Abu Dhabi Economic Vision Dims in Dubai-Like Property Slump
31.12.69
(Add’s Sorouh cost cuts in second-to-last paragraph.)
Nov. 3 (Bloomberg) -- Abu Dhabi, the emirate that bailed out Dubai in 2009, set out to avoid the pitfalls suffered by its Persian Gulf neighbor with a decades-long plan to replace oil revenue with industry and tourism as drivers of growth.
Now those plans need to be scaled back as companies behind some of the sheikhdom’s biggest developments cut jobs and postpone projects, said Ghassan Chehayeb, associate director of research at Dubai-based Exotix Ltd. Delays include beach-front apartments, the first office building that makes more energy than it uses and branches of the Louvre and Guggenheim museums.
“Abu Dhabi has to face the economic realities,” Chehayeb said. The emirate’s plan “was a little too ambitious and they’re realizing now that many of those projects might not make as much economic sense as they initially thought.”
Property prices in Dubai | World of Property & Real Estate
The property prices are rising at daily basis in Dubai. The real estate and property dealing service are going to the decline due to the rising prices of property. It is really financial issue for the Dubai economy, the increasing prices of Dubai. It is almost impossible for a middle class person living inside or outside Dubai to buy any property and most of the people working in Dubai are middle class because they are hired from such under developed countries like India, Pakistan, Bangladesh etc. they can not afford to live in Dubai now and are shifting back to their countries or other sides. But if you have money, and you want to buy a property in Dubai , it is a good opportunity for you to buy a house or property in Dubai because in spite of all the facts disturbing the mediocre, Dubai is still a blessing for rich people who can invest and earn lots of profits in the business of property dealing. This is one of the reasons that investment in properties of Dubai is still going on and people are buying and selling their property to earn profits. But the market consistency in Dubai is not acceptable via this condition because increase in prices has affected much to people living in Dubai. The rents of shops, malls and plazas are increasing as well and they are rising the prices of every day products and almost everything has grown up due to the rising prices of properties through out in Dubai. And due to the high prices it is affecting purchasing power of ordinary people who are now going back to their homelands or other countries to live and settle a good life there. People concerning the property issues must think about the increasing and rising prices of property. They should think about the purchasing powers on individual basis and try to make some policies to solve the rising prices issue of real estate in Dubai. But if this issue is not taken seriously, Dubai can face a real problem which can directly affect the economy of the city and people living in it.
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14, wiping out a rally sparked by Abu Dhabi's bailout of Dubai World that day. Bonds of the state-owned company's property developer Nakheel PJSC sank to 56 and more »
PRICE FALL: Ajman real estate saw a major decrease in price last year. (ITP Images) Property prices in the UAE's northern emirates have fallen by more than and more »
The HinduCB Richard Ellis' figures show residential property prices also fell sharply, with rental rates down about 40 percent over the previous year. Real Estate Firm Sees Few Signs of Dubai ReboundDubai residential rent rates down 41%Dubai Rental Rates Plummet in Q4 -all 121 news articles »
PROPERTY MARKET: Khalaf Al Habtoor sees real estate prices in Dubai rising by 10 percent in the next three years. (Getty Images) Property prices in Dubai and more »