UAE is among the quickest growing economy on the planet and also the property boom now makes up about a significant part of its 200 billion GDP. Typically the economy was viewed as synonymous to Oil however the UAE rulers have diverted their focus on create an atmosphere free from its reliance on the liquid gold. Dubai and Abu Dhabi would be the prime examples.
Dubai: Cashing on the opportunity
The development is that within the the past few years only six percent of Dubai’s GDP originated from oil sector, whereas the real estate sector constructed for pretty much one fourth from the state’s total earnings. Nearly 250,000 laborers are widely-used in the real estate sector. Huge construction projects including Palm Island, Burj Al Arab, Burj Dubai still mesmerize the world and have also placed Emirates in the world limelight. Dubai port would be the biggest man made harbor on the planet and a few of the projects like the Dubai Metro, are under construction.
After the demise of Sheikh Zayed, the new ruler of Abu Dhabi has embarked on an inspirational journey to match Dubai. Some of the main projects of Abu Dhabi, Al Raha Beach suburb, Saadiyat Island and Yas development have attracted multi billion dollar investments. For attracting more tourists new golf courses and resorts are being built. Large multinational firms are getting attracted to the natural resources of the city backed by its political stability and power. Real estate experts believe that it might be a perfect time to invest in Abu Dhabi’s real estate before the prices get on par with the world’s major financial hubs.
Official figures released by the Abu Dhabi Chamber of Commerce shows that the GDP is expected to rise by almost 160 billion dollars by 2010. Revenue of the island coming from non-oil sectors will also increase by about 40 percent. About 6 billion of investment is targeted for the coming two years. The demand for apartments is also on the rise and it far outweighs supply. Nearly 24,000 units would be needed in 2008 when only 11,000 are scheduled for delivery. Pretty soon the demand will catch on with supply therefore investors are well advised to invest now to reap the benefits of price hikes in the very near future.
