subsidiary, Arabtec Construction, has been awarded a contract for construction of the final phase of Tiara Hotel on Palm Jumeirah.

The 332-room hotel project comprises two mixed use towers, including a dedicated 216-room hotel as well as 116 residential apartments. The earlier phases of the AED 550 million project were executed by Arabtec Construction , and work on the final phase, valued at AED196 million, will begin in the 1st quarter of 2014 and is expected to take up to 18 months to complete.

Hasan Abdullah Ismaik, Managing Director and CEO of Arabtec Holding, commented: "This project is further addition to Arabtec’s high profile backlog of hospitality projects in the UAE and across the region. Arabtec’s appointment to build The Tiara Hotel project on Palm Jumeirah confirms our status as the contractor of choice for a wide range of hospitality projects and it further demonstrates our unique capabilities in delivering best-in-class mixed use developments."

Ismaik added: "With scores of hotel projects already completed and six in progress, Arabtec stands out as a strong contributor to the development of world-class hospitality industry in the UAE and the MENA region at large."

Designed by Dar Al Handasah (Shair and Partners), The Tiara Hotel is the latest addition to Arabtec’s hotel portfolio which includes Abu Dhabi's iconic landmark: the seven-star Emirates Palace Hotel, as well as a host of towers for world-renowned hospitality brands. Recent contract awards in the United Arab Emirates include the Fairmont Hotel Abu Dhabi and Serviced Apartments and a 5-star hotel and serviced apartments tower located in the Business Bay district of Dubai.

Arabtec is also leading the construction of a number of hospitality projects across the Middle East, including four international hotels managed by Jumeirah International and Starwood Hotels and Resorts World in Jordan's Saraya Aqaba, and the Nile Towers, a 23-storey twin-tower project comprising a Hilton Hotel and luxury apartments in Cairo. Source: Press Release Back to Index

SAUDI CONSTRUCTION SECTOR POISED FOR GROWTH AS SR 487.5 BILLION ALLOCATED FOR HOUSING AND INFRASTRUCTURE DEVELOPMENT

WEDNESDAY 23 OCTOBER 2013

With the recent announcement of the Saudi Government to allocate a social benefit package of SR 487.5 billion for the development of housing, infrastructure and transport in the Kingdom of Saudi Arabia, the construction sector is set to see a surge driven by increasing private and public investments. The government has earmarked a total of SR 247.5 billion for housing development and SR 61.875 billion for transport expansion while an estimated SR 7.5 billion has been allocated to road projects under construction. Moreover, the General Authority of the Civil Aviation of Saudi Arabia has set aside a fund of SR 2497.5 million for construction of 34 airports across the Kingdom in the next five years and a budget of SR 101.25 billion has been approved for the rail projects that are either underway or at the bidding phase.

Celebrating its silver jubilee as the region's premier construction show, Saudi Build 2013 - the 25th international construction technology and building materials trade exhibition - will be a perfect gateway to explore the lucrative Saudi construction sector as the exhibitors display latest technologies, machineries and equipment as well as offer complete business solutions to real estate agents, contractors and developers. The 25th edition of Saudi Arabia's largest business-to-business construction fair will run from November 4 to 7, 2013, at the Riyadh International Convention and Exhibition Centre.

Zeyad Al Rukban, Deputy General Manager, Riyadh Exhibitions Company, the organizers of Saudi Build, said, "Since its inception a quarter of a century ago, Saudi Build has been the foremost construction show in the region offering a platform to both exhibitors and visitors to leverage business opportunities in the region. The 2013 edition will proudly mark 25 years of continuous success of the show along with the record growth achieved during the recent years. This year's event promises to be a special celebration as Saudi Build continues to enjoy a strong local, regional and global following, attracting high-profile personalities, decision makers, trade missions and key government officials from all over the world."

Saudi Build 2013 will witness strong local and foreign participation from 28 countries. It is the only construction trade show in Saudi Arabia accredited by UFI, the Global Association of the Exhibition Industry. Supported by diamond sponsor Rajhi Steel, Saudi Build 2013 will showcase the latest products and services related to Building Materials and Equipment, Architectural Finishing Products, Stone, Marble and Granite Products, Construction Tools and Technology, Engineering Services, Infrastructure Materials, and Security and Safety Systems, among others.

Saudi Build 2013 will host two concurrent events: Saudi Build PMV 2013 - The 3rd International Exhibition for Construction Equipment, Plant, Machinery and Vehicle; and Saudi Stone-Tech - The 15th International Stone and Stone Technology & Machinery Exhibition.

Source: Press Release Back to Index

APARTMENT PRICES JUMP 13% IN JORDAN

WEDNESDAY 23 OCTOBER 2013

Average apartment sales rise 13% year-on-year but rental rates remain unchanged due to increased supply and competition among landlords says latest Asteco Q3 2013 research report

Although rental rates in Jordan experienced no significant changes during Q3 2013, apartment sales prices jumped 13% over the past 12 months, says the latest quarterly real estate report for the Kingdom, released by leading UAE-headquartered property management company Asteco.

According to the report, increased supply and competition among landlords has resulted in apartment rental rates remaining relatively unchanged compared to Q2 2013, while year-on-year growth amounted to 3% on average. However the apartment sales market has performed well, with a quarterly increase of 2% contributing towards a 13% rise over the last 12 months.

"Sales prices over the past year in areas such as Abdoun (up 12%), Um Othainah (up 10%) and Der Ghabar (up 10%) saw good demand levels predominantly from Jordanian nationals. Investors seemed predominantly interested in small to medium sized apartments such as studios to two bedroom units, while end users preferred larger dwellings of 250 to 300 square metres," said John Stevens, Managing Director, Asteco Property Management.

To buy an average apartment in Abdoun now costs JOD 1,200 per square metre, however to rent a two- bedroom apartment in the same district would cost a tenant JOD 9,550 per annum, an annual increase of just 3%.

Similar to the residential leasing sector, office rents witnessed no quarterly change on the back of increased supply and limited demand from local companies for small office units. An average office space in Wadi Saqrah would lease for JOD 95 per square metre per annum.

Asking prices for commercial property sales have increased due to the rising cost in construction materials and land; however, there is no evidence to support that units are actually transacting at those levels, said the report. Shemeisani and Sweifieh were showing marginal annual gains of 6% and 3% respectively.

"While demand is predominantly for medium sized units of 150 to 250 square metres, the majority of owners offer larger sizes of 400 square metres and above in the form of half and full floors," added Stevens. Source: Press Release Back to Index

WAREHOUSE RENTALS SET TO CAPTURE MARKET

WEDNESDAY 23 OCTOBER 2013

Cluttons, the real estate specialist with a proven track-record in the Sultanate, yesterday announced the first phase of the upcoming development of high-quality warehousing and light industrial units for the rental market in Freezone Sohar.

This development will cater specifically to the needs of Freezone companies requiring high quality warehousing and light industrial facilities on a leasehold basis and will be completed by December.

The development layout and units have been designed after extensive market research and analysis to determine tenant requirements and benchmarked against similar, high quality warehousing developments both regionally and internationally.

The developer is Al Siraj Logistics (FZC), which has worked closely with the Freezone authority on this project.

Cluttons, the real estate specialist that has a dedicated regional light industrial and warehousing team, has been appointed as the sole marketing and leasing agent for the development. Source: Times of Oman Back to Index

WORLD TRADE CENTER MALL OPENS IN THE HEART OF ABU DHABI

TUESDAY 22 OCTOBER 2013

Aldar Properties PJSC, Abu Dhabi's leading property development, investment and management company, celebrates the launch of the iconic World Trade Center Mall (WTC Mall) on Wednesday 23rd October - offering the capital's residents an exciting new shopping and dining experience with a range of key brand names opening their doors in Abu Dhabi for the first time.

Located in the heart of Abu Dhabi on the site of the old Central Market, the WTC Mall is an all- encompassing cultural district with mid to premium retail, dining and entertainment offers. It houses more than 160 shops, over 20 dining outlets and an eight-screen cinema - all contained within the iconic design and architecture of Sir Norman Foster. Alongside the many external landscaped terraces, the Mall provides a unique retail experience for both residents and tourists alike.

One of the Mall's most significant offerings is the opening of popular British department store, House of Fraser - making it one of the capital's largest department stores with over 170 brands to choose from. Opening for the first time in the Middle East, House of Fraser at the WTC Mall marks the company's first flagship store outside of the United Kingdom and Ireland's 60 outlets.

With a variety of stores and brand names to choose from, the WTC Mall features world-renowned retailers unique to Abu Dhabi such as Karen Millen, BCBG Maxazria, M.Missoni, Rodeo Drive, Gerry Webber, Via Rodeo and much more. Visitors can also explore a variety of delicious dining options for the first time in Abu Dhabi, such as popular burger joints Shake Shack and Fat Burger and P.F. Chang's in addition to established café favourites such as Starbucks, Dome Café, Costa Café and Brioche Doree.

Commenting on the opening of the WTC Mall, Mohammed Al Mubarak, Deputy Chief Executive at Aldar Properties said, "The World Trade Center Mall completes the transformation of Abu Dhabi's historic Central Market area, which was - and now remains - the heart of shopping in the capital. The development also signifies Aldar’s contribution to the forward-looking vision of Abu Dhabi's future, through a place where unique experiences happen."

Talal Al Dhiyebi, Executive Director of Asset Management at Aldar Properties , added, "The World Trade Center Mall is truly a modern interpretation of the historic experience of the Central Market area - one the first and richest heritage and commercial hubs in Abu Dhabi. It is a crucial component of the overall World Trade Center development and an important addition to Aldar’s diversified real estate portfolio in Abu Dhabi. This is yet another example of how the company aims to meet the growing need for high quality retail offerings in the heart of the capital."

Nabil Daud, CEO, Retail Arabia International, which represents House of Fraser in the Region, said, "We are very excited to announce the opening of the first international flagship store of House of Fraser, which marks the beginning of an expansion plan for the brand in the Middle East. Residents and tourists alike will be able to enjoy a unique, new shopping experience in the heart of Abu Dhabi: House of Fraser will bring many new Brands to the city as well as an unparalleled level of services and offerings, which will set a new standard to the Retail experience in the City."

House of Fraser - Abu Dhabi spans 100'000 square feet across four floors with an extensive offering of womenswear, menswear, childrenswear, shoes, accessories, home and beauty departments. It is also

home to a wealth of exclusive and new brands coming to UAE for the first time such as Biba, Linea and Therapy, as well as hosting well known up-market brands including Vivienne Westwood, Versace Jeans, Dirk Bikkembergs, and Carolina Herrera, in addition to an exclusive Hello Kity Spa for mothers and daughters.

The World Trade Center Abu Dhabi is a fully-integrated mixed-use development that comprises five major assets: the WTC Souk with 250 retail outlets, the WTC Offices with 59 floors of premium office space, the WTC Residences with 474 luxurious units, and the WTC Mall. It will also feature a Courtyard Marriott Hotel with 195 rooms and direct access to the Mall and Souk. The development joins nearly 330 World Trade Centers located in nearly 100 countries around the world, which share the common purpose of facilitating and developing two-way, international trade and business. Source: Press Release Back to Index

GCC HOSPITALITY SECTOR GROWTH C ATALYST FOR 2014 ARABIAN TRAVEL MARKET EXPANSION

TUESDAY 22 OCTOBER 2013

The 2014 edition of the Arabian Travel Market will mark significant growth for the region’s largest travel showcase. Due to increased exhibitor demand from a variety of industry sectors, an extra hall has been added to the floor plan, which now exceeds 23,500 square metres of exhibition space.

According to the organisers, Reed Travel Exhibitions, this represents a 5.8% increase in floor space for next year’s event, which will be held from 5th-8th May, 2014 at Dubai International Convention and Exhibition Centre, with newly revealed statistics recording rising demand from Middle East exhibitors up 11%, Europe up 7%, and travel technology and hotels rising by 8% and 7% respectively.

"That the highest growth in floor space is coming from the Middle East is reflected in the growth being experienced in tourism in the region," said Mark Walsh, Portfolio Director, Reed Travel Exhibitions.

The Gulf is also climbing the ranks of the 2013 World Economic Forum Travel and Tourism Competitiveness Index, with the U.A.E. now making the top 30. Qatar and Oman are also improving their appeal rating on the 14-strong country list. This is supported by figures from Dubai’s Department of Tourism and Commerce Marketing (DTCM), which forecasts that the economic value of the GCC hospitality industry will be US$28.3 billion by 2016, through a healthy annual growth rate of 8.1%.

"The U.A.E. is the undoubted tourism leader in the Gulf region, but multi-billion dollar high profile developments and ambitious long term economic diversification plans are also putting neighbouring Qatar, Oman and Saudi Arabia in the spotlight," continued Walsh.

Qatar’s 2022 vision and infrastructure investment agenda and Saudi Arabia’s focus on domestic tourism are creating new tourism hubs as the region’s hotel pipeline reaches 485 hotels (118,535 rooms) according to the latest STR Global Middle East update.

STR Global reports that Oman will see the highest growth, with 4,577 rooms in development, followed by Saudi Arabia, Qatar, the U.A.E., Kuwait and Jordan. A trend towards large scale property development is boosting total room stock, and a number of new upscale brands are entering the region including the recently opened Waldorf Astoria in Ras al-Khaimah and the Anantara Dubai on Palm Jumeirah.

The first Four Seasons luxury resort in the U.A.E. is also scheduled to open by Q4 2014 in Dubai’s Jumeirah Beach district.

A successful Dubai World Expo 2020 bid would also be a major contributor towards tourism growth with up to 25 million visitors (70% from outside the U.A.E.) estimated over a six-month period. This would positively impact GDP by up US$23 billion between 2015 and 2020, according to Bank of America Merrill Lynch research.

"The U.A.E.’s fundamental tourism appeal is already built on a sustainable footing. A successful Expo 2020 bid would accelerate that growth exponentially," added Walsh.

In addition to the increase in exhibition space, building on its successful seminar series, ATM will also add a third seminar theatre to the line-up, with a new ‘Showcase Theatre’ for short workshops and country destination briefings.

Source: WAM

Back to Index

ABYAAR COMPLETES THE CONSTRUCTION WORKS OF HILLIANA TOWER AND SELLS ALL UNITS

TUESDAY 22 OCTOBER 2013

Abyaar Real Estate Development Company has announced the completion of the construction works of Hilliana Tower and completed selling all of the units, also confirmed that the work of the facade and interiors will be within the delivery schedule of the project that is expected to be during the first half of 2015.

In this regard, the Chairman of Abyaar Real Estate Development Company Marzooq Al-Rashdan said: "The Company efforts is currently focused towards the completion of announced projects which reached advanced stages of implementation work, coincide with the recovery of Dubai real estate market, which is considered a safe place for funds flowing from the markets nearby.

Al-Rashdan added: "We have announced the signing of a strategic partnership agreement to develop Hilliana Tower between Abyaar Real Estate Development and Naif Saleh Alrajhi Investment Company that reaches 104 meters and comprising 28 stories"

It is noteworthy to mention that: "Acacia Avenues is the first project in Jumeirah which gives the opportunity for investors to own property. The project was launched by Abyaar in 2007 at a cost of two billion Dirhams as a full-service complex containing 57 villas and seven towers on an area of 94 thousand square meters near the Knowledge Village."

Facilities

Hilliana offers an infinity pool, children's pool, spa, sauna, gym, a sea-view restaurant with a terrace and juice bar. There are also 196 parking spaces including dedicated spaces for the disabled.

Unit details:

Hilliana comprises a total of 174 apartments distributed as follows:

49 studio apartments

50 one-bedroom apartments

75 two-bedroom apartments Source: Press Release Back to Index

ABU DHABI AIRPORTS FIRST MAJOR MILESTONE FOR MIDFIELD TERMINAL BUILDING AHEAD OF SCHEDULE

MONDAY 21 OCTOBER 2013

During a live celebration, Abu Dhabi Airports today announced the placement of the first buttress for the main structural steel arches of the Midfield Terminal Building (MTB), 7 days ahead of schedule. The large base was assembled in front of an audience which included company representatives, contractors and media, to commemorate this key milestone in the construction of Abu Dhabi’s new Midfield Terminal.

Speaking on the occasion, Ali Majed Al Mansoori, Chairman of Abu Dhabi Airports, commented, "The government of Abu Dhabi has graciously bestowed on Abu Dhabi Airports the responsibility of delivering a sustainable, iconic airport terminal building for the Emirate of Abu Dhabi. Achieving this milestone is a significant step along the path of developing world-class airport infrastructure for Abu Dhabi, and its goal of becoming a vital transportation hub for the region. I would like to personally thank the whole team for this proud achievement." Abu Dhabi Airports Chief Executive Officer, Tony Douglas, said, "We are truly proud of hitting this important milestone ahead of schedule as it is a clear indicator of Abu Dhabi Airports unwavering commitment to delivering the Midfield Terminal Building on time and on budget. I commend our team and partners for their diligence, efficiency and strong performance. As we celebrate this milestone today, we reaffirm our commitment to deliver on our promise and inaugurate Abu Dhabi’s new gateway to the Capital City on 17-07-2017." Due to the complexity of the MTB design structure, and in an initiative to support the delivery of this mega project on time, Abu Dhabi Airports carried out a trial phase for the assembly of the buttress steel structure. Several weeks ago, a mock-up of the buttress was assembled at the MTB site, which was visible from the E10 Abu Dhabi-Dubai highway. This trial phase enabled engineers and architects to practice and log the experience, which helped overcome challenges that were faced in achieving this critical milestone.

Earlier this month, Abu Dhabi Airports recorded over 10 million man working hours with zero lost-time injuries during the on-going construction of the MTB. This high level performance was realised through the collective efforts of Abu Dhabi Airports, TCA JV, AECOM, and other involved parties to ensure that the highest health, safety and environment practices are upheld throughout all stages of construction.

The Midfield Terminal Complex (MTC) is destined to become the gateway to Abu Dhabi and the future home of Etihad Airways, the national airline of the U.A.E. The Midfield Terminal Building is the key component of the MTC development programme and will contribute to the long-term success of the aviation sector in the Emirate of Abu Dhabi. In its first year of operation, the planned capacity of the facility is expected to reach 30 million passengers. Source: WAM Back to Index

ALL LAND PLOTS OF BEACH COMMUNITY 2 PHASES ONE, TWO, THREE AND FOUR WERE COMPLETELY SOLD OUT AT AL MUROOJ DISTRICT IN KING ABDULLAH ECONOMIC CITY

SUNDAY 20 OCTOBER 2013

Residential land plots sale of Beach Community 2 at Al-Murooj district in King Abdullah Economic City (KAEC) witnessed huge demand by citizens and investors looking for land plots offered in prestigious locations. All land plots of beach community 2 phase's one, two, three and four were completely sold out at the sales' events recently launched in both cities Riyadh and Jeddah

In this occasion, Mr. Fahd Al-Rasheed - Managing Director and CEO of King Abdullah Economic City, expressed his delight for this great success, saying: "Today we witness another important step in King Abdullah Economic City development journey. We are proud of the new sales record which clearly reflects the buyers and investors trust and confidence in KAEC, and confirms it is the most sought after residential, business and investment destination in all of Saudi Arabia." He went on: "This remarkable success incites us to assure our customers that we are prepared to launch a new land sale which will be announced soon."

Al-Rasheed also pointed that the huge influx of investments in business enterprises and industrial projects resulted in a surge demand on residential accommodation, which KAEC is meeting by offering a wide range of housing solutions that are suitably priced for different income levels within an integrated urban lifestyle.

Al Murooj district is the most prestigious of the KAEC coastal communities. Spread over 4.9 million sqm the district consists of three focal areas: the Al Manazel townhouses; the Golf Communities surrounding an 18-hole golf course; and the Beach Communities. Residents of Beach Community 2 will enjoy a 40 meter wide sand beach complete with a pier, gazebos and seating areas, while the residential properties are supported by a state-of-the-art infrastructure and world-class service facilities.

King Abdullah Economic City is one of the largest and most important private sector initiatives in the Middle East, encompassing a total area of 168 million sqm along the coast of the Red Sea. Through its Industrial Valley KAEC has succeeded in attracting more than 60 national and international industrial companies. Strategically located and with its own seaport, KAEC offers a wide range of housing solutions that are suitably priced for different income levels, which are all supported by a high quality infrastructure and a complete range of services and facilities such as The World Academy School, which is already open with a future total capacity of 2,250 students, and a medical center for primary care and emergency operated by Dr. Soliman Fakeeh Hospital Company. In addition, retail stores have been fully leased and a number of restaurants, cafes, sales outlets and pharmacies are already open.

Source: Press Release Back to Index

PROPERTYFINDER.AE'S LATEST QUARTERLY REPORT REVEALS EMERGING DEMAND IN DUBAILAND AND DUBAI SPORTS CITY

SUNDAY 20 OCTOBER 2013

The latest quarterly report released by propertyfinder.ae, the UAE's leading property portal, has revealed a strong, emerging demand for sale and rental properties in up-and-coming communities such as Dubailand, Dubai Sports City and Jumeirah Village Circle.

With sale prices and asking rents in Dubai's key communities rising and the largest proportion of future stock expected to be delivered in upcoming areas such as Dubailand and Dubai Sports City, demands from buyers and renters in these areas are seeing an upswing.

"International City moved up one place in the list of most searched locations to buy a property in Dubai this quarter. Similarly, Jumeirah Village Circle which figured 18th in Quarter 1 jumped to 7th place this quarter. On the leasing front, Dubai Sports City performed really well, racing ahead from 18th position in 2012 to secure the 11th spot in the top searched rental communities list in Quarter 3, supporting the observation that secondary locations are improving as end users and tenants look to relocate from prime areas to more affordable neighbourhoods," said Renan Bourdeau, Managing Director and Partner, propertyfinder.ae.

With numerous units - approximately 3,400 - added to Dubai's residential stock inventory in communities such as Jumeirah Park, Dubailand and Downtown Jebel Ali in the third quarter, the residential market is seeing robust recovery in tandem with economic growth, improving demographics, government spending on infrastructure, increasing housing regulation and positive investor sentiment.

"With future stock that is expected to hit the market in 2015 also located in emerging neighbourhoods such as Dubai Sports City , Business Bay and Jumeirah Village, demand for sale and rental properties in these communities is likely to continue growing," added Bourdeau. Source: Press Release Back to Index

DUBAI PROPERTY INVESTORS CAN REGISTER TO SEEK STALLED PROJECTS' UPDATE

SUNDAY 20 OCTOBER 2013

Investors asked for passport copies, sales and purchase contract, copy of registration form and application

Investors in stalled projects in Dubai can submit their applications to get updates when visiting the Dubai Land Department (DLD) head office, industry sources told Emirates 24|7.

The department is collecting investor details of stalled project to allow them to get in touch when the project is cancelled, sources said.

Investors need to submit the property owner's passport copies, either the first two pages of sales and purchase contract, or the copy of the registration form and an application to get update on the project with their contact details.

"When we went to the Land Department to get information about a project, we were told to submit our request with the legal department," said an investor, who went to inquire about a stalled project at the Land Department office.

"I was told to submit my passport copy, either the first two pages of the sales and purchase contract, or the copy of the registration form and an application seeking update on the project."

This website had revealed earlier that developers were putting notices of project cancellations in local dailies, a move that had gained pace after the government set up a committee to liquidate and settle claims on cancelled projects.

In July, the Dubai government issued Decree No. (21) of 2013 setting up a special legal committee for the liquidation of cancelled property projects and the settlement of rights disputes related to such projects.

The Real Estate Regulatory Agency (Rera) has said in the past that investors in cancelled projects were notified through email and only if they were registered in the Oqood registration system.

Last month, DLD Director-General Sultan Butti Bin Mejren said they were setting up a new settlement committee to resolve developer-investor disputes.

"The committee will aim to resolves disputes and issue refunds to investors by auctioning the project," Bin Mejren had said.

Rera data reveals that 187 projects have been completed since the beginning of 2009; 253 projects are on hold; 232 projects are likely to be completed in due course.

Each of these 253 registered projects is likely to qualify for either the Tayseer or the Tanmia initiative, as per Dubai government's bond prospectus issued in 2012.

Source: Emirates Business 24/7 Back to Index

ABU DHABI CHASES PRIVATE INVESTORS FOR COMMUNITY PROJECTS

SATURDAY 26 OCTOBER 2013

Abu Dhabi Municipality has announced the launch of tenders which invite private sector investors to develop and operate a strategic network of new community centre projects in the UAE capital.

The tender process is the latest in a series of community centre development projects that the Municipality is rolling out across a range of Abu Dhabi neighbourhoods and districts that will be delivered in partnership with the private sector using a build-operate-transfer (BOT) model.

In a statement, the municipality said the four community centres would "offer encouraging returns on investment".

The new community centres will feature restaurants, cafes and retail outlets alongside Government service counters and community service centres.

They will form an integral part of the communities where they will be located in Al Wathba, Al Rahba, Al Falah and Mohammed bin Zayed City, the statement added.

The three neighbourhood community centres in Al Wathba, Al Rahba and Al Falah will have a built up area of approximately 13,000 sq m, while the district community centre in Mohammed bin Zayed City will have a built up area of 25,000 sq m with an option to develop and integrate the neighbouring outdoor park.

"Our aim is to deliver projects that will enhance Abu Dhabi's districts while fitting in seamlessly alongside existing and planned developments," said Rashed Bin Ali Al Omaira, advisor investments and assets for the general manager's office at Abu Dhabi Municipality.

"The community centre tenders provide an exciting opportunity for the private sector to help deliver first class community projects that offer a sustainable return on investment and play a major role in enhancing the lives of residents and visitors alike"

He said community services will comprise facilities such as a library, learning centre, customer services counters, crèches or nurseries and a health club.

Each community centre will be pedestrian-oriented and where possible be will be linked to mosque facilities.

Using a BOT model, approved developers will be granted rights to utilise Municipality land through a Musataha agreement for a period of 30 years to develop and operate the community centres. Source: Arabian Business Back to Index

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