Owners of properties and residential units will be able to enter the UAE on a multi- trip entry visa that allows them to stay up to six months. The same article stipulates that the value of the unit should not be less than Dh 1 million. The unit should be fit for accommodation and for members of the family. The departments of naturalisation and residency will scrutinise this point. The article allows the owner to include in the visa application his spouse and children and attaches an insurance cover (for him, his wife and children) valid for the limit of the stay in the country. Article 34 stipulates that owner should have a fixed income of not less than Dh 10,000 or its equivalent in foreign currencies whether inside or outside the country though the visa doesn't give the owner of the property the right to work inside the country. In case these terms are not met, the permit shall be null and void. The resolution will take effect from the date of its issuance, and is to be published in the official gazette.

Home finace firms Amlak and Tamweel will be back in the market shortly as independent Islamic mortgage lenders,according to a top official close to the deal.

Dubai: The UAE government's latest plan to set up a federal real estate regulatory authority to co-ordinate efforts of existing local regulatory bodies has been welcomed by developers and property analysts. Federal real estate regulation is likely to make things clearer than having different rules and regulations for the seven emirates. The Dubai Land Department declined to comment until further details were revealed. However, industry experts and analysts welcomed the move saying a federal authority would increase investor confidence. "It's a step in the right direction and very clearly, where there are opportunities to align the regulatory environment of the various emirates [and] where possible, will probably contribute to investor confidence," said Blair Hagkull, the managing director of Jones Lang LaSalle. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- However, Hagkull also said that in the event of the authority being set up, it would be important for it to provide for "a harmonising of a new regulatory framework consistent with the nature of the UAE federation." "It's an opportunity to harmonise and to ensure global best practice across the country which would be viewed positively by international investors," Hagkull added. Abed Junaid, the executive director of ETA Star Properties, said there had been a "disuniformity" experienced previously in UAE property regulations, thereby creating confusion. The off-plan sector has caused particular concern among investors with regulations only coming in to play very recently. "There are a lot of developers who have projects across various emirates and there has been a bit of disuniformity in regulations. There are investors, too, that have projects across different emirates and I think a federal authority and uniformed regulations would bring stability," Junaid said. Last year's astronomical property boom in Dubai and the wider UAE saw prices rocket, and amateur developers coming in to the industry, wanting a bit of the property pie. "The establishment of a federal real estate authority can only be to the benefit of all developers operating within the UAE. To have similar standards and guidelines on best practice and procedures across all emirates would ultimately be in everyone's best interests and we welcome any moves which bring more consistency and clarity to the changing and developing property market here in the UAE," said Peter Riddoch, chief executive of Damac.

Dubai: Property experts have been seeing a shift towards rentals and buying in community development areas, such as Discovery Gardens and Dubai Marina over the last two months. It seems community-style developments such as Jumeirah Beach Residence, Dubai Marina and Discovery Gardens are becoming more popular among tenants and buyers. With many people looking to relocate to Dubai from Abu Dhabi, due to a lack of supply in the capital, developments which are ready, like Dubai Marina, and offer easy access to facilities and main roads are increasingly popular, analysts say. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- "For residential sales, the highest demand over the last two months has been for the Marina Emirates Living district. The price range between Dh2 million and Dh3 million has seen the highest number of transactions and, in terms of number of bedrooms, two bedrooms have been the most popular," Liz O'Connor, director, residential sales and leasing at Better Homes, told Gulf News. Without around 20 to 25 per cent deposit, people are finding it difficult to get on the property ladder. Dubai's Real Estate Regulatory Authority (Rera) are due to release the new and improved rental index which is forecast to reflect the recent drop in rental rates, across Dubai. The first rental index released at the end of last year caused chaos among tenants as it showed average rental rates based on pre-financial downturn figures. However, rents have been falling, dependent on the location and this is thought to be the basis of the revised index. "Jumeirah Lake Towers, Jumeirah Beach Residences and Dubai Marina are the top picks for tenants at the moment. Vacant space is the ultimate unutilised resource," said Andrew Delport, chief operating officer at Gowealthy real estate brokers. Dubai real estate website propertyfinder.ae has created top ten lists for rental and purchasing hotspots, based on online site interest in February alone. Both lists contain Discovery Gardens and Dubai Marina.

Dubai: Victory Heights, the Dh2.5 billion, 25 million square foot development in Dubai Sports City has begun handing over villas and townhouses to their owners. The first batch of 30 villas was handed over two weeks ago. Between now and June, around 600 villas will be handed over, said Yasser Abdullah, general manager of Victory Heights. Facility management will be operated by a French company, Ecovert. "Eventually the developer will have to hand over the issue of service charges over to the home Owner's Association who will decide the maintenance and services required," Abdullah said. Abdullah also said that they will manage the services and facilities management for three years to ensure everything is well before handing the reins over to the Owner's Association.

Abu Dhabi: Senior real estate and construction executives from across the Gulf believe that once the UAE real estate industry gets past short-term adjustments, it will adopt effective policies that will help it emerge stronger than it was before. Executives attending Abu Dhabi Economic Forum said there would be pain experienced, with many over-leveraged buyers unable to make their payments. They added that the lack of available mortgage financing in the short term meant that this would prevent new buyers from coming onto the market. They said they expected the real estate sector to go through healthy changes in the medium term. According to them, the current crisis will force real estate companies to adopt more effective policies that will help them get out of the situation as stronger entities. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Gurjit Singh, Sorouh chief property officer, said demand, especially in Abu Dhabi, was still exceeding supply. "But the problem is the credit availability, the high interest rates and the strict mortgage criteria." Dr Hani Shamma, the chief executive of Bloom, said that the problem afflicting the real estate industry in the UAE was that 90 per cent of the sector was speculative and only 10 per cent was end user market. He spoke of "a hype of millions of people coming into the UAE for living and investment," which he believes contributed to the crisis the industry is going through. Dr Shamma called on the government to investment more in infrastructure, health and education, which would create demand for real estate. He also urged government to permit long-term residency visa for expatriates who own properties. Abdulla Al Shakra, chairman of Al Hanoo Group, Saudi Arabia, said the real estate industry faced challenges when it was transformed from a service industry to a speculative industry. They all agreed that the UAE economy had proven in the past to be able to successfully face several financial crises. They said the secret was the young and dynamic economy with a very high degree of flexibility. The sector's key drivers include a growing expatriate population, ample liquidity, and a friendly regulatory environ­ment. Moreover, being a regional hub for invest­ments has managed to attract international companies to the UAE to set up offices.

Dubai: An updated rental index is due to be released at the beginning of April and is aimed at making the market more realistic, according to officials at Dubai's Real Estate Regulatory Authority (Rera). "The index will be out at the beginning of April. We cannot do it based on one study as rents are dropping at different rates," said Marwan Bin Galita, chief executive of Rera. The revised rental index will be completed once all the new tenancy contracts have been signed for the current year and registered on Rera's Ejari website. Once this has been done, it will be clear who is paying what rents in specific areas of Dubai. There are 209 real estate management companies registered under the Ejari system and 2,822 registered lease contracts, according to Rera figures. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- The first rental index was released at the end of last year and caused uproar and confusion among tenants who were left watching as their landlords hiked their rents. It later became clear that the rental index was not entirely relevant as the average rental rates quoted in it were based on last year's rents, before the financial crisis hit, causing rents to plummet. Those tenants who have not yet renewed their contracts are now likely to sit on their contracts until the new index is released, hopeful of a decrease in their area. With rents dropping across the board however, it is now much easier and more affordable to find property at a good rate. Tenants can breathe a sigh of relief as it is likely the new index will be more in line with current market rates. "The good thing is tenants can now find affordable units," Bin Galita said. Whereas in the first rental index, the average rent for a two-bed villa in the Springs was Dh190,000-Dh230,000, these same villas can now be snapped up for Dh85,000 by those lucky enough to strike a bargain. Studios in International City, according to the first index have an average rate of Dh45,000 to Dh55,000 and can now be found for as low as Dh30,000. While this may be frustrating for tenants already committed to a contract, for those still looking around, now is a very good time to rent.

Freezing of service charges and the introduction of online registration system for owners associations will bring relief to property owners, a property consultant said. "We look forward to the full implementation of the Dubai Condominium Law, which establishes a framework for relations between owners and stakeholders of joint property," Peter Crogan, Chief Executive Officer of BCS Strata Management Services, said. "The law will provide significant relief to property owners here, who will be free to form owners' associations that will have their own elected management boards. These owners' associations, in co-operation with Real Estate Regulatory Agency (Rera), will set their own budgets and service charges for the maintenance of joint property, and select the provider of their choice to provide those services." He welcomed the initiative announced by Rera to develop an online system for the registration of owners associations as timely and appropriate. The online registration system will be operational from March 15, Rera said on Tuesday. "We are encouraged by both these announcements, and look forward to continuing to work with the Dubai Land Department, Rera, developers and property owners," Crogan said.

Dubai: Al Fara'a Properties on Sunday said it has successfully poured 7,500 cubic metres of concrete for 50 hours covering 46,500 square feet for the basement level of the Manhattan Development in Jumeirah Village. The 12-metre cavity, complete with high density piling and supports will house the foundation and basements of a signature collection of 343 1930s New York-inspired apartments that are comprised of studios, one-, two-and three-bedroom units. "The self compacting concrete ... covering an area of 46,500 square feet was split into three phases and was backed by six pumps," the company said in a statement following the achievement. The pour was executed by Unibeton, the largest concrete supplier in the UAE and member of the Al Fara'a Group. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- "Today, Al Fara'a Properties affirmed its intention to complete its 1930s New York-styled Manhattan Luxury Apartments Project on schedule," it said. "The residential development not only offers its investors the Al Fara'a Properties' signature features of superior value and novel amenities, but is designed to offer a healthy lifestyle backed by a world-class gymnasium featuring swimming pool, sauna and steam facilities, as well as a well equipped children's play area." Al Fara'a Properties has the largest number of projects underway in Jumeirah Village. Included in Al Fara'a Properties' Jumeirah Village repertoire, the CNBC Arabia's best development award winning Le Grand Chateau is all set for handover completion in Q2 of 2009. Natasha Gangaramani, director of Al Fara'a Properties, said, "Despite market dynamics, [we] remains committed to the scheduled delivery of the Manhattan Luxury Apartments Project. Not only have we deployed a 1,200-strong workforce, but a ... team of experts continue to lead this project, within planned timeframes to its successful completion." With a land bank of Dh3 billion and a planned property portfolio of Dh10 billion, the company has successfully launched various residential, commercial and mixed-use developments spanning Dubai Maritime City, Jumeirah Village and Downtown Jebel Ali in Dubai.

Dubai: The time is right to buy property in Dubai as the fall in house prices, especially in desirable locations such as Palm Jumeirah, spells good news for potential buyers, industry experts say. "The Dubai real estate market is full of opportunities and this is a great time to buy as a number of projects are now ready and investors can get good real estate for reasonable prices. Investors can also get great rental yields, of up to eight per cent, which you will not find elsewhere," Marwan Bin Galita, chief executive of Dubai's Real Estate Regulatory Authority (Rera), told Gulf News. Property prices on Palm Jumeirah, developed by Nakheel, have fallen 50 per cent since September last year, according to sales agents PowerHouse Properties. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Four-bedroom garden homes on the Palm are now selling for as little as Dh6.5 million, down from peaks of Dh14 million in September 2008, agents said. "We've seen a steady stream of bargain hunters in the market, shopping for these prestigious addresses, with many motivated primarily by price. Many end-users who previously could not afford to live on Palm Jumeirah are also now turning their attention to the bargains currently on offer," said Ian Hainey, Palm sales specialist at PowerHouse Properties. Prices for Palm signature villas have also fallen, from about Dh30 million just six months ago, to around Dh15 million. The fall in prices has resulted in an increase in potential buyers. There has been recent talk of 2009 being the year of the end user, especially for first-time buyers, who, until recently, had simply been priced out of the market. "I think the Palm is starting to look very attractive. The price - from an aspiration level - I think people felt it was beyond them and now, with the correction and the price drop, it is starting to come into affordability," said Vincent Easton, sales director at Sherwoods Property Consultants. For both end-users and investors who wish to rent out their property, now is a good time to buy. "I don't think the bottom of the market is that far away. Now is a fantastic time [to buy] and not just for first-time buyers. People are starting to wonder when the right moment to come back into the market is," Easton added. Easton said that in all the established areas, such as the Palm, Jumeirah Beach Residence and Discovery Gardens, there are average gross rental yields of 10 to 12 per cent. Prices in these areas are also coming down, to as little as Dh800,000 in Discovery Gardens and around Dh1.5 million in Jumeirah Beach Residence. "And people know they can take advantage of easy payment plans the developers are providing for ready properties. [This] is a winning long-term investment. Investors have a lot of choices, such as villas, flats, commercial, retail and island, so I truly believe in the future of this city," Bin Galita said. Garden villas on the Palm rake in rentals of around Dh400,000 and furnished signature villas command rents of up to Dh1 million. "As the crisis [moves] more into an equilibrium, you are finding more attractive investment yields and it makes it more interesting for people to invest in property and helps encourage more investment in the sector," said Blair Hagkull, managing director at Jones Lang LaSalle. A Colliers International report showed property prices in Dubai dropped 8 per cent in the fourth quarter of 2008, the first quarterly decline since foreign ownership became legal in 2002. The report also showed that sales volume dropped by 45 per cent over the last quarter. Some Nakheel projects have been affected by the current downturn, including the one kilometre-high Harbour Hotel and Tower and the Trump International Hotel and Tower. Getting a mortgage could be an issue for many salaried buyers, but not for all. A number of banks are still offering mortgages for buyers whose income is high.

Dubai: Dubai's Land Department has ambitious plans to become the real estate advisory authority not just for the emirate, but for the whole region, senior officials said on Wednesday. Regardless of financial events taking place globally, the Land Department is still sticking to its original vision of providing a safe environment for investment. "We are the authority in this region, thanks to our leadership. Everyone is trying to copy us even in this time of crisis. Dubai projects are always in the spotlight," Marwan Bin Galita, chief executive of the Real Estate Regulatory Authority (Rera), said during a media event yesterday. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- There are plans in the future for the Land Department to become the property advisory body for the whole region, as more countries try and evolve their real estate sectors, magnetically drawing in buyers as Dubai has done for years. The future of Dubai's property sector is bright, despite financial worries and the market is expected to recover quicker than other market globally, due to increased regulations and efforts to revive the flagging mortgage market. Bin Galita said that rental yields in Dubai are among the highest in the world. "Dubai's market is still capable of giving seven to 10 per cent return on investments. So there will be a correction but they [returns] will never go down to two per cent. We have no taxes and we have transparency of information. Real estate is not only about money, it's the engine of social development," Bin Galita added. Mohammad Sultan Thani, assistant director-general of the Land Department, said the department was aiming to make the property sector more secure by reducing the number of developers. "Our aim is not to increase the number of developers, but to reduce it and to encourage mergers so that those developers can be stronger," Thani said. The Land Department was talking to the local media after unveiling its new logo. "The logo embodies Dubai's safe investment environment, especially after issuing a new package of real estate legislation aimed at protecting the real estate market, keeping up the momentum of the urban boom and encouraging investors," Shaikh Mohammad Bin Khalifa Al Maktoum, chairman of the Land Department, said. The new logo depicts a palm tree, one half in traditional style reflecting the national heritage of the emirate and the other side made up of green squares, reflecting the technological advances. A red circle around the logo reflects the regulative framework, especially law Nos 13 and 14, as a sign of investor protection.

Dubai: Private development company Omniyat Holdings is set to hand over its first three projects in the second quarter of this year. Omniyat has a total portfolio spread across 15 projects worth a combined value of Dh28 billion. So far, nine of these projects have been launched with a combined value of Dh13.5 billion. The three to be handed over in the second quarter include One Business Bay, Bayswater and The Square. The announcement comes at a time when news of project delays is bringing down public confidence. While 2009 may not be the year for further launches, senior officials say that they are aiming to complete three projects every year, starting now. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Ahead of the handovers, the company has created a subsidiary company, Omniyat Asset Management (OAM) meaning Omniyat will now have development profits and services income, according to Peter Walichnowski, chief executive of Omniyat Properties. OAM is a service management company comprising three main areas. These are strata services, facilities management and property services, added Walichnowski. The strata services will operate as per the strata law, relating to those buildings with more than one owner, such as apartment buildings and office blocks. The strata services include strata levy billing, accounting, insurance and maintenance. Facilities management involves a building management system being present in the building. It is intended to reduce maintenance costs and operating costs.

Dubai: Two new laws in the pipeline will bring further protection to investors and end-users in Dubai's off-plan property market. The first law says developers must own the land and have completed at least 20 per cent of construction before they can request consent from the Real Estate Regulatory Authority (Rera) and are allowed to sell off-plan. The second law says the payment plan must be linked to construction milestones and a maximum of 20 per cent of the property price can be taken up front. Both are in draft form at the moment but expected to be implemented soon, according to Lisa Dale, partner in law firm Al Tamimi and Company. A law already in place says that developers will be cancelled from the Real Estate Register if they do not start construction of the project within six months of the date when approval was granted to sell off-plan. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Al Tamimi joined forces with Dubai Land Department (DLD) on Tuesday in order to shed some light on property laws in Dubai. Buying off-plan has always been slightly risky as some developers took money from investors without having started construction. This led to many complaints being taken to Rera and the Property Court by people wanting their contracts cancelled and being given refunds. While the exact number of cases currently in the property court is unavailable, Dale said they were "very busy".

Dubai: Developers of hotel apartments in Dubai remain optimistic that plans for new properties in 2009 will go ahead as scheduled despite a slight tourism industry slowdown. Chelsea Hotels, which opened its new Chelsea Gardens project in the Discovery Gardens area of Dubai yesterday, said despite the current market conditions it believes in the long-term growth prospects of the local hotel industry. "We stand committed to supporting the vision of the government in promoting Dubai as a world leader in tourism and hospitality," said Karim Kassam, executive director for the Chelsea Hotel Group. The developer currently has 700 rooms under operation and 1,100 under construction. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- These include a 357-room five-star hotel in Business Bay - which will be a Crowne Plaza - and two four-star hotels, close to the Mall of the Emirates and Bur Juman, to be operated under the Chelsea Group name. According to statistics provided by the Department of Tourism and Commerce Marketing, in 2007 the occupancy rate for hotel-apartments was just over 82 per cent, up slightly from 2006 figures of 80 per cent. In comparison, the hotel room occupancy rate in 2007 was marginally higher, at 84 per cent. "Hotel apartments did very well because of a shortage of hotel rooms in Dubai," according to Peter Janssen, group general manager at StarHospitality, a division of ETA group. In 2007, 125 hotel-apartment properties were registered with the Department of Tourism, compared to 111 in 2006. "We got involved in these projects at the end of 2007," Kassam said about the Chelsea Gardens development. "At that time no one was to know what would be happening in the markets today. I agree its probably not the right time to be opening...but the market's not run dry completely." Occupancy rates for 2008, especially the second half of the year, have shown a decrease, as the impact of the global economic downturn reached the region, and began to affect the lucrative leisure industry. "The downturn we are seeing here was inevitable..but I'm sure the people that are committed to delivering what they were planning already will complete their projects. And it will give us a lot more realistic Dubai going forward, with more manageable projects, and it is a good thing for Dubai in the long run," Kassam said. However, according to Chelsea Gardens Front Office Manager, Mohammad Rimzi, interest in the hotel-apartments has been strong, with one of the two buildings already at 50 per cent occupancy, prior to the official launch. The management hopes to attract a core base of corporate clients, primarily working out of the Jebel Ali Free Zone as well as the Dubai Marina area. For StarHospitality, a 102 bedroom hotel in Al Barsha is due to be completed and open in the next six months. "Like in every city, this is a cyclical market, where we are now seeing a correction going on," says Janssen. "By the last quarter of 2009, we should already see a stabilisation, with occupancy rates being more flat in 2010 before a recovery," he added.

Dubai: Real estate company Deyaar Development reported on Sunday net profits of Dh1.104 billion for the 12-month period ending December 31, 2008, an increase of 105 per cent compared to Dh540 million achieved in the previous year. During the same period, the company's revenues reached a record Dh2.973 billion, an increase of 136 per cent compared to revenues of Dh1.259 billion the previous year. Deyaar also announced its financial results for the fourth quarter of 2008, including net profits of Dh343 million for the three months ending December 31, 2008, up 59 per cent compared to Dh216 million during the same period in 2007. The company's revenues for the fourth quarter of 2008 reached Dh676 million, up 10 per cent compared to Dh617 million during the corresponding period in 2007. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- The fourth-quarter numbers are inclusive of the portfolio revaluation and adjustments made in line with current market conditions.

Dubai: Dubai's Real Estate Regulatory Authority (Rera) has revealed their rental index that they hope will replace the need for rent caps in the future. Rera on Wednesday announced Dubai's first residential and commercial rental price index. The rental index has been designed to give average rental rates across different zones of Dubai. "The government has already interfered three times to impose rental caps and now there is hope that the rental index will remove this need," Rera said in a statement to media. The commercial index gives the average rental rates for properties, based on road conditions, public parking, location, air conditioning, view and age of the building. Office prices are also dependent on whether the building is on a main road, sub-street or an inside building. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Rental prices for residential properties, however, are not clear. Properties are divided into apartments and villas, and are based on the size of the building only and no other criteria. Prices were not given. "Rera will constantly update this rental price index to match market factors and changes. This index will stop owners from putting the rents too high in the market," said Mohammed Khalifa Bin Hammad, director of Rera's real estate relations regulatory department.

Dubai: Landlords need to understand what tenants want, in order for Dubai's real estate sector to bounce back, industry analysts say. Flexible markets such as the UK bounce back much faster from economic disaster than more "mechanical markets", Nicholas Maclean, managing director of real estate services firm, CB Richard Ellis, told Gulf News. In transparent markets such as the UK, landlords act quickly and reduce rents in order to meet market expectations. This is a key issue in deciding when markets recovers. "In the context of the UAE, if landlords grasp what tenants want, there will be a quicker recovery in this market than many other markets around the world," said Maclean. The fundamentals underlying Dubai's real estate market are still positive. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- "Look at the way rents have reacted. We still have nearly 100 per cent occupancy, especially in the commercial sector and unlike Europe & the fundamentals underlying the Dubai market are still positive," Maclean said. CB Richard Ellis on Sunday released their quarter four rental and yield report for the Europe, Middle East and Africa (EMEA) region. The report indicates that rents in Dubai are levelling off in commercial, residential and retail sectors. "Rents are going to soften, to decline. But that's not a bad thing, as they're declining all over the world. The key is not the decline but the rate at which they're declining," Maclean said. He also said the rental index released last week by the Real Estate Regulatory Authority (Rera) will help enormously in creating transparency in Dubai's property sector. Prime rents in each of the three commercial sectors, including industrial buildings, offices and retail, remained static in the fourth quarter of 2008, the report showed. However, because of the impressive growth since 2007, overall rental growth increased, despite the lack of actual growth in the final quarter. Prime rent for an industrial property in Dubai is Dh45 per square foot per annum, a 50 per cent increase year-on-year, the report shows. Prime office rents are Dh550 per square foot per annum, an increase of 29.4 per cent, and retail units are Dh500 per square foot per annum, a 17.6 per cent increase year-on-year, according to the report. "We are seeing now, for the first time, a drop in commercial rental prices. Property purchase prices have been coming down for some time now, but rents had until now been holding strong," Maclean added. Dubai also offers some of the highest yields in the EMEA, including 11 per cent yields in industrial sector, 7.7 per cent in the office sector and eight per cent in the retail sector.

Dubai: Abu Dhabi National Islamic Finance (Adnif), the Islamic banking division of National Bank of Abu Dhabi (NBAD), recently arranged an Dh334 million facility for SinoGulf Investments' commercial tower project in Capital Centre. C.18 is the largest plot within the Capital Centre development designated for commercial and retail use. The project commenced in Q1-2008 and shall be completed in Q4-2010. Positioned as a Grade A product with 4 levels of basement parking, 2 levels of podium parking and 12 lifts for a 25 storey building, the tower is designed to cater to international and local blue-chip companies. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- "Adnif has grown significantly over the past 18 months under the NBAD umbrella. We strive to get the best quality assets under our portfolio and we screen our proposals by thorough due diligence. SinoGulf's Capital Centre project comes across as a sound business case - it provides the right product at the right time and, most importantly, with the right team," said Moawia El Amin, Head of Corporate & Commercial Division at Adnif. "The Adnif team asked the right questions while inspecting our proposal and we were delighted to find out that our conservative approach was in line with Adnif's risk management strategy," said Andrew Clout.

Dubai: The UAE federal government is reviewing the issue of freehold property visas linked to foreigners' ownership of properties in different emirates, a top Dubai Government official told the media on Saturday. "The Advisory Council [of Dubai Government] has submitted a proposal to the Federal Government on the issue of property-linked visas to review," Nasser Bin Hassan Al Shaikh, director-general of Dubai Government's Department of Finance, said at a media briefing on the sidelines of the government's 2009 budget announcement. "Since a number of emirates have developed their own freehold visa arrangements, there are thoughts at the federal level to streamline the process and announce a unified guideline for all the emirates." -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Dubai Government created the Advisory Council in October last year, to assess the impact of the global financial crisis on Dubai's economy, which has been hit due to an outflow of capital, estimated to be well above Dh200 billion. He said there could be a new law guiding this soon, without giving any timeframe. When asked if he expects a positive resolution, he replied, "Yes, I hope so." The freehold visa issue has come to light in recent months when major master developers Nakheel and Emaar - who have been helping foreign buyers of freehold properties to get three-year renewable residence visas - had stopped facilitating them last year, prompting investor outcry. Experts have welcomed the move, saying the country needed a unified regulation on this and a streamlined procedure to restore investor confidence. "It is reassuring. It is positive news and will bring a lot of faith and confidence in the market," Sudhir Kumar, managing director of Realtor's International, a property consultancy. "The matter of freehold visas has been an issue of major concern for real estate investors. This addresses the concern. With this, the government is showing its strength and resilience in the time of crisis." Dubai's master-developers have, since 2002, been pledging "freehold visas" to attract foreign investors to the emirate's real estate sector, in the absence of a proper rule to dictate this. Since then, they have facilitated this to lots of buyers having a special arrangement with the Dubai Naturalisation and Residency department. Subsequently, a number of master-developers in Ajman and Ras Al Khaimah followed suit, attracting massive investment into their real estate sector. Five out of the UAE's seven emirates now have designated areas where foreign nationals can buy and own properties on a freehold and leasehold basis. Sharjah does not allow non-Arabs to own properties on a freehold basis. Abu Dhabi allows foreigner to own what it calls "surface property" and not the land on designated areas. However, there is no federal law to regulate the freehold property market and visa issuance linked to property ownership to foreigners. As per the UAE constitution, land of each emirate belongs to Rulers and they decide the ownership, usage and allocation of the land..

Dubai: Nakheel accomplished yet another milestone at Waterfront casting the raft foundations for two of its 132kV substations after six months of detailed design and engineering. A total of 1,700 tonnes of concrete and 170 tonnes of reinforced steel were used to complete the foundations. Nakheel's Waterfront Electrical Infrastructure team is managing the construction of the substations which will eventually be handed over to DEWA for operation. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- The two teams are working closely to ensure the sustainability of the overall power strategy at Waterfront. Sustainability emerged as one of the key influential factors for investors when considering a property purchase according to a recent survey undertaken by Nakheel. Matt Joyce, Managing Director of Waterfront said: "As the world's largest coastal development, Waterfront will transform 1.4 billion square feet of empty desert and sea into an international community for an estimated population of 1.5 million people. We are delighted with the progress made on its infrastructure.” Waterfront is the world's largest coastal development based on the shores of Dubai, and is on track to becoming the exemplar sustainable city founded on resource efficiency, social equity, and economic prosperity. Minimizing ecological impact is considered in every decision of the city's design, construction and operation. Energy and water conservation are achieved through integration of utilities in dedicated utility centres, where process streams are interlinked and waste is transformed into energy to power the city. Simulation is used in building design to ensure tough energy efficiency targets are achieved.

Dubai: Dubai Investment Properties (DIP) on Monday launched a multi-million 'Sunset' mixed-use development project in Dubai. The Sunset development will include a high-end luxury shopping mall, boutique offices and lavish residential apartments in the heart of Dubai, along beach road in the upscale Jumeirah 3 neighbourhood and stretching out into the waters of the Arabian Gulf. "Sunset will be a unique development combining the best in architecture and the latest 'green' technology initiatives. It will be a real piece of art, where sophisticated, intellectual and brand-conscious customers can indulge their tastes for opulence and high living, with exclusive facilities and services. Sunset will set new standards in shopping in Dubai," says Francois Faure, Executive Director, DIP. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- With the launch of Sunset, Dubai Investment Properties plans to set a new parameter in luxury retail experience in Dubai. Sunset Mall will host over 97 outlets with a strong mix, including new high-end retail store concepts as well as international boutique brands. The mall will also offer customers VIP services and fine dining experiences with gourmet food restaurants, all of which will offer panoramic views of the Arabian Gulf. The Sunset mixed-use development is scheduled for completion in the first quarter of 2009.

Dubai The pressure of coming up with one cheque to pay your annual rent could soon be over with the Real Estate Regulatory Authority's (Rera) newly-created online registration of tenancy contracts in Dubai, analysts say. Rera recently urged tenants and landlords through an advertisement campaign to register tenancy contracts online from January 1, 2009, to develop a comprehensive rental index that will help it to evaluate and regulate the market better, with a Dh100 fee. The online registration spells the end of landlord-tenant disputes and will help Rera gauge the rental market in Dubai fully. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- "About six months ago, people were paying rent in one or two or maximum four cheques. Given today's financial situation, these [payment plans] will be more flexible. And if Rera can gather the information through this, then they can also give more guidance," Elaine Jones, chief executive officer of Asteco, told Gulf News. Additional fees may well not be an option, as house fees are included in the annual Dubai Electricity and Water Authority bills, although many areas in Dubai still do not receive these. Rera said earlier this year that they wanted to have zones within Dubai where an average rent rate would be given for each zone. This appears to be the first step on that road. Marwan Bin Galita, chief executive officer of Rera, wasn't available for comment.

Berlin: Troubled German lender Hypo Real Estate Holding AG on Saturday announced plans to cut about 1,000 jobs, more than half its current work force, by 2013 as it cuts costs following a government-backed rescue. Hypo Real Estate said it would reduce the number of employees from nearly 1,800 to about 1,000 over the next three years, with two-thirds of those jobs outside Germany. It said a further 200 jobs would go by 2013. The commercial property lender, which said part of the cuts would be achieved through outsourcing and divestments, said it expects to reduce its annual costs by some 200 million euros (about Dh1,022 million) by 2011, and by 250 million euros by 2013. Short-term funding -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Hypo Real Estate also said it was terminating the contracts of two former managers, including former chief executive Georg Funke, and two current managers. The company ran into trouble in mid-September after its Dublin-based unit Depfa Bank plc failed to attract short-term funding amid the widening credit crunch. The German government put together a rescue package worth 50 billion euros. Hypo Real Estate later turned to a separate financial sector rescue fund set up by the government for further loan guarantees. The company has now "taken necessary steps paving the way for its return as an active market participant in the medium term," Chief Executive Axel Wieandt said. "The focus is now on discipline in managing the balance sheet, as well as costs and risks, and on consistently implementing the restructuring measures," Wieandt said. Hypo Real Estate said its restructuring drive would incur one-time costs of 400 million euros, about two-thirds of that in the fourth quarter.

Abu Dhabi: Abu Dhabi's biggest real estate developer Aldar Properties has not slowed down or put on hold any of its projects due to the global financial crisis and has no plans to lay off staff to cut costs, a senior Aldar executive told Gulf News. "Everybody is affected by the financial tsunami, nobody is immune. However, all projects that we started are going on as planned and we are not laying off any person," said Ousama Ghannoum, Aldar's marketing director. He said Aldar's ongoing projects in Abu Dhabi, which include the Formula 1 track, Central Market project, hotel projects and Al Raha Beach residences, are going to be completed on schedule. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- "We have tight delivery schedules and we are going at full speed," Ghannoum said, adding the Formula 1 track would be ready next year to host the last Formula 1 race of 2009 calendar year in Abu Dhabi on Nov-ember 1. Another top company executive, who did not want to be named, confirmed the company's projects are on track. Shares down Shares of Aldar, one of the largest companies by market capitalisation in the UAE, fell 1.3 per cent on Thursday to close at Dh5.28 a share on a rising Abu Dhabi Securities Exchange. Aldar's development of real estate projects across its portfolio is estimated to have exceeded $72 billion in terms of value with the entire portfolio slated to be completed and delivered over a period of seven to 10 years. The global credit crunch has roiled world's top banks and bankrupted several companies. As well, it has left many of them on the brink - the three main US automakers, General Motors, Chrysler and Ford, being prime examples. The unprecedented global financial crisis has to date wiped out trillions of dollars from the world's financial system.

Dubai: As many as 819 people have lost their jobs in the property sector in Dubai to date, with many more expected, analysts and officials said. Developer Nakheel on Sunday made 500 staff redundant, representing 15 per cent of their workforce of about 3,300. Earlier, Damac let 200 go, Omniyat 69 and Better Homes have made 50 people redundant, making the total headcount to 819. Things are far from perfect in this real estate industry, where investment is more stagnant than free-flowing as before. Those let go from Nakheel were notified on Sunday with many leaving immediately "because of the holidays coming up", said a senior communications executive whose own job, presumably, is safe. And while real estate staff are quaking, the job losses are overflowing in to the banking sector with Morgan Stanley downsizing operations in Dubai. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- On top of the sackings, many of Dubai's mega-projects, those which have thrown Dubai in the spotlight, have been put on hold. Kathy Cusack, planning and design manager for Waterfront said she couldn't comment on any delays on the Waterfront project. Limitless is reviewing the construction schedule of Arabian Canal. "Arabian Canal is not on hold at all. But we are reviewing the pace of development," Rebecca Rees, media relations manager, Limitless, said. Rees also said none at Limitless had lost their jobs so far and they "are not planning" any job losses but their recruitment programme is being reviewed. The Dh350 billion Jumeirah Garden City development is now on hold. "The master plan is being revisited and pockets of the development are delayed," said a spokesperson from Meraas. Meraas also have no immediate plans to lay off any staff.

Dubai: Mizin, the real estate development arm of Dubai Holding unit Tatweer, has awarded contracts for phase two infrastructure works in the Liwan, Arjan and Majan master developments in Dubailand. The contracts worth several million dirhams have been awarded to Bin Laden Construction and Emirates Roads Contracting. Following the completion of phase one infrastructure works in the three developments, which included the installation of multi-lane road systems and street lighting, the second phase infrastructure works involve the construction of networks for water, power supply, irrigation facilities, sewerage and drainage, as well as the telecom infrastructure, across the combined area of almost 50 million square feet. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- It will also ensure the creation of sidewalks and pathways, with landscaped areas. "The scheduled delivery of each infrastructure phase is testament to Mizin's commitment to meeting construction milestones within the three projects. This allows investors crucial access to the site and enables them to develop their projects with a timely and structured approach," said Ahmad Sharaf, chief executive officer of Tatweer Investments. Mizin said that an extensive pre-qualification process was conducted prior to awarding the contracts to ensure that the second phase infrastructure work in the three communities would be on par with the master planner's rigorous quality and delivery standards. Phase two infrastructure works in all three communities are due for completion by mid-2010. Arjan, Liwan and Majan are mixed-use developments located in Dubailand on Emirates Road. Upon completion, the three developments will house over 187,000 residents. Arjan is situated at the meeting point of old and new Dubai. The development spans a 20 million square foot site and will accommodate 67,000 residents in properties featuring a distinctive Art Deco architectural style. Arjan also boasts the first dedicated open-air amphitheatre in Dubailand. Liwan is seen as the gateway to New Dubai, with 65 per cent of its 13 million square foot area dedicated to open spaces. On completion, Liwan will be home to 35,000 people. Majan, which is accessed via Emirates Road, is set to become the Downtown of Dubailand and is expected to accommodate over 85,000 people within its 16.5 million square foot area, Tatweer said. Since its inception in September 2006, Mizin has launched four strategically located communities.

Tangiers: In the latest Gulf investment in the North African region, the foundation stone of a $1.3 billion (Dh4.77 billion) real estate project was laid in Tangiers, Morocco on Monday. The mega project of the Kuwaiti Gulf Holding Company (GHC) is the fourth real estate project launched by a Gulf Company in Morocco in the past few years after Dubai's Emaar Properties, Sama Dubai and Qatar's Diyar. The great potential and strong prospects of the Moroccan economy encouraged the company to go ahead with its plan to start the project despite the financial crisis that is crippling some of the globe's strongest econ-omies, according to executives of GHC. Good opportunity The project, which is named Villa Royale, comes in line with the company's mid-term focus on aggressively exploring good opportunities in emerging markets, they noted. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- All the world is witnessing a painful bleeding, Ahmad Al Ameer, vice-chairman and CEO of GHC said in reference to the crisis. However, there are countries, including Morocco, that were not affected by the crisis, he added in a press conference held shortly before the festival ceremony to launch the project. Several Moroccan officials attended the ceremony held in an area overlooking both the Mediterranean coast and the straits of Gibraltar. "Morocco's (economic) indicators are positive," Al Ameer said, adding that the economy of the northern African country is expected to record a growth of 6 per cent in 2008. Vision 2010 He also pointed out to the Moroccan government's Vision 2010 which aims to attract 10 million tourists by 2010, and to the strong indicators of the banks and financial institutions in northern African country, as well as its desire to open up the door for foreign investments and opportunities similar to Monday's project. The project will be built on an area of 1.13 million square metres. It comprises of a residential part that includes palaces and residential units, as well as a clinic, a school, an equestrian centre and a retail complex of cafes, restaurants and shops. The project is expected to be completed by the end of 2011, while the first part is scheduled to complete by mid 2010. GHC was established in Kuwait in 2005 at the beginning of the construction boom in MENA region. Presently, its capital stands at 70 million Kuwaiti dinars. Its shares are not listed yet on the Kuwaiti Stock Exchange. In 2007, the company announced a net profit of 20.14 million dinars. Morocco's project is the third for the company with investments totalled so far nearly $2.2 billion. The great potential and strong prospects of the Moroccan economy encouraged the company to go ahead with its plan to start the project despite the financial crisis that is crippling some of the globe's strongest economies.

Dubai: Gulf General Investment Co. (GGICO), one of Dubai's leading diversified companies, has sold 75 per cent of all units available in the third phase of its Axis Residence project, located in Dubai Silicon Oasis, within the first few days of its launch. The company said that the special financing solutions they have developed had greatly increased the attractiveness of the opportunity now that installments could be made over a 100 month period, with a down payment of just three per cent. This brings it very much into the range of most people living in the UAE, especially those in the medium and low income brackets. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- "Our aim as a company is to inspire confidence in our products and make them accessible to our customers. This is especially the case at a time when many other financial institutions are refusing to extend credit as a consequence of the global credit crunch," said Simon Philip, General Manager of GGICO "It is therefore especially pleasing to see that the steps we have taken to make our financial solutions readily accessible are finding an enthusiastic audience," he said. The Axis Residence project was launched in 2007 and has attracted a large number of investors because of its attractive location in Dubai Silicon Oasis, and its high construction quality. The third phase of the Axis Residence project consists of eight towers covering 1.3 million square feet, with a total value of Dh1.2 billion. The towers are disting-uished by their size, luxurious qualities and the competitive nature of their pricing policy. The units vary in size from one to three bedrooms with residents enjoying the added benefit of a fitness centre and swimming pool.

Dubai: Paris Hilton could be the latest in a constellation of stars to light up Dubai's property sector, in a possible $2 million (Dh7.3 million) deal with Abu Dhabi-based developer, Hydra Properties. Hilton, who was famous before she was even born, will add a dash of desert glam to Dubai's celebrity skyline. "Mr Hilton is having a lawyer look over a million-dollar agreement between a property company in the UAE and Paris Hilton. The deal would give the company 'naming rights' for three years to call a set of twin towers Paris Hilton Towers. The deal currently stands at around $1.5-2million," said celebrity booking agent, Mike Esterman. Officials at Hydra Properties were not immediately available for comment. Although Hilton's roots are firmly entrenched in the hotel business, branding a property is just a hop, skip and a jump away. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- And there is perhaps nowhere more fitting for a celebrity to flash a smile and name a building than in Dubai, where real estate is very much the name of the game. As a recent wave of celebrities-turned-real-estate-professionals have found, investors in Dubai real estate are cashing in on a booming economy. If agreed, Hilton would follow in the impressive footsteps of tennis great, Boris Becker, Formula One champion Michael Schumacher and golf-pro, Tiger Woods. But if it's glamour you're after, you'd be hard pushed to find a star more focused on glam than Paris. Of course, aside from those celebrities who want to see their name on a tower, there are other stars here working with local developers who know the bigger the name, the bigger the interest. There's property heavyweight, Donald Trump with Nakheel, fashion legend Giorgio Armani and Emaar and most recently, bona fide Hollywood superstar, Brad Pitt, working with Zaabeel Properties.

Dubai: Deyaar, the real estate subsidiary of Dubai Islamic Bank, is aggressively looking at developing master-planned communities and also expand globally as the current cheap price makes foreign properties and assets much lucrative, a top official said. "The current financial crisis provides the right opportunities for organisations like us to expand and benefit from the low asset prices," Markus Alexander Giebel, Deyaar's new chief executive, told Gulf News in an exclusive interview. "No, we are not in a shopping spree for land. Our approach is controlled international expansion. "It is our aspiration to have 50 per cent of our build-up area in the international markets, such as Kazakhstan, Jordan, etc, within a year. We are also looking at Europe for investment." -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- The company's domestic land bank is about 20 million square feet of build-up area. with 16,000 housing units under its management. Deyaar, whose market cap is Dh6 billion, has a balanced portfolio of rental and sale. The developer has long been managing and developing rental units, from which it has already shifted to freehold mode. "If you want to have a long-term shareholder value, this is the right time to pick up assets from the international markets as the prices are extremely attractive," he said. However, this shift of focus to international market has nothing to do with the slowdown in Dubai's real estate market, he said. "Dubai is still an attractive market. The emirate has matured from an emerging market to a developed market. As a result, it has shifted from speculators and brokers to end-users, which will help the market to stabilise," Giebel said. 'Strong fundamentals' "The market fundamentals are still strong. But the concerns are driven by external factors." He said, fear, uncertainty and doubt (FUD) were the three key factors dominating the market. "The FUD factor is currently halting sales. This is a temporary phenomenon and will wither away," he said. The gap between demand and supply in Dubai's housing market is set to stabilise by 2010, Giebel believes. Deyaar is planning to develop master-planned communities in the coming years, in addition to building towers and low-rise buildings, he said. "We are currently finalising the Deyaar Village - a master-planned development for 25,000 people - in Al Warqa. This will be a medium-size community," he said. The first construction tender will be out for bids in a few months time.

Dubai: National Ranges Company (Mayadeen), a Kuwaiti shareholding property development firm, has launched Aurora, its Dh1.6 billion landmark project in Abu Dhabi, and opened it for sales. Located in Shams on Al Reem Island, the project includes the construction of two residential towers, which will be 53 stories each and stand 208 metres high. The towers will feature 960 apartments, ranging from one bedroom to four bedroom penthouses and duplex rooms. Foundations begin The project also includes the construction of a 14-storey commercial tower, which will offer 112,000 square feet of commercial space. The project will have a canal promenade with retail space and a 12-storey parking building that can accommodate 1,674 cars. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Ali Al Attar, Mayadeen chief executive, said the initial phase of shoring and piling work has been completed and the company is currently in preparation for the second phase, which will include work on the foundation structure. "Mayadeen has signed with five contractors for this project and progress is on schedule," he said. Al Attar noted that the demand for residential units in Abu Dhabi is still outstripping the current supply. "We are beginning to witness a large number of investments in Abu Dhabi's real estate market and this looks set to continue over the upcoming decade," said Al Attar.

Dubai: Sheffield Real Estate FZC, developers of the skyscraper Marina 101, said it will build three projects on the Dubai Waterfront at a cumulative investment value of Dh3.5 billion. Abu Ali Malek Shroff, chairman of Sheffield Real Estate, said: "Over the years, we have carved a niche for ourselves as a real estate developer focussed on master communities that have added value to Dubai's stature as world's best destination for freehold real estate investments. We believe that Dubai Waterfront is another exclusive opportunity from Nakheel with huge potential for maximising returns from investments." The Dubai Waterfront properties join Sheffield's developments in its portfolio with residential projects in Dubai Marina, International City, commercial development in Jumeirah Lake Towers (JLT) and a shopping mall in Mizin. Portfolio -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- The flagship project of the company is the Dh1.7 billion Marina 101, one of the tallest towers in Dubai. Sheffield pioneered the moneyback concept with Marina 101 wherein investors after possession would gain 75 per cent returns from the management of the property. Marina 101 will be spread across 1.65 million square feet and the hotel component will be operated by a renowned hotel operator. On the Waterfront entry, Shroff said Sheffield has received concept approval to finalise three residential developments within the Dubai Waterfront, cumulatively spanning over three million square feet in prime location within the development. "We will be launching all three projects simultaneously. Together with the Dubai Waterfront properties, our investment value in Dubai's freehold real estate sector will now touch approximately Dh9 billion," he said. Works on all its projects, including Marina 101, the shopping mall in Mizin & the Corporate Tower in JLT are progressing in line with the committed schedules.

Dubai: British celebrity chef Jamie Oliver has been announced as the latest face of the Dh8 billion Jumeirah Golf Estates project. Oliver, famous for his healthy eating campaigns in the UK, has been brought in to design the kitchens in the Water neighbourhood of the project. The residences go on sale on October 15 and range in price from Dh2.5 million to Dh15 million. At the launch of the residences on Sunday, during which Oliver served up two dishes to the delight of the audience, he described the project as a personal indulgence. "I'm doing this to push the boundaries, to create something a bit bonkers. They don't need me to sell flats. What I'm trying to do is make sure is that it's as easy as possible for anyone to be brilliant." -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Oliver will also open two restaurants in the Water neighbourhood's Life Centre, a community hub which will also house the Chris Evert Tennis Centre, an 18-hole putting course, fitness centres and an art gallery. The restaurants will be the third outpost of his Jamie's Italian brand, and a new barbeque venture. He will also open a cooking school and shop allowing residents to rent out high-end cooking equipment.

Dubai: Dubai developers Deyaar and Union Properties on Tuesday denied that they were in merger talks but were unable to say if the government was looking into ordering a tie-up amid tightening liquidity. On Monday, a news agency reported that Deyaar was mulling a $4.3 billion (Dh15.91 billion) merger with Union Properties. The report came after weeks of speculation into looming consolidation in the real estate sector and days after Dubai mortgage lenders Tamweel and Amlak said they were in talks to merge. "There is no foundation on this. We have not talked to Union Properties; I was shocked when I read it," Deyaar Chief Executive Markus Giebel told reporters. But answering a question on whether a merger could be government-orchestrated Giebel said: "I am not privileged to government talks." -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- His comments were echoed by Union Properties Chief Financial Officer Zaid Ghoul, who told Reuters that his firm was "not aware of any official discussions concerning a possible merger with Deyaar" but was not privy to government plans. "Looking at a merger there are many aspects to consider... The business models between the two companies are different," he said. In 2007, two Dubai banks merged, creating the country's largest lender and analysts say the impact of the global credit crunch could speed up government-encouraged consolidation to create larger companies better able to weather financing difficulties. "This is a way of raising funds basically. This is why you are seeing companies selling out because the bigger the entities are, the stronger it will be," said Chahir Hosni, sales manager at EFG-Hermes. "Apparently there are talks, whether its going to go through or not, these things usually take time."

Dubai: The Sunland Group (Dubai) has issued a letter of intent (LoI) to Arabtec Construction, a subsidiary of Arabtec Holding, for the construction of The Atrium at the Waterfront, the new Madinat Al Arab precinct of Nakheel's Dubai Waterfront development at Jebel Ali. The value of the project is more than Dh2.4 billion and will include all associated structural, civil, electromechanical works, external works and commissioning. It is expected to be completed by the end of 2013. Features The project comprises three basement levels and 68-storey residential towers covering more than three million square feet. Arabtec is currently working with Emirates Sunland (a joint venture between Emirates International Holdings and Sunland) on two major projects in Culture Village. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- These include the D1 Tower, an 80-storey luxury residential building and Palazzo Versace Dubai, a luxury 215 room hotel, and 169 condominiums. Madinat Al Arab is the first phase of construction in Nakheel's Waterfront project. The premier beachfront precinct will transform 1.4 billion square feet into an international community with residential, hotel, commercial and retail developments. Waterfront is being developed on the last 15 km of natural coastline in Dubai. It promises to provide more than 70 km of coastline in all, including the development of 23 per cent of the Arabian Canal. The Waterfront is located in close proximity to the new Jebel Ali Airport making the new precinct fully accessible on a local and international scale. The Atrium will be launched by Sunland at this year's Cityscape.

Dubai: House prices in Dubai are set to decline by up to 20 per cent by 2011, adding fuel to the plethora of predictions in recent weeks that Dubai's property market will see a correction. House prices will hit their peaks in the first half of next year due to the massive 70,000 units expected to be released on to the market in 2009, according to a recent report by EFG-Hermes. However, house prices will then decline in the second half of 2009, with a cumulative decline of around 15 to 20 per cent by 2011, the report said. The future of Dubai's house prices has been hotly discussed by investors and analysts alike, as they seem unaffected by the financial credit crisis that has the rest of the world in its grip. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Opinions had greatly varied from Morgan Stanley's prediction of a 10 per cent drop in prices by 2010 to a slightly less pessimistic "correction" from other analysts. Property prices have continued increasing to the disbelief of many investors. Colliers International recently reported that prices in Dubai rocketed 42 per cent in the space of three months, between the last quarter 2007 and the first quarter 2008. An overall increase of 78 per cent was recorded in a single year, between first quarter of 2007 and first quarter 2008. Matthew Green, head of research and consultancy at Cluttons UAE, doesn't see prices dropping very dramatically as more people come to Dubai for work opportunities, especially in light of the recent collapse of Lehman Brothers in the US. "The job market in Dubai is booming at a time when London and New York are seeing huge layoffs in the finance and property sectors. We may start to see a migration of talent to cities such as Dubai and Abu Dhabi where the economic picture is somewhat brighter," Green told Gulf News earlier. A drop in house prices would be good news for those trying to buy property in Dubai but would be bad news for speculators, who are currently pushing up prices. Barmak Besharaty, managing director of Al Mas Capital, said last week that due to the tightening of belts in Europe and the US, less money will be coming into Dubai. "Everything points to a levelling out of prices," Besharaty said.

Dubai: Cirrus Developments LLC, one of the developers in the region and the first third-party developer to break ground at Downtown Jebel Ali is on schedule to complete its Celestial Heights project. The Dh1 billion 'Celestial Heights' development is now well into the next phase of construction and on schedule to complete as per the program. Celestial Heights is located in the Trellis District of Zone One, Downtown Jebel Ali, which comprises mid-rise towers, shaded walkways and beautiful parks. The development offers residential, commercial and retail units, and will be made up of three towers: Capella, Orion and Polaris. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Saeed Ahmed Saeed, CEO of Limitless, said: "Downtown Jebel Ali has received an overwhelming response from investors and developers who clearly share our vision to enhance and enrich people's lives through the delivery of distinctive, sustainable developments. Designed around the 200,000 people who will live in, work at or visit it, Downtown Jebel Ali will be a living, breathing community where public spaces streets, parks and plazas are as important as the buildings themselves." Celestial Heights was the first development to be launched by Cirrus Developments and the first by a sub-developer in Downtown Jebel Ali. The company has since launched another residential and commercial project - the Dh3 billion Aquarius Gate project at Waterfront as well as the Dh550 million Sienna Square in Downtown Jebel Ali. In July 2008, Cirrus Developments became the first developer to purchase plots in the Canal District of Waterfront through a sealed bid auction conducted by Nakheel.

Dubai: Nobles Properties, a new real estate company, is developing the $500 million Tripolis Towers in Libya, officials said yesterday. The Tripolis Towers in the heart of the Libyan capital Tripoli will be developed in line with an agreement signed with OYA Tourism Investment and Development, a subsidiary of Libya's Economic and Social Development Fund. The Tripolis Towers will comprise two 40-storey residential towers on 275,000 square feet of waterfront land in Tripoli. The total built-up area will be 3.5 million square feet. One tower will include a five-star hotel with business facilities, serviced apartments and retail space. The second tower will contain office space. A Nobles Properties' spokesperson could not confirm the number of serviced apartments, but said the hotel would comprise 300 rooms. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Unit sizes and prices were also not known, the spokesperson said. Omar Ayesh, founding chairman of Nobles, said this was a "significant" agreement in Libya as part of the company's plans to expand in the Arab world. "We see great potential in the Libyan market and its outstanding level of economic competitiveness, which stems from a unique combination of attractions that cannot be found elsewhere," Ayesh said. Wissam Al Idrissi, general manager of OYA, added that Libya is enjoying a period of substantial econ-omic growth, thus attracting many development opportunities. There is a growing demand in the Libya for multi-purpose property developments, which Dubai developers plan to exploit.

Muscat: One more player from Dubai has arrived in Oman to fill the 'vast gap' for apartment units against the demand as Muscat keeps expanding in every direction. "In the last couple of years nearly 5,000 housing units have come up in Muscat, but there's room for more," Abid Juneid, executive director of Dubai-based ETA Star Properties, told Gulf News on the sidelines of a signing ceremony on Saturday at the Oman Holdings International Co (OHI) headquarters in Muscat. ETA Star Properties inked an agreement with Oman-based OHI to launch a premium luxury township at Qurum, in the heart of Oman. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- "The new 5,000 apartment units are just the tip of the iceberg and there's immense potential to develop property in Oman, which is witnessing robust, all-round growth," said Maqbool Hamed Al Saleh, chairman of the OHI Group, after signing the agreement. Central district He also stressed that the location of a project is particularly important. "Qurum is the central district and an ideal residential location unlike some of the projects that are coming out on the outskirts of the city," he pointed out. The ETA Start Properties and OHI will develop a multi-purpose project with residential apartments, offices and retail spaces, blending luxurious living with high levels of convenience. "The project will be formally launched at the end of October," said Behram K. Divecha, CEO of OHI. Abid Juneid also said that they would be looking at the GCC market for the proposed project. "The property market in the GCC is growing at breakneck speed and Oman is fast catching up with this upswing," he said. "We believe it is an opportune time for us to enter Oman and this joint venture with the OHI group is part of our vision to build confidence, trust and credibility in all our projects in the real estate marketplace," he said in a written statement released after the signing ceremony. "We are confident that this project will not only be a landmark in Oman but will also reinforce Oman's potential to become a significant international destination," he said. Environment: Agreement with Teri ETA Star International, member of the Dubai-based $5 billion ETA Ascon Star Group, has signed a Memorandum of Understanding (MoU) with The Energy Research Institute (TERI) of India to explore areas of co-operation in an effort towards sustainable development. The agreement was signed recently in Dubai by Hamed Salah Al Deen, director of the ETA Ascon Star Group, and Dr Rajendra K. Pachauri, director-general of TERI and chairman of the Inter-Governmental Panel on Climate Change, a scientific body set up by the World Meteorological Organisation and the United Nations Environment Programme. The MoU pertains to co-operation between ETA Star International and TERI in a number of areas including the assessment of buildings to get them LEED-certified in basic, silver, gold and platinum ratings. The agreement enables ETA Star International to provide these services to other organisations in the UAE and Gulf region. The other areas of co-operation include conducting environmental impact studies, energy audits of commercial, residential and industrial units, Clean Development Mechanism (CDM) studies and reducing carbon footprint in the UAE.

Dubai: Rikaz Properties, a consortium formed with Bin Dayel Group and Tanmiyat Investment Group, has acquired the Al Jubail City-based Al Rawda Development, comprising residential complexes and commercial towers. The new alliance coincides with a period of increasing demand for residential units in the Saudi Arabia and with the establishment of new projects countrywide to cater to the rising demand for all real estate components. Current demand for housing in Saudi Arabia is far outstripping supply. Statistics show that the housing market is in need of around 1.2 million residential units, with this number likely to increase to around 2.9 million over the next twenty years. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- "We are proud to join hands with Rikaz Properties and Tanmiyat Investment Group and to invest in this highly strategic project. The reliable local and regional market knowledge and experience brought to the table by partners of such calibre will contribute significantly to the value of the project, ensuring the delivery of high quality housing units and sound financial results," said Mohammad Bin Rashid Bin Dayel, chairman of Bin Dayel Group, Growth centre Located on the Gulf, Al Jubail City is considered the centre for future national economic growth by the Saudi government. Al Jubail is already an international hub for value-added petrochemical industry and an increasingly recognised destination for real estate investment. "With industrial, tourist, residential and commercial projects under construction here, the city lures increasing numbers of investors, having already successfully built up and maintained a modern infrastructure that offers promising business and investment opportunities", said Abdul Mohsen H Al Gahtani, vice-president of Rikaz Properties. The two million square metre Al Rawda development faces the naval base on King Abdul Aziz Street to the east , and is flanked on the west by the Al Dammam-Jubail highway.

Dubai: Schon Properties, developer of the Dh3 billion Dubai Lagoon project, has confirmed that full refunds will be given to all investors that purchased units scheduled for completion by December 2007. The refund policy has been extended by Schon as an act of goodwill after confusion amongst some investors in regards to the project phases and revised completion dates, the company said in a statement yesterday. Delays in completion of Dubai Lagoon have been the direct result of unanticipated civic and transportation infrastructure alterations, which have set back construction and produced scheduling issues, the company said. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- "We at Schon Properties applaud and fully support the efforts of RTA [Roads and Transport Authority] and other government agencies to make Dubai a better place and we have re-designed our project to accommodate mandatory infrastructure developments imposed subsequent to the launch of the Dubai Lagoon," said Nasser Hussain, co-chairman of Schon Properties. Schon has been in discussions with Real Estate Regulatory Authority (Rera) to clarify the situation and reach a fair solution for all parties. While not common practice in the UAE, the revised refund policy was approved by Schon board of directors during a board meeting held on Tuesday, to accommodate investors and demonstrate good faith. Investors who purchased units with a completion date of December 2007 are eligible for a full refund and are directed to apply for this prior to September 15. In a recent statement about Schon Properties and the Dubai Lagoon, Marwan Bin Galita, CEO of Rera, characterised the objections of some investors as "a misunderstanding". He said, "Schon [Properties] is a registered developer with us and they have an open trust account and all the money from the Dubai Lagoon [project] is in trust account handled by the Land Department and Rera. Rera issued a press release this week dismissing reports that the project had been cancelled and pledging continued involvement and monitoring of construction works. Schon has also confirmed that the agreement with the original contractors Powerline Gulf has been renegotiated to include the first two zones and construction is due resume in the coming weeks. The first zone is now set for completion within 13 months and the second zone is set for completion within 18 months as of July 28. Negotiations with another leading contractor to handle the remaining zones are currently being finalised of which official appointments by Schon will be announced shortly. Investors who purchased units with a completion date of December 2007 are eligible for a full refund and are directed to apply for this prior to September 15.

Dubai: Deyaar Development PJSC, on Sunday announced the appointment of Markus Giebel as the company's new chief executive officer. Giebel joins Deyaar from Vedera Capital, a UAE-based investment firm specialising in real estate and financial services, where he has been serving as chief executive and member of the board of directors since 2004. Jack Shahin, the former chief executive of Deyaar, was detained in February this year for alleged fraud. A veteran in real estate development and construction sectors, Giebel also previously served as vice-president of Europe and the Middle East for Corning, a Fortune 500 company. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Commenting on the appointment, Deyaar chairman Nasser Bin Hassan Al Shaikh said: "This marks the beginning of a new phase in the ongoing growth of Deyaar as the leading end-to-end real estate solutions provider. As a proven successful team leader, Markus' strong management background and rich experience in the regional and international real estate and financial sector puts him in a great position to implement Deyaar's long-term growth and expansion strategies."

Dubai: Property developer Desert Dream will launch its latest project in Dubai Waterfront with a value of Dh1.7 billion. Dream Harbour will be a 48-storey residential tower located on 67,850 square feet of land. The total built-up area will be 750,000 square feet, excluding car parking. Mahmoud Khan, chairman and chief executive of Desert Dream, said the company's portfolio, including this project, is about Dh2.5 billion. Dream Harbour will also feature swimming pools, sauna, steam room and retail space. Prices will start at about Dh1,995 per square foot. While many people living in Dubai complain about increasing prices in most sectors, Khan said Dubai is still cheaper than many other countries. He said Desert Dream has no immediate plans to launch projects in other emirates but has four more projects planned for Dubai. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- "I think the Escrow Law is the greatest thing that's happened to this market. Dubai is still a new market. Now I love London, but Dubai has a lifestyle that you can't get anywhere else," Khan said. In line with green building regulations, Desert Dream intends to achieve a gold standard LEED rating by recycling water and cutting down on electrical output from air conditioning units by shading. Desert Dream already has three other developments in Dubai in International City, Discovery Gardens and Business Bay. Popular As the rest of the world tightens its belt under the impact of the global credit crunch, Khan said that Dubai is likely to remain popular for overseas investors in the long term. "Dubai has been referred to as a credit-crunch freezone. The amount of interest those three words brought into Dubai is unbelievable," he added.