There are high hopes for the region’s property market after a dramatic reversal in fortunes over the past two years
In mid-November, investors packed into Dubai’s Coca-Cola arena for the official launch of another record-breaking skyscraper for Dubai: the 116-storey Burj Binghatti Jacob & Co Residences, the world’s tallest residential building.
The launch (pictured above) of such an ambitious project was the clearest sign yet of a dramatic return to form for Dubai’s real estate sector, which over the past five years has struggled to regain the swagger it had when developers appeared to be constantly launching tall towers and reclaimed islands.
The Burj Binghatti project would have been unthinkable in early 2020 when Dubai was locked down during the Covid-19 pandemic, and there were reports the population had declined by up to 8 per cent due to expatriates losing their jobs and returning home.
The market was in bad shape leading into the pandemic. Property prices in Dubai fell in late 2014 and quarterly declines and concerns of oversupply remained a persistent theme until the first half of 2021, when the market recorded the first two consecutive quarters of meaningful gains since early 2014.
The first signs of the market turning came when the UAE ended its curfew measures in May 2020. That week property companies reported a surge in enquiries. While the initial rush could have been explained by the lack of activity during the previous two months, the momentum continued. Read more
Click here for more details on the January 2023 edition of MEED Business Review.
MEED's January 2023 cover story package includes:
> MEED BUSINESS REVIEW | Read the magazine
> COVER STORY | Dubai real estate returns
> EXCLUSIVE: Saudi Arabia plans 2km megatall tower in Riyadh
> RIYADH 2km TOWER | Saudi tower tops GCC list of 1km-plus megatall towers
> COMMENT | Real estate offers stable returns
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