Dubai realty transactions value jump to Dh64b in Q1

Citizens of Gulf Cooperation Council (GCC) states contributed highly in the Q1 of 2015, as their investments amounted Dh9 billion from 1,964 investors.

Dubai — Dubai real estate market witnessed sustainable growth this year as value of transactions jumped to Dh64 billion in the first quarter of 2015 compared to Dh61 billion in the same period last year, according to Dubai Land Department (DLD) data released on Saturday.

Indians ranked top by investing more than Dh3 billion as a foreign investors in the property market followed by British investors with transactions worth Dh1.9 billion and Pakistanis ranked third with Dh1.4 billion investment in the Emirate property market. The total value of non-Arab investment in the Dubai real estate market amounted to more than Dh12 billion through 5,466 investors and 102 nationalities.

Citizens of Gulf Cooperation Council (GCC) states contributed highly in the Q1 of 2015, as their investments amounted Dh9 billion from 1,964 investors. Emirati investment formed the lion’s share of this figure with total transactions of Dh5.799 billion amounted from 980 investors, while citizens of Saudi Arabia came in at second place after making transactions worth Dh1.890 billion amounted from 604 investors, followed by Kuwaiti nationals from the number of investors after making transactions worth of Dh500 million through 170 investors.

“The department is always keen on issuing the quarterly results of real estate transaction in Dubai for transparency that will help investors and customers in making decisions based on strong foundations. The figures in this report are showing a well-established trust in our real estate market, as well as full preparations and readiness with for quantum leaps in the next few years to receive the Expo 2020,” DLD director general Sultan Butti Bin Mejren commented.

Real estate sales accounted for 8,000 transactions with the a total value of Dh24 billion, while the mortgages contributed more than Dh37 billion from 3,000 transactions, leaving all remaining operations at only 546 transactions with the total value of Dh2 billion in the first quarter, the DLD report said.

Looking at the transactions, sales and mortgages relating to land transactions recorded more than Dh52 billion from the total real estate figure for Q1 2015, with the total of 3,919 transactions. The commercial lands acquired the lion share in terms of value for the type of land with 57 per cent in total, amounting Dh30 billion, noting that other lands include agricultural land devoted to the development of industrial projects, exhibitions, hotels and residences, and other uses.

As for Arab investors their total value of transactions amounting to more than Dh3 billion, through 15 Arab nationalities and 1,220 investor. DLD’s report revealed that Jordanian investors ranked highest in terms of number of transactions at nearly Dh708 million worth of deals through 204 investors. They were followed by citizens of Egypt with 184 investor with a total of Dh390 million, followed by Lebanese investors with 172 investors with a total amount of Dh505 million, with Iraqi nationals came in fifth place with 153 investors with a total amount of Dh379 million. They were followed by Yemen, Sudan, Palestine and Algeria.

In reference to areas, “Al Yafra 2” area of Dubai was revealed to be the most attractive for transactions, in terms of land value sales, with the value of its transactions reaching Dh1.467 billion through 614 sale transaction.

It was different for unit sales, as Business Bay area came in first with the value of its transactions reaching Dh1.848 billion through 1,202 sale transaction. This was followed by Dubai Marina with a total of 524 sale transaction worth of Dh1.181 billion.

As for buildings, “Al Thunaya 4” topped all areas in terms of sales, with the value of its transactions reaching Dh172 million through 69 sale transaction. This was followed by “Al Barsha South 4” with a total of 39 sale transaction worth of Dh96 million.

— abdulbasit@khaleejtimes.com