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Dubai World has been in news for some time now. Every one was expecting Abu Dhabi to step forward and help Dubai World get out of the recession. It was a difficult decision to make and many were in doubt regarding the ability or willingness of Abu Dhabi to give Dubai World a helping hand. Earlier Dubai World had announced about its inability to pay debts in time and asked for rescheduling. Dubai’s government showed full confidence in its ability to rebound and stay solid. Although it was difficult to determine when and how will Dubai World’s crisis see its end. Dubai’s government announced on 14th December, 2009 that it has been funded by Abu Dhabi for a staggering $10 billion to help meet its financial obligations in time, which were also due on the same day. Out of these $10 billion, $4.1 billion is said to be used in helping the government meet its liabilities against the Islamic bond issued in November 2007. The news was taken as a new ray of hope across the real estate world and for all the UAE economies. The stock exchanges showed a great response to this welcoming news and Dubai’s main share index went up by 10%, while Abu Dhabi’s share index recorded a rise of 7%. Dubai’s government has tried to capitalize on this opportunity and restore the world’s and investor’s confidence in Dubai and UAE in general.

Chairman of Dubai’s Fiscal Committee earlier mentioned that “We are here today to reassure investors, financial and trade creditors, employees, and our citizens that our government will act at all times in accordance with market principles and internationally accepted business practices." He also announced to implement a new law on bankruptcy saying “This law will be available should Dubai World and its subsidiaries be unable to achieve an acceptable restructuring of its remaining obligations.” The rest of the amount might go into helping Dubai stabilizing & getting done with its pressing issues like working capital & interest payments. Dubai is said to lack the deep pockets like Abu Dhabi having huge oil reserves. This will hopefully bring Dubai out of troubled territories at least for the time being. Others however see this never ending dilemma as Dubai’s inability to pay its obligations in time and are dubious about its ability to sustain in a longer run. An expert commented advocated the move saying that “I hope this brings assistance to help sort the credit crunch. Many experts see it as a relief, but I think we will have to have a wait and see approach on how things unfold before jumping onto any conclusion. And future course of action must be decided with caution”.

Soneva Kiri is the name for the new luxury resort development in the Gulf of Thailand. Set in 150 acres of flourishing rainforest, the architecture is planned to compliment the natural habitat. It will have its own private beach and the resort developer, Six Senses designed a range of accommodation for customers to from a two, four or six bedroom villa either on the beach, hill or cliff.

As this South Eastern part of Thailand is a preferred tourist destination for customers in the Gulf Corporation Council (GCC), Six Senses and Hamptons International have announced a new partnership to market this resort exclusively in this region. In essence this partnership is a positive move for both companies. Six Senses are an experienced resort and spa management company and with Hamptons International they will have a larger outreach in their desired target area. The Dubai properties company are globally renowned for their extensive portfolio and have a strong presence in the MENA region.

Lynn Villadolid, Senior Director of Six Senses said “Thailand offers one of the most robust and attractive property investment destinations which will appeal to customers in the Middle East…Through our partnership with Hamptons, we are confident of attracting strong investments in Soneva Kiri, a truly remarkable project.”

Hamptons International will undoubtedly add marketing expertise for Soneva Kiri as they have offices in Dubai, Abu Dhabi, Oman, Saudi Arabia, Egypt and Morocco. They also offer a diverse range of services from residential and commercial sales and leasing, property management, valuations and research, advisory and mortgage service. It is through this wide range of options in all of the above locations that will give them the insights into the desired customer base for the resort.

In fact, a Hamptons International Spokesperson stated that “With a global network of offices and experience of over 140 years addressing the needs of customers around the world, Hamptons offers a perfect fit for Six Senses. Our reach in the Middle East, especially with Dubai real estate, will offer them an ideal sounding board to explore the potential of the market here.”

The exceptional location of the resort and its developer’s desire to ensure it encompasses every type of amenity for the discerning customer further compliments their aim to offer the utmost private and peaceful holiday experience. Furthermore these particular benefits will mean that customers may not only want to “holiday” in Soneva Kiri but will also offer them a long term investment opportunity for customers wanting a second or third home in the region. Hamptons added that they will “leverage our exclusive customer base and regional market reach to highlight the property.”

Essentially, the partnership between the global property company and the experienced spa operator will mean that both companies can draw on their strengths to build a one-of-a-kind Thai luxury resort and market it to the desired GCC customer base efficiently.

Working as a real estate broker is a rewarding career in Dubai, knowing the number of sales and purchase that take place. Real estate agents are in demand because the majority of investors, buyers and sellers are not fully aware of the dynamics of the market, since most of the investors are coming from other countries. Lack of knowledge regarding real estate laws and matters make them vulnerable against various types of frauds, except when they are represented by an experienced broker. In past, some fraudsters took advantage of the absence of any specific regulations controlling real estate agents. These swindlers managed to defraud both buyers and sellers. Thankfully, RERA took quick steps towards making and implementing regulatory measures to curb these fellows who were giving bad name to the entire market. 

Starting a business in Dubai:

Before we move on to the guidelines for setting up a real estate business in Dubai, let’s have a brief look at the general procedures for starting any kind of business in Dubai. The first thing you need to do is to get familiarized with the region, for the reason that there are some pretty unique rules and regulations, ignoring them can be risky. For example you need to involve a UAE citizen as a partner, in fact the partner is supposed to own at least 51% of the interests, which allows them to be in charge most of the time. Certainly, a big put off for most entrepreneurs but that’s how it goes. Also, you must be having at least $10,000 dollars in your bank account before you are approved by the ministry of commerce.

Starting a real estate agency:

Along with the general requirements, you must meet specific requirements set by real estate regulatory authorities. First, you need to obtain a separate license for each and every service you are going to offer. For example, license for buying and selling, license for real estate leasing, license for real estate consultancy or a license for property management. Similarly, licenses are required in case of property inspection services, real estate exhibition, real estate mortgage broker, consultancy, and the likes.

Another requirement worth mentioning is the training provided by RERA, all real estate agents must pass this course before they can practice. Remember, only UAE or GCC nationals can apply for the ownership license for the brokerage after presenting the certificate of good conduct issued by CID. However, if you are not a UAE or GCC national, you can apply for the license to work as a real estate consultant if you’ve got at least 5 years of experience under your belt.

Hamptons International, the premier property services company with an extensive portfolio of projects globally, has partnered with premier luxury resort developer Six Senses to exclusively market the company’s new private residence project in the GCC region.

The special project to be marketed to selected customers in the region is Soneva Kiri, envisaged as one of the world’s finest resorts being developed by Six Senses in a pristine location within the Gulf of Thailand.

A Hamptons International spokesperson said the marketing agreement with Six Senses highlights the global outreach and Dubai properties services competencies of the company. “With a global network of offices and experience of over 140 years addressing the needs of customers around the world, Hamptons offers a perfect fit for Six Senses. Our reach in the Middle East will offer them an ideal sounding board to explore the potential of the market here.”

Lynn Villadolid, Senior Director – Six Senses Private Residences Six Senses said: “Thailand offers one of the most robust and attractive property investment destinations, which will appeal to customers in the Middle East. The south east nation is also a preferred tourist destination for residents in the GCC region. Through our partnership with Hamptons, we are confident of attracting strong investments in Soneva Kiri, a truly remarkable project.”

Soneva Kiri is set on 150 acres of untouched lush tropical rainforest and beach, and comprises 42 resort villas overlooking the Gulf of Thailand. There are an additional 21 Private Residences each of which is unique and designed to ensure maximum privacy and tranquility. The resort will offer the entire range of lifestyle amenities for residents.

The Hamptons spokesperson added: “As a one of its kind resort development, Soneva Kiri will offer a long term value investment for customers from the GCC region, particularly for those wanting a second or third home, serving as a perfect complement to their holiday experience. Hamptons will leverage our exclusive customer base and regional market reach to highlight the property.”

Soneva Kiri’s unique features are its location, the indigenous architecture and international standards of amenities – all making it a perfect holiday home. Customers can choose from two, four- and six-bedroom beach, hill or cliff villas, offering an exceptional and highly individualised lifestyle experience.

Hamptons has a strong presence in the MENA region, with offices servicing the UAE’s Dubai real estate as well as Abu Dhabi real estate, and in Oman, Saudi Arabia, Egypt and Morocco. Acquired by Emaar Properties in 2006, Hamptons International has headquarters in London and Dubai, and features a diverse project portfolio in addition to offering residential and commercial sales and leasing, property management, valuations and research, advisory and mortgage services.

Despite signs that the worst of the global economic crisis has now passed, and with property in the Gulf region having recovered considerably over the last year, the most recent findings show that there has been a decline in both sales and rental values in most sectors of the property market. This has been attributed to an upsurge in new supply entering the local market for the UAE.

Dubai apartments and houses for sale and rent have declined in value more than any other area of the UAE, and as a consequence, there has been an increased demand from residents living in Sharjah to take advantage of falling values in Dubai properties.

However, commercial property in Dubai, particularly office space usage, has witnessed increased interest over the last six months, with tenants taking advantage of the lower rents as well as reflecting a renewed confidence in the overall economic situation in the region.

In Abu Dhabi, there has been a similar decline in value, but at a much lower rate than the fall in Dubai. Abu Dhabi remains one of the more inflexible property sub-markets, with fewer properties available for occupancy in the short term. The low supply has resulted in higher rents for residential and commercial property, though rents are still lower than they were a year ago, partially due to decreased demand because of the financial crisis.

Nevertheless, a series of new developments in Abu Dhabi are expected to re-start in 2010, having been put off in 2008 and 2009 because of the crisis of confidence in the property market. Once property developer and investor confidence is restored, the signs in the overall UAE property market indicate a return to business as usual.