They stressed the importance of preventing a wider escalation of the conflict, which threatens to further endanger peace and stability in the region
A drill-down of Dubai's residential stock has shown that there's a shortage in properties that are strategically located as well as affordable for those earning between Dh2,500 and Dh5,000 per month. It comes as no surprise that more than one million people working in Dubai can't find suitable accommodation, opting instead to live within the northern emirates.
Up to 43.6 per cent of a tenant's expenses go towards rent and utility expenses. Therefore, an annual income of Dh50,000 or almost Dh4,200 per month, would be the bare minimum to be able to afford to rent a studio that goes for Dh22,000 a year. However, most of these properties are located in the northern parts of Dubai which would mean long commutes to central and southern areas of Dubai.
It has become challenging for teachers, receptionists, nurses, accountants, shopkeepers as well as professionals in maintenance, biotechnology, HR, catering, insurance and manufacturing, to seek an affordable apartment within reasonable commuting distance to the workplace and/or schools.
In general city-wide terms, rents have softened and may continue to do so as more rental stock becomes available.
There is a substantial demand for affordable apartments in Dubai, creating opportunities for intuitional investments, Reits, housing associations as well as employers to invest in affordable rental stock and benefiting from the long-term income and high occupancy rates.
The Dubai Municipality is taking steps to narrow the affordability gap as it has allocated 100 hectares of land in Muhaisnah Fourth, Al Quoz Third and Al Quoz Fourth to develop rental units to house more than 50,000 people earning Dh3,000 to Dh10,000 a month.
New affordable developments can benefit from public transport, particularly the Dubai Metro. Dubai's residents look forward to the new Metro lines and Etihad Rail that will connect the new areas of Dubai and further afield towards the Northern emirates and Abu Dhabi.
Expanding the infrastructure and developing new townships is expected to take years. In the meantime, we expect continued substantial opportunity for investment in strategically located affordable rental stock.
The writer is head of real estate research at ValuStrat. Views expressed are his own and do not reflect the newspaper's policy.
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