week 14 - asteco

Week 14 SUNDAY, 07 APRIL 2019

ABU DHABI | AL AIN | DUBAI SHARJAH | JORDAN | KSA

© Asteco Property Management | 2019 | asteco.com

34+ YEARS IN THE MIDDLE EAST

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ASSET MANAGEMENT SALES LEASING

VALUATION & ADVISORY BUILDING CONSULTANCY OWNER ASSOCIATION

REAL ESTATE NEWS

UAE / GCC / MENA

MENA 2020 GROWTH TO ACCELERATE TO 3.4% ON REFORMS, WORLD BANK SAYS

UAE CONSTRUCTION MARKET SAID TO BE WORTH OVER $1TRN

CATCHING THE UAE’S ‘SILVER DOLLAR

MIDDLE EAST INVESTORS SEEK TO HEDGE RISK THROUGH PORTFOLIO

DIVERSIFICATION, LOMBARD ODIER SAYS

FIRST 'PROPTECH' COMPANY ESTATER LAUNCHES IN BAHRAIN

SHAZA'S MYSK HOTEL BRAND PLANS SAUDI DEBUT

DUBAI

PROPERTY PRICES STABILISE IN DUBAI EXPAT HOTSPOTS DURING Q1

HOW DUBAI'S BIG NAMES DOMINATED PROPERTY SALES IN EARLY 2019

DUBAI DEVELOPERS LOG IN POSITIVE RESIDENTIAL SALES IN 2019

UAE'S SOBHA REALTY POSTS RECORD $136M SALES IN Q1

EMAAR CONFIRMS ELIE SAAB DESIGN PARTNERSHIP AT DUBAI PROJECT

DANUBE PROPERTIES SALES SURGE 78.5% IN 2018

LATEST LA RIVE RESIDENTIAL UNITS SOLD OUT

W HOTELS BRANDED RESIDENCES TO MAKE MIDEAST DEBUT IN DUBAI

CONSTRUCTION OF PHASE 4 OF GIANT DUBAI SOLAR PARK 'ON TRACK'

RTA SIGNS DH680M DUBAI METRO CONTRACT EXTENSION WITH UK’S SERCO

WASL LINK LAUNCHED IN MUHAISNAH

POST-EXPO EFFECT ON DUBAI REALTY WILL BE GREATER

DUBAI DEVELOPERS PUSH POST-HANDOVER PLANS EVEN ON READY HOMES

MORE FIRST TIME BUYERS SAID TO ENTER DUBAI PROPERTY MARKET

DUBAI'S NAKHEEL DISMISSES 'UNFOUNDED' CLAIMS OVER NIGHT MARKET




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REAL ESTATE NEWS DUBAI’S DRAGON MART ADDS EXTRA PARKING AS SHOPPER DEMANDS GROWS

OPINION: THE PROFOUND IMPACT OF BLOCKCHAIN TECHNOLOGY ON THE REAL

ESTATE SECTOR

WHAT IF THE DEVELOPER HAS NO ESCROW ACCOUNT?

ABU DHABI

ABU DHABI PROPERTY PRICES, RENTS FALL MARGINALLY DURING Q1

ABU DHABI'S ADNOC DISTRIBUTION IS OPEN TO ACQUISITIONS AS IT PURSUES

GROWTH

DEVELOPER MIRAL REVEALS YAS BAY CONSTRUCTION PROGRESS

NEW ABU DHABI ENTERTAINMENT HUB SET FOR 2020 COMPLETION

ABU DHABI REVEALS PLAN FOR MEGA NURSERY TO BOOST CONSERVATION

ABU DHABI FUND FOR DEVELOPMENT FACILITATED DH16.5BN OF DEALS FOR UAE

COMPANIES

INTERNATIONAL

PROPERTY FINDER BECOMES LARGEST SHAREHOLDER IN TURKISH REAL ESTATE

PORTAL

LEBANESE BANKER WINS APPROVAL TO BUILD LONDON'S CONTROVERSIAL TULIP

TOWER




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MENA 2020 GROWTH TO ACCELERATE TO

3.4% ON REFORMS, WORLD BANK SAYS Monday, April 01, 2019

Economic growth in the Middle East and North Africa is set to accelerate in 2020 on the back of reforms,

particularly in Egypt and the Arabian Gulf, despite lower per-capita gross domestic product, according to the

World Bank.

Mena growth in 2020 is forecast reach 3.4 per cent up from 1.5 per cent in 2019. Regional growth this year is

projected to be slower than 2018’s 1.6 per cent because of a weaker global economy and financial-market

volatility, the Washington-based lender said.

“The expected upswing [in 2020] from previous growth is partially driven by ongoing policy reforms to diversify

the economy and strengthen the business environment,” the bank said. “However, Mena’s modest recovery will

be insufficient to change its long-standing low growth in per-capita GDP. External factors by themselves are

unlikely to be able to pull the region out of its growth doldrums.”

The Gulf and Egypt are undertaking various reforms to help buoy growth, lower the fiscal deficit and attract

investments. In the Gulf, three countries have introduced 5 per cent VAT, some have increased their energy

prices, while implementing other measures to contain the budget shortfall.

Egypt has undertaken reforms as part of a $12 billion aid package provided by the International Monetary Fund.

These measures include devaluing the pound in 2017 and raising energy prices.

“We’re challenging the region to embrace ambitious reforms,” said Ferid Belhaj, World Bank vice president for the

Middle East and North Africa region. “There’s an urgency today for reforms to improve productivity and

encourage innovation and competition. We see that the countries that have taken difficult measures to

implement policy reforms are the drivers of economic growth in Mena today.”

Mena countries should be growing at least at twice the rates they currently do, according to Rabah Arezki, World

Bank's chief economist for the Mena region and lead author of the report.

Despite their economic diversification efforts, energy-rich Gulf region need to implement additional reforms to

offset oil price fluctuations and cope with a lower oil price environment compared to the highs of 2014, when oil

prices topped $100 a barrel. Though half of the Gulf economies grew faster than their peers during 2011-2014, all

of them are forecast to expand at a slower rate than a typical high-income country during 2018-2021, the bank

said.

Growth in the Gulf is forecast to reach 2.1 per cent in 2019 and 3.2 per cent in 2021, up from 2 per cent in 2018

and compared to a 0.2 per cent contraction in 2017 that was sparked by oil production cuts and lower crude

prices.

“The revival of growth is partly and indirectly the result of policies that reduced the GCC’s reliance on oil revenues,

the bank said. “Capital expenditure plans have been adopted by GCC countries that can afford it.”

In its record 2019 budget, Saudi Arabia, the Arab world's largest economy, will increase capital expenditure year-

on-year by 20 per cent to 246 billion riyals which will help to finance initiatives under Vision 2030 transformation

initiative.




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Egypt is forecast to be one of the fastest growing economies in Mena, with the growth rate in 2019 reaching 5.5

per cent, the strongest expansion since 2008.

The economy is benefiting from an uptick in gas production, a resurgent tourism sector and higher government

investment spending.

“Because rising revenues from VAT and income taxes have outpaced expenditures and subsidies have been cut

several times, the fiscal deficit in Egypt has been narrowing for the past two years,” the World Bank said. “The

improvement in the fiscal accounts, however, has also been aided by the improvement in growth itself. This

synergy between growth and fiscal reforms is expected to continue in the near term.”

Source: The National

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UAE CONSTRUCTION MARKET SAID TO BE

WORTH OVER $1TRN Monday, April 01, 2019

About 28 percent of the UAE's construction projects are currently on hold, according to research by Protenders.

It said that the total value of the UAE construction sector is $1.01 trillion, with $284.7 billion on hold, without

giving reasons or a comparative figure.

The research also revealed that $420.1 billion worth of projects are currently under construction, making up 42

percent of the total.

It added that $80.8 billion of projects are in the planning phase (8 percent), $152.7 billion are in the design phase

(15 percent) with $72.6 billion at the tendering stage (7 percent).

Of the ongoing projects, Protenders said urban buildings make up 57 percent of the total development ($238.3

billion) while oil and gas projects make up 24 percent ($100.5 billion) and infrastructure represent 19 percent

($81.3 billion).

Of the upcoming $306 billion of projects, Protenders said that urban make up 42 percent, infrastructure 38

percent, oil and gas 20 percent.

The report also identified the top five developers in the UAE, according to the value of their projects. It named

Abu Dhabi General Services (Musanada) as the top developer, with 27 percent of the total value of the

construction pipeline, followed by Emaar Properties (25 percent), Adnoc (22 percent), the Roads and Transport

Authority (21 percent) and Abu Dhabi Department of Transport (18 percent).

Last month, Dubai Municipality said that it approved 29,000 building permits in 2018, while 6,043 buildings were

completed last year.

Dawoud Al Hajri, director general of Dubai Municipality said that the total area of construction completed in 2018

was 100 million square feet, which is a 6 percent increase in Dubai's urban construction sector compared to that

of 2017.

The municipality also said it approved the registration of 802 new contracting companies of different types in

Dubai.

Source: Arabian Business

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CATCHING THE UAE’S ‘SILVER DOLLAR’ Thursday, April 04, 2019

With the under-35s accounting for more than half of its population, the Middle East and North Africa region has

focused on supporting its youth with education and jobs.

But the UAE – one of the most developed nations in the region – has set itself a new goal: to retain its sizeable

cohort of maturing expatriates, who may otherwise take valuable skillsets - and spending power - elsewhere.

Until now, expatriates could only stay in the UAE without a job if they were sponsored by their spouse or other

entity, giving them little incentive to retire in the country. Last September, in a ground breaking move, the UAE

Cabinet approved legislation to offer retiring residents aged 55 and over special five-year visas, with the option of

renewing for a longer period of time if certain criteria are met. The law was scheduled to take effect in 2019,

although the government has not specified when.

To apply for the retirement visa, the candidate must have one of the following – an investment in a UAE property

worth Dh2 million or more; financial savings of Dh1m or more, or an active income of at least Dh20,000 per

month. Around 80 per cent of the UAE’s 9.4 million population are expatriates, according to 2017 statistics.

While the new visa has yet to be introduced, experts say it could stimulate a fresh wave of economic activity in the

UAE as businesses, including Abu Dhabi state-owned developer Aldar Properties and HSBC Middle East, seek to

cash in on a powerful "silver dollar".

“Globally, the over-50s have a disproportionate amount of wealth because they have known a golden age of

economic growth [prior to the two deepest world recessions of 1990 and 2009],” says Meret Gaugler, co-portfolio

manager for Swiss private bank Lombard Odier’s (LO) Golden Age funds, which sit within the bank’s investment

management division and invest in companies targeting the ageing population.

“The UAE, with its warmer climate, advantageous geography and high per capita wealth, is very well placed to tap

into this lucrative market and people are starting to realise that the silver economy could really gain traction

here,” she tells The National by telephone from Switzerland.

It is early days, and LO’s Golden Age portfolio does not yet invest in any UAE or Middle East-based company, she

adds.

The silver economy is the phrase used to describe business activities relevant to the health and consumption

needs of older adults. For Ms Meret, interesting companies include those mainly in the health care, financial

services and consumer industries. For example: health insurance and medical technology; banks and other

institutions with wealth management and diversified wealth planning units; consumer food staples; luxury goods

and leisure; and even premium pet food brands.

The silver economy is essentially the world’s third-largest economy after the US and China, projected by

Euromonitor to reach €15 trillion (Dh61.81tn) globally by 2020. In America, the over-55s were set to account for 70

per cent of disposable income by 2020, said a 2016 report by market research firm Nielsen.

Within the context of sluggish global gross domestic product growth (projected by the IMF at 3.5 per cent for

2019) in recent years, the over-55s have fared better than other age groups – in the US at least. Their average

household income went up by around 75 per cent between 1983 and 2013, according to US data on median

household wealth, while that of households headed by the 35 to 40 age bracket halved over the same period.




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“Because the over-55s benefited from earlier economic booms they’ve had a buffer,” Ms Meret says. “They are

less dependent on underlying economic cycles and are more capable of making steady investments through

market ups and downs.”

In the UAE, with its tax-free salaries and – until the oil price fell in 2014 (it has since recovered to around $69 per

barrel) – generous housing and schooling packages for expats and their families, the over-55s are even more

likely than many other countries to have high disposable incomes and healthy savings and investment pots.

The retirement visa rules have served to “jog people awake” to what could be a rapidly expanding market,

according to Ms Meret.

Aldar Properties is one company that sees increased opportunity from the incoming visa policy.

“We are seeing more customers within the older age bracket, whether they are buy-to-let investors or end users,

and this segment could gain more traction after the new law is executed,” Maan Farid Al Awlaqi, executive director

at Aldar Properties, tells The National.

Aldar is not yet contemplating the development of specialist retirement homes for UAE residents as the

demographic is too small, he adds. Less than 1 million people in the UAE are estimated to be aged above 55,

according to the World Bank.

Nonetheless, the new visa rules are a chance to market Aldar’s existing schemes to a wider client base, boosting

sales. “We are always looking to diversify our customer base and many of our schemes, from a quality and

lifestyle perspective, are very appropriate for this age bracket,” Mr Al Awlaqi says. “People are living for longer,

and they say 60 is the new 30.”

Many of Aldar’s Yas Island villa communities, including Yas Acres and West Yas, with their proximity to leisure and

retail facilities and the range of entertainment options including theme parks on offer, would appeal to this

demographic or their visiting grandchildren.

Aldar would also look to market its luxury, secluded villas on Saadiyat Island, close to the recently opened Louvre

Abu Dhabi and other cultural outposts, to an older generation of UAE investors. “The UAE is not somewhere you

would retire to if you have a lower income or lower savings,” Mr Al Awlaqi points out.

HSBC Middle East, a franchise of the global bank, foresees greater take-up of its retirement and wealth planning

services as a result of the new visa rules. It expects particular interest in products that reflect retirees’ lower risk

appetite, Marwan Hadi, UAE head of retail banking and wealth management at HSBC Middle East, tells The

National.

“Many expatriates living away from home do not think hard about financial planning for their retirement because

they do not expect to retire there, but the new visas could change that,” he says. Just one in four UAE residents

are saving for retirement, despite aspiring to live comfortably in old age, according to an HSBC survey in

December.

In January, another study by financial services firms Old Mutual International and Quilter Cheviot found that six in

10 UAE residents depend on their end of service gratuity to fund their retirement – a possible concern as most

such payments are relatively small, according to Paul Evans, head of MEA region at Old Mutual.

The new visa is therefore a clever move, Mr Hadi says, because it will help the UAE to reduce wealth and

population outflows and drive sustainable year-on-year growth.

“By encouraging more people to retire in the UAE, the country can also expect to retain more children of those

retirees, with a positive knock-on impact on skills and talent retention,” he says.

For long-term expatriates approaching retirement age, the prospect of obtaining an additional five-year visa to

continue their lives in the UAE without work is an appealing prospect.




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“Retiring in the UAE would be fantastic for grandparents whose children and grandchildren live in the UAE,” says

Sheila Clark, a school administrator in her 50s who has lived with her family in Dubai for almost 25 years and

whose children are now pursuing careers outside the country.

“Some expat families have lived here for generations and it’s sad that, previously, families had to split up because

of age.”

However, she cautions that the UAE is an expensive country and the visa would appeal predominantly to those

who have lived there for a long time and made significant sums of money. “Unless fairly well off, one would need

the [financial] support of children or grandchildren to retire here and live comfortably,” she says.

Whatever the initial take-up, the introduction of a formal route to retirement in a maturing and diverse nation

such as the UAE is a step forward, and one that could positively influence the country’s economic growth in the

years ahead.


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MIDDLE EAST INVESTORS SEEK TO HEDGE

RISK THROUGH PORTFOLIO

DIVERSIFICATION, LOMBARD ODIER SAYS Wednesday, April 03, 2019

Investors in the Middle East are increasingly hedging risks through portfolio diversification, venturing into private

equity investment amid the global economic slowdown, Brexit uncertainty and trade war, a Lombard Odier

executive said.

“They [Middle East investors] want diversification on all asset classes and are interested in private equity, because

it is becoming a very good way to diversify the risks," Patrick Odier, senior managing partner at the Swiss private

bank, told The National on Tuesday.

The tariff war between the two biggest global economies, a disorderly Brexit, geo-political tensions and growing

global indebtedness are some of the major risks facing the world economy and investors. However, a global

recession is not on the cards, Mr Odier noted.

His comments were echoed by Christine Lagarde, the managing director of the International Monetary Fund, who

on Tuesday said the global economy is at a “delicate moment” amid rising trade tensions, high levels of debt and

uncertainty over Brexit. The IMF lowered its global growth forecast for 2019 and 2020 in January. The global

economy is set to expand 3.5 per cent in 2019 and 3.6 per cent the year after, 0.2 and 0.1 percentage points lower

than the fund's October forecasts.

World trade also shrank by 0.3 per cent in the fourth quarter of 2018 and is likely to grow by 2.6 per cent this year,

slower than the 3 per cent growth in 2018 and below a previous forecast of 3.7 per cent, the World Trade

Organisation said on Tuesday.

Mr Odier, however, says there is “light at the end of the tunnel” as far as the ongoing trade war between China

and the US is concerned.

“We think the world can offer good opportunities in 2019. The essence is risk management,” he said.

The Geneva-headquartered private bank, which has globally about 20 to 25 per cent asset allocation into less

liquid assets such as private equity and infrastructure, is seeing demand, particularly from the Middle East for

different types of investments, with sustainability higher on investors’ agenda, he added.

The allocations in the portfolio of an average investor in the region is spread 40 per cent on equities and 40 per

cent on fixed income assets and the rest is divided between alternative investments including exposure to hedge

funds, private equity and infrastructure assets, Christophe Lalandre, managing director of Lombard Odier Dubai

office explained.

However, if the portfolios had included 10 per cent more in private equity or infrastructure assets last year, their

performance would have been totally different, despite a slump in global equity markets towards the end of 2018,

Mr Odier noted.

“We are advising our clients to diversify into those asset classes,” he said.




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The asset manager has seen a significant rise in its regional client-base, which includes, family offices, industrial

and trading-related companies, institutions and entrepreneurs.

“What you have to consider is that 80 per cent of the companies in the UAE [alone] are family owned,” said Mr

Lalandre.

The oldest Swiss private bank is not only doing wealth management services in the region, but it is also providing

governance advise to clients in terms of how they could organise their businesses around the family and in terms

of assets classes.

Lombard Odier, with $276bn (Dh1.01 trillion) in assets under management, expects to still double its business in

the Middle East.

The region is among the fastest growing markets for Lombard Odier and the bank is targeting the region to

account for 10 per cent of its total assets from roughly 5 per cent at the moment, emulating the growth over the

past few years.

“We have been doubling our asset base in the last five to seven years,” he said.

Ultra-high-net-worth individuals in the Middle East – people with a net worth of more than $30 million – are

projected to increase by 20 per cent in the next five years, according to a new report by global property

consultancy Knight Frank. That means the region will add another 1,660 people to the upper band of the very

wealthy by 2023.

The bank is in the process of opening this year its office in the capital’s financial hub, Abu Dhabi Global Market,

which will focus on the its advisory business in the Middle East.


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FIRST 'PROPTECH' COMPANY ESTATER

LAUNCHES IN BAHRAIN Tuesday, April 02, 2019

India's Estater app picks Bahrain as base to launch regional operations

Bahrain has marked a new milestone in its bid to become a major technology hub with the entry of its first

property technology (proptech) company, Estater.

The Estater app offers a platform for listing, sharing, finding or managing a property and operates as an extension

to Estater’s real estate advisory offering, using GIS mapping to provide market intelligence for developers,

investors and financiers.

The company said it boasts a 20 percent market share in Kuwait and Bahrain, in addition to its flagship operations

in India.

Estater’s launch in Bahrain demonstrates the growing opportunity for real estate investment in the country, it said

in a statement.

The Gulf kingdom offers 100 percent ownership in real estate for GCC nationals and a large number of mixed-use

free-hold developments offering opportunities to foreign investors.

The launch of Bahrain’s Real Estate Regulatory Authority (RERA) in 2018 has also brought greater transparency

and stability to the sector, Estater added.

Sanjay Goyal, managing director of Estater, said: “Estater is delighted to select Bahrain as a hub for its regional

operations. A favourable business environment for international investors coupled with good regional

connectivity makes Bahrain an ideal choice for us. Real estate value chain in the region is up for several exciting

changes and we promise Estater will be one of the change agent."

The launch comes as the global proptech industry is witnessing rapid expansion. Funding into the sector grew by

an annual rate of 63 percent from 2012 to 2017, according to Venture Scanner.


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SHAZA'S MYSK HOTEL BRAND PLANS SAUDI

DEBUT Friday, April 05, 2019

Shaza Hotels, a member of the Global Hotel Alliance, has signed a management agreement with Sheikh Sultan Al

Harthi to operate Mysk Jeddah – the Mysk brand’s first property in Saudi Arabia.

The four-star hotel is expected to open in 2021 and will include a restaurant, a cafe, meeting rooms, a kids’ club,

fitness centre and rooftop pool.

Simon Coombs, president and CEO of Shaza Hotels, said: "The tourism landscape in Saudi Arabia is changing

rapidly due to the various government initiatives being put in place to boost the number of arrivals into the

country.

"New destinations are being created and a new generation of hotels is entering Saudi Arabia. Mysk Jeddah is one

of them, catering to the evolving needs of the Saudi tourism sector where discerning guests are seeking a more

personalised experience aligned with their lifestyle.

"We are very grateful to Sheikh Sultan Al Harthi for having entrusted us with the management of Mysk Jeddah and

we are confident that this Mysk will become the new sought-after address in Jeddah."

Mysk Jeddah is the brand’s seventh property, the first being the Mysk by Shaza Al Mouj in Muscat, and the next

hotels to open are three Mysk retreats that are part of the Sharjah Collection.

In addition, two other Mysk properties are under development in Palm Jumeirah in Dubai and Kuwait that are

scheduled to open by the fourth quarter of 2019 and 2020 respectively.


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PROPERTY PRICES STABILISE IN DUBAI

EXPAT HOTSPOTS DURING Q1 Wednesday, April 03, 2019

Popular areas such as Dubai Marina and Arabian Ranches have seen a stabilisation in prices in the first quarter of

2019, according to real estate portal Bayut.com.

Its latest report said prices in these districts popular with expats have remained "largely unaffected" or fallen

"marginally" during the first three months of the year.

Bayut also said that it has noticed a growth in search volume for more affordable neighbourhoods like Dubai

Silicon Oasis, JVC and Dubai Sports City, adding that these areas have shown a slight increase in prices for some

property sizes but continue to remain popular.

It said most areas in Dubai have seen modest declines in sale prices under 6 percent with the exception of

Business Bay and Jumeirah Beach Residence (JBR).

The Dubai Q1 2019 Property Market Report showed that interest remains high in Dubai Marina, Downtown Dubai

and Palm Jumeirah, all of which feature in the list of top 10 most popular areas with users.

It added that there has been a minor decline in sales and rental prices in Q1 compared to those seen in Q4 of

2018, but changes "remain modest".

Continuing the trend seen across most parts of 2018, Bayut said: "Dubai Marina took the crown as the most

popular area for apartment sales with Marina Diamonds being the most-searched building in the area in Q1.

Arabian Ranches took the top spot for villa sales, with the sub-community of Al Reem the most popular with

potential investors.

It added that the most notable of the price changes for apartment sales during Q1 was an 8.6 percent decrease

for 1-bedroom units in Business Bay where prices fell to AED1 million.

For villa sales, the most significant changes were seen in Damac Hills where prices for 4-bedroom units fell by 9.7

percent to AED2.6M million.

Dubai Marina returned to the top position for apartment rentals in Q1, with Marina Pinnacle being the most

sought-after building for potential tenants. For villa rentals, Mirdif remained the most popular area.

The only area to witness an increase in rents in Q1 was Dubai Silicon Oasis, Bayut noted.


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HOW DUBAI'S BIG NAMES DOMINATED

PROPERTY SALES IN EARLY 2019 Wednesday, April 03, 2019

Dubai master developers Emaar Properties, Dubai Hills Estate and Nakheel accounted for the bulk of property

sales transactions in Dubai in the first two months of 2019, according to new data from Property Finder.

According, Emaar sold 1,374 homes in January and February, representing 24 percent of the total.

Dubai Hills Estate – a JV between Emaar and Meraas – sold 601 homes (10 percent), compared to Nakheel’s 359

homes (6 percent).

Property Finder said the three companies are among the few developers to launch off-plan projects in the last few

months, with most developers in Dubai focused on clearing their existing inventory.

Positive residential sales were also recorded by Damac Properties, Dubai Holding, Seven Tides International, Azizi

Developments and Danube Properties, the data shows.

In terms of value, Emaar secured deals worth AED 3.56 billion, compared to AED 1.08 billion for Dubai Hills Estate

and AED 664 million for Dubai Holding.

“In Dubai last year, we saw a number of long-time renters who converted to homeowners, in part due to attractive

prices and payment plans in newly handed over projects,” said Lynette Abad, Property Finder’s director of data

and research.

“The combined effect is a healthy trend where off-plan investors are profiting from affordable housing and the

number of homeowners is also increasing,” she added.

In terms of off-plan sales, Emaar sold 1,043 homes (34 percent) compared to 539 homes (18 percent) for Dubai

Hills Estate and 163 (5 percent) for Dubai Holding.

“Emaar share value has risen by 13% since the beginning of the year as they have taken over 49% of the market

share in the first two months of 2019,” Lynnette added.

In terms of the value of off-plan sales, Emaar sold properties worth AED 2.45 billion, or 49 percent, compared to

just AED 688,200 (14 percent) for Dubai Hills Estate and AED 308,242 (6 percent) for Dubai Holding.


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DUBAI DEVELOPERS LOG IN POSITIVE

RESIDENTIAL SALES IN 2019 Wednesday, April 03, 2019

Led by Burj Khalifa developer, Emaar, several big players continued to dominate the sales of new properties in

Dubai's oversupplied market in early 2019, new data revealed.

Dubai Hills Estate, Nakheel, Meraas, Damac Properties, Dubai Holding, Seven Tides International, Azizi

Developments, and Danube Properties were the other major developers, who registered positive residential sales

in the first two months of this year, according to Property Finder, an online real estate marketplace.

Emaar Properties sold 1,374 homes in the first two months of 2019, accounting for 24 per cent of the total share,

while Dubai Hills Estate sold 601 units, contributing 10 per cent to the total sales. The Palm developer, Nakheel,

sold 359 homes, accounting for six per cent of the total market share.

As reported previously by Khaleej Times, the emirate's real estate market is witnessing green shoots, with senior

Dubai Land Department officials signalling increased transactions year-on-year in the first two months of 2019.

Property Finder's results revealed that Emaar led in terms of sales value with Dh3.56 billion followed by Dh1.078

billion by Dubai Hills Estate and Dh66 million by Dubai Holding.

"In Dubai last year, we saw a number of long-time renters who converted to homeowners, in part due to

attractive prices and payment plans in newly handed over projects. The combined effect is a healthy trend where

off-plan investors are profiting from affordable housing and the number of homeowners are also increasing," said

Lynnette Abad, director of Data and Research at Property Finder.

In terms off-plan sales during January-February 2019, Emaar sold 1,043 off-plan homes, commanding 34 per cent

market share while Dubai Hills Estate sold 539 homes, accounting for 18 per cent, and Dubai Holding clinched 163

off-plan sales, contributing five per cent of the share.

Emaar's off-plan sales totalled Dh2.45 billion while Dubai Hills Estate and Dubai Holding came second and third

with Dh688,200 and Dh308,242 sales, respectively.

In another development Danube Properties on Wednesday released its 2018 results, recording a whopping 78.5

per cent jump in residential units, increasing its share of off-plan sales to 10.6 per cent in 2018 from five per cent

in the previous year.

Last year, Danube sold 1,869 residential units for Dh978 million while 1,047 properties worth Dh820 million were

sold in the previous year as prices are substantially lower than the peak witnessed in 2014. Global ratings agency

S&P had said that property prices in Dubai have fallen 25 per cent to 33 per cent in nominal terms since 2014.

Atif Rahman, director and partner of Danube Properties, said the market is the best regulated real estate market

not just in the region, but globally and it is an amazing time to do business.

"Danube Properties' stellar performance reflects our firm belief in the affordable housing market. Despite

challenging market conditions, we have recorded 78.5 percent growth in volumes and 19.27 percent growth in the

sales transaction value," he said.

Most areas in Dubai have seen modest declines in sale prices in Q1 2019 of under six per cent with the exception

of Business Bay and Jumeirah Beach Residence (JBR).




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Apartment sales in Business Bay recorded the highest decline in prices in the first quarter of 2019, while prices for

the same in JBR have declined by 6.7 per cent, revealed Bayut data released on Wednesday.

For villa sales, Damac Hills saw the biggest decline as prices for 4-bedroom units fell 9.7 per cent with prices

falling from Dh2.88 million to Dh2.6 million. This could be attributed to the handover of more units, creating a

larger portfolio of units with smaller square footage than what was available in Q4 of 2018. ? ?

Bayut data revealed that Dubai Marina was the most popular area for apartment sales as the upscale apartments

in the area offer 6.4 per cent an average rate-of-return. While Arabian Ranches took the top spot for villa sales

with a 5.8 per cent RoI. But the sub-community of Al Reem is predictably the most popular with potential

investors, Bayut said.

However, affordable communities such as International City and Dubai Sports City have witnessed an uptick in

prices for 2-bedroom units.

Prices for these units in International City have risen from Dh690k to Dh700k, while in Dubai Sports City, prices

have jumped from Dh875k to Dh900k. Interestingly, both areas also boast the highest RoI in Q1 2019 for

apartments. The average ROI in International City stands at an impressive 9.7 per cent while Dubai Sports City's

apartments deliver an ROI of 7.9 per cent.

Source: Khaleej Times

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UAE'S SOBHA REALTY POSTS RECORD

$136M SALES IN Q1 Tuesday, April 02, 2019

Sobha Realty, the UAE-based real estate developer, has announced a record AED500 million ($136 million) in sales

bookings in the first quarter of 2019

The company said its sales from January to March are 33 per cent over the target of AED375 million per quarter.

Last year, Sobha Realty announced its intention of generating up to AED1.5 billion in turnover in 2019, increasing

the target by two-thirds to AED2.5 billion in 2021.

In a bid to take the business public and boost revenues, the company said it aims to more than double its current

market share to five percent by 2021.

Tirthankar Ganguly, chief marketing officer of Sobha Realty, said: “The strong performance of Sobha Realty

testifies to the strength of Dubai’s property sector, driven by mature economic fundamentals and a robust

regulatory framework.

"Through our flagship project, Sobha Hartland, we offer world-class residential options... Our strategy to unlock

the true potential of Sobha Realty aims to deliver long-term value to our customers as we continue to focus on

our core competency.”

Sobha Hartland is an eight million sq ft waterfront community situated along the Dubai Canal.

Sobha Realty is a multinational, multifaceted group with developments and investments in the UAE, Oman,

Bahrain, Brunei and India and was established in 1976 by PNC Menon.


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EMAAR CONFIRMS ELIE SAAB DESIGN

PARTNERSHIP AT DUBAI PROJECT Friday, April 05, 2019

Emaar confirmed on Friday that it is partnering with designer Elie Saab on Emaar Beachfront, a gated island

destination in Dubai.

The developer said it is partnering for the first time with the renowned fashion designer for the new residential

development.

Announcing the partnership, Mohamed Alabbar, chairman of Emaar said: “Elie Saab is the pride of the Arab world,

and a fascinating international success story. Through our first association with Elie Saab, admired by the world’s

leading celebrities, we are offering discerning customers a new lifestyle address.

"Every aspect of these glamourous residences is personally designed by Elie Saab, who brings his rare genius and

aesthetics to create a new architectural and lifestyle expression. It is our honour to be associated with him.”

Elie Saab, founder and chairman of Elie Saab Group, added: “We are delighted to collaborate with Emaar and

Mohamed Alabbar on this new project. Over the years, Elie Saab has evolved into a lifestyle brand, through the

development of diversified product categories that deliver a unique experience of the brand’s universe.”

In addition to 1 to 3-bedroom apartments, the tower with interiors by Elie Saab at Emaar Beachfront will have a

collection of Elie Saab four-bedroom penthouses.

Designed to celebrate the 1930 Art Deco era, the tower's ground level boutique fashion stores, galleries and cafes

as well as lobbies will be designed by Elie Saab.

Inspired by chic Miami lifestyle, an amenity pool deck located at the 8th level, will be terraced and landscaped to

provide a retreat for residents while an infinity edge swimming pool, gym and recreational facilities will also

feature.

Owners of the units will also have the choice to get a private consultation from the Elie Saab design team on

purchasing furniture for their homes.


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DANUBE PROPERTIES SALES SURGE 78.5%

IN 2018 Wednesday, April 03, 2019

Danube Properties recorded a 78.5 percent jump in sales of residential units in 2018, bringing its total market

share of off-plan sales to 10.6 percent, the company announced on Wednesday.

In 2017, the company’s market share stood at 5 percent.

In a statement, Danube said that the company sold 1,869 residential units last year. Of the total, 89 were ready-to-

move-in while the rest were off-plan properties.

The value of the sales rose 19.26 percent to AED 978 million last year, compared to AED 820 million in 2017.

“Despite strong headwinds affecting the growth of the global economy, the UAE economy remains an oasis for

growth,” said Danube Group founder and chairman Rizwan Sajan.

“The end of conflicts elsewhere in the Middle East bodes well for growth in the regional economy. We see strong

growth opportunities, and we remain fully committed to the local economy and the real estate sector with more

project launches as we move forward,” he added.

Danube Properties has so far awarded AED 1.6 billion worth of construction contracts involving 10 of the 12

projects launched so far.

In 2018, Dubai completed construction of 358 residential units while it awarded construction contracts for 926

units.

The developer had 1,339 units in the tendering stage and an additional 17 percent in the design stage.

Affordable housing market

“Danube Properties’ stellar performance reflects our firm belief in the affordable housing market,” said Danube

Properties director and partner Atif Rahman.

“Despite challenging market conditions, we have recorded 78.5 percent growth in volumes and 19.27 percent

growth in the sales transaction value.

“The market is the best regulated real estate market not just in the region but globally and it is an amazing time to

do business,” he added.

Rahman added that 2018 has been the company’s best year so far.

“These results show that if you have the right properties at the right location and are offered at the right price

with the most competitive payment plan, customers will buy them,” he said. “We have proven this time and time

again in all the 12 projects launched by Danube Properties so far.”


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LATEST LA RIVE RESIDENTIAL UNITS SOLD

OUT Sunday, March 31, 2019

Meeras has reported that units at La Rive's fourth residential building have been completed sold out within the

first 24 hours of their launch.

Meraas' waterfront project based at Port De La Mer - the first freehold master community in Dubai's Jumeriah

area - witnessed an immediate level of investor interest in the high-end, off-plan projects. Prices for La Rive's off-

plan units started from Dh1.3 million in the four-storey building, which comprises one to four-bedroom

apartments and penthouses. On completion, a total of over 250 high-end apartments and penthouses will be

available across La Rive's four buildings.

La Cote and La Rive are nestled on Port De La Mer by Meraas, the upcoming Mediterranean-inspired waterfront

development, which boasts a setting that blends beachfront and marina living with the inimitable architectural

imagination of Meraas. Resting on the tip of La Mer's "northern peninsula", Port De La Mer offers the modern

family the feel of an island retreat with the heartbeat of the city. Together, both of Port de la Mer's residential

projects will comprise nine buildings, each of which will offer views of the surrounding marina, waterfront and

Dubai's skyline. To date, eight of the nine buildings have been officially launched.

The private residential community will feature a wide-ranging mix of apartments with majestic sea views and

verdant greenery overlooking the marina and waterfront. With excellent road and sea connections, yacht owners

will be able to take in the coastline at their leisure. Residences at Port de La Mer are at walking distance to La Mer,

the world-class beachfront destination by Meraas, and only 10 minutes away from City Walk, a design-inspired

open-air lifestyle destination by Meraas.


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W HOTELS BRANDED RESIDENCES TO MAKE

MIDEAST DEBUT IN DUBAI Saturday, April 06, 2019

Al Sharq Investment has announced that it has signed a contract with Marriott International for Palm Jumeirah

project

Al Sharq Investment has announced that it has signed a contract with Marriott International to debut W Hotels

branded residences in the Middle East.

The contract relates to the rebranding of its luxury Alef Residence project in Dubai, a statement said.

Announced at the real estate exhibition MIPIM Cannes, the agreement means that the AED3 billion project on the

West Crescent of Palm Jumeirah will see owners begin moving in the residences later in 2019.

The project rising next to the W Dubai - The Palm contains a variety of residential options, including eight

mansions with 104 residences priced from AED15 million to AED85 million.

The W Residences Dubai – The Palm offers five penthouses that come with private lobbies and lifts, 15 garden

residences with private landscaped garden and swimming pool, 84 panorama residences with only two units per

floor.

Owners will have a selection of two, three, four and five bedroom luxury homes.

Mohammed Ali Al Shehri, board member of Al Sharq Investment said: “The agreement with Marriott International

comes as part of our continuous efforts to meet the evolving needs of our customers, who are increasingly

seeking bespoke luxury.”

“Dubai is the perfect location to debut our W Residences in the Middle East,” added Dana Jacobsohn, Marriott

International vice president, Global Mixed-Use Development.

“We’re excited to work with Al Sharq Investment to add what is sure to be an extraordinary W Residences project

to our growing portfolio of branded residential projects around the world.”


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Page 22



CONSTRUCTION OF PHASE 4 OF GIANT

DUBAI SOLAR PARK 'ON TRACK' Friday, April 05, 2019

DEWA chief inspects construction work at the Mohammed bin Rashid Al Maktoum Solar Park

The fourth phase will provide clean energy for 320,000 residences and will reduce 1.6 million tonnes of carbon

emissions annually.

Construction work on the fourth phase of the Mohammed bin Rashid Al Maktoum Solar Park, the largest single-

site concentrated solar power (CSP) project in the world is progressing on schedule, it has been announced.

Saeed Mohammed Al Tayer, managing director and CEO of Dubai Electricity and Water Authority (DEWA), has

inspected the construction work of the project which has a capacity of 950MW and will cost up to AED15.8 billion.

The base concrete of the CSP tower has been completed and, once built, the 260-metre tower will be the tallest

solar power tower in the world.

Al Tayer said the work is progressing "according to the set timetable for this project".

Al Tayer was briefed on the progress of construction work by Abdul Hamid Al Muhaidib, executive managing

director of Noor Energy 1, a venture formed through a partnership between DEWA, Saudi Arabia’s ACWA Power

and China’s Silk Road Fund to build the fourth phase of the Park.

Al Muhaidib confirmed the completion of the concrete base that contains about 1,300 tonnes of steel rebar and

concrete, equivalent to 20 percent of Paris’s Eiffel Tower.

Al Muhaidib added that 33 percent of the engineering work has been completed for the project.

The fourth phase will provide clean energy for 320,000 residences and will reduce 1.6 million tonnes of carbon

emissions annually.

The Mohammed bin Rashid Al Maktoum Solar Park will generate 5,000MW by 2030 with investments of up to

AED50 billion.

The 13MW photovoltaic first phase became operational in 2013. The 200MW photovoltaic second phase of the

solar park was launched in March 2017. The 200MW first stage of the 800MW photovoltaic third phase became

operational in May 2018. The third phase will be completed in 2020.


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Page 23



RTA SIGNS DH680M DUBAI METRO

CONTRACT EXTENSION WITH UK’S SERCO Monday, April 01, 2019

Dubai’s Roads and Transport Authority extended a contract with British company Serco to operate and maintain

the metro transit system until September 2021.

The value of the contract is Dh680 million over a two-year period, the RTA said on Monday.

“The operation and maintenance by specialised companies reduces the operational costs of the metro as private

businesses are able to provide high-quality service and performance at lower costs through continuous

improvements and value engineering,” said Mattar Al Tayer, director general and chairman of the RTA.

“This allows RTA to focus on its core responsibilities of developing legislation and overseeing implementation and

enforcement.”

Under its previous contract with the RTA, Serco delivered strong operational performance levels for Dubai Metro,

he added, with a train service availability of 99.9 per cent and punctuality of 99.8 per cent, and a record 204

million journeys in 2018.

The RTA’s introduction of new rail operation technologies also contributed to achieving these indicators, the

chairman said.

Under the contract, Serco will provide operational and maintenance services to both lines of the Dubai Metro as

well as the under-construction Route 2020, which covers the 15-kilometre extension of the Red Line to the Expo

2020 site. The service is expected to start as a trial in February next year.

The contract includes the operation and maintenance of all metro assets such as trains, railways and stations.

Serco is also contracted to provide passenger transit services according to daily demands, and to maintain fare

systems and collect the proceeds of selling and recharging Nol Cards. The card is an electronic ticketing system

that was launched in 2009 for use on all modes of public transport in Dubai.

Serco will also help recruit and train Emirati employees as part of the government’s Emiratisation local

employment policy.

“The RTA is keen to qualify Emiratis and the transfer of knowledge of international expertise in the operation and

maintenance of rail systems, a new field for the region,” Mr Al Tayer said.

Rupert Soames, group chief executive of Serco, said the renewal of the contact demonstrates “the high confidence

the RTA has in Serco to continue delivering world-class levels of safety, operational performance and customer

service".

A Dubai government-commissioned study last September found that the Dubai Metro system, which began

operations almost a decade ago, added an estimated Dh66 billion to Dubai’s economy by 2016. Accumulated

future returns are set to exceed four times what it cost to build the metro by 2030, the report said.


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Page 24



WASL LINK LAUNCHED IN MUHAISNAH Wednesday, April 03, 2019

Wasl properties, a subsidiary of wasl Asset Management Group, has announced the launch of its 'wasl link'

development into Dubai's leasehold market.

The new launch forms part of the company's strategy to provide affordable housing options in established areas

of Dubai. Wasl link will be located in Muhaisnah and will provide the market with 247 units comprising a total of

eight studios between 386 - 434sqf; 95 one-bedroom apartments between 620 - 855sqf; 129 two-bedroom

apartments between 1,076 - 1,335sqf; and 15 three-bedroom apartments between 1,516 - 1,624sqf.

Zainab Mohammed, chief property management and marketing officer at wasl properties, said: "The launch of

wasl link into the Dubai's leasehold market further consolidates wasl's vision to offer high-quality, customer-

centric developments in key areas of the emirate, expanding upon our portfolio and presenting residents the very

best in urban living."

Wasl link is a minute away from Sheikh Mohammed bin Zayed Road linking Dubai and Sharjah with the other

emirates. The new development will offer affordable units with superior finishing and fittings and will include

separate gyms for males and females.


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Page 25



POST-EXPO EFFECT ON DUBAI REALTY WILL

BE GREATER Wednesday, April 03, 2019

With a little more than a year left until Expo 2020 Dubai, industry experts at the Dubai Property Festival say they

are now finding a spate of high demand for Dubai’s real estate sector.

Expo 2020 is expected to attract 25 million visitors, of which 70 per cent will be from outside the UAE. In an

interview with Property Weekly, Robert Booth, managing director of Ellington Properties, says, “I am personally

very excited about Expo 2020. I had the benefit of growing up in Vancouver that hosted the 1986 Expo, and once

people saw the city, they kept coming back and buying property. So I think the great thing about the Expo here is

that it will have a huge long-term impact. In fact the post-Expo impact will be greater.”

According to Booth, developers have the mandate to support the government in ensuring there is enough units to

service Expo 2020 Dubai and the new stream of population that will come as a result.

“Dubai has one of the highest growth rates in population, year-on-year, around the world. It’s important to note

here many developers have already slowed down their launches so that post 2020 the market goes back to

moderate supply. It is always better to invest when it is a buyer’s market in order to benefit from the offers

available.”

Get on the property ladder

The challenge is buying your first property, says Booth. “Once you get on the property ladder, you can work your

way up. It is also important to remember that property is a long-term investment, and not a short-term gain. You

are not here for one or two years; think 10-20 years, think multigenerational. Many big families think

multigenerational when they buy property. So even if it’s a small property, get on that ladder.”

According to Booth, investors in Dubai also enjoy higher returns, in addition to paying zero tax on investment — a

combination that does not exist in other global markets.

“Pick up quality assets as they always hold value,” he advises. “Don’t buy it just because it is less expensive than

another. Think about the location.

Buyers should look at good neighbourhoods first and then pick the home. Take your time and do your research

— buying property is the biggest investment decision you will make.” Booth picks Jumeirah Village Circle and

Town Square as areas with a great neighbourhood and community feel. “MBR City is also a great location where

you are only 10 minutes away from Downtown, the epicentre of Dubai.”

Affordable living

Despite low prices, Lewis Allsopp, chief executive of the Dubai real estate agency Allsopp & Allsopp, says Dubai

now has a very different clientele.

“You don’t get a Ferrari when you enter the country anymore. It’s a different place now. You’re not coming here to

be a millionaire, you are coming here to have better-quality life and be in the sun. We have other expenses now,

such as VAT and Salik, but that has made Dubai a better place with great facilities. People with lower salary jobs

are also coming to Dubai now, and they are willing to stay further away from the city and look into affordable

areas.”




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While the core areas, such as Downtown Dubai and Dubai Marina, will continue to stay in value, Allsopp says price

will get cheaper as one goes further out.

“This means being out that farther away, you will be at a lower salary level, but you will use transport, such as the

Metro, to get into town, like people do in most big cities such as London or New York. This adds another

dimension to Dubai.”

Ready property

Talking about ready properties, Booth says, “My recommendation is to target properties that will be available in

the coming months as that also means that the warranty will come from the developer directly. You have Arabian

Ranches 2, which is a very well-established community with prices starting from Dh1.2 million for a villa. There are

also Nshama apartments where a two-bedroom unit starts from Dh800,000. A one-bedroom property in one of

our projects in Jumeirah Village Circle is at an average of Dh800,000, while a very similar property in Meydan is

around Dh1.1 million. In Downtown Dubai figures are more towards the Dh1.7 million mark.”

Buy now

The greatest concern of investors today is whether they will lose money if prices go down.

“If you have three to five years, and there is the option to rent or buy, you have to buy,” says Allsopp. “When you

rent, you are paying someone else, and you might have to move out one day of that property. But when you buy a

house, in 20 years, even if the price goes down to zero, you still have a home. But as tenant, after those 20 years,

you have nothing.”

Source: Gulf News

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Page 27



DUBAI DEVELOPERS PUSH POST-

HANDOVER PLANS EVEN ON READY HOMES Saturday, April 06, 2019

Dubai: Don’t want to wait around for an off-plan property to be delivered? Options are opening up for buyers

going for a ready property in Dubai … and with the added comfort of paying it off years after the handover.

That’s right, post-handover payment plans that have helped generate higher off-plan sales are financing deals for

ready homes as well. While it is the government-affiliated developers who are going to town with these offers,

private players too are getting into the game with payment schedules of five years and more.

FUNDING

Post-handover payment plans that have helped generate higher off-plan sales are financing deals for ready

homes as well.

They will need to, as an estimated 30,000 homes are likely to be delivered this year, on top of the 20,000 plus

units from last year. No developer can afford to keep unsold ready units on their books for too long. (In the first

three months of the year, 3,182 ready homes were registered with Dubai Land Department, a decline of 6 per

cent from 2018.) “Holding unsold stock is always a cost, but those that remain unsold for three years and more

will need to pay for VAT as well,” according to a developer source. “That’s one cost developers with ready

residential properties will not want to have.

“The only options then would be to offer unsold units on rent directly, or they try and come up with some plan

that will see payments being made over multiple years after handover.”

It was in 2015 that developers came up with post-handover schemes on off-plan launches. So, where are the post-

handover deals happening in the ready space?

Nakheel has had such plans on their Al Furjan townhouses and villas — of five and seven years respectively —

since last year, while Emaar did so for Arabian Ranches 2 units, where a three-bedroom townhouse started from

Dh1.45 million. The base price for an Al Furjan townhouse was Dh3 million, with a 5 per cent down payment

before moving in.

“This post-handover schemes on ready homes move has accelerated, with more private sector developers

offering them,” said Sameer Lakhani, Managing Director at Global Capital Partners. “In the case of some, it’s a zero

down payment with monthly payments thereafter. For others, each customer could get an individualised payment

plan.

“Now, even individual property owners are offering the same as well. In the current market situation where every

developer is doing it, individual sellers have to do the same if they want to sell.”

In terms of duration, payment plans in some cases — those from individual sellers — have in some instances

touched 15 years. All of which suggest there should be an increase in overall ready property sales for this year.

At a stretch, even property prices could see an improvement — because the longer the payment plan, the higher

will be the selling price set on the home. These are being reflected in prices at communities such as Jumeirah

Village Circle (JVC).




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“Over the last 18 months, citywide prices declined 12 per cent, while JVC prices have risen 1 per cent,” according

to the latest Reidin-GCP report. “JVC has had a high number of registrations in the last year of units being

registered at higher prices to what the (wider community) trades at currently.”

The same instances of higher prices for longer payment plans is visible at Nakheel’s Al Furjan community too.

“Nakheel is offering ready units at a significant premiums to the ready market with a five- to seven-year post-

handover payment plan,” the Reidin-GCP report adds. “These sales are higher than the current rate consequently,

pushing the property index upwards as these sales account for high portion of the overall market.

“The villa index has declined by 7 per cent in the last three quarters, but Al Furjan has remained stable. We

believe that as post handover payment plans continue to proliferate, other indices will also edge higher.”

The looming VAT factor in residential selling

As things stand now, all residential sales deals are “zero-rated”, thus exempt from the 5 per cent VAT. But going

forward, if developers are left with unsold stock after three years, the VAT kicks into effect.

“What’s clear for now is that on constructed buildings, after three years, there will be a VAT on the unsold homes,”

said an industry source. “But if a building is being built now and three years later still has unsold stock, does VAT

apply even then? That’s not yet clear, and the market wouldn’t mind further clarity on that.”

Source: Gulf News

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Page 29



MORE FIRST TIME BUYERS SAID TO ENTER

DUBAI PROPERTY MARKET Monday, April 01, 2019

Lower prices mixed with new laws regarding visas and retirement options are pushing Dubai residents to take the

plunge as first time buyers in the property market, according to real estate portal Bayut.com.

Data from the property website shows a positive start to the year in term of apartment and villa sales but CEO

Haider Ali Khan said it is not just a case of people taking advantage of a fall in price, there are also wider social

changes involved.

He said: “We can already see certain signals suggesting that 2019 could be an extremely dynamic year of change

for the Dubai real estate market. The highly-awaited Expo 2020 is drawing closer, a lot of new projects are with

favourable payment terms are being announced, and attractive developments including Bluewaters Island are

being well-received in the region.

“It’s certainly a buyer’s market, and there are more millennial homeowners now than ever before."

He added: “Contrary to popular opinion, however, it’s not just the lowered prices that are attracting first-time

property buyers in the city. The announcements regarding the new visa laws and retirement laws have resulted in

creating a more positive sentiment towards Dubai as a viable market for expat investments.

“Developers are also trying to stay ahead of the game with innovative and attractive new payment plans, rent-to-

own schemes and other marketing strategies to entice more buyers, so we can certainly expect to see some more

people thinking about property investments in 2019.”

Away from home there is also renewed interest from international property investors looking at Dubai, he said,

adding: “With Expo 2020 getting closer, there has also been a significant increase in foreign investments in Dubai,

especially from South East Asian countries including China, and that’s always good news for any economy.”

His comments follow months of falling property prices in Dubai.

According to research released recently by Cavendish Maxwell, average Dubai property prices have softened by

more than 9 percent in the past year.

More than 47,000 residential units are likely to be handed over in Dubai in 2019, according to statistics from

Property Finder.


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Page 30



DUBAI'S NAKHEEL DISMISSES

'UNFOUNDED' CLAIMS OVER NIGHT

MARKET Tuesday, April 02, 2019

Dubai developer issues statement to tackle 'misguided' social media reports regarding tenant rental agreements

Nakheel on Tuesday moved to dismiss "misguided and unfounded" reports on social media regarding tenant

rental agreements at The Night Market on Deira Islands.

The Dubai-based developer issued a statement saying it remains committed to The Night Market which is nearing

completion, without giving details about the social media claims.

It added that it has recently written to tenants - with reminders where necessary - requesting them to sign their

lease for the project.

"We are proud of, and committed to, The Night Market, which was created specifically to encourage young

Emiratis into business. We continue to support them, as we always have, by exercising fairness and flexibility with

a number of initiatives to assist those who booked space at the project," Nakheel said.

The company added that it is offering rent reductions of between 30-50 percent, three months’ free rent,

instalment plans, consolidation of units by 50 percent, the option to sublease and the ability to transfer units post

signing.

When the project was launched in 2014, Nakheel said young Emirati entrepreneurs made up the majority of

hundreds of local businessmen and woman who have snapped up shop space.

Some 1,200 retail and restaurant units had been reserved by UAE traders, with investors' ages ranging from early

20s to over 60, Nakheel said at the time.


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DUBAI'S DRAGON MART ADDS EXTRA

PARKING AS SHOPPER DEMAND GROWS Thursday, April 04, 2019

Dragon Mart, the Dubai retail and trading hub, has added 900 extra parking spaces to meet growing customer

demand, Nakheel said on Thursday.

A new multi-storey car park has opened at Dragon Mart, which sees 40 million shoppers each year, to bring the

total number of parking bays to more than 9,000.

The new car park is part of the AED169 million Dragon City phase three, which also features a retail showroom

complex, which is set to open soon.

Dragon City currently comprises Dragon Mart, its sister mall, Dragon Mart 2 and an ibis Styles hotel. Dragon

Towers, the first residential development at the community, and a Premier Inn hotel, are under construction.

Dragon Mart is owned and operated by Nakheel Malls, the retail arm of Nakheel.

Its opening comes hot on the heels of the RTA’s launch of phase 2 of International City’s AED400 million road

improvement scheme – funded by Nakheel to the tune of AED201 million – which went live last Saturday.


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OPINION: THE PROFOUND IMPACT OF

BLOCKCHAIN TECHNOLOGY ON THE REAL

ESTATE SECTOR Wednesday, April 03, 2019

The enormous potential of blockchain is being leveraged by Dubai, which is at the forefront of driving the smart

transformation of the world economy, writes Farhad Azizi, CEO of Azizi Developments

Blockchain technology is revolutionising the real estate sector and transforming how business in this realm will be

conducted in the future.

Though initially created to support cryptocurrency, blockchain technology has now made a quantum leap, going

beyond the purview of Bitcoin and Ethereum. Today, it is possible for people and companies to make high-value

transactions — including those of immovable assets like property — without the need for intermediaries.

By undermining the liquidity challenges associated with owning hard assets, tokenisation is democratising asset

ownership with blockchain- stored tokens. Reselling assets is now easier and geographic boundaries in real estate

transactions are becoming history.

The enormous potential of blockchain is being leveraged by Dubai, which is at the forefront of driving the smart

transformation of the world economy.

The Dubai Blockchain Strategy, announced by His Highness Sheikh Hamdan bin Mohammed bin Rashid Al

Maktoum; Crown Prince of Dubai, Chairman of the Executive Council of Dubai, and Chairman of the Board of

Trustees of the Dubai Foundation of the Future; sets a clear roadmap for businesses to tap into the potential

offered by blockchain technology.

The strategy aims to achieve the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President

and Prime Minister of the UAE and Ruler of Dubai, to make Dubai the first city to be fully powered by blockchain

by 2020 through the three strategic pillars of Government Efficiency, Industry Creation, and International

Leadership.

For the real estate sector, driving the transformation is Dubai Land Department, which has created a blockchain

system using a smart and secure database of all real estate contracts. The move to smart contracts will cover

lease registrations and link them to utility and telecom accounts as well as all property-related bills.

The end-to-end transactions recorded on the real estate blockchain will provide scalable, secure, transparent,

shared, and immutable property data for all the participants in a trusted network. This means data relating to real

estate can be shared and accessed across different government and private sector entities, all of which benefit

from real-time insights. Eliminating all manual processes, real estate transactions are not only becoming faster

but also more flexible and relevant.

The immediate impact of this transformation is the speed in which property transactions will be conducted; what

would have taken 20 days to be concluded can now be accomplished in less than 30 minutes.




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For customers, the advantages are manifold: By creating a single platform for all the different services provided

by various stakeholders, blockchains will enhance the customer experience and make the journey — from sales to

after sales — seamless.

A significant impact of Dubai’s move to blockchain technology in the real estate sector is the reduction in the need

for pureplay brokerage services as the single digital real estate platform will oversee all sales and rental

transactions as early as next year. For an industry that has long been influenced by brokers, the transformation

will mean greater value for customers.

Taking the blockchain transformation into actionable plans, Smart Dubai recently integrated blockchain

technology into its online payment portal — DubaiPay — to enable the real-time reconciliation and settlement of

transactions.

In short, Dubai not only has set in place a strategy but is also implementing impactful tech reforms that will make

blockchain technology an integral part of the industry’s operations, with the winners being all stakeholders, but

predominantly the customer.


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Page 34



WHAT IF THE DEVELOPER HAS NO ESCROW

ACCOUNT? Tuesday, April 02, 2019

The Dubai off-plan real estate market is well regulated and developers comply with their legal obligations.

However, amid current market conditions, there have been reports that developers are now selling off-plan

without an escrow account or with a registered escrow account but not depositing money in it. It is important that

purchasers are aware of their rights and of developers’ responsibilities to address challenges in the unlikely event

they find themselves facing such developers.

Here is what purchasers can do if they find themselves in a dispute with a developer:

The law

Pursuant to Law 8 of 2007 (Escrow Account Law), developers selling off-plan units must open a separate escrow

account for each project with an escrow agent, being a bank or financial institution accredited by the Dubai Land

Department. The developer must deposit all amounts paid by the purchasers of off-plan units and loan payments

funded by financiers in the escrow account for the purpose of construction of the real estate development

project. The amounts deposited in the escrow account are to be allocated exclusively for the construction of the

project and settlement of the project financing payments in accordance with the law.

The penalty for any person who steals, appropriates or forfeits any amounts of money delivered to him or her for

the purpose of implementing real estate development projects is a jail sentence and a fine of at least Dh100,000.

What can buyers do?

In the event property buyers find themselves facing a dishonest developer, a complaint should immediately be

lodged with the Real Estate Registration Agency (Rera), which is responsible for regulating the activities of real

estate development companies and monitoring all development projects on a financial and technical level. It also

monitors the compliance of developers with the applicable laws and imposes penalties for violations.

Arbitration

To recover lost monies and claim damages, purchasers should also look to the dispute resolution mechanism in

the sale and purchase agreement (SPA), which is most commonly an arbitration. Arbitration is beneficial as it is

usually faster than going to court, it is private and specialist arbitrators can be used to determine a matter. In

Dubai the most popular arbitration venues are before the Dubai Chamber of Commerce and Industry or the

Dubai International Financial Centre/London Court of International Arbitration (DIFC/LCIA) Centre, which is based

in DIFC.

Court

If the SPA has no arbitration clause, purchasers can file a case with the Dubai courts. Proceedings are started by

filing a claim in the relevant court office. On application by the claimant, payment of court fees can be deferred in

exceptional cases. The court fee depends on the value of the claim, and has a maximum cap of Dh40,000. This fee

is payable either on an application for provisional relief, or on filing the main lawsuit.

The claim must meet procedural requirements, include the names and addresses of the parties to the

proceedings, and include details of the claim. Documents in support of the claim are usually annexed to the claim




Page 35



and must be translated into Arabic. The court issues a summons with a hearing date endorsed on it for service on

the defendant. The court usually appoints an expert to assist and usually accepts their report.

As more and more off-plan units come into the market, purchasers, more than ever, should be aware of their

legal rights, potential remedies and developers’ responsibilities.

Shahram Safai is a partner and Anna White is an associate at Afridi and Angell.

Source: Gulf News

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Page 36



ABU DHABI PROPERTY PRICES, RENTS FALL

MARGINALLY DURING Q1 Saturday, April 06, 2019

Property prices and rents in Abu Dhabi have fallen marginally during the first quarter of 2019, according to new

research.

Bayut.com's Abu Dhabi Q1 2019 Property Market Report said a large portfolio of affordable properties has led to

a high amount of interest in the Abu Dhabi property market.

It said areas such as MBZ City and Khalifa City A are attracting a significant amount of interest from both tenants

and investors, as can be seen from the high volume of searches in these areas.

"A number of factors can be attributed to this positive trend, including delivery of prominent off-plan projects

resulting in increased investor confidence.," said the report.

Bayut said Al Reem Island is highly in-demand for apartment sales offering an return on investment of 6.9 percent

while Al Reef continues as the most popular area for villa sales.

The report said the most significant changes for apartments sales were for 1-beds in Al Raha Beach where prices

fell by 6.5 percent to AED1.03 million.

For villas, there was a 6.2 percent decrease in sale prices for 5-bedroom villas in Al Reef to AED2.13 million.

Mohammed Bin Zayed City (MBZ City) was identified as the most popular area for both apartment and villa

rentals in Abu Dhabi while it also saw the most significant decline of 10 percent for 2-bed homes.

Haider Ali Khan, CEO of Bayut, said: “The Abu Dhabi property market has undergone tremendous changes in the

last two years, with several high profile off-plan projects being handed over and more luxury properties entering

the market, particularly in waterfront communities such as Yas Island and Saadiyat Island.

"We have also seen a high number of prospective buyers searching for luxury properties in these areas, along

with other upscale neighbourhoods such as Al Reem Island.

"Most decreases in the capital have remained modest with changes largely falling within the 5-6 percent margin.

Another interesting trend is the increased popularity for communities such as Khalifa City A, Shakhbout City and

Al Ghadeer which are all ideally located for those commuting to Dubai.

"We can expect these trends to carry on into the summer, and perhaps even see increases when more handovers

are completed in the second half of the year."


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Page 37



ABU DHABI'S ADNOC DISTRIBUTION IS

OPEN TO ACQUISITIONS AS IT PURSUES

GROWTH Saturday, April 06, 2019

Adnoc Distribution is open to acquisitions of fuel and convenience retailers or other assets that fit its business

model - including in markets like India - as it pursues growth, its deputy chief executive said.

“We want to widen our options to the customers,” John Carey told The National, when asked if he would consider

acquiring assets to boost the company’s growth. “When you look at the inorganic [growth] it’s about the

investment return and the fit with our business,” he said on Saturday, declining to say if the company is already

engaged in discussions to snap up other companies.

The Abu Dhabi-headquartered firm, which signed a preliminary agreement with a partner in India for the

marketing and distribution of its lubricant products, may also look for acquisitions in Asia's third-largest economy.

“It is a partnership that ultimately could lead to acquisition,” said Mr Carey. "The partnership would look at other

companies to acquire but we have much more to talk about it [with the partner].”

The company, a subsidiary of Abu Dhabi National Oil Company, on Thursday received a nod from its shareholders

for a programme that allows it to buy back up to 62.5 million shares, equivalent to 5 per cent of its publicly traded

shares, during a 12-month period.

However, Mr Carey said a buyback is not “imminent” or a policy which the company would want to implement in

the short-term. The company may use the buyback scheme to open up stock options to employees or

shareholders in the future if it is required, he said.

Adnoc Distribution, the UAE's biggest fuel and convenience retailer, listed 10 per cent of its shares in 2017 on the

Abu Dhabi Securities Exchange and its parent Adnoc retains the option of further selling down its stake should it

chose to do so, Mr Carey said, when asked if the firm would consider increasing its free float on the market.

“At the time of the IPO, Adnoc said we are willing to sell up to 30 per cent of the company and that hasn’t

changed,” he said. “If Adnoc decided to sell down, we wouldn’t have any shortage of takers."

The company, which is following a three-to-five-year strategic growth plan, is not inclined to follow some of its

competitors that have separated their convenience retail from fuel businesses, branching out into stand-alone

convenience stores. The company will pursue its existing business model for at least another couple of years, Mr

Carey said, keeping fuel and convenience retailing on one site.

“I would say over the next two years our plan is to build on the business model that we have,” he noted. “Beyond

that, whether we would go into separate retailing business is something that we have yet to decide.”

Adnoc Distribution on Thursday also received shareholders’ approval to increase its dividend for fiscal year 2019

to Dh2.39 billion, a 63 per cent increase on 2018’s dividend of Dh1.47bn. They also approved boosting the

dividend for 2020 to Dh2.57bn, 75 per cent higher from 2018 and paying a minimum of 75 per cent of

distributable profit from 2021 onwards.




Page 38



Mr Carey said the trajectory of growth seen in 2018 is very encouraging and non-fuel and convenience areas of

the business have “considerable headroom for growth”.

It expects to replicate 2018’s $50 million figure for cost savings this year as it increases its capex by about 42 per

cent to $300m in 2019 to pursue further growth.

Adnoc Distribution, which plans to open up to 20 stations in Dubai and Saudi Arabia this year, is eyeing other GCC

markets to expand its footprint outside the UAE, Mr Carey said.


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https://www.thenational.ae/business/energy/adnoc-distribution-looks-to-open-up-to-20-stations-in-dubai-and-saudi-arabia-in-2019-1.825654




Page 39



DEVELOPER MIRAL REVEALS YAS BAY

CONSTRUCTION PROGRESS Saturday, April 06, 2019

Yas Bay will transform the southern end of Yas Island and contribute towards plan to develop top global

destination for entertainment and leisure

The development will ultimately encompass Yas Bay Arena, The Residences,, a promenade and pier with 37 cafés

and restaurants, 19 retail outlets, beach club, and two hotels, as well as being the new hub for Abu Dhabi Media

Zone, twofour54.

Developer Miral has revealed a series of construction updates at Yas Bay, Yas Island’s upcoming waterfront

community.

Once complete, Yas Bay will transform the southern end of Yas Island and contribute towards Miral’s ambition of

making it one of the top global destinations for entertainment and leisure.

Yas Bay’s construction updates include the completion of concrete works on the first hotel, operated by Hilton,

and road infrastructure and landscaping of the public realm, parks and promenade.

The development will ultimately encompass Yas Bay Arena, The Residences, which forecasts 15,000 residents, a

promenade and pier with 37 cafés and restaurants, 19 retail outlets, beach club, and two hotels, as well as being

the new hub for Abu Dhabi Media Zone, twofour54.

During his latest visit to the site, Miral’s CEO, Mohamed Abdalla Al Zaabi, witnessed the completion of Yas Bay’s

most recent development milestones, including the final pour of concrete for topping out of the first hotel.

“As construction of Yas Bay progresses, we get closer to seeing what promises to be Abu Dhabi’s most vivid and

energetic community come to life on Yas Island,” said Al Zaabi. “These milestones will prove attractive to investors

who can now join Miral on its journey as we deliver the ultimate waterfront experience.”

Yas Bay also includes ready-for-development land plots comprising residential, retail, and school usage.

“We have already started conversations with potential partners, and look forward to working closely with

investors who are eager to contribute to the unique experiences we’re creating within Yas Bay,” he added.

In March, Yas Bay Arena marked a major construction milestone with the installation of the largest roof truss.


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Page 40



NEW ABU DHABI ENTERTAINMENT HUB SET

FOR 2020 COMPLETION Friday, April 05, 2019

Al Qana waterfront project will offer waterside eateries, cinema, the Middle East's largest aquarium, marina, a

wellness hub and outdoor skatepark

Al Qana is located on the historic natural Khor Al Maqta, the waterway bordering the mainland close to the Sheikh

Zayed Grand Mosque and will dedicate over 50 percent of the leasable area being assigned to entertainment.

Al Barakah International Investment (BII) has announced that its Al Qana wterfront project in Abu Dhabi is on

course for completion in the fourth quarter of 2020.

Al Qana, which spans over 2.4km and will offer waterside eateries, cinema, the Middle East’s largest aquarium,

marina, a wellness hub and outdoor skatepark, is being developed as part of a public-private partnership between

BII and Abu Dhabi Municipality.

Al Qana is located on the historic natural Khor Al Maqta, the waterway bordering the mainland close to the Sheikh

Zayed Grand Mosque and will dedicate over 50 percent of the leasable area being assigned to entertainment.

To underline this, Al Qana has brought on board a key partner, The National Aquarium of Abu Dhabi, which will be

the largest of its kind in the Middle East.

Moataz Mashal, managing director of BII, said in a statement: "In line with the capital's vision for 2030, this new

landmark destination will play a key role in supporting the government to realise its vision of enhancing Abu

Dhabi’s status as one the world’s most popular destinations for business, leisure, lifestyle and entertainment.

"Al Qana will offer a new lifestyle for residents through exciting dining destinations and convenient facilities,

whilst also being an attractive place for tourists to visit, in close proximity to many of the most famous landmarks

in the capital.”

Stuart Gissing, general manager of Al Qana, added: "Since the launch of the project, our team of experts have

been working closely with the authorities and our partners to ensure a unique, vibrant mix of complementary

commercial services and facilities that bolster the value to investors, tenants and customers.

“We have been looking for the best experts in their fields and made key hires as we remain committed to create a

quality multi-excitement destination that will keep pace with ever growing need to offer entertainment and

memorable experiences at every level, with the requirements of visitors, whilst also reflecting Abu Dhabi’s

multicultural society.”

Al Qana is the first build-operate-transfer model implemented by the Abu Dhabi Municipality. International

Construction Contracting Company is the lead contractor of the project.


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Page 41



ABU DHABI REVEALS PLAN FOR MEGA

NURSERY TO BOOST CONSERVATION Friday, April 05, 2019

Set to commence production by 2020, the facility will serve as a lab forresearch projects and germination

experiments

The nursery will also collect and store plant seeds to create a nucleus for use in larger projects at the Abu Dhabi

Plant Genetic Resources Centre. (Photo for illustrative purposes only)

The Environment Agency – Abu Dhabi (EAD) has announced plans to establish a new central nursery for local

plants in Abu Dhabi with a production capacity of one million seedlings per year.

Set to commence production by 2020, the facility will serve as a lab for EAD’s research projects and conduct

germination experiments on key native wild plant species found across the emirate.

The nursery will also collect and store plant seeds to create a nucleus for use in larger projects at the Abu Dhabi

Plant Genetic Resources Centre, which will act as a repository for the seeds of over 700 wild plant species found in

the UAE.

EAD said the conservation of native wild plant species is an essential pillar of its mandate, with local plants in Abu

Dhabi making up 58 percent of the country’s wild flora, a statement said.

"Unregulated and uncoordinated seed collection in Abu Dhabi is one of the main challenges in local plant

conservation," said Dr Sheikha Salem Al Dhaheri, acting secretary-general of EAD.

"Such unsustainable practices adversely impact the target species as often ignore correct protocols are not

followed, and extraction is far beyond the natural regeneration capabilities of the species," she said.

According to UAE Federal Law No.24 of 1999, it is prohibited to cut wild plants, uproot them or collect them

illegally.

According to the agency, there are currently 436 species of local native wild flora.

Al Dhaheri added: "Local plants benefit human lives in multiple ways - as vital sources of food and medicine, for

nitrogen fixation, to stabilise sand dunes and prevent erosion, all while enriching the region’s biodiversity. It is

unfortunate that these plants are also impacted by unregulated tourism, overgrazing and the illegal cutting and

trading of wood, which has resulted in the decline of some key species, as well as the overall degradation of local

habitats."

EAD said it is currently managing the Baynounah Nursery in the Al Dhafra region that has a production capacity of

300,000 seedlings per year. The agency uses these seedlings in its initiatives to rehabilitate wild habitats. The

nursery currently stores the seeds of 58 species of native wild plants, such as the Little Dwarf Palm, Umbrella

Thorn Acacia, Ghaf, Oriental Cherry, White Saxaul.


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Page 42



ABU DHABI FUND FOR DEVELOPMENT

FACILITATED DH16.5BN OF DEALS FOR UAE

COMPANIES Monday, April 01, 2019

The Abu Dhabi Fund for Development, a government-funded aid finance institution, has facilitated Dh16.5 billion

of business deals for UAE companies in developing countries in the past decade.

The fund has partnered with 20 UAE-based companies on development projects overseas during the 10-year

period, and provided funding including loans and Abu Dhabi government-awarded grants to other partners in

developing countries to address economic challenges and improve standard of living, ADFD said in a statement

on Monday.

Industry sectors in which ADFD-financed deals have been stuck include infrastructure, health, education and

renewable energy, the statement added. In particular, the fund has sought to create investment opportunities in

developing countries to build economic sustainability.

The fund has amended its tendering system for projects financed by ADFD-managed government grants, the

statement added. In line with new directives from Sheikh Mansour bin Zayed, Deputy Prime Minister of the UAE,

Minister of Presidential Affairs and ADFD chairman, an up to 10 per cent preference will be given to national UAE

companies that pass the technical assessment and financial qualification stage outlined in the fund’s tender

policy.

This "will help enhance their competitiveness in line with the Abu Dhabi Economic Vision 2030, which aims to

build a diversified and sustainable economy and ensure a balanced approach to economic and social

development,” said Mohammed Al Suwaidi, director general of ADFD.

“The fund seeks to strengthen the presence of UAE companies in developing countries through establishing long-

term strategic relationships, especially with economies that enjoy competitive advantages."

A total of 20 UAE companies have worked or are working on our projects, “and we look forward to an increase in

participation in future”, he said.

In 2013, the UAE passed a law increasing the fund’s capital to Dh16bn and expanding its activities to include

assisting private sector economic development projects in the UAE and overseas.

ADFD is also working to establish a national export financing programme to provide financing and guarantee

facilities to boost export rates and open new markets, the statement said.


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Page 43



PROPERTY FINDER BECOMES LARGEST

SHAREHOLDER IN TURKISH REAL ESTATE

PORTAL Tuesday, April 02, 2019

Property Finder increased its stake in Turkish property marketing website Zingat to almost 40 per cent from 17

per cent, as it looks to expand its operations in the Middle East, North Africa and Turkey (Menat).

“The partnership with Zingat has proved hugely successful, and has reinforced our confidence in the Turkish

market and its economy,” said Michael Lahyani, chief executive and founder of real estate portal Property

Founder.

The stake increase “aligns with our vision of expanding market share in Menat”, Mr Lahyani added, and makes

Property Finder the largest shareholder in Zingat, Turkey’s fastest growing property platform. The value of the

deal was not disclosed.

The deal is Property Finder’s first since the close of its $120 million investment round in November, led by US

private equity company General Atlantic.

As part of the Zingat transaction, General Atlantic’s vice president Tom Hussey will join Zingat’s board as a

director.

Zingat was founded in 2015 by Ahmet Kayhan and Mehmet Erkek – the entrepreneurs who also set up Dubai real

estate data provider Reidin – alongside Turkish conglomerate Doguş Group.

Property Finder’s latest investment is intended to facilitate co-operation between the two property portals,

Property Finder said. Zingat will invest the funding into the development of new products and resources to

improve the real estate marketing and sales experience for consumers, agents and property developers.

“In the coming years we will invest most of the new funds into extending and improving our business, products

and services to help our clients find the right properties more easily, and real estate professionals work more

efficiently,” said Zingat’s co-founder and chief executive Mr Kayhan.

Property Finder operates in seven markets across Mena, including the UAE, Bahrain, Saudi Arabia, Lebanon,

Egypt, Morocco and Qatar, in addition to the significant stake in Zingat.


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Page 44



LEBANESE BANKER WINS APPROVAL TO

BUILD LONDON'S CONTROVERSIAL TULIP

TOWER Thursday, April 04, 2019

The Tulip was designed by Foster + Partners for the Lebanese Brazalian billionaire Joseph Safra, who also owns

London's famous Gherkin building

The Tulip tower will feature a multi-deck glass viewing platform with a bar and restaurant, rotating pods on its

exterior, and an education centre for up to 20,000 children a year. Construction is scheduled to start next year

and end by 2025.

The City of London’s governing body has approved plans for the capital’s second-tallest building, a 305m-high

viewing tower, dubbed the ’Tulip’.

The building, designed by Foster + Partners for the Lebanese Brazalian billionaire Joseph Safra – who also owns

London’s famous Gherkin building – has stirred up controversy.

The Tulip has faced 46 formal objections and an unprecedented intervention by Duncan Wilson, the CEO of

Historic England.

The building – which Wilson describes as ‘a lift shaft with a bulge on top’ – “will cause permanent and irreversible

damage to the setting of the Tower of London, and in turn, the image and identity of the capital,” he said.

The Tulip has also faced opposition from Historic Royal Palaces, which called the scheme “a fundamental and

irreversible mistake” that would seriously harm views of the Tower of London, a Unesco world heritage site.

The City’s own public realm department in February said that the old roads surrounding the site at 20 Bury Street

could not handle an influx of 1.2 million visitors a year.

Nonetheless, the landmark was approved after a ‘robust’ debate by the City of London Corporation’s planning

committee, said Chris Hayward, the chairman.

The tower will feature a multi-deck glass viewing platform with a bar and restaurant, rotating pods on its exterior,

and an education centre for up to 20,000 children a year. Construction is scheduled to start next year and end by

2025.

Economic impact

A spokesperson for the Tulip Project said: “As part of the planning application process, The Tulip Project

submitted an Economic Impact Assessment by Deloitte, which estimated that The Tulip would offer economic

benefits to London of nearly £1 billion in total monetised value by 2045 and 600 additional permanent full time

jobs during 20 years of operations.”

According to an independent representative poll of Londoners, conducted by ComRes, two thirds of London

adults (65 per cent) think that The Tulip would be an attractive addition to the London skyline, while 69 per cent

believe that the proposed development would have a positive impact on ‘the City’s attractiveness as a visitor and

cultural destination’.




Page 45



The Tulip spokesperson added: “During the planning application process, our team engaged with a significant

number of local stakeholders including heritage bodies, schools, businesses and residents in the City and

neighbouring boroughs.

"These discussions, together with the views of the planning officers, have allowed us to tailor the proposal to

meet their needs and concerns."

The proposal will now be subject to review by the Mayor of London, who has 14 days to consider the City’s

positive decision in the wider context of London’s role as a leading global capital.

A City Hall spokesperson told Arabian Business: “The mayor recognises that there are a range of views regarding

this application and will consider the scheme on its merits in due course.”


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Page 46



With over 30 years of Middle East experience, Asteco’s

Valuation & Advisory Services Team brings together a

group of the Gulf’s leading real estate experts.

Asteco’s network of offices in Abu Dhabi, Al Ain, Dubai,

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Our breadth of experience across all the main property

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Jenny Weidling BA (Hons)

Manager, Research & Advisory

+971 4 403 7789

[email protected]

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