Dubai - think long term
The massive Business bay project by Dubai Holding is currently under construction and is designed to be the new centre of Dubai ’s commercial district. The Business Bay will consist of a selection of high and low-rise freehold buildings, catering for offices as well as some freehold residential property. Stretching from the current Dubai Creek and dredging inland another eleven kilometres, the project is going to become headquarters to some of the world’s most prestigious companies, and lucky real estate investors.
Due to the sheer size of the development, residents and people working in the district will benefit from a great selection of amenities, which will include hotels, restaurants, cafes, shopping malls and supermarkets. Many of the buildings, particularly residential, will also include gymnasiums and swimming pools, with other sporting facilities located nearby. The key feature of the Business Bay is to offer a mix of work and play all in one place, right in the heart of the city.
The numerous towers are going to offer luxury apartment living, featuring penthouses, duplexes and garden apartments of high quality finishing and spacious dimensions. Property prices at the Business Bay district are still competitive in comparison to other projects on the market, and living there is convenient with easy access to the adjacent Sheikh Zayed Road
Office space at Business Bay has great appeal to many businesses, as it is freehold space, saving on rental costs. The Business Bay development is set to be a major part of the Dubai and will surely become more popular as the completion dates are getting closer with many projects being offered out to rent. Location isan important factor in buying on the Dubai real estate market and Business Bay has a real niche that has international appeal.
Dubai residential and office property markets will continue to soar due to lack of supply
Property prices in Dubai are expected to continue to rise but not at the same rate as previous according to analysts. The latest property price survey shows that both residential and commercial real estate in Dubai continues to defy global trends. In 16 major investment zones, the price of villas skyrocketed 76% in the year to last month. Offices were close behind, rising 74% during the same period, while apartments increased 63%, the survey conducted by banks, consultants and real estate companies and organised by The National newspaper found. Next year will see some correction in prices, it is predicted. 'We are expecting a maximum 35% increase next year, although you may find a higher increase in some areas,' said Sajeer Babu, a property analyst at the National Bank of Abu Dhabi.
The survey also found that once a project had been delivered, prices still increased each month, but at a slower pace. For example, the cost of villas at Arabian Ranches rose 3% while villas and apartments at Dubai Marina increased 2%.
Office prices have increased faster than apartments over the past year, with record highs in Downtown Burj Dubai and Tecom. 'There is an interest in terms of coming-close-to-completion offices because there is also an acute shortage of ready available commercial office space,' Mr Easton said.
Also more multinational companies are establishing regional offices in Dubai because of its strategic location and strong economic performance, according to Aurore Maupou, the director of Dubai property sales at Hamptons International. In a separate report, EFG-Hermes estimates Dubai residential and commercial property prices have jumped 14.4% so far this year, against expectations of a 5% to 10% rise for 2008 and beyond. |
