- Broker Directory
- My Tools
- News & Advice
- Market Trends
- Other GN Sites
Dubai: Institutional investors might be willing to do more of a look in now that value gains in Dubai’s property market seems to have shed its turbo-charged increases.
“We have already begun to see the return of institutional activity which will help to further diversify the city’s long-term demand base,” says the new Cluttons report. “We are entering a stabilisation period, with capital value growth across Dubai’s freehold areas slowing to a more sustainable rate, while buyers adjust to the slew of new regulations.
“Undoubtedly, this is already reducing the number of end-users on the market. However, it does create an opportunity for institutional and equity-rich investors to step into the market while prices stabilise and domestic housing demand ebbs to an extent”.
Two major institutional deals were struck in the recent past - China’s Chow Tai Fook Endowment Industry Investment Development (Group) Ltd. is taking a Dh6.9 billion exposure on serviced apartments, high-end residences and two five-star hotels at the Dubai Pearl scheme on Al Suffouh Road. The other is from Bahrain-based Ravi Pillai Group, which confirmed plans to invest Dh5.5 billion in two projects in Business Bay and Downtown Dubai.
Source: Manoj Nair, Associate Editor, gulfnews.com