Damac Properties announces completion of 572 units at Lake Terrace - Monday, 16 June 2008

Damac Properties yesterday announced the completion and delivery of 572 units of its iconic Lake Terrace project at Jumeirah Lake Towers. Reinforcing the company's focus and commitment to the delivery of projects, Damac has announced plans to deliver over 2300 units in 2008, followed by an additional 7100 units in 2009-10.

In 2008, Damac will also deliver 527 units in Lake View located at Jumeirah Lake Towers, 192 units in Executive Heights project at Tecom, 198 units in Tera Del Sol 1&2 and 848 units of The Crescent, located at IMPZ.  In 2009/10, they will deliver a further 7100 units.

 

Sharing insights on Damac's focus and determination on delivery of projects, Hussain Sajwani, Chairman of Damac Holding, said: "There are over 2100 projects either planned or under way in the Gulf region and over 23 per cent of these projects are located in Dubai. The property boom in the region, especially Dubai, has far exceeded the region's capabilities to develop these projects on time.

 

The region has been facing a steep challenge on delivery of projects due to shortage of quality contractors and the rising costs of construction material. The delivery of our Lake Terrace project is a step towards our commitment and focus on completion of projects. At Damac, we are determined to ensure that we go all the way to get our customers their homes as quickly as possible."

 

He further added: "2007 saw a far slower pace of completed projects, with handovers of only 11,000 units of the expected 57,000 units across the region. In 2008, Damac will deliver over 2300 new units and we expect to deliver an additional 7100 units in 2009/10. To keep up to our commitment, we are working closely with all our contractors and providing them the necessary support mechanism towards timely completion of projects."

 

In his comments, Peter Riddoch, CEO of Damac Properties, said: "We would like to congratulate the owners of the Lake Terrace on the possession of their new homes. Lake Terrace an example of contemporary architecture overlooking a picturesque manmade lake, is another luxurious offering from Damac."

Completion of Burj delayed further - Tuesday, 10 June 2008

Developer of the world''s tallest tower, Emaar Properties, yesterday stated that the Burj Dubai tower will be delayed by another eight to nine months.

Earlier this year, the company had stated that the completion of the tower is four months behind schedule. However, the company had said that it plans to complete the tower in 2008.

Burj Dubai, the tallest building in the world, is a part of $20billion Burj Dubai development, being developed by Emaar Properties. The iconic project, which includes a shopping mall, residential buildings and hotels, is pushing the frontiers of engineering, architecture and construction. The Dubai Mall, which forms a part of Burj Dubai development, will have 100 storeys on completion.

According to the company spokesman the luxury finishes that were arrived upon when the tower was conceptualized in 2004, is now receiving its final upgraded touches, and the design of the apartments too, are being enhanced to render a more attractive, aesthetic appeal.

"By ensuring upgraded apartments and living environment in Burj Dubai, Emaar emphasizes its commitment towards offering world-class, one-of-its-kind projects," the company said. (Business 24/7)

Emaar says inflation won''t hit property demand - Monday, 9 June 2008

Emaar Properties, the largest Arab property firm by market value, said on Monday that soaring inflation in the UAE was unlikely to hit demand for real estate in the second-largest Arab economy.

Inflation in the UAE probably soared to an at least 20-year peak of 11.4 per cent last year from 9.3 per cent a year earlier, as rents and food prices jumped.

"It will not impact (demand) because it is a global phenomenon," Emaar Chairman Mohammad Alabbar told reporters on the sidelines of a news conference in response to a question regarding the impact of price rises on property demand.

Property prices have been soaring in the UAE as supply fails to keep up with demand. Dubai kicked off the property boom when it first allowed foreigners to invest in properties in 2002. (Gulf News)

Brad Pitt builds in Dubai - Monday, 2 June 2008

Hollywood heartthrob Brad Pitt plans to make his mark on Dubai, claiming the new hotel and resort designed by him will be an "incredible attraction".

Announcing the plans for the hotel, Pitt said: "Whilst acting is my career, architecture is my passion. Selecting this development as my first major construction project has been a simple decision. It will underpin not only my values for environmentally-friendly architecture, but also embrace my career in entertainment.

Pitt will be working for GRAFT design team on behalf of Dubai-based Zabeel Properties to design, plan and build the green flagship project.


Christina Lawson of Zabeel Properties said Pitt''s involvement will be hands on, and will bring him to the UAE: "We can expect to see Brad Pitt in and out of Dubai over the coming months as he is very heavily involved in the project.

"He is not going to be the face of the project but will actually be a part of the design and overall feel of the building. He will 'be'' a part of Dubai when it''s complete."

The five-star project, of which the location has yet to be revealed, will include an 800-room five-star hotel, which developers hope will eventually play host to the most glamorous events and award ceremonies.

The project will also be socially conscious, something Pitt feels strongly about. "I don''t think Pitt would be involved if it wasn''t for the fact we are creating an environmentally-conscious project," said Lawson.

The finer details of the project are expected to be revealed over the next two months but LA-based architecture firm GRAFT have confirmed Pitt will work closely with a team of consultants.  It is set to become a flagship hotel complex for Dubai and a world-leader in environmental sustainability. (Gulf News)

"The Lagoons" Wins Awards at Cityscape Abu Dhabi - Tuesday, 20 May 2008

'The Lagoons', a freehold, mixed-use project being developed in the heart of Dubai by Sama Dubai, the international real estate investment and development arm of Dubai Holding, won awards in two categories - 'Best Mixed-Use Development' and 'Best Corporate Social Responsibility' - at Cityscape Abu Dhabi.

Designed to celebrate excellence in real estate development and investment in the Middle East, Cityscape Abu Dhabi Real Estate Awards were presented at a ceremony at the Emirates Palace Hotel. Industry professionals and senior executives from the real estate industry, as well as several high profile guests from the region, were present at the ceremony to honour their peers for their outstanding achievements.  

Winners were chosen by a panel comprising the most acclaimed international industry experts.

House prices up 15% in two months and could double - Tuesday, 20 May 2008

The price of oil spiked to $128 a barrel last week and has been taking Dubai house prices up with it. Even the most cursory survey of price changes over just the past two months shows 10%-15% increases across the board. This is probably the highest rate of change in Dubai property prices since the modern freehold revolution began in 2002. AME: United Arab Emirates: Sunday, May 18 - 2008 at 14:27
In the US, the collapse of house prices since mid-2006 has been followed by the sub-mortgage crisis since last August. The policy response from the Federal Reserve has been to lower interest rates dramatically. This will allow banks to recoup their losses by increasing the spread between borrowing and lending charges, and gradually put a floor under house prices.

This dramatic loosening of monetary policy has had the nasty side-effect of stirring up commodity price inflation, most particularly in the oil market. For an oil-exporting country like the UAE, this means huge additional liquidity is flooding the banking sector with money supply rising at 37%.

Dollar pegAt the same time the UAE has its currency pegged to the US dollar so the nation has to track US interest rates downwards. Hence you have interest rates falling at a time of rising inflation, in short very high negative real interest rates.

That means the economy is effectively paying you to borrow money. So is it any surprise that there has been a huge dislocation of funds into real estate, further increasing upward pressure on prices?

This is not over yet by a long way. What message does a gain of 10%-15% in two months send to the marketplace? What greater encouragement do investors need when alternative investments all over the world look sick?

Well, how long will this last? Price gains of this intensity are not usually sustainable for long. But a 50%-100% increase in property values over the next six to 12 months is quite possible. After that the market would move sideways awaiting confirmation of its optimism.

Oil pricesNow with Goldman Sachs predicting an oil price spike of $150-$200 within the next 18 months that would suggest very much high property prices are obtainable and will be sustainable at least within that timeframe.

And let us not forget the supply side argument either. UBS has forecast that new property supply will begin to impact on the Dubai market by 2010, and if that came along with a downshift in oil prices - perhaps due to a global recession - then that would finally signal the correction.

But not before house prices reached very much higher levels than we see in the market today, with even observers from the world's most highly priced property markets becoming shocked by prices in Dubai. Currently they still find the market good value.

Eye of Ajman launched by Bonyan in the Emirate of Ajman - Wednesday, 14 May 2008

 Dubai-based realty company, Bonyan International Investment Group, has launched a Dh.3.5billion development, Eye of Ajman, which is also Bonyan''s first realty project in Ajman.

The project, which covers 6.27million square feet of space, comprises 109 multi-purpose plots, comprises residential, hospitality, office and retail segments.

Located just 20 minutes away from Dubai, the project includes residential towers, lakes, and garden views with ample parking spaces allocated to residents and visitors alike.

Bonyan in its statement, revealed that a number of plots are designed to take the shape of a human eye, and the plots will house a mosque, hotels, schools, health club, a clinic and an electric sub station located amidst a sprawling urban landscape.

The Company Chairman, Abduallah Atatreh, said "We have identified Ajman to be the perfect location for our flagship project, due to its rapid advancement in infrastructure and land ownership legislation. We are confident that Eye of Ajman will be a major step in the positive direction towards continuing growth of Ajman as a business hub by drawing huge foreign investments and investments from across the region."