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'Expo 2020 driving real estate market'

New projects and tourism key factors leading the high occupancy rate in Dubai, reiterates Walid Al Zarouni of W Capital Real Estate Brokerage

DUBAI - The real estate market has shown impressive performance through attractive offers in the past few months, which has benefitted investors, end-users and tenants alike.
"This led to the continuation of momentum on these vital areas with competitive prices, which reflects the right track in the real estate market in light of the availability of an enabling environment for profitable deals," says Walid Al Zarouni, chairman of W Capital Real Estate Brokerage.
In a review of the best 10 selling real estate areas in Dubai, according to the latest data issued by the Dubai Land Department (DLD), Al Zarouni highlighted that the demand for investments in freehold areas is still strong, attracting non-citizen investors to the city in the last decade.
"The highest demand was focused in the areas of Dubai Marina, Burj Khalifa, First Khiran, Mohammed Bin Rashid Gardens, Al Merkadh, Business Bay and Palm Jumeirah," he stated.
The recent DLD statistics showed that Dubai Marina topped in terms of sales value during the past year where about 3,366 units, valued at Dh8.67 billion, were sold.
"This area is one of the most popular residential areas for citizens and expats, as well as business owners alike. It is attractive because of the availability of a modern lifestyle and abundance of all amenities and tranquility with its view of the Dubai Marina. It includes a large number of luxury apartments, in addition to its proximity to the most prominent attractions and free zones, such as the Dubai Media City, Internet City and Knowledge Village," he says.
Burj Khalifa area (Downtown Dubai) came second in terms of sales valued at Dh7.894 billion for over 2,368 units. The area is considered the most prestigious, the largest and best square kilometre in the world, characterised by the integration of modern and luxurious lifestyles. "The Downtown area combines the city's dazzling and exceptional present as well as its glorious past through the apartments offered for sale in the 828-metre Burj Khalifa, the tallest tower in the world and one of the best tourist destinations in Dubai."
The DLD data showed that the value of real estate units sold last year was Dh81 billion, distributed over 40,249 properties.
According to Al Zarouni, there are five main reasons that prompted these areas to achieve good selling rates. First is its strategic location and proximity to vital Dubai and business areas, followed by integrated infrastructure of these areas that added to the investment return, high demand rates, and the average prices that suit many investors compared to other areas.
"Modern Dubai had become one of the most important and demanding real estate areas during the past years in the light of high occupancy rates, with more active market by all nationalities as the emirate embraces more than 200 different nationalities that coexist and work together," he adds.
The real estate market data of last year foreshadows a state of optimism and recovery for 2020. The months before the launch of Expo 2020 Dubai will contribute towards positive trends in the real estate sector, besides the beginning of gradual growth in tourism development with the flow of millions of visitors. "The superiority of infrastructure and opening of major and new development projects that attract more jobs will, in turn, affect the property market positively both in the sales and rental segments," Al Zarouni said.
The overview of the real estate market in Dubai in the long term seems positive and promising, and data reflects the real status of the market, which has proven its position and investment attractiveness for investors and companies locally and globally.
"There are many factors that make Dubai real estate distinguished, at the top of which is the annual returns, investment security, incentives and government initiatives announced over the past year," he added.