My advice in Dubai Property

Dubai: Still the next big thing?

2008-05-08T06:25:00.000-07:00

If Dubai is mentioned, pictures of skyscrapers, high-performance industry, new-found celebrity culture, "Media City", and benefit from excellent rental returns to think. Dubai has become the most famous of the United Arab Emirates (UAE) and has achieved international recognition for his real estate development by firmly on the map. The second largest emirate after Abu Dhabi, Dubai was well located geographically - between Europe and Asia - for business travellers and property development, and the mere 7-8 hours flying time from the United Kingdom, and without capital gains or income tax, only enhanced his appeal.

This initial development of this time, especially Arab Emirate, now home to a rapidly growing population of which 80% from overseas, has led to a shortage of rental properties and therefore a large number of people are moving large profits from the real estate market. Now however, there is evidence that this is probably best known emirate into a new era, as is documented in Real Estate TV's' Next Big Thing Dubai "program displays on 11 May on Sky channels 273 and 274 and on demand Virgin TV and www.realestatetv.tv.

The program allows viewers to discover why Dubai can still be as "Next Big Thing ', even after their enormous development in recent years and is a glimpse into the future for this powerful emirate." Dubai Next Big Thing "deals with the impact of new transport links, in the development, as the new subway system due for completion in 2012 and developed new ways, and the effect of new industry, has been moved, Dubai, the economy now stands at approximately 94 % Non-oil related.

Dubai plans remain ambitious, and in view of the future, impressive developments are planned or already taking place in the increasingly prevailing drive to attract tourism. In addition to this recent legal changes have made it easier for foreign real estate investors, giving them a better protection in an uncertain world. Dubai's continuous development has been before the game in terms of growth and development, and it is this could see that in the direction of an even better future. As Jo Sinnott, presenter of "Next Big Thing Dubai," concludes "Dubai is growing even faster than before, and for property investors, could return to the" Next Big Thing ".

Tune on Sunday 11th May at 10pm to Real Estate TV on Sky channels 273 and 274 and on demand on Virgin TV and in realestatetv.tv to watch 'The Next Big Thing Dubai. "

Dubai - there is a "gross" miscalculation?

2008-05-05T06:18:00.000-07:00

Dubai has and will continue to be both popular and profitable for those looking to invest in this burgeoning real estate market. But many investors are currently not achieving its' true 'land claims and in many cases, this means that buyers assume that up to 15% less than sqft they were originally led to believe.

Oliver Hickey UK Sales Director profile of Europe (UK) Ltd said: "There are two options for the purchase of properties in Dubai; net or gross. Profile of Europe (UK) Ltd. sold 'net' properties. Therefore investors through the purchase profile Reaching the surface data, as originally marketed and are subject to change at any living space. Investors buy "gross" property must be aware that ultimately their land will be lower because local areas (lift, corridors and ways to foot) were factored in. The total area of these local areas information is then divided by the number of apartments within the building. And even though your sales details, the apartment of 1000sqft say that in reality you are only looking to reach residential area of about 850sqft. "

Oliver continued, "although" gross "real estate sales are far away, compared to the British market, this is a very common way of marketing in Dubai, but it is perhaps not widely known that many investors overseas. Investors, have done, their market research and share many characteristics in comparison with the price per sqft before the sale, must be particularly careful, because obviously such a change in the total land claims would have a significant impact on its profit realized when you come to sell. "

Nakheel sets prices for $1b Islamic bonds

2008-05-02T03:30:00.001-07:00

On Thursday Nakheel Dubai property set price for almost $ 1 billion Islamic bonds, the largest such sale this year, organizers said.

Two years bonds in the amount of Dh3.6 billion ($ 980.4 million) and at the price at 225 basis points above six-month Emirates Interbank Offered Rate (EIBOR), the bottom of the previously indicated price target, said organizers.

Six months EIBOR currently at 2.05 per cent, compared with 4.46 percent in January in the UAE is reducing its benchmark interest rates in tandem with the U.S. Federal Reserve rate cuts in order to maintain dirham peg to the dollar.

Earlier this month, Nakheel Dubai property chief financial officer Kar Tung Quek said the sale of bonds is to finance expansion. The developer has held at least three Islamic bond sale, including one of $ 3.52 billion in 2006, the world's largest.

Sukuk are denominated in dirhams, underscoring investor appetite for securities in the Persian Gulf on speculation in the region, possibly the revaluation of its currency - now pegged to the dollar fall - to stave leave inflation.

Dubai Properties to double Dh350b portfolio by 2011

2008-05-02T03:28:00.000-07:00

Dubai Properties, real estate development arm of Dubai Holding, has expanded its portfolio significantly over the past few years Dh350 billion in value.

Nevertheless, its appetite is growing more will redouble its portfolio Dh700 billion in the next few years, said an official rating.

"With Dh350 billion now, we will double our portfolio in the next three years," Mohammed Bin Braik, chief executive of Dubai Properties, said in an exclusive interview.

"What is important for us is that we create value for Dubai, not just the construction of towers and projects."

Property in Dubai recently to review its corporate structure and announced the creation of a new holding company - Dubai Properties Group (DPG) - consolidating all its current operations into separate business units and bringing them under one umbrella organization.

The structure of the new group comprises six business units focusing on real estate verticals, such as hospitality, property services, international investment, engineering and real estate development. Each organization will operate as a separate business subsidiary in the DPG, personal responsibility for the unit management systems, strategic planning and business results.

Emaar's new hotel to be second tallest building in Downtown Burj Dubai

2008-05-02T03:22:00.000-07:00

Emaar Hospitality Group, the division of "Emaar Properties", will rely on luxurious hotel Burj Dubai city at an altitude that would make it the second tallest building in development.

The hotel is one of three properties being built by Emaar in Dubai under a new brand hotel address, which was promulgated by chairman Mohammed Al-Abbar yesterday.

Address Downtown Burj Dubai is the Burj Dubai property, world's tallest building and is scheduled to open in the last quarter of 2008. It will have 196 rooms and suites.

"As the second tallest building in the city centre Burj Dubai, architecture 63 - floor of the hotel is a unique and fascinating, improved mood, as the premier destination life," the company said.
Marc Dardenne, CEO Emaar costs, not to disclose the height of the building. Emaar has also kept silent on the exact height of Burj Dubai.
Looking at Emaar's ambitious plans for new hotel brand, Downtown Burj Dubai property is set to compete with Jumeirah Group 321 meters high Burj al Arab hotel in luxury and altitude.
"The treatment was conceptualized after an in-depth study. Over the past few months we have put together a team of world-class professionals to create a brand Address, which will show only the guest experience," Al-Abbar said.
He said the brand will be expanded abroad, and some places have been identified for the projects. Ten hotels are in the design stage.
Morocco, Egypt and Turkey each will have two addresses of hotels, while opportunities are currently being studied in London, New York, Shanghai and Miami.

Emirates Group grows across all divisions

2008-05-01T02:51:00.000-07:00

Emirates Group achieved growth in all its business units, with the airline which accounted for 96 per cent of their income.

Airline revenues amounted to Dh39.5 billion, rising 32.3 per cent compared to Dh29.8 billion in the previous year. Its net profit Dh5 billion marked 62.1 percent more than in 2006-07 came from Dh3.1 billion.

In 2007-08, the airline expanded Dubai property its fleet with 11 new Boeing-777 s delivered, including the Emirates, the first 777-200LR passenger aircraft. At the end of March Emirates fleet reached 114 aircraft, including 10 cargo, a source of pride average age of 67 months.

Emirates SkyCargo carried 1.3 million tons of cargo, at 10.9 per cent more than in the previous year's 1.2 million tons. It registered an increase in revenues of Dubai property 20 per cent to Dh6.4 billion, compared with Dh5.4 billion in 2006-07. Cargo revenue contributed 19 per cent of total revenue airline transport.

Dnata, airport services division recorded revenue growth of 27.2 per cent to Dh2.6 billion, compared with Dh2.1 billion in the previous year.

Dubai seeks regional pact on airspace

2008-05-01T02:49:00.000-07:00

Dubai has said he supports a regional agreement on air space more accessible to the Middle East booming civil aviation.

Most countries have large no-fly zones, for security reasons, and some of them may be opened for civilian aircraft on the basis of formal agreements, Dubai property top aviation official said.

Dubai airport, the company's international airport for Al Maktoum of Dubai and the upcoming International Airport, has hired a British firm NATS air traffic control services for the Study of airspace capacity in the emirate.

Aerial space limitations impede saw future growth of planes in the skies of the Middle East, where large-scale projects at the airport places as Dubai, Doha and Abu Dhabi are completed.

Some $ 37 billion airport projects currently in the Persian Gulf region, and carriers such as Etihad Airways, Qatar Airways and Emirates are seeking hundreds of new planes in coming years to serve their terms of expanding route network.

Paul Griffiths, Chief Executive Officer of Dubai property airport, said the potential of new infrastructure on the ground will continue to be used in regional coordination on air space is not achieved. "This is a serious problem, and I do not think that it is solved at this point in time," Griffiths said at the General Aviation Middle East conference in Dubai.

UAE consists of six airports in operation, one under construction in Dubai while one is planned in Ajman. Dubai International Airport is expanding its capacity from 25 million passengers per year to 75 million people.

The new airport at Jebel Ali is designed to have the capacity of Dubai property to handle 150 million passengers when fully ready. Abu Dhabi airport plans to eventually expand its capacity to 40 million passengers a year seven million at present.

Airbus opens logistics centre in Dubai

2008-04-30T06:26:00.001-07:00

Airbus opened a logistics centre in Dubai property for the supply of aircraft spare parts for its customers in the region.

Airbus President and CEO Thomas Enders said the centre would reduce the time and costs of transporting the aircraft parts.

Current inventory at $ 10 million facility amounting to approximately 55 million U.S. U.S., and includes parts for the A380 superjumbo.

"Dubai property is one of the most modern and fastest-growing airports, serving more than 120 airlines, flights to more than 205 areas around the world, and thus the ideal place for the centre of its kind," said Enders.

Outside Europe, Airbus has logistics facilities in Beijing, Shanghai, Washington and Singapore. Material and Logistics Centre is located in Dubai property Free Zone and the airport is 3700 square meters of warehouses and office space.

It will stock more than 5000 parts from about 43000 items at any one time.

It includes avionics and electronics repair stations and storage for original equipment manufacturers ", so that commercial and technical support with an optimized delivery time."

Dubai to get a green city

2008-04-30T06:25:00.001-07:00

Sheikh Mohammed Bin Rashid Garden, Dh200 billion Venture Dubai Properties, wants to be a low-density development in the region.

Situated between Al Khail Road and Emirates Road to 880 million square feet, approximately 73 per cent of the development will be green and open space and 10 percent will be allocated on the waterways.

The remaining space will not be built, mixed-use areas.

"This reflects the vision of Sheikh Mohammed in terms of being environmentally conscious and aware of global warming in the world," said Rashid Al-Awadi, Chief Architect, Dubai Properties.

Hashim Al Dabal, chairman of the Dubai Properties, said: "We used to projects with beaches and golf and nice homes, but it's more about the responses to a request for life. Green concept of this project is one of the kind in Dubai. This is surprising because it is new, " he said.

Mohammed Bin Braik, CEO of Dubai Properties, said: "The fact that Dubai property focuses on real estate, as the master developer, this way of life. 2008 was a year of change, becoming a company with a group of six subsidiary companies, for example. This is the first and the only project that bears the name of His Highness. "

The exact number of units in the development are not yet known, but most people are not more than 200000 people, in accordance with time-low density development in the region.

Al Dabal said the project has already begun and would "complement all in Dubai property."

He said the first two of six phases would start as soon as details have been finalized with authorities, including RTA and Dewa.

Cement price violators face tough measures

2008-04-30T06:24:00.001-07:00

Top government official yesterday warned the producers of cement immediate action against those who are trying to destabilize market.

The Ministry of Economy (MoE) previously fixed the prices of cement at Dh17 per 50 kg bag.

Mohammad Ahmad Abdul Aziz Al Shehi, deputy to the MoE, said all manufacturers of cement in the UAE have to meet certain price.

Immediate measures, however, be taken with respect to all producers who do not comply with regulatory solutions ministry, which is aimed at stabilizing the market of cement, as well as regulate the cost of construction in the country and Dubai property.

Ministry, he added, will host a series of initiatives to increase the supply of cement in the local market, calling for companies to directly import cement.

Badr Al-Islami finances Fakhruddin's Properties

2008-04-30T04:11:00.000-07:00

Fakhruddin Properties, one of the leading UAE-up and coming real estate developers, put into action an agreement with Al-Badr Al-Badr IslamiBadr IslamiAl Islamic financial company, the Islamic banking arm Mashreqbank, to finance the purchase of Dubai property projects developed by the company.

Agreement, which offers a range of higher quality requirements of Sharia-retail trade, investment and corporate banking services, says that the bank will finance up to 90% of the company's purchases of Dubai property projects for the UAE-based investors, with Maimoon Twin Towers project, located at Jumeira southern village, Dubai, to get priority.

Over and above this, the agreement provides for the first time non-residents, in particular, non-Arabs who want to buy their dream Dubai properties of Fakhruddin with Sharia-compliant financing solutions, covering up to 75% of purchasing costs, which will be paid back in a simple, flexible parts for a period not exceeding 25 years.

Mr. Akbar Fakhruddin, chairman Fakhruddin group described the agreement as a major Islamic solution that would allow his company's clients to own plush Dubai properties developed in accordance with the latest modern technology itself.

Fakhruddin Properties is currently developing several projects, the signature in Dubai, in particular Maimoon Twin Towers, Coral International Hotel Apartments, Lake Center Towers and Trafalgar Centre, along with other major events in the UAE. The use of smart technology in its plush array of state of the art facility, the company projects are popular in the UAE real estate market.

RAK realty firm reports Dh114.58m net profit

2008-04-29T04:38:00.000-07:00

Real estate developer RAK Dubai Properties on Monday announced net profit of Dh114.58 million for the first three months of this year.

Earnings per share were 5,7 fils, and it marks an increase of 11 per cent for the corresponding period in 2007.

The Dubai Property company said it had concluded Dh564 million U.S. from sales in residential and commercial units in the period from January to March, registering 232 per cent increase compared with the corresponding period last year.

"Although the company has achieved significant sales, revenue recognition was deferred until such costs can be reasonably attributed to individual units and beneficial ownership has been transferred to the buyers. As a result, profit and loss account shows no profit from sales," he said in a statement for Dubai property.

Nakheel initiates flooding of Palm Cove Canal in Waterfront

2008-04-29T04:37:00.000-07:00

The master developer Nakheel on Monday began flooding the first four water Waterfront, Palm Cove channel, which will have the capacity to 4.2 million cubic meters of water.

Matt Joyce, Nakheel managing director for the Waterfront, described the floods as "important event" in the Waterfront development.

"When completed, Palm Cove channel will boast five nautical miles of boardwalks and integrated transport system.

"In flooding the channel marks the first step in achieving this embankment on the life of community," he said.

Running parallel to the Dubai property shoreline, Palm Cove canal will take about two weeks to completely fill. The channel itself is 140 meters wide and eight kilometers.

The master developer Nakheel on Monday began flooding the first four water Waterfront, Palm Cove channel, which will have the capacity to 4.2 million cubic meters of water.

Matt Joyce, Nakheel managing director for the Waterfront, described the floods as "important event" in the Waterfront development.

"When completed, Palm Cove channel will boast five nautical miles of boardwalks and integrated transport system.

"In flooding the channel marks the first step in achieving this embankment on the life of community of Dubai property," he said.

Running parallel to the shoreline, Palm Cove canal will take about two weeks to completely fill. The channel itself is 140 meters wide and eight kilometers.

Waterfront: Major features

Total area: 14,000 hectares

Madinat Al Arab: 700 hectares

Canal district: 240 hectares

Boulevard Park: 100 hectares

Quay wall: Spanning 3,350 linear meters

Five marinas: Covering an area of 82 hectares

Badra residential area: 1,042 apartments and 146 townhouses

Veneto residential area: 1,400 villas and townhouses and 1,200 low-rise apartments

Al Barari unveils showcase home

2008-04-29T04:36:00.000-07:00

Dubai-based developer Al Barari on Monday unveiled a show house stage one of its flagship development, which will be deployed in the world longest artificial waterway, stretching 14.6 kilometers.

Over 80 per cent of residential phase will gardens and other public spaces, which makes Al Barari low-density development in the region of Dubai property.

Some 800 species of plants, which are imported into the territory to establish six thematic Botanic Gardens. They will Balinese garden, modern garden, Water Park, Forest Garden, a garden Renaissance Mediterranean garden.

"We spent almost Dh1.4 billion path of the thematic gardens, forests, waterways, rivers and reservoirs, and as an integral part of the process we will be planting 4.6 million trees, shrubbery and ground cover. At length of 14.6 kilometers, We "re-establishing the longest artificial waterway in the world," said Mohammed Bin Zaal, Chief Operations Officer of Al Barari.

Mohammed Bin Zaal acknowledged the project has faced several setbacks. "This project really suffer some delays, but it is the nature of the construction industry in Dubai property," he said.

Al Barari, which means "nature", covers 14 million square feet in Nad Al Sheba, on the border of the reserve of wildlife and royal grounds.

Outstanding location at Bermuda Views, Dubailand

2008-04-24T07:19:00.000-07:00

Beautiful one-and two-room apartment in Bermuda page are part of the colossal Dubai country sports and lifestyle project. The development sits in Dubai Land's just breathtaking Sports City, so that these units strong investment options within one of Dubai's most prestigious complexes.

Bermuda page, located in Sports City already guaranteed investors optimal returns, while 3-year warranty on a rental-8% per annum valid and growth forecasts of 30% pa make it a particularly lucrative investment.

The residents in Bermuda this page is advantage that within the world's first purpose built, integrated sports and athletics venues. Units will look with pride at the prestigious Ernie Els 18-hole championship golf course, cricket stadium and a seven-star hotel. With any financial statements for 2015, the mammoth project Dubai Land is the key to the success of a substantial part of the emirate economy, not to mention its role in facilitating Dubai's target of a planned 15 million visitors in 2010.

Units include luxury, but affordable, one bedroom and two homes of 960750 AED (129610 GBP *) 1864500 AED (251533 GBP *). An ongoing deficit of real estate in Dubai, together with the guaranteed rents Bermuda This site offers means that the development is due to a strong demand, while investors very lucrative, tax-free returns. It is interesting to note that while Dubai will continue to issue about 1100 residency visas daily, the huge demand for first-class accommodation in Dubai are clearly, boding well for today's investors in Bermuda Views.

According to Bernardo Retana, Director of Investment Product Development and the International Property Investment Network (IPIN), "Bermuda This page can not fail to produce results for investors - I am convinced that the prestige sheer opulence and top pick of sports and recreational facilities, all in conjunction with such an important place like Dubai country, the units in Bermuda this page in fact sell very quickly. "

Dubai average price index - Water properties

2008-04-23T07:24:00.000-07:00

Waterfront living is often seen as the stuff of dreams - an idyllic lifestyle, the beautiful places, relaxation and a safe place for a family. In addition, the proposal after it as a wise investment and it is easy to see why Waterfront can be sold as the perfect living space. If you choose to purchase A Waterfront City, there are some important things to consider when picking a property. This is really overlooking the water, large windows to maximize these views, in the vicinity of amenities to offer and the build quality. Many of them seem common sense, and would for most properties, but always important if the sale of water dream, because a house or apartment without this prospect and a lot of light flooding in, it will be difficult to sell when it is time to move. "The first impression counts, so that all these things have an impact on potential future buyers or tenants. Ideally, you want the water in front of the door so that it opens to a view water, but there are not too many properties like" , Said Ryan Mahoney, managing director of Better Homes. Holding their value Another positive to have a well-located property with a view to the lake or a marina is that they tend to command a good price and hold their value. They are usually referred to as prestige properties, giving them a good investment.

Secrets of successful off-plan property purchases in Dubai

2008-04-21T07:04:00.000-07:00

The developers of Aquarius gate in Dubai has just announced a "sell-out" to investors in the pre-launch phase. This $ 820m mixed-use project on Nakheel's Waterfront, compared to the Palm Jebel Ali, is just the latest example of the successful Dubai off-plan sales. But recent controversy surrounding Damac Properties' Palm Springs has questions about the purchase of construction projects.

After the intervention of the Dubai Lands Department last week, the Palm Springs project has been fully restored and is back on schedule after Damac.

There is, however, a number of "secrets" or important considerations when buying of construction projects in Dubai.

1st Who is the developer? How long has it been? Like many projects launched and how many of them have already been delivered? Have there been complaints about the quality of these developments? Are these the kind of people with whom you would trust with your money?

2nd What kind of financial support, the developers? This is really related to the first question, but it is differentiated. In Dubai, the lowest risk, with government projects. Nakheel, Dubai and Boundless all properties are 100% owned by the government, while the government has a large and effective control of the stake in Emaar.

3rd Even the price for the sale of units from the viewpoint of the construction costs. Are the units easy to look cheap, so that the developer until the end of the building? It sounds contrary to logic, but cheap off-plan should sound warning signals, as a low-cost can mean low quality or even a failure to deliver when the developer gets into financial difficulties.

4th In Dubai, it is imperative, because in July last year, escrow or trust accounts for all off-plan projects. But check to see what Bank is the escrow service. A state bank or controlled, that they have a higher credit rating.

5th If you decide on your purchase financing of construction projects you have to make sure that the payment structure is fair and practical for your circumstances. They do not want to pay interest on a loan for a project is delayed, for example, or at least how to keep the exposure to a minimum.

6th The amount of risk you take in an off-plan buying is also due to the stage of development. If work has not started on the construction site, and all you can see is an architect's drawing and illustration, then the risk of the project delay is highest. If on the other hand, you can see work-in-progress-and a considerable amount of construction to delivery schedule is far more likely. Many developers hold back some units for sale in the construction of new cycle, but there is more money for them.

7th Your current rental costs should be considered. When buying off-plan means that you will have to stay in an expensive rental for a long time? If yes, then you must ensure that the costs, and examine whether a movable property in the secondary market may no longer make sense.

8th Location is the most important consideration when purchasing a property, but people sometimes seem to forget that the purchase of construction projects. Check out the location in person, even if it is only a piece of desert! Because there is a big difference between the cost of living in Downtown Dubai next to the Burj Dubai, the highest building in the world, and in the desert of Dubai.

Nakheel launches Veneto

2008-04-18T04:19:00.001-07:00

Nakheel, a Dubai World company, has announced the launch of Veneto - an exclusive residential district in Waterfront.

The first community will be launched worldwide on the development of coastal areas, Veneto is set to become one of the most prestigious addresses in Dubai, the company said in its statement yesterday.

Veneto is out of Sheikh Zayed Road with every home is not more than two kilometers from the shoreline. With a limited number of elegant villas and low-rise townhouses, Veneto was master planned create exclusive Bank Waterfront district on the outskirts of the city, the urban heart of the capital.

In modern villas and townhouses will be a number of amenities such as mosques, community centers, kindergartens, schools, public swimming pools and health facilities.

Veneto will offer views of landscaped parks and waterways; residents will be able to enjoy the trees in the queue pedestrian walkways, coastal boardwalks and active yachts from 92 canal properties that offer their own private piers.

Gulf General Investment begins phase two of Axis Residences

2008-04-18T04:18:00.001-07:00

Gulf General Investment Company (GGICO) yesterday launched phase two of its Axis Residences at Dubai property Silicon Oasis with a project value of Dh1.3 billion.

The project includes 870 units in six buildings placed over 350,000 square feet of land. The total sellable area is approximately one million square feet, said Mohammad Abdullah Juma Al Sari, managing director of GGICO.

The first building is due for transmission in October 2008 and the remaining five are expected to be handed over in late 2009.

The worth of the project is Dh1.3 billion but this is growing "minute by minute", said Peter Penhall, CEO of global property portal “Gowealthy”.

Five of the buildings are low-rise and the sixth is located in open space, overlooking Al Ain Road.

Al Sari said that his company's current portfolio consist of 28 developments located across Dubai property with an overall value of Dh5 billion, including Horizon Towers and Emirates Crown in Dubai Marina.

Emaar eyes North Africa and Asia for expansion

2008-04-18T04:17:00.000-07:00

Emaar Industry and Investment (EII), a member of Emaar Properties, is looking to expand its portfolio in North Africa and South Asia in building materials, technology and medicine.

"We will capitalize on the impressive economic growth registered in Egypt, a number of North African countries, as well as in India and Pakistan," said Ahmad Hayat, chief executive officer of Emaar Industry and Investment.

Currently focused on the GCC, the company expects to enter markets in Jordan, Qatar and Syria as well.

He said company Dubai property investments were Dh350 million last year, and the team in total consolidated assets valued at Dh1.2 billion.

In its efforts to diversify, the company intends to build a Dubai property portfolio of Dh3 to 5 billion in the next three years, said Hayat. EII has 12 branches in its portfolio with the latest additions Damas partnership and Mammut Building Systems, in which it has a 12 per cent stake through Zabeel investment.

The company investment in its Dubai property subsidiary Advanced Industries Group (AIG), he saw a 57 per cent increase in net profit in 2006, 121 per cent increase in revenue and 336 per cent increase in total assets.

Woods Dubai gets approval

2008-04-17T04:16:00.000-07:00

In Dubai Tiger Woods, a member of Tatweer has voiced draft of the master plan was completed and approved by the Dubai property Municipality and the RTS, and its design and construction is carried out on schedule.

Scheduled for completion in late 2009, Tiger Woods in Dubai is established as the exclusive community of life with an impressive Al Ruwaya Golf Course as the focal point.

In routing for golf, in the first instance, to Tiger Woods, was completed and began its formation.

Dubai Metro gets huge response to branding offer

2008-04-17T04:15:00.000-07:00

Around 250 companies have expressed interest in getting branding rights for 23 stations of the Dubai property Metro project, said a senior official.

"Within couple weeks of starting the Dubai Metro Naming Rights project, more than 250 companies have shown interest in getting the branding of metro stations in their name," said Abdul Mohsin Ebrahim, Chief Executive Officer for Strategic and Corporate Governance at the Dubai property Roads and Transport Authority (RTA).

He added both local and international brands are lining up to become one of the first companies to brand a station, with requests received from as far as as Japan, Greece, Spain, the Great Britain and India.

"These companies range from large property and business firms and local and international banks, through to large multinational blue-chip corporations," he added.

The RTA has proposed 23 out of 47 stations and two lines of the Dubai property Metro project for corporate branding to raise revenue. At least eight stations have already been named after major companies and financial houses which provided funds for the construction of the respective stations.

The remaining 16 stations will continue to bear the names of landmarks and historic areas.

The naming rights are available for a minimum of 10 years from the start of Metro operations.

Dubai airport serves 9.3 million in first quarter

2008-04-17T04:14:00.000-07:00

Passenger throughput at Dubai property International Airport - the largest in the Middle East - reached the nine-million benchmark in the first quarter this year, recording a growth of 15.11 per cent over the same period in 2007, a statement voiced.

The airport handled a total of 9 341 270 passengers from January to March this year, as compared to 8 114 762 in the 1st quarter of 2007. March was the busiest month with 3.25 million passengers while February registered the lowest at just over 2.97 million passengers.

With a total of 34.34 million passengers in 2007, the airport had recorded a rise of over 19 per cent over 2006. The passenger throughput is anticipated to gain 40 million this year and reach 60 million by 2010.

The total tonnage of cargo handled during the period under review reached 399,718 tones as against 362,919 tones over the 1st quarter of 2007, a significant increase of over 10 per cent. March was the busiest month for cargo also with over 144,954 tones while February showed a greater year-on-year growth at 12.1 per cent.

There were a total of 68,869 aircraft movements during the period under review, an increase of 8.5 per cent over the first quarter of 2007. With over 24,143 aircraft movements, March was the busiest month, well over January (22,903) and February (21,823).

Emirates to begin San Francisco service

2008-04-16T08:32:00.000-07:00

Emirates said on Wednesday that it launches non-stop flights from Dubai property in San Francisco on October 26, taking in the United States since the appointment of four New York, Houston and Los Angeles.

Emirates will be the first company to connect the two cities, using its innovative, technologically advanced Boeing 777-200LR on the route. The plane offers 266 seats in three-class configuration. The service will offer an additional 10 tons of cargo capacity in both directions.

Shaikh Ahmad Bin Saeed Al Maktoum, chairman of Dubai property Civil Aviation and Chairman and CEO, and Emirates Airlines Group, said: "Providing a fast, convenient service to both coasts of the United States, and in between points has been an important goal for us. Connection between the San Francisco Bay Area and the Middle East is high demand, as the Indian subcontinent. We see San Francisco, as an integral part of our network development. new service will offer additional Americans better access to Dubai".

In flying distance between the two cities is 8103 miles, about 16-hour outbound travel. The return flight will take 15 hours 40 minutes.

The new service will operate in the International Terminal at San Francisco International Airport, one of the world's 30 busiest airports.

San Francisco is the fifth new appointments, Emirates has announced that it will be introducing this year. The airline launched its service to Cape Town on March 30 and will begin service Kozhikode in India and Guangzhou in China, and on July 1, as well as in Los Angeles on September 1.

Emirates global network covers 99 cities in 62 countries around the world in the Middle East, Africa, Indian subcontinent, Europe, the Far East and North America.

Dubai Mall set for August 28 opening

2008-04-16T04:12:00.000-07:00

One of the world's largest shopping and entertainment areas, The Dubai Mall, opens on August 28 Emaar Malls Group has announced.

In Dubai property Mall has a total internal area to 5.9 million square feet, and 3.77 million square feet of leasable space, that equals to the size of 50 football fields combined.

Shopping center will include more than 1200 stores, including two anchor stores and 120 food, beverage and retail outlets.

Mr. Yousef Al-Ali, Director General of the Dubai property Mall, said work is on schedule to complete the mall by August.

Damac's Business Bay tower back on track

2008-04-15T04:53:00.000-07:00

Property developer Damac, which had attempted to cancel Haz Tower in Dubai property Business Bay , stated that the project is back on track due to complaints by investors who had invested in Dh60 million since July 2007.

Around 10 riley investors met officials at the Land Department to complain against the company.

Though, Niall McLoughlin, senior vice-president of corporate communications at Damac, Dubai property said that the Haz Tower is "definitely going ahead".

The issue appears just a week after Damac came under fire for canceling the Palm Springs project on the Palm Jebel Ali.

The Haz Tower was begun July 8, 2007, with a project worth of around Dh240 million. The tower value is now estimated Dh660 million.

Damac, the largest private sector developer in the UAE property, has launched 80 projects but handed over only two so far.

Dubai Land Department signs MoU with Mawarid Finance

2008-04-09T02:04:00.000-07:00

The Dubai Land Department has signed a Memorandum of Understanding (MoU) with Mawarid Finance under which Mawarid will provide management services of property development Guarantee Accounts with respect to the laws of the UAE and Dubai property.

The agreement establishes the mutual co-operation between the private and public sectors in the country.

The MoU allows Mawarid Finance to be the Land Department’s account trustee, with the goalof dealing with the department’s registered Dubai property developers.

The process will include the account trustee opening a Guarantee Account for registered developers, based on a written document from the department after all the requirements have been fitted.

After signing the MoU, Mr. Juma Bin Humaidan, Deputy Director-General of the Land Department underlined that it would profit the Dubai property sector and the overall economic development of the country.

Bin Humaidan said the MoU aims to ease procedures for developers in Dubai property, insuring that the department is providing the highest standard of services.

Bin Humaidan added: “We are pleased to sign this agreement with Mawarid Finance, which we chose to be a Guarantee Account trustee because of Mawarid’s expertise in this domain. And because of the quality of its products and the Sharia’a-compliant financial services it provides to companies and individuals from all sectors.”

Non-tariff barriers hamper GCC trade

2008-04-09T02:02:00.000-07:00

Non-tariff barriers are still causes obstacles for trade among the six-member states of the Gulf Cooperation Council (GCC), who in 2003 established a Customs Union (CU) to unify customs laws and procedures to release the movement of goods within the GCC region, according to a latest report.

The CU has largely facilitated trade among the GCC countries, but non-tariff barriers still exist, a research conducted by the Dubai Chamber of Commerce and Industry has found.

The poll discovered that while a majority of Dubai-based traders saw an improvement in procedures under the CU, around half experienced problems with double tariff charges on more than one case.

One third of the traders were enforced to produce "unnecessary certificates of origin" and almost two thirds experienced differences in product standards among member countries.

While the CU was needed to have accomplished its task, the non-tariff barriers that required addressing were found to be most predominant in Saudi Arabia. The research found that 71 per cent of Dubai property companies encountered difficulties in Saudi customs procedures.

Sixty per cent of the traders polled have run into delays in clearance in trade to or from Saudi Arabia and 45 per cent experienced differences in the Saudi fee structure.

Trade within the region, Rizwan Sajan, chairman of the Danube Group, a local building materials company, said he had only experienced difficulty at the Saudi border, where he was forced to pay the five per cent tariff again.

The survey cited Oman as the easiest country in which to find trade partners and Saudi Arabia the most difficult one.

Istithmar launches utility services provider

2008-04-09T02:01:00.000-07:00

Dubai-based investment firm Istithmar on Monday launched their water and district cooling utility services provider, Palm Utilities (PU) aiming to triple their capabilities by 2010 as demand for water rises.

Company officials said it will fill out operations in major growth markets in the next years.

"Palm Utilities will take part in the centralization and modernization of the delivery of fundamental utility services to Dubai property and the rest of the UAE, as utility services are requirements in the socio-economic development of our country," said Ahmad Butti, chairman of Palm Utilities.

Palm Utilities contains Palm Water (PW) whose portfolio includes Palm Jumeirah and Jebel Ali Free Zone Authority (Jafza), and Palm District Cooling (PDC) which are involved in many projects, including Ibn Battuta shopping mall, Palm Jumeirah and Dubai International City.

PDC upgraded its cooling capacity to 550,000 tones in 2005 and is anticipated to reach 1.8 million tonnes by 2010.

Shafiq Khoury, managing director for PU, said that using these systems, power consumption could be around 50 per cent less than that of ordinary systems.

"Moreover, we figure that it is 20 per cent to 21 per cent cheaper than conventional systems," he said.

UAE mortgage market will leap to 64 billion dirhams by 2011

2008-04-08T02:00:00.000-07:00

The UAE’s mortgage market will soar from AED20 billion by the end of this year to AED64 billion over the next three years and more than 60% of house financing will be Shari’ah compliant, the International Ras-Al-Khaimah Family Office and Investment summit was told on Tuesday.

Islamic Banking and finance specialist Dr. Sabahuddin Azmi shared delegates that existing credit in the UAE housing market, which stood at AED17 billion at the end of 2006, will touch AED 20 billion mark at the end of 2008.

It is expected to rise harshly between now and 2011 as real estate growth exceeds an estimated AED419 billion during this period.

Dr. Azmi, Faculty at the Emirates Institute for Banking and Financial Studies in Sharjah, said Amlak Finance and Tamweel, both Sharia’ah compliant, dominate the UAE housing finance market, holding 35% and 25% shares respectively.

Sorouh Real Estate plans to raise foreign ownership cap to 40%

2008-04-08T01:59:00.000-07:00

Sorouh Real Estate, the third-largest real estate developer in the UAE, is going to increase the cap on foreign ownership of its stock to 40 per cent from 20 per cent, a company executive voiced yesterday.

Firoze Kapadia, executive director of treasury and investments, said the company's board would likely make the decision at a meeting at the end of this month, with the goal of attracting more foreign institutional investors.

"We want to make an effort towards insuring that the generality of the shareholding rests with institutions, pension funds and fund managers," Kapadia said on the sidelines of a road show for Abu Dhabi firms in Tokyo organised by HSBC Holdings Plc.

"We want to diminish the volatility in our share dealing," he said.

National Properties to construct Dh800 million residential community

2008-04-08T01:57:00.000-07:00

National Properties, the real estate subsidiary of National Bonds Corporation, on Sunday started ground-breaking on the first low-rise, low-density residential community in The Lagoons, Dubai Creek.

Being built at a cost of Dh800 million, Flamingo Creek will comprise 244 units including villas, apartments and duplexes spread over 500,000 square feet of land on Dubai property Creek.

Adel Lootah, chief executive officer of National Properties, said that low-rise developments are attractive to investors.

"It was designed to be low-rise as we wanted it to be different and wanted to give people more breathing space. And we wanted to show how smaller, more manageable projects are still something that people like to see."

Flamingo Creek is the third freehold development of National Dubai Properties following the start of Skycourts in Dubailand and Sulafa Towers in Dubai property Marina.

Abdul Salam Al Merri, CEO of The Lagoons, said that The Lagoons will be a "distinctive landmark in Dubai's property sector" and that Flamingo Creek will add a "unique dimension" to the development.

Lootah said that National Dubai Properties hope to increase their portfolio to Dh5 billion by the end of 2008.

Property Tech buys Indian real estate for Dh110m

2008-04-07T01:50:00.000-07:00

Property Tech, a subsidiary of Tech Group UAE-based company, has acquired two properties in India worth around Dh110 million as part of its plans to enter into new promising markets.

"The deal meets within the group's ambitious strategy to capitalize on highly promising Dubai property markets," said Ali Ghalib Jaber, Tech Group CEO, singling out his group's plans to access the Turkish market.

"India is one of the world's fastest growing real estate markets, and having a foothold there means that we can gain ground with Indian investors."

Real estate in India has seen a boom after the government of India opened up the construction sector in 2006, allowed 100 per cent foreign direct investment.

The country is, however, in need of further incentives to ensure more flexibility in the construction sector and meet its financing needs, estimated at $350 billion, Jaber said.

Burj Dubai is world's tallest man-made structure

2008-04-07T01:46:00.000-07:00

Burj Dubai has outdone the United States’ KVLY-TV mast in North Dakota to become the world’s tallest man-made structure.

Burj Dubai is now 629 meters high while KVLY-TV, which held the record for the world’s tallest supported structure since 1963, has a height of 628.8 metres.

Burj Dubai property is already the world’s tallest building, and at 160 storeys, is taller than Taipei 101 (508 meters) in Taiwan and CN Tower (553.33 meters) in Canada.

Burj Dubai is billed to satisfy all four criteria listed by the Council on Tall Buildings and Urban Habitat property (CTBUH), which classifies the world’s tallest structures.

CTBUH measures the height of buildings to the structural top, the highest occupied floor, the top of the roof and the tip of the spire, pinnacle, antenna, mast or flagpole.

The KVLY-TV mast in Blanchard, North Dakota, is a television transmitting mast, which was completed in 1963.

Cirrus eyes Dh20b Dubai realty portfolio by year-end

2008-04-07T01:42:00.000-07:00

Iranian developer Cirrus hopes to see its Dubai property portfolio rocket to a beating Dh20 billion by the end of 2008.

Behnam Eshragh, CEO of Cirrus, said the company is generally concenrating on Dubai, because the new escrow account laws makes Dubai's development market a fair playing area.

"The laws make developers obey the rules and makes competition healthier and more attractive.”

"I see Dubai as the best place to be as a developer. Demand is great, infrastructure is growing and everything the developer can dream of is offered here," said Eshragh.

He said that according to the press, by 2011 demand for property will still outrun supply.

"There will be a demand of 240,000 and a supply of only 180,000," said Eshragh. He also said that the biggest problem in Dubai property is a lack of planning and that by starting construction on time can reduce the risk of later delays.

Eshragh said that Cirrus plans to develop around 10 million sq. ft. of land in Dubai property this year, including Waterfront and Downtown Jebel Ali, bringing their total portfolio "close to Dh20 billion" by the end of 2008.

Gulf-China talks could lead to free zone

2008-04-04T06:29:00.001-07:00

His Highness Shaikh Mohammad Bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai property, has expressed hope that ongoing negotiations between Gulf countries and China would lead to establishing a joint free zone for the benefit of all parties.

Shaikh Mohammad expressed the UAE's is adherent to bolster trade cooperation with China, which he described as the largest trade partner of the UAE Dubai property. The note were made when Shaikh Mohammad was met by Chinese Premier Wen Jiabao in Beijing yesterday. An official reception was given to Shaikh Mohammad at the Grand Hall according to traditional Chinese protocol.

Shaikh Mohammad yesterday left Beijing after concluding a four-day official visit. The Chinese Premier pronounced hopes that Shaikh Mohammad's visit would be a success, noticing that it would increase bilateral cooperation.

Shaikh Mohammad and the Chinese Premier attended the signing of agreements between the UAE Dubai property and China, including agreements on security cooperation, education and scientific research, and a memorandum of understanding on cooperation in health quarantine.

Emirates NBD launches Islamic property fund

2008-04-04T06:27:00.000-07:00

Emirates NBD Group put to work the Emirates Islamic Global Property Fund, an open-ended daily dealing investment fund Dubai property, the bank announced yesterday.

The new fund gives investors an opportunity to invest in Sharia-compliant property portfolios worldwide.

The fund, with a minimum subscription of $25,000 will available to investors in the UAE through the Emirates NBD Dubai property network including the group's priority banking channels.

The fund is the seventh Sharia-compliant fund to be launched through Emirates Funds Limited and seeks to generate a high and rising income stream and capital growth through indirect investment in global properties and property related securities.

"Our adherence to build an particular fund range continues and we look forward to delivering exposure to a new asset class for all our clients. We have successfully managed the Emirates Fund Dubai property range and think this will be an adequate addition to a number of clients' portfolios as investors in the Gulf region and beyond recognize the diversification benefits that, until now, had been restricted to a very few," said Jamal Bin Ghalaita, Head of Consumer Banking and Wealth Management at Emirates NBD.

The fund will be operated by Emirates Investment Services Ltd (EIS), the asset management arm of Emirates NBD group, licensed and regulated by the Dubai Financial Services Authority.

Damac move surprises Nakheel

2008-04-04T06:25:00.001-07:00

Uncertainty surrounds Damac's deletion of its Palm Springs project as master-developer Nakheel, which is building the Palm Jebel Ali where the project was initially planned, saying it was not informed of Damac's decision to cancel.

Marwan Al Qamzi, managing director of the Palm Jebel Ali, said Damac's resolution was a surprise and Nakheel was informed of it through the media.

"We are very surprised by the announcement made by Damac suggesting that the reasons for the deletion of its Palm Springs Dubai property project are because of revisions in the Palm Jebel Ali master plan," said Al Qamzi. "The Palm Springs project was moved to a prime position due to widening of the crescent," he said.

"Our last negotiations with Damac was in February this year and was one of positive ones. We were left with the firm view that Damac was proceeding with the project. We are extremely disappointed by this recent event in Dubai property," said Al Qamzi.

Al Qamzi said that the revised master plan allowed for significant improvements in the design.

Nakheel has sold other plots of land on the crescent of Palm Jebel Ali to Damac. Al Qamzi said it was now the responsibility of Damac to insure Dubai property the delivery of any units it has sold within these plots to customers.

Revisions to the Palm Jebel Ali master plan were reported to investors more than ten months ago.

"From Nakheel's perspective, Damac's cancellation of the Palm Springs Dubai property project must be related to other development issues particularly related to the project," said Al Qamzi.

Damac was unavailable for comment.

Property Tech buys Indian real estate for Dh110m

2008-04-03T01:47:00.000-07:00

Property Tech, a subsidiary of Tech Group UAE-based company, has acquired two properties in India worth around Dh110 million as part of its plans to enter into new promising markets.

"India is one of the world's fastest growing real estate markets, and having a foothold there means that we can gain ground with Indian investors."

Real estate in India has seen a boom after the government of India opened up the construction sector in 2006, allowed 100 per cent foreign direct investment.

The country is, however, in need of further incentives to ensure more flexibility in the construction sector and meet its financing needs, estimated at $350 billion, Jaber said.

Iris launches Dh100m Dubai property project

2008-04-03T01:33:00.000-07:00

Dubai-based Indian real estate developer Iris anticipates to boost its portfolio to Dh5 billion this year, as it announces the launch of its latest project, the Dh100 million Iris Asmar.

Iris Asmar is seven floors of residential buildings located in the Cultural Village.

It will consist of eight three-bedrooms and seven four-bedroom apartments. This is the fourth project of the company in Dubai, bringing the current portfolio Dh2.5 billion. Prices in Iris Asmar will begin at Dh2,835 per square foot and go up to Dh2,888 per square foot.

Ashwin Sheth, director of Iris Properties, said: "As the property market is rising at such a fast speed, the main concerns are finding good contractors and good consultants. Selling is not the challenge here. The challenge is to finish the project on time."

Two more projects will be started later this year, including one in April, in Business Bay and Maritime city, which will increase the company's Dubai portfolio to Dh5 billion spread over six constructions on four million square feet of land, including parking areas.

Cyclists can now look forward to a smooth ride

2008-04-02T08:04:00.000-07:00

The Roads and Transport Authority (RTA) has finalised the four areas where special lanes for bicycles would be laid.

Essa Al Dossari, CEO of the Public Transport Agency of the RTA, told Khaleej Times yesterday that these lanes would be operational by next year.

The tracks would be built along the Jumeirah Road between the Jumeirah Beach Hotel and the Al Diyafah Road, Al Mina and Al Mankhool Road, and Al Diyafah (Satwa Roundabout), and Khalid bin Waleed Street and the Dubai Creekside Loop.

"These lanes are under the engineering stage at the moment," said Al Dossari.

The official added that special lanes for public transport would only be on some selective roads.

"We will select some of the roads for these lanes. The project is under calculation at the moment. These lanes would insure that people travelling by buses reach their destinations ealier than those in their private cars.

“This would embolden more people to use buses instead of their cars," he said.

"At present, only seven percent of the people use the public transport modes.

“We are bringing in world class buses with all facilities of comfort so that people can travel in luxury and also save time," added Al Dossari.

Dubai Mall set to open by late 2008

2008-04-02T07:58:00.000-07:00

The Dubai Mall, slated to be one of the world's largest shopping malls, is set to be open by the end of this year. The mall is being developed by Emaar as part of the Dhs73bn ($20bn) Downtown Burj Dubai project.

The structural steel used in mall, which will be larger than the Mall of Emirates, is double that deployed for the Eiffel Tower (7,300 tonnes), and the stone and tile works of 1.2 million sq. ft. already placed are nearly 18 times the size of a football field measuring 69,000 sq ft. The net leasable floor area will be equal to the size of 50 football fields put together, developers said.

UAE immune from subprime crisis

2008-04-02T07:51:00.000-07:00

The UAE property market will not be affected by the US mortgage crisis, said His Highness Shaikh Mohammad Bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai.

The vice-president ruled out the ability of any negative effect on the property market in the UAE, adding: "It will affect many countries, but it will not affect us. We have made arrangements to let our property market to avoid any such negative impacts."

He also noticed that the UAE will not drop its currency's peg to the US dollar "for now", but approved the issue was being studied by a committee that will report to him soon.

"Up to now we are still with the dollar. Dropping the dollar peg is not easy. However, a committee is studying the benefits of staying with the peg or not," Shaikh Mohammad told UAE media officials accompanying onboard a plane from Beijing to Shanghai.

Shaikh Mohammad left the Chinese capital yesterday after a meeting with the mayor of Beijing and a tour of the Great Wall

Mada'in launches Marina Arcade

2008-04-01T05:31:00.000-07:00

Mada'in Properties yesterday launched their Dh1.25 billion flagship project Marina Arcade in Dubai property Marina as the first step in building a Dh3 billion portfolio in 2008.

"The Marina Arcade is a fitting tribute to the vision of the marina development, as well as Dubai's meteoric ambitions," said Abdul Aziz Al Awar, chief executive officer of Mada'in Properties.

Marina Arcade will consist of one 60 - storey towers connected by a glass roof shopping arcades.

The project will cover a total of 950125.68 square feet, including seven townhouses with gardens and a hot tub on the roof with Marina Arcade.

There will also be a number of one bedroom, two-bedroom and three-bedroom apartments, duplexes and penthouses.

There will also be parking for 850 cars.

Recreational facilities include a fitness room, sprawled over three floors and each floor more than 38000 square feet.

There will also be a Dubai property roof garden with a running track and a wide assortment of designer shops and cafes.

This project should be completed in June of 2011 and prices will start from Dh2, 050 per square foot from the sixth floor upwards.

Marina Arcade is the first of four projects to be launched this year at a total cost of Dh3 billion.

Deal for third Crowne Plaza hotel in Dubai signed

2008-03-31T01:34:00.000-07:00

InterContinental Hotels Group (IHG) on Sunday said it has signed an agreement with The Chelsea Group, part of Crimson Hotels, to develop a third Crowne Plaza hotel in Dubai property.

Crowne Plaza Dubai Business Bay, scheduled to open in 2010, will be located at the heart of Business Bay, set to be the city's new central business district.

"Located next to Shaikh Zayed Road and Dubai property International Financial Centre, the property will be perfectly situated to capitalise on the thriving corporate travel market in the city," the company said in an e-mailed statement.

The hotel will consist of 367 rooms and several different options for food, as well as business and corporate institutions, which will include a hall of 500 square meters and more rooms. Leisure travelers will also be able to use the health club, spa, swimming pool and terrace.

John Bamsey, the chief operating officer, IHG, the Middle East and Africa, said: "Dark hotels have already proved a valuable partner for us in England, and we hope to continue to work with them in the future, as in the UK, and now also in Dubai property. In an increasingly demanding business-class traveler arriving in the UAE, and the country took a leading position in corporate travel, Crowne Plaza brand is a guarantee of a high level of comfort and service, combined with the practical amenities of the last. "

Crowne Plaza Hotels and Resorts is currently located in approximately 50 countries.

UAE posts Dh250b trade surplus in 2007

2008-03-28T06:50:00.001-07:00

The UAE posted a trade surplus of about Dh250 billion, with re-exported goods valued at Dh200 billion in 2007, UAE Minister of Foreign Trade Shaikha Lubna Al Qasimi told the British Business Group yesterday.

The minister spoke of the UAE's plans for sustained economic growth and progress, in partnership with the UK. The nation's investment revenues are currently one of the highest in the world, she said.

In a country of non-oil revenue is expected to grow to Dh179.8 billion by the year 2012. The national gross domestic product is expected to increase by 60 per cent from Dh678.9 billion in 2007 to Dh1 trillion by the year 2012, depending on oil revenues increase by only 9 per cent annually Dh300 billion, "she said.

UAE comes Dh7.3 billion (about one-third of the area of Dh24 billion) value of exports to Britain. Dubai accounted for the largest share of 66 per cent. Over 85 per cent of trade between the two countries takes place through Dubai and the northern emirates, according to industry reports.

Britain has identified the UAE, as one of the key emerging markets, where it plans to enhance trade and investment relations.

High growth to lure global investors

2008-03-28T06:48:00.001-07:00

Dubai's GDP growth of $54.3 billion in 2007, matched with its strategic plan and upcoming projects will continue to create opportunities for global investors, officials said.

"Dubai's non-oil foreign trade reached $185 billion in 2007 compared to $139 billion in 2006 recording a 33 per cent rise," the Dubai property Chamber of Commerce and Industry said in a statement. Dubai property Chamber officials yesterday instructed 130 senior officials of the French company PPR whose chairman, Francois-Henri Pinault chose Dubai as the venue for the Group's top executive meeting.

The focus also fell on key sectors of development containing tourism, retail, infrastructures, knowledge, transports, logistics, manufacturing, professional and Government Dubai property services and called upon the private sector to play a greater role by working together with the public sector.

"The hospitality industry is anticipating a real boom with its aim of 100,000 rooms for 15 million visitors by the year 2015. Currently, there are 324 hotels, 33,731 rooms with occupancy rate of more than 85 per cent throughout the year as a total of seven million people used Dubai hotels in 2007 compared to 1.9 million in 1996," Hesham Abdullah Al Shirawi, second vice-chairman, Dubai property Chamber, said during the briefing.

The presentation highlighted Dubai's ambitious economic goals under the Strategic Plan 2015 that shows a real GDP growth rate of 11 per cent for the next eight years. Dubai's GDP by the end of 2005 was still higher than other Gulf countries and even Asia and US.

Dubai unveils low-cost homes

2008-03-28T06:46:00.001-07:00

Dubai Properties is to roll out 50,000 low-cost housing units in the coming years, a top official said - which could help the growing housing problem for the emirate's gradually marginalized middle income groups.

"These affordable housing projects will be a mix of freehold and rental units," Mohammad Bin Braik, chief executive of Dubai Property Group, told in an interview. He, however, could not give the indication of the mix.

"We have already built a sizeable housing project in Al Quoz area that will soon be offered on rent," he said.

He did not elaborate his plans for the housing schemes, just adding that the announcements will be made in due course.

The first announcement is expected this year.

These will be in addition to the 160,000 residential units that are being built - mostly for the upper income groups - in Dubai property.

This comes as a good news for the emirate's 1.44 million population, a large number of which stays in Sharjah and Ajman for cheaper alternatives.

Most of the current projects adapt to upper income groups and high net worth individuals, creating a large imbalance in the emirate's housing market.

House rent and traffic continues to dominate the list of public worries in Dubai property - which prompted the government to cap rents in recent years.

In Dubai property government investment in housing schemes in 1960s and 1970s, has seen the development of large numbers of settlements in Satwa, Karama, Ghusais and Deira, which have helped people in those days.

However, due to the sudden growth in the free market in 2002, major developers focus shifted from the market transition to a free rental sector, while demand continues to grow, pushing rents historical highs.

At the same time, most of the government-built low-cost housing colonies and villages were destroyed, reducing housing options for low - and middle-income countries.

Nakheel, the other government-owned developer, has set up International City - perceived to provide affordable housing.

The current high rents are good enough for developers to return to the rental market. "Investors will return to the rental market when income rises to the same level as that of the freehold market," said a top property broker.

Bin Braik said, "Although we are mostly engaged in built-to-sell business, rental units gives us a continuous flow of guaranteed returns and provides us the necessary stability. We are not only building assets, we are also building values for Dubai property."

Damac's buyback plan angers investors

2008-03-27T07:05:00.001-07:00

Investors in Damac's Palm Springs project on Palm Jebel Ali are furious at being 'bought off' by Damac due to project alteration.

Damac is now trying to 'buy back' its Palm Springs plot on Palm Jebel Ali five years after its launch.

Damac cannot go ahead and build the development without incurring a significant loss as the master-developer plans have changed.

Hussain Sajwani, chairman of Damac Holding said in a statement, "Damac Dubai Property has been advised that the master development of Palm Jebel Ali has been redesigned and the Palm Springs plot will not be delivered. Due to redevelopment of theprojects, the building forming the Palm Springs development cannot be placed on the re-allocated plot and, as an output, the Palm Springs project has been annulled.

"In view of this, Damac Dubai Properties will offer customers an opportunity to realize the investment made in Palm Springs and transfer the monies to any other project in the Damac Dubai Properties portfolio at a discounted price 15 per cent below current market value. As an alternative, Damac would reimbruse monies paid with interest."

However, by investors words, Damac is only offering six percent per annum on the sum invested.

Dubai Property Market - Buy or rent?

2008-03-26T09:06:00.000-07:00

Real estate market in Dubai for a major economic force in the emirate. All of us know about the state of the art Dubai property projects comes every now and then. Real estate market in Dubai has experienced a growth spurt in recent years. At least once abroad, moving to this city wonders ponder on the question of whether to buy or rent in Dubai.

Foreigners, as a large proportion of the population of Dubai. When you consider that the real estate market in Dubai is very much in demand, they are often caught in the dilemma of a mortgage payment for personal property, or go for the rent is usually lower than the former.

Looking back at Dubai property market

2002: For the first time in the history of the Dubai property market, it was possible that foreign nationals to own freehold property in Dubai. At that time, property prices were relatively lower than in the current scenario in Dubai. Consequently, with lower mortgage to pay, those who bought property at that time was a wise step indeed.

From 2002: Due to cheaper real estate prices, more and more people went to the acquisition of real estate in Dubai. As a result, there was a great demand (even more than supply), in turn, the prices escalated. Currently, the rents are typically lower than the monthly rates.

Buy or rent property in Dubai - some tips

• stay of 3 years or even less time: Do not buy property in Dubai, if you stay in the emirate for three years or less. Rental property would be a better solution for you. A number of projects will soon get completed in Dubai rents to fall a bit.
• stays of longer than 3 years: If you stay in Dubai for more than three years, we can certainly consider buying a property in Dubai. Dubai real estate experts believe that the market trends will be reversed in a few years. So buying property in Dubai now could be a profitable step in several years. Choose a longer period for paying back your mortgage, so it is not a crunch in your pocket. One could even rent this property later.

Points, which help one decide whether to buy or rent in Dubai

• How long do you want to remain in Dubai?
• What kind of home do you want to go?
• If you want your money invested?

These points are paramount enter, make sure that you have an answer to your worries shot. Because of the dynamic nature of real estate in Dubai,

Shaikh Holdings awards Dh412m Sanctuary Falls project to Arabtec

2008-03-26T03:06:00.000-07:00

Shaikh Holdings, a leading Dubai-based real estate investment and development company, has awarded Arabtec Construction LLC a Dh412 million contract to commence construction of its prestigious Sanctuary Falls villa development, a landmark boutique community in Jumeirah Golf Estates.

In awards Dh850 million Sanctuary Falls project, aimed at creating a new landmark in the community as a first resort-style golf residential community in the UAE property.

Launched in July 2007, the development has already received strong interest from both local and international Dubai home buyers and has been awarded "Best Golf Development" in the Arabian CNBC Property Awards 2007.

"We have taken our time to research Dubai property and nominate the best quality of contractors and subcontractors, as our partners in the development of the Sanctuary falling," said Emran Sheikh, Director General, Sheikh Holdings.

The community features a collection of 96 resort-style villas overlooking the Earth golf course, designed by Greg Norman.

Arabtec Holding Co, the UAE's largest construction company at market value, said yesterday it expects revenue this year will increase by 40 per cent, slower than in 2007.

"We expect revenue in 2008 to grow by 40 per cent to Dh6 billion ($ 1.63 billion) ... is determined more projects," CEO Riad Kamal said Reuters.

Revenues rose 52 percent last year to Dh4.27 billion and the profit more than doubled to Dh535.2 million people, according to Reuters.

"Profit growth depends on many factors, such as the cost of Dubai building materials, wages and possible delays in deliveries, which are out of our hands," Kamal said.

Hydra joins hands with Kuwaiti developer

2008-03-26T02:52:00.000-07:00

UAE-based Hydra Properties, along with Kuwait-based Al Aqeelah Leasing, Finance and Investment Co., and Tassa-meem Real Estate Co., on Tuesday announced a partnership agreement to establish Hydra Al Aqeelah Development Co.

The new company will develop Aqeeq Al Marina, mega real estate company located in Kuwait Khairan resort town.

Riyadh Al Ali, vice-president of Al Aqeelah and chief executive officer of Hydra Properties Suleiman al-Fahim, stressed the importance of this new partnership, which means a major turning point in Kuwait in real estate development, especially after Khairan project is one of the the largest real estate developments in the region.

From the first day of the company's establishment, Al-Ali said officials for the project, takes full responsibility for the development of the real estate sector through its subsidiary company, Al Aqeelah International Real Estate Co, which has been designated as one of the major companies in charge of project.

"This project embodies the combination of the ultimate in luxury and ultimately in aesthetic design, based on international specifications, which are derived from the concepts held by Al Aqeelah and Hydra Dubai properties in the construction of buildings on the basis of innovation and creativity, creating the desired goal, which at par with international standards, "said Al Fahim.

The project consists of a major commercial complex, a residential Dubai property complex and a major luxury hotel. The project's size is approximately 50,000 square meters.

Dubai Metro to be integrated with other modes of transport

2008-03-25T02:56:00.000-07:00

Serco, a UK-based international service company, has been awarded the operation and maintenance contract for the Dubai Metro for the first 10 years.

The company will provide operation and maintenance services to all assets of the Dubai Metro system, including trains, railway tracks, stations and associated facilities during the duration of the contract.

The company will also provide transit Dubai property services to integrate other forms of transports with the metro network, operate the metro revenue system and collect revenues by selling and top up of metro cards on behalf of the Dubai Roads and Transport Authority.

The company will be responsible for the Dubai property operation of the metro company for 10 years and serve for seven years as the first three year maintenance will be provided by DURL Consortium - contractors for construction of Dubai Metro.

"The operator was finalized after eight months of hectic work," said Mattar Al Tayer, chairman and Chief Executive of RTA.

The selection of Serco comes after a public tender floated by the RTA, to which several global companies specializing in rail operation and maintenance had applied. "Following analysis of submitted bids, the offer of Serco Co. was nominated as the best bid. The Serco has experience in operating and maintaining a number of metro and rail lines in the UK, Denmark and Australia,'' said Al Tayer.

Nuclear energy will fuel growth

2008-03-25T02:55:00.000-07:00

The UAE's decision to fall back on nuclear energy for peaceful use arises from its understanding of how it could play a constructive role in the development process of the country. By opting for the nuclear option, the country has given tone for Dubai building the future. But more importantly, in doing so, the UAE has also detected the framework within which it will be pursuing the project.

The UAE Cabinet has accepted nuclear energy program, to be named as the Nuclear Energy Authority. Intended with an initial capital of Dh375 million, the agency would look into the best means of using nuclear energy for future Dubai property and domestic electricity supply and demand.

"The complete details of the proposed nuclear program will soon be published in line with the UAE's keenness to deal with the international community transparently," said Foreign Minister Shaikh Abdullah Bin Zayed Al Nahyan.

The reasoning behind having such a program complies with the overall plans of the government and as a result, facilitates for it the means to support the unprecedented economic growth in the country. The UAE's initiative and the means with which it is implemented should set the precedent for others to follow.

Sorouh to sell $1b in asset backed bonds

2008-03-25T02:54:00.000-07:00

The United Arab Emirates' Sorouh Real Estate is going to sell $1 billion of asset backed securities that comply with Islamic law during the second quarter to help fund expansion, a company executive said.

The bonds, like traditional Islamic bonds known as sukuk, are asset backed. But unlike sukuk, they allow buyers direct access to the underlying asset.

"It is going to be a unique sukuk, it will be an asset-backed securities (ABS) sukuk which will be launched in the second quarter," the executive, who declined to be named, said yesterday. He said the worth of the issue would be $1 billion.

Sorouh Chief Executive Mounir Haidar said in February Dhabi's largest property developer by market value was close to finalizing a $1 billion borrowing program to finance expansion in Dubai property.

Haidar has said Sorouh's projects could triplicate to Dh120 billion ($32.68 billion) in coming five years.

Asset-supported bonds can receive a higher credit rating than the issuer of Dubai Property, especially when the bonds are based on strong underlying revenue-generating assets.

The agreement also sequester the issuer from creditors should instability hit the assets, and the bond holders are not known to the issuer's future actions. Citigroup and three Abu Dhabi-based banks are arranging the sale in Dubai property, the executive said.

The securitization market had the potential to be worth $250 billion by 2010, said Nasser Al Saidi, chief economist of the Dubai International Financial Centre.

Dubai builds world's largest water reservoirs

2008-03-24T09:42:00.000-07:00

Construction has begun in Dubai on what will become the world’s largest pre-stressed concrete drinking water reservoirs to help meet escalating demand brought on by multi-billion dollar property projects, a statement said yesterday.

The three giant rectangular reservoirs, each with a capacity of 60 million imperial gallons per day (MIGD), are being constructed in the Mushrif area of Dubai by the Mammut Group under a $168.6 million (Dh620 million) contract.

The Mushrif reservoirs are part of a Dh12 billion ($3.3 billion) package of infrastructure projects recently voiced by Dubai Water and Electricity Authority (DEWA) designed to meet the water and electricity demands of all existing and planned projects in the Emirate.

“On completion the three reservoirs will contain a total of 180 million gallons of drinking water, marking a major milestone in Dubai's expansion of its utility infrastructure,” Behzad Ferdows, chairman and CEO of the Dubai-headquartered Mammut Group, said in a statement.

Mammut Group is one of the Middle East's largest industrial contracting and manufacturing companies, the main advantages in the production of pre-engineered steel and pre-cast concrete. The company employs 4000 people and has 10 offices worldwide and six plants.

The three giant Mushrif reservoirs will:

Cover a total area of approximately 165,000 square meters
Measure 372 meters in length, by 169 meters in width and 5.6 meters in depth
Consume 270,000 cubic meters of concrete
Use 27,000 tonnes of reinforced steel

Danube aims for Dh1b sales revenue this year

2008-03-24T09:41:00.000-07:00

Danube Building Materials, the leader in construction, building materials, and shop fitting industries, has announced that it aims to generate Dh1 billion in sales revenue by the end of 2008, following a highly successful performance in 2007.

Having reached a 72 per cent growth in its annual earnings last year, the company has also scheduled that it could double its annual returns to touch the Dh2 billion mark by the end of 2010, based on the current uptrend in its overall growth and among the rapid expansion of the construction industry in the region.

The company's growth has been the result of its focus on establishing facilities in high potential production locations, such as its newest factories in Lianyungang, China and in Bahrain, which supply a significant bulk of the high quality products for its regional and international clients.

In the UAE, Danube has undertaken a number of significant projects, including the delivery of its new Formica toilet cubicles to Dubai Mall, in addition to over Dh200 million in new projects in Ras Al Khaimah, Umm Al Quwain and Dubai Techno Park.

At present, the company operates from its head offices in a 285,000 square feet facility in Jafza north and 365,000 square feet area in Jafza south, which includes warehouses, logistics, kiln drying and a factory. Danube currently maintains eight branches in the UAE, in addition to its global hubs in Oman, Bahrain, China and India.

Cement imports by Dubai soar 74% in 2007

2008-03-24T09:40:00.001-07:00

Dubai's cement imports increased 73.6 per cent, or 1.26 million tonnes, to 2.96 million tonnes in 2007, as a result of the construction boom.

The imports are valued at Dh672 million, according to the Dubai World Statistics Department (DWSD).

Dubai imported 1.70 million tonnes of cement in 2006.

Nassim Al Muhairi, acting head of DWSD put the value of Dubai's cement imports in 2007 at around Dh672 million. Cement imports were worth Dh374 million in 2006.

Al Muhairi attributed the increase to Dubai's construction boom and the increase in oil prices. "Major projects such as the Dubai Metro mean that Dubai's cement imports will continue growing at even higher rates in the coming years," she said.

In the UAE also imported nine million tons of steel in 2007, a 36 per cent increase each year, compared with 2006. In the UAE, took ninth in the world, the top ten importers of the steel industry in 2007, according to the UK on the basis of Iron and Steel Statistics Bureau.

On the recent abolition of cement and steel import duties, Hussain Sajwani, chairman of Damac Holding, a leading property developer, said the move bodes well for UAE's construction industry.

"Steel demand, projected to increase from five million tonnes in 2007 to 10 million tonnes in 2010, coupled with soaring cement prices will help master developers like us to be in a better position to keep control over soaring project costs. This move will also eliminate the emerging black market for cement in the UAE," said Sajwani.

Essential telephone numbers in UAE

2008-03-21T08:39:00.000-07:00

999, the emergency number in the country, is one of the busiest numbers in the country, naturally, but often for all the wrong reasons.

Click here to download the Gulf News essential numbers guide for Dubai and Abu Dhabi (pdf)

Click here to download the Gulf News essential numbers guide for Sharjah (pdf)

Many residents call 999 seeking a taxi or to find out the traffic situation. Hundreds of trivial and inane calls are made to 999 every day, desturbing the work of police on emergency duty.

A staggering 573,471 calls were made to 999 in 2007 and these were not emergencies. Most were enquiries on speed limits on roads, location of certain departments, traffic fines, transactions related to the Naturalisation and Residency Department and complaints against taxi drivers.

Lieutenant General Dahi Khalfan Tamim, Chief of Dubai Police, recently said: "Nobody knows the amount of effort that goes into answering calls on 999. Therefore, people should only call 999 in case of emergencies which require the immediate presence of security or rescue personnel," he said.

There are files to download in an attempt to offer easy access to information of the important telephone numbers in the country

Real estate stocks lead plunge in UAE last week

2008-03-21T08:38:00.000-07:00

UAE stocks lost Dh13.3 billion of market capitalization this week on account of Dubai's Dh11.2 billion in losses.

The Dubai Financial Market's general index plunged 3.05 per cent to 5,578.19, and Abu Dhabi's benchmark retreated 1.18 per cent to 4,676.47.

The real estate sector was the biggest loser, dragged down 3.9 per cent by Emaar Properties, which fell 4.6 per cent to Dh11.35. Sorouh Real Estate plummeted 3.4 per cent to Dh10.05 in Abu Dhabi, according to the weekly report of Amanah Capital.

The energy sector followed, dropping by 3.8 per cent. Record oil prices failed to lift the listed energy companies. Abu Dhabi National Energy (Taqa) fell 3.3 per cent to Dh3.47. Aabar Petroleum and Dana Gas recorded tangible losses as well, retreating 8.3 and 3.1 per cent to Dh3.66 and Dh2.19, respectively.

The telecom sector ended the week in the red as well on account of etisalat's decline by 1.2 per cent to Dh23.80.

DFM's shares dropped 3.4 per cent to Dh5.65, losing Dh1.6 billion in market value and dragging the financial sector's sub-index down 2.5 per cent.

Experts fear overheating in region's property market

2008-03-21T08:37:00.000-07:00

The property market in the region is in danger of becoming overstretched, industry officials, whose remarks were given on condition of anonymity, said at a recent conference in Dubai.

"If the costs get too high, Dubai won't be so attractive," the chief executive of a real estate project development in Oman said.

Dubai's real estate dealings equaled $18 billion in 2006, and current estimates reflect a staggering $158 billion is invested in the sector just in Dubai.

A Financial Times outlook has showed Dubai is 'at the cutting edge' of world property markets, with average property values shooting up by 150 per cent in the last two years. In contrast, the UK's property value increased by 240 per cent over ten years.

A UAE-based developer said, "There's a lot of pent-up capital looking closely at this region, but returns will be whittled away based on escalating costs."

Over the last two years, Dubai has registered rental costs for premium office space more than double, with prices hitting $1,172 per square meter in some cases. In 2005, this figure was about $538.

The main driver behind Dubai's property boom is the ever-growing population, is going to reach 1.9 million in 2010. Low-cost property, costing Dh500 per square foot, is in high demand, but due to increasing costs of materials, investment in is losing its appeal.

A managing director for an international consultancy firm said, "The problem in Dubai is that there are a lot of inexperienced developers, and they are building too much, too quickly and it just can't be sustained."

UAE cost of housing to rise further amid liquidity surge

2008-03-20T08:18:00.000-07:00

The cost of housing, which represents a heavy component within the overall inflation rate, will rise further, as the rent caps introduced in Abu Dhabi and Dubai do not apply for new contracts, in contrast with Qatar which flattened the rents for next three years.

"The rents increased in 2007 by 18 to 19 per cent, and this will continue in 2008. Meantime, banks' assets increased by 40 per cent, accelerating money supply," said Dr. Giyas Gokkent, head of research at National Bank of Abu Dhabi (NBAD).

The reduction of the UAE key interest rate by 75 basis points from 3 to 2.25 per cent will boost economic activity in the nearest term, but it could lead to higher inflation and serious results in the longer term, economists said.

Nonetheless, international oil prices are supply some balance, as they tend to surge up in tandem with the declining dollar.

"We are looking at average oil prices of $95 to $100 per barrel in 2008, and this will increase the oil revenues dramatically by about 25 per cent to about $95 billion, compared with around $76 billion in 2007," Dalton H. Garis, associate professor at Adnoc's Petro-leum Institute, said.

"But the increasing revenues will only mean that the economy will continue to over-heat as the pace of growth will be too fast to tame," Gokkent said.

Central Bank Governor Sultan Bin Nasser Al Suwaidi had a meeting with the chairman and representatives of the Emirates Banks Association yesterday, where the governor convinced the delegation that the local banks enjoy a strong financial position, taking into consideration the availability of liquidity.

Such ample liquidity will only force banks to be more aggressive in their lending policies, adding more pressure on prices of goods and services.

450 additional radars to be installed on Dubai roads

2008-03-19T02:23:00.000-07:00

Police will soon install 450 new radars on Dubai roads, the chief of Dubai Police stated.

Nowdays, there are 350 radars on Dubai roads and there will be an additional 450 radars on the roads to keep in rules speeding and reckless driving. The statement came as part of a coordination meeting between Dubai Police and the Roads and Transport Authority (RTA).

Lieutenant General Dahi Khalfan Tamim, Chief of Dubai Police met with Mattar Al Tayer, Chairman of the Board and Executive Director of the Roads and Transport Authority (RTA).

Lieutenant General Dahi underlined the importance of the meeting, especially since the two parties are strongly related to serving society. He stressed the importance of increasing radars on the roads.

The participants also underlined on the issue of vehicles with out-of-date registrations which amount to 115 000 vehicles. The two parties agreed to stop the transaction of vehicles with expired registrations and give their owners one month to rectify their status.

Saffar buys majority stake in John Charcol

2008-03-19T02:20:00.001-07:00

Saffar, a regional financial services company, recently purchased a major stake in John Charcol Dubai, an independent mortgage broker.

The agreement, which was signed earlier this month, will see Saffar take a 60 per cent majority stake in the company, with the rest being kept by the company founders.

The deal is part of Saffar's strategy to pursue business opportunities in the real estate and home financing market.

"John Charcol is a leading player in the mortgage brokerage industry. With John Charcol Dubai, we hope to leverage the wide range of opportunities available in the regional property finance market," said Mishaal Al Usaimi, CEO of Saffar."

"We are confident that the unrivalled expertise of John Charcol, combined with Saffar's regional knowledge, will provide the basics for the development of John Charcol Dubai as the leading regional independent mortgage brokerage. We are highly proud to be a part of rising this dynamic company on both a local and regional level."

Established in 1974, John Charcol is widely regarded as the UK's leading independent mortgage adviser.

ICD likely to clinch Colonial deal soon

2008-03-19T02:20:00.000-07:00

A deal that would see Spanish real estate company Colonial taken over by Investment Corporation of Dubai (ICD) was seen closer on Tuesday, although the parties still have to reach an agreement as a deadline looms, sources familiar with the negotiations said.

Negotiations between Colonial, ICD and three groups of creditors are continuing in Madrid, London and Dubai. ICD's time-limit for striking a deal with the banks expires on tonight.

The negotiations are "making progress", one of the sources said, but added "there are many parts involved that need to be agreed".

Colonial is attempting to win over three sets of creditors so the sale can go ahead.

One is the group of international banks and local savings banks that lent former Chairman Luis Portillo and the Nozaleda family the cash to supply their purchase of Colonial's shares.

Then come the four banks behind a 7.2 billion euro ($11.4 billion) syndicated loan - Goldman Sachs, Eurohypo, Calyon and Royal Bank of Scotland (RBS).

A third set includes lenders to the company itself, including Spanish savings banks, one of the sources shared.

Banks involved in the syndicated loan are now more willing to reach agreement, provided other lenders also agree on waivers and other actions being discussed, one of the sources said.

"The banks in the syndicated loan won't make concessions unless the local lenders do," the source said. "I think the lenders want the company to survive, it's in nobody's interest to destabilise the company."

Colonial stock rose three per cent to one euro by 1251 GMT.

The company is being advised by Lazard, while Morgan Stanley is advising ICD.

New airline for Dubai

2008-03-18T02:20:00.000-07:00

His Highness Shaikh Mohammad Bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE has instructed - in his capacity as Ruler of Dubai Property - the competent authorities to set up a new airline company to cater for the growing passenger traffic from and to the UAE.

Shaikh Mohammad envisages the new aviation company as a bridge for love and interaction between the UAE property and other sisterly and friendly countries.

In setting tariffs structure, the company will receive financial and living conditions of the passengers in mind.

Shaikh Ahmad Bin Saeed Al Maktoum, head of Dubai Property Civil Aviation and Chairman of Emirates Group, said Sheikh Mohammed in instructions will be put in place with immediate effect.

Services will be cheaper because of the Shaikh Mohammed’s effort to enable low-income passengers reunited with their families and relatives at home, said Sheikh Ahmad.

Shaikh Mohammad named Ghaith Saeed Al Ghaith as CEO of the new airline company.

Airport tunnel to be closed due to construction for Dubai Metro

2008-03-14T10:20:00.002-07:00

Dubai Airport tunnel will be still closed between 1 am to 5 am from March 15 to April 14 due to construction work for Dubai property Metro on the airport road.

“Entry and exit points of the airport tunnel from Nadd Al Hammar Road towards Al Qusais will remain closed,” said Engineer Hussain Al Banna, Director of Right of Way Services Department at the Dubai property Roads and Transport Authority (RTA). He said that tunnel will, however, will be open on public holidays—Friday and Saturday.

“Motorists are requested to use alternative roads designated by the RTA to avoid any traffic congestion and take all pre-caution during the period of tunnel closure.

He said that motorists from Nadd Al Hammar and business-Bay Bridge in the direction of the property tunnel could use the diversion road in the Emirates to go in the direction of Al Qusais and the Sharjah Airport and take the road to go to Deira.

He said that tunnel closure was necessary to make way for the Dubai Metro viaduct spans. “The closure time will ensure minimum traffic disruption,” he added.

UAE markets fall in line with global slide

2008-03-14T10:20:00.001-07:00

The UAE stock property markets fell on Thursday in line with the downside plaguing the global financial markets impacted by lifetime-high oil prices and weakening dollar this week.

During the week, high volatility in share prices was witnessed on the bourses in Abu Dhabi and Dubai property.

As a result, the Emirates Securities general index fell 0.90 per cent to 6,008.17 at the close of trading from a day before.

Market analysts, however, reiterated that the foundations are strong internal exchanges, and it will be a bull run in the next few days, based on the assessment that after mid-March, a major market move the company will be closer to their reporting first quarter performance.

On the ADSM, the fall was led by the real estate sub-index, which fell 2.08 percent, followed by consumer sub-index, which fell 1.40 percent and energy sub-index was down 1.24 percent. Shares in the amount of more than Dh577.97 million sold during the day on the market, with the volume of shares exceeding 94.76 million people.

On the DFM, more than 153.36 million shares valued in excess of Dh801.38 million were traded. Deyaar Development's were the most actively traded, followed by Dubai property Financial Market shares. The day's main gainer was Arig, whose shares rose 6.39 per cent to Dh3.83. The day's main loser was Ware-Agility, whose shares declined 10.89 per cent to Dh18.00 at close.

Emirates to fly to Los Angeles

2008-03-14T10:19:00.001-07:00

Emirates property, the Arab world’s biggest airline, said it will launch flying to Los Angeles from September.

The West Coast city will be the airline’s third destination in the US.

Operating daily, the service will be the first non-stop operation connecting Dubai to Los Angeles.

Emirates will fly its Boeing 777-200LR on the route, offering 266 seats in a three class configuration and will provide up to 10 tonnes of cargo capacity from the US city.

“Los Angeles represents Emirates’ commitment to the American property market. We have evaluated the US for widening opportunities and have carefully tested our existing services in Houston and New York- both of which have been very successful.

"We look forward to recreating this success by connecting Los Angeles to Dubai property and beyond,” said Shaikh Ahmad Bin Saeed Al Maktoum, Chairman and CEO of Emirates Airline and Group.

Nakheel unveils centrepiece of giant Waterfront development

2008-03-13T02:50:00.000-07:00

Nakheel has revealed the master plan for Waterfront City, the centrepiece of Waterfront, the largest urban development project in the world.
Waterfront City will have a residential population of about 92,000 and a working population of 310,000 people. Covering more than 330 hectares, Waterfront City will comprise a central island surrounded by four districts - the Boulevard, Madinat Al Soor, the Resort, and the Marina.
Located on the west coast of Dubai property, the whole Waterfront development will transform 1.4 billion square feet in the desert and at sea in the community, in a total population of 1.5 million people.
Matt Joyce, Nakheel managing director, Waterfront, said: "Waterfront City is set to form the 'heart' of Waterfront and the master plan has been designed in such a way to cater not only for businesses, but for Dubai property residents and visitors alike. Each of the five districts making up Waterfront City possesses its own individual character and is vital for the promotion of a diverse and unified city.
"It will have a density similar to that of Manhattan, and with that in mind, commerce, retail, culture, and private accommodation will be overlapped to create a compact city centre property."
The central area of the island, a grid of five streets by five streets, will be the determining element of the construction Waterfront City, it will create a walkable distance between blocks, easing the flow of traffic passing through the town. For maximum shading and climate control in the city, the higher the potential of the masses will be focused on the south side, as well as ensuring the efficient use of wind flows for cooling. Each city block will be lined arcades and planted with trees.

Shortage of labour hits UAE projects

2008-03-12T02:07:00.000-07:00

More than 160 construction projects in the UAE are being delayed because of an alarming shortage of skilled labour, according to latest figures in the industry.

David Savage, managing director of Al Habtoor Engineering, said, "The Gulf market is perhaps the hottest construction market in terms of activity of all time. There's no sign of slowing or reduction. There have been booms in the past but not a sustained boom like this in the world construction industry."

There are nowadays $160 billion worth of projects in Dubai City and around one million laborers in the construction industry, with around 95 per cent of the workforce being foreigners.

Samir Khosla, vice-chairman of Dynamic Staffing Solutions said in all industries in the UAE, 42.5 per cent of expatriate workers are Indian. "And 60 to 70 percent of them are in the construction property industry."

According to Greg Christofides, executive director at Arabtec, "We currently have about 40,000 people. Our prediction for 2008 is to rise this by 50 per cent."

Khosla said, "Lots of the main contractors are now looking at technology as a way to reduce the labour component."

Dubai to start work on Dh40b water and electricity complex

2008-03-12T02:06:00.000-07:00

Dubai will soon launch work on a Dh40 billion water and electricity complex in Jebel Ali to support the city's rapid economic growth and population increase.

Dubai Water and Electricity Authority (Dewa) on Tuesday vowed planned investment in property will ensure that the emirate will "never have a shortage" of power and water.

The Hassyan Power and Desalination complex will be over in three phases by 2020, Dewa managing director and CEO Saeed Mohammad Al Tayer sayd reporters on the sidelines of the Wetex exhibition in Dubai.

It will issue 9,000 megawatts (MW) of electricity and 600 million gallons of water when fully completed.

The initial phase comprises 3,000 MW of power and 200 million gallon water capacity. "We will award the contract property for the first phase in July," Al Tayer said.

Dewa has already awarded a Dh200 million contract for ground leveling work for the complex, which is being developed on an area of four square kilometers.

Dubai property is also investing Dh10 billion in the 'M Station' that will have a capacity of 2,000 MW of power and 140 million gallons of water. "By 2020, we will have around 20,000 MW of power and 1,000 million gallons of water capacity. That means Dewa will never have shortage," Al Tayer said.

Dubai property has also signed a memorandum of understanding with three foreign companies to build its first independent power plant, which will use fuel from synthetic gas made through the coal gasification process.

Mohammad inspects progress of Dubai airport expansion

2008-03-12T02:05:00.000-07:00

His Highness Shaikh Mohammad Bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai, on Tuesday inspected the expansion work at Dubai International Airport, aimed to provide additional facilities to accommodate the growing passenger traffic.

The airport is expected to serve to over 43 million passengers a year.

Shaikh Mohammad toured the new facilities property dedicated exclusively to Emirates airline, which consist of the new building (Terminal 3) and Passenger Concourse 2.

Shaikh Mohammad, who was accompanied by Shaikh Ahmad Bin Saeed Al Maktoum, President of Dubai Civil Aviation Authority, Chairman and Chief Executive of Emirates Group, also inspected the three-storey vehicle parking facilities that can accommodate up to 2,000 cars.

He also heard a presentation from Khalifa Al Zafein, CEO of Dubai World Central, on the two buildings, which comprise more than one million square meters.

At a meeting with the young national staff, Shaikh Mohammad praised them for the hard, diligent work they did over the past five years to complete the vital project property.

He named the project as hulking and a source of pride as it is part of Dubai development and modernization strategy for 2015. The two facilities will be officially opened in May.

Dubai International Airport has a capacity of 22 million passengers nowdays. It will be able to handle 60 million passengers a year when the expansion projects are completed.

Forecasts project the airport to handle 70 million passengers a year by 2016 and 100 million a year by 2025.

Private sector gets nod to build and operate utilities

2008-03-11T06:13:00.000-07:00

The UAE will allow private sector companies to build and operate power and desalination plants that will help meet the country's growing needs for utilities.

"A federal legislation, which was endorsed by the cabinet, allows the private sector to build and run water and electricity stations to meet the rising demand, especially in the large investment projects in the areas supervised by the Federal Electricity and Water Authority [Fewa]," said the Arabic Al Khaleej on Monday.

The bill, which will be debated by the Federal National Council (FNC) on Tuesday, will introduce a new article to Federal Law No. 31 for 1999 with respect the setting up of the authority.

The new article says that the authority may allow private sector investors to set up power regeneration and water production stations in the areas supervised by the authority, according to laws and regulations issued by the Cabinet, and supplied they respect environmental standards and laws.

The FNC intends to improve article 23 by adding a condition that water and electricity tariffs must be under the authority's control.

Suburbia takes another step forward

2008-03-10T03:43:00.000-07:00

Damac Properties issued on Sunday that Architectural Planning Group (APG) will be the architectural and mechanical consultants for its prestigious Suburbia project, located in the center of Downtown Jebel Ali.

Suburbia is a breathtaking development including two towers and absorbing townhouses.

Inspired from different facets of Moroccan architecture, starting from its use of bright color schemes, geometrical figures to luxuriantly ornamented exteriors, it captures the exotic mystique of this charming land within your own home creating the perfect harmony between luxury and beauty.

"We are glad to announce Architectural Planning Group as the architectural and mechanical consultants for Suburbia, which will add a lot of value to our project portfolio. APG has a strong track record in delivering high quality projects and will bring to Suburbia their large pool of expertise and experience. Damac projects are designed with passion and vision aimed at becoming the Middle East's most prominent luxury focused private sector master developer," Hussain Sajwani, Chairman of Damac Holding, said.

Downtown Jebel Ali is a community where public spaces between the buildings, streets, parks and plazas matter as much as the buildings themselves.

"Architectural Planning Group offers tailored services and accommodates the needs of every development. Their experience overlaps a range of architectural design and execution, interiors, urban design, landscaping and planning over the past 45 years.

Nakheel releases final Shoreline apartments

2008-03-10T03:39:00.000-07:00

Nakheel has issued the release of the final Shoreline apartments - the last possibility to buy at The Palm Jumeirah apartments.

Lining the Trunk of The Palm Jumeirah, the apartments come complete with access to private beachfront clubhouses and boast amenities including world class fitness centers, retail shops, swimming pools, and direct access to the island's white sandy beaches.

The Trunk is connected by an innovative monorail system and is home to a number of hotels, shopping destinations, cafes, and restaurants.

The area is already a central hub of activity, with all of the 2,500 shoreline apartments handed over. More than 1,500 families have moved into the Shoreline apartments, with a total of more than 2,000 families residing on the whole island.

The five private beach clubhouses will open during the coming weeks.

"2008 will be a year of huge change for The Palm Jumeirah. With 2,000 families now residing on the island and more and more amenities opening, the development is no longer simply a concept," said Manal Shaheen, Nakheel Director of Sales, Marketing and Customer Service.

Property show records sales worth Dh20b

2008-03-10T03:37:00.001-07:00

The International Property Show (IPS) 2008 gained Dh20 billion in sales revenues over its three-day run here.

According to organizers of the show, Strategic Marketing and Exhibitions, IPS had 35,000 visitors and recorded the biggest sales revenues in local, regional and international real estate in history.

Local exponent, Snasco recorded sold 60 percent of its Sharjah Investment Centre. Fakhruddin Properties sold Dh1.4 billion worth of residential units. Al Mazaya registered 95 percent sales for its Queue Point project and Baraka Investments witnessed 75 percent sales for its Crimson Court project.

Omar Mashabi, general manager of Sharjah Investment Centre, SNASCO said, "Our contribution towards the event helped us spread our network to European and Asian nations."

Emaar to launch luxurious villas and townhouses

2008-03-07T08:39:00.001-08:00

Emaar Properties said on Thursday, it is starting sales of a limited collection of unique villas and townhouses on March 8, 2008.
The picked villas and townhouses are placed in the established neighborhoods of Arabian Ranches and The Lakes, and the up-and-coming Umm Al Quwain Marina.
Customers can choose from a wide range of floor plans and sizes.
"The villas for sale in Arabian Ranches are surpassing in their elegance and build quality," the company said in a statement.
Part of the Alma, Alvorada, Palmera, Saheel and Polo Homes communities, several of these homes are currently ready for hand over.
Niched in the privacy of own gardens and with terraces and balconies, the villas are filled by Spanish and Arab architecture, and have a capacious study, family lounge and nanny's room. Arabian Ranches also offers customers the convenience of living within a leisure-rich neighbourhood featuring the Arabian Ranches Golf Club and the Dubai Polo and Equestrian Club.
The luxurious villas at Umm Al Quwain Marina are part of the Mistral community. The new and spacious three- and four-bedroom villas take architectural inspiration from Portuguese and Spanish styles.
They are located close to a Marina and the Arabian Sea, thus offering a sensational location ideal for a main home or weekend getaway. All villas also offer easy access to white sandy beaches and an array of leisure facilities including dedicated children's play areas.
At The Lakes - an integral part of the Emirates Living neighbourhood - the choices include three- to five-bedroom villas and townhomes in the Hattan, Ghadeer, Maeen, Forat and Zulal clusters.

Value of Dubai land transactions tops Dh2.3 billion

2008-03-07T08:38:00.000-08:00

The total value of land transactions in Dubai last week reached Dh2.34 billion, of which sales exceeded Dh1.51 billion, Dubai's Land Department said in a statement.
The total value of mortgages during the period was Dh833.53 million.
A total of 100 sales were recoded with the department by the end of the week, the most valuable of which was a plot in Shaikh Zayed Road that sold for Dh65.752 million. The next two most eminent sales saw a second plot in Emirates Hills-2 acquired for the sum of Dh64.505 million and another in Sport City for Dh51.73848 million
The Al Ruwayyah area was the most active during the week's sales, with some 20 transactions. Ranches amounted it with 10 sales.
Al Ruwayyah recorded the highest turnover by value, at Dh168.58 million, followed by the Al Warqa-1 area, Dh111.49 million, and Palm Jumeirah area, Dh108.85 million.
The biggest area sold was the 2986426.5 sq ft in the Al Ruwayyah area, which was sold for Dh16.98 million. A 135,849.23 square foot plot in the Al Aweer-2 Area was acquired for Dhs11.2 million.
Thirty-eight mortgages worth Dh610.7 million were registered, the most significant of which as the Dhs200 million for an area at Sport City.

HSBC says Gulf real estate and financial stocks most attractive

2008-03-07T08:37:00.000-08:00

Gulf real estate and financial companies, set to benefit from higher infrastructure spending, are the most attractive bets in a region largely insulated from global financial turmoil, HSBC said on Wednesday.
HSBC said it won a licence from the market regulator of the UAE to set up a brokerage firm, the country's first managed by an international bank as foreign interest in the region grows.
"Investor interest in the Middle East is the highest it has been due to the international situation," said Paul Cooper, head of equities for Central Europe, Middle East and Africa at HSBC in London.
"There is an unprecedented set of catalysts for transforming the Middle East is very interesting now."
Gulf markets, including Kuwait - which has gained 12 percent this year - have outperformed on several emerging markets, which suffered from fears of recession in the United States. In the Persian Gulf region enjoyed a fivefold increase in oil prices over the past six years and has more than $ 1 trillion of infrastructure projects in the pipeline.
"The focus, in terms of which sectors will benefit from monetary policy and infrastructure investment is really the financial and real estate sectors," Cooper said.

Fakhruddin unveils Dh350 million project in Dubai Sports City

2008-03-06T06:28:00.001-08:00

Fakhruddin Properties yesterday launched its latest development, the Coral International, in Dubai Sports City.
A part of the Coral International chain of hotels, resorts, and spas across the Middle East, the Dh350 million project is proud of sports and housing facilities for those wishing to live and invest in hotel apartments, a company statement said.
"The Fakhruddin Group's deal with Coral International will not only give this company access to one of the more exclusive areas of the UAE in the establishment of a hotel residence, but it also represents a milestone in the growth and development of Fakhruddin Properties as one of the most trusted and leading real estate companies in the region," said the statement.
"This project, like everything else in Dubai Sports City, is a sports element to it, offering ultra-modern facilities for individuals and families who are both athletic and languid," was added.

Dubai International Capital confirms bid for Liverpool

2008-03-05T01:39:00.000-08:00

Dubai International Capital, the private equity arm of the Dubai Holding, said on Tuesday that it is bidding to buy the Liverpool football club, but said the company has not reached an agreement with the American owners of the club on the valuation.
"It's no secret that we have been in discussions with the current owners. But valuations they expect have been out of sync with our assessment," Sameer Al Ansari, chief executive of Dubai International Capital (DIC) said on the sidelines of the Private Equity International Forum in Dubai yesterday.
Al-Ansari did not exclude the possibility of reaching an agreement with the current owner Tom Hicks and George Gillett. Speaking on the assessment, Al-Ansari said that the owners of Liverpool in dreamland '. However, he noted that one of them is now emerging from dreamland.
Despite Hicks comments last month that he had no plans to sell the share in a football club, have been persistent rumours and media reports in recent weeks about DIC negotiations with the owners of the club.
London newspaper The Times said yesterday that the DIC confident Gillette would accept his proposal A 200 million pounds ($ 397 million) for 50 per cent of the shares, but added there were claims that Hicks was willing to exercise his opportunity to buy it.

New Islamic buyout fund to be launched

2008-03-05T01:38:00.000-08:00

Global Investment House and Dubai Islamic Bank (DIB), in collaboration with Millennium Capital, have signed a memorandum of understanding (MoU) to launch the Global DIB Millennium Islamic Buyout Fund, a private equity fund targeting aggregate commitments of $500 million.
The fund will invest in buyouts of Sharia-compliant companies in parallel with the Global Buyout Fund, which had its initial closing in November 2007 upon receiving aggregate commitments of $550 million and has already invested or committed more than a third of it in three acquisitions.
The MoU was signed by Maha Al Ghunaim, chairperson and managing director of Global, and Khalid Al Kamda, group managing director and chief executive of Dubai Islamic Bank.
"We operate with about 1.6 billion dollars in private equity, and we believe that this asset class will dominate the region in the coming years as it is well suited for the region's macro-economic factors such as sustained economic growth, the implementation of reforms that encourage foreign direct investment, and the increased willingness of the Government to the privatization of state-owned entities in various sectors, said Omar Al Quqa, executive vice president of Global.
Buyout Global Fund dedicated to redemption, the Middle East and North Africa (Mena), Turkey and South Asia.
"The fund is suitable for sophisticated investors from the region who prefer Islamic products, but did not come to a private equity products often," said Masrur Omar, the head of private capital from Millennium Capital, the investment banking unit DIB.

Six Flags to unveil Dubai theme park

2008-03-05T01:37:00.000-08:00

Tatweer on Tuesday said it had forged an alliance with US-based Six Flags, the world's largest theme park company, to develop projects across the Arab world.
The highlight of the partnership will be the development of Six Flags Dubailand, a five million square feet, multi-billion dirham theme park within the world's largest tourism, leisure and entertainment destination.
The first six flags project to be developed outside of North America, the project is under Tatweer tactical contribution to the Dubai Strategic Plan 2015, which aims at promoting the emirate in the leading world center of tourism and recreation.
Featuring its signature line-up of adventure rides and attractions, Six Flags Dubailand will be proud of the world-famous entertainment franchises such as a children's musical group Wiggles and professional skateboarder Tony Hawk.
Tatweer and six flags Dubailand will also work together to integrate their experience in creating new concepts in the region, such as the Six Flags theme parks, branded restaurants, hotels and retail outlets, which will offer travel and leisure opportunities for tourists, families and visitors worldwide.

Sternon Group unveils Dh300m real estate projects in Dubai

2008-03-03T05:48:00.001-08:00

Dubai-based Sternon Group, which has been active in local and international property sector for the past 20 years, has unveiled plans to develop real estate projects in Dubai with an investment of Dh300 million.
Sternon Developers, the newly set up division of the group, will execute a number of mixed use projects across Dubai over the next few months. Its first project 'Sternon Tower', a 16-storey mixed-use development in Jumeirah Village South, will begin construction in June 2008.
Located near the Dubai Autodrome, Sternon towers will be placed residential units, consisting of studios, one-, two-, three-and four sleeping penthouse apartments, retail segment, and services all boast high-end, world-class amenities and construction standards. All units will be freehold, and come with residence visa.
"While in Dubai, Sternon has focused on promoting and underwriting properties other developers, but now we are going to develop our own real estate projects, with the support of our experience in the luxury residential and commercial projects in the United States and India” announced Hussaini Nalwalla, Managing Director.
The construction of Sternon Tower Dubai is due to begin in June 2008, and will be completed by December 2009. Plans for the other projects are being finalised.

UAE rejects calls to drop dollar peg

2008-02-29T05:26:00.001-08:00

The UAE Central Bank ruled out any move to drop dirhams dollar peg despite fears that a further fall in the value of greenback against major currencies would fan spiralling inflation to new highs.
UAE Central Bank Governor Sultan Nasser Al Suweidi said there was no need to allow the dirham to rise against the dollar which is heading towards a rise. Suweidi was quoted by Al Ittihad as saying that since the dollar is expected to recover after a record fall against euro and other currencies, it is not logical now to drop the peg.
Currency analysts, however, predicted that the dollar would continue to fall beyond $1.51 to the euro as a further cut in interest rate looked certain with the US Federal Reserve Chairman Ben Bernanke indicating that such a move was inevitable to stave off a recession in the US.
Suweidi's unwavering commitment to peg the dollar at a time when the regional and international economists warn of serious inflationary pressures in the GCC countries, where most currencies, except the Kuwaiti dinar, related to the fall on the greenback.
Nobel Laureate Professor Joseph E Stiglitz said with a weakening dollar, the GCC are tying themselves to a policy of devaluation against the euro. "This does not make sense to peg to a currency that is unstable," he said. "The key is to have a managed exchange rate against the basket of currencies," said Professor Stiglitz.
Former Federal Reserve Chairman Alan Greenspan said on Monday about the Gulf Arab record inflation, the fall "significantly" were oil producers drop their dollar pegs, unlike Saudi policy.
"In the short term, free floating will not eliminate inflationary pressures, although it could do so much," said Greenspan investment conference in Jeddah. Inflation hit a 27 - year peak of seven per cent in Saudi Arabia in January and it is estimated that 19 - year peak of more than 10 per cent in the UAE in 2007.
Greenspan said that the Gulf state of the pegs limit the ability to fight inflation, forcing them to track U.S. monetary policy, at a time when the Fed is to reduce rates to push the recession and the Gulf economy sharply on nearly fivefold jump in prices Oil since 2002.

Nakheel to build four theme parks on Palm Jebel Ali

2008-02-29T05:19:00.000-08:00

Nakheel on Thursday announced an agreement with Busch Entertainment Corporation (BEC), the family entertainment division of US based Anheuser-Busch Co. to develop four amusement parks under the name Worlds of Discovery.
The theme parks will include SeaWorld, Aquatica, Busch Gardens and Discovery Cove.
BEC president and chief operating officer Jim Atchison announced the deal with Nakheel's CEO, Chris O'Donnell, and The Palm Jebel Ali's Managing Director, Marwan Al Qamzi, at SeaWorld Orlando yesterday.
Nakheel and BEC reached an agreement earlier this month for the construction of four theme parks on the second of Nakheel's three palm-shaped artefactual island developments. Orlando-based BEC operates 10 Worlds of Discovery parks in the U.S. The Worlds of Discovery will be constructed on a section of The Palm Jebel Ali known by the name of 'the Crown'.
"Dubai has fast become one of the world's leading tourist destinations and a key part of the strategy has been attracting world-class entertainment brands to the emirate. We have already agreed partnerships with major brands such as Trump, Cirque du Soleil, and Atlantis, and the partnership with BEC is a further example of Dubai's growth as a city of global prominence," said O'Donnell.
The first phase of Worlds of Discovery is coming to open in 2012. Except the four theme parks, the project will also content a range of other family tourist attractions such as resort hotels, spas, shops and restaurants, O'Donnell said.
"Worlds of Discovery will become the attraction of The Palm Jebel Ali and I am already excited about opening the doors to our very first visitors in 2012," said Al Qamzi.

Eco-friendly hybrid buses for Dubai

2008-02-28T05:25:00.000-08:00

Dubai would witness environment-friendly hybrid buses running across different destinations in three years time, a senior Roads and Transport Authority (RTA) official said.
With the RTA implementing several projects aimed at reducing the pollution levels in the emirate, senior officials of the Public Transport Agency told Khaleej Times that they would be operating hybrid buses in the emirate after tests and inspections in three years time.
Essa Al Dossari, CEO of the Public Transport Agency of the RTA, said, For the time being, we have bought 620 buses with Euro-4 engines. The next step is to start off with hybrid taxis. We have tagged with the GM Motors and preliminary tests are on in this connection. Once this project is complete, we would be focusing on the hybrid buses, he said.
Referring to the hybrid technology, the official explained that it consists of a combination of diesel fuel and electricity. "These vehicles will not be deployed only on the basis of diesel fuel. When you start the ignition, the vehicle first move with electricity. It will be the only change in the diesel mode after 60 km. This means that the consumption of diesel fuel will be substantially less than the current time . This will automatically reduce the level of pollution, "explained Al-Dossari.
Currently there are public buses, which are running by the Euro-4 engines. These motors use only pure form of diesel emission reductions significantly. "These engines are among the best when it comes to reducing pollution levels," the official added.
Maritime Agency RTA has also launched a one-year test run after converting three abras with CNG (Compressed Natural Gas) authorized engines.

Ten reasons Dubai real estate will continue to boom

2008-02-27T08:39:00.000-08:00

Dubai real estate may well be the next asset class bubble to be created by inappropriate interest rate levels set by the US, alongside Hong Kong property. But there are at least 10 good reasons to think the present realty boom in Dubai will continue for rather longer than many outside observers believe possible.
1. Dubai mortgage rates are around 8.5 per cent and have yet to acclimate to the recent US rate cuts, which they have to do because of the dollar tie to the dirham. Just a couple of years ago local mortgage rates of seven per cent were available. Thus the downward pressure on the cost of home finance is clear, and if the local mortgage market follows Hong Kong and becomes more rival, then interest rates could go much lower, making it notably cheaper to buy than rent. Real interest rates are already negative due to high local inflation.

2. Rental revenues in the Dubai market of 7-10 per cent are abnormally high according to international standards. Rents are scarcely to fall in a booming market, so it is more probably that rising capital values will gradually pressure yields down towards global levels. There is no reason why rental yields should be higher in a booming city like Dubai than in a city where the economic outlook is poorer.

3. The hype about Dubai development projects has confessedly duped even this skeptical correspondent over the years. The fact is that far less supply is coming on stream than promised by overenthusiastic developers, due partly to limited supplies of manpower and materials. Dubai Properties is one of the biggest and has just said it will deliver 5,000 units to the freehold market in 2008 which is not nearly enough to meet surging demand.

4. Dubai house prices are still low in absolute terms compared with other global cities with similar salary levels. In a survey of HSBC home prices compared with the per capita GDP is Dubai and Abu Dhabi in the bottom. This is a historical anomaly that will be eliminated in higher prices.

5. Six years ago, when Dubai has started a free, it is a market without any formal legislation and regulatory infrastructure. Now it is a world-class laws, a state-of-the-art land registry and firmly under the regulatory authority. Hope has been replaced by experience.

6. In Dubai Financial Market crashed in 2006 pushing local investors in the property as an alternative. It found at the end of 2007, but now once again downward trend of global stocks, and it became very volatile, changing by more than 10 percent a day. Wait for the stock market participants to again seek a more stable alternative.

7. Indeed, the lack of investment alternatives is one of the main themes for 2008. Global stock markets had their worst January in history. Recent U.S. interest rate reductions leave deposits paying 2.8 per cent. This makes Dubai real estate looks attractive as an alternative. Where else offers such a return?

8. At the same time that the local stock market crash hunters attracted foreign investment transactions in the past year, foreign investors in search of yield as all investments in Dubai real estate. Problems in the UK housing market may induce some buyers, but also a large number of oil-rich Russian, for example, now buy in Dubai.

9. Dubai still has some weak market niche in real estate, such as a holiday, and allows fractional ownership, which are major, even dominant market phenomena in many beach resorts the world. This source of higher profitability lease on the property, therefore, yet to be fully realized.

10. The Dubai Government has been the most proactive developer in the emirate, and its recent legislation and regulatory initiatives suggest that this support is not only likely to continue, but will respond appropriately to any adverse market developments.

Gulf real estate outlook positive

2008-02-27T08:36:00.001-08:00

A new report from Moody's Investors Service has discovered that in spite of a number of sector risks, real estate market growth in the Middle East is suggested to continue, based on fundamental factors that indicate that demand for new housing, office and retail space is likely to outpace supply in the medium term, reported Gulf News. The report said the Gulf real estate market has a number of characteristics that make it unique compared with more developed markets. On the positive side is the large-scale availability of land, which is made available to many master developers either for free or at very beneficial prices, and the meaningful growth of the markets, backed both by speculative investors but also more sound fundamental factors, which have allowed developers to fund large parts of their projects from off-plan pre-sales proceeds. On the other hand, many property companies in the Gulf are heavily exposed, both regionally to a certain country or even city, and operationally to a handful of large projects. Such identifying to a single market acts as the largest constraint on companies' creditworthiness, the report said.

Emirates Airline to be principal partner of Rugby World Cup Sevens, Dubai 2009

2008-02-27T08:34:00.000-08:00

Emirates Airline is to be the Principal Partner of Rugby World Cup Sevens 2009, which will make history by being staged in Dubai for the first time.
The 24-team Men's tournament and 16-team Women's tournament, being hosted by the Arabian Gulf Rugby Football Union, will take place on 5th - 7th March 2009 at Emirates' new state-of-the-art rugby complex, currently being constructed off the Al Ain Road close to Dubailand. The event will break new ground by being the first ever Rugby World Cup to incorporate both a men's and a women's competition.

The agreement to become Principal Partner at Rugby World Cup Sevens 2009, sees Emirates Airline extend its rugby sponsorship portfolio even further, underlining the company's credentials as one of the sport's premier supporters.

Gary Chapman, President Group Services and Dnata, Emirates Group, said:
'We are delighted to be supporting Rugby World Cup Sevens 2009 and are eagerly looking forward to next year's kick-off. Emirates has a proud record of sponsoring international sevens rugby which stretches back to 1988, and our involvement with Rugby World Cup Sevens enables us to continue supporting the global development of the sport and the growth of the women's game.'

$64bn Dubailand gets big, bigger, biggest

2008-02-27T07:44:00.000-08:00

Dubai wants 15 million tourists a year by 2015 and Dubailand will play a central role in hitting this figure. Phase One of the $64bn theme park and real estate project is scheduled to open in 2010, and last week members of the Dubai Property Group gathered for an update on progress.

The center will be the first phase of Universal Studios, but it also includes Ernie Els Golf Course, the Global Village, Dubai outlets cities, plantations peace, "Al-Sahara Desert Resort and Formula One Theme Park.

"Currently, the average visitor spends 2.5 days in Dubai in the city and spends $ 40-80 per day," said Chief Executive Officer Mohammed Al Habai. "By 2015 we predict they will remain four to seven days, and spend $ 240 per person per day."

It looks like an ambitious goal. But from the point of view of 15 million visitors this extrapolation 8% growth in the future, which may in fact be conservative. In 2007, Dubai welcomed 7.7 million visitors.

"The main obstacle to growth in visitor currently a shortage of hotel rooms to a total of 42000, 'said Al Habai." We will add 60000 hotel rooms in Bawadi district, which is a 10 km section of 51 hotels, four times more than Las Vegas. "

Dubai office rents continue to rise

2008-02-26T07:41:00.000-08:00

The demand for office space in Dubai faltered in recent years with the huge increase in equity in the capital, where the new building close to completion, according to a report by Asteco Property Management. The city now commands a total return of higher rents for industrial premises, 17-18%. Rental of office space by about 5% on average over the last quarter of Sheikh Zayed Road and Oud Metha see peak voltage of 6 or 12%.

Baker Hughes hosts grand opening event at major new facility in Dubai

2008-02-26T07:39:00.000-08:00

At the event, Baker Hughes Chairman, President and Chief Executive Officer Chad Deaton presided over the ribbon cutting ceremony and welcomed the guest of honor, His Excellency Yousef Omair Bin Yousef, Chief Executive Officer, Abu Dhabi National Oil Company and Mrs. Salma Hareb - Chief Executive Officer, Jafza and Economic Zones World.

The new center will be an important resource for companies, the growth of business in the Middle East and the eastern hemisphere. Located on 25 acres of the site in the Technopark in Dubai, at Baker Hughes Complex includes the Middle East, Asia and the Pacific (MEAP) Region Headquarters and the Eastern Hemisphere Educational Center, as well as the creation and production operations. More than 800 staff members will work at the site, as well as an educational center will have the capacity to train up to 300 students at the same time Baker Hughes.

"The new Baker Hughes MEAP campus in Dubai demonstrates our commitment to serving clients in the Middle East and developing highly qualified, diverse employee base in the eastern hemisphere," said Chad C. Deaton, Baker Hughes' chairman and CEO. "This workshop represents an investment of more than $ 80m and serves as a focal point for our growth in the region."

Property management services in big demand

2008-02-25T04:36:00.001-08:00

Dubai developer Nakheel, said on Saturday it had agreed to buy 50 per cent of a Mexican resort for $315 million, its first entrance into Latin America.
The company would buy the stake from Whitehall Street Real Estate Funds, managed by Goldman Sachs & Co, it said in a statement on Saturday.
Kerzner International runs the other 50 percent of the 172-room resort in Los Cabos, which works under the One&Only luxury hotel brand, Nakheel said.
"Latin America is very important in the global tourism market," Nakheel Hotels Chief Executive Joe Sita said in the statement.
Nakheel, with operations in North America, Asia and Europe, last month doubled its stake in Australia's Mirvac Group Ltd. to expand its operations in the country.

UPDATE 1-Dubai's Nakheel aims to raise $1.36 billion via REITs

2008-02-25T04:34:00.000-08:00

Dubai developer Nakheel is looking to raise about 5 billion dirhams ($1.36 billion) of equity to finance housing and infrastructure projects via an initial public offering of two real estate investment trusts (REITs).
Nakheel, owned by the Dubai government, is in negotiations with banks about founding two REIT companies - to support finance infrastructure schemes and the other to finance residential projects, said Chief Financial Officer Kar Tung Quek.
Between them, the REITs would aim to hold assets worth between 8-10 billion dirhams, Quek said.
"We would sell assets into them," said Quek, whose Nakheel is developing about $60 billion of residential and commercial projects (mostly in Dubai)including three palm-tree shaped islands on the emirate's coast.
Nakheel aims to develop a business managing REITs, Quek said. "It's fee based and quite a gainful business," he said. Ordinarly, firms charge about 1 per cent of the value for managing a REIT, Quek said.
A REIT is a listed property company which usually does not pay tax on its earnings as long as these are mostly distributed to investors in the form of dividends. They are prevalent in several countries including the United States, Australia, Japan, France and Britain.
Nakheel said it would retain control of about 30 per cent of shares in each of the REITs, selling the rest to institutions and the public.

Dubai ruler fund shuns U.S

2008-02-25T04:33:00.000-08:00

Dubai International Capital, an investment agency owned by the ruler of Dubai, said it is holding off making additional investments in the United States because asset prices are likely to fall further.
"The U.S. market is not yet attractive," Chief Executive Sameer al-Ansari told Reuters in Jeddah, Saudi Arabia, on the sidelines of an investment conference.
"We will see more of a correction in the first half and then we will see some opportunities ... for the moment, more problems are yet to be disclosed," he said.
"We are actively looking at Asia, namely India and China, especially in the manufacturing sector," Ansari said, declining to be more specific.

Property management services in big demand

2008-02-22T13:09:00.001-08:00

As the Dubai market has increased, so too has the demand for related services such as property management. Often, when taking into account real estate agencies and the services, sales and leasing are at the forefront, but other related professional services can be just as critical.

The boom in Dubai has attracted investors from across the globe, all impatient to capitalize on the high capital growth and strong rental yields here. The large growth in property owners since the freehold property law was introduced, especially with people who have their residence overseas, has significantly increased the market for property management companies.

Given the high value of a property, be it commercial or residential, the significance of the role of good management of the building should not be underestimated. Taking care of an investment and optimizing its returns can be a full-time job. It also sometimes brings with it hassles that are difficult enough to resolve when you are close by, but near impossible when you are a few thousand kilometers away.

The main reason for the growth in the market is that it makes the entire leasing and maintenance management hassle-free for owners while at the same time giving them the peace of mind that their asset is in good hands. A property management company takes care of all practical issues of the maintenance and rental process on behalf of the landlord, sourcing a suitable tenant, handling contracts, managing the tenancy and resolving maintenance issues. All of these are fairly arduous tasks for anyone without the necessary expertise.

ACI plans new projects to expand UAE portfolio

2008-02-22T13:05:00.000-08:00

Real estate firm ACI, a branch of Alternative Capital Investments, said it wants to spread its development portfolio of Dh10 billion in Dubai with new projects in Abu Dhabi and Ajman.

"There will be a total of seven buildings involved in the Abu Dhabi project. We will launch the first five projects on Reem Island shortly," said Robin Loh-mann, managing director of ACI.

"We want to diversify. We are looking for some strategic alliances with big players in Ajman and Abu Dhabi. We will also focus on the Dubai Waterfront this year and Dubai Lagoons," Lohmann said.

"We also have another project on The World and we are looking into some other exciting things. We are also keen to enter Ajman. But I believe that all the emirates will profit from situation in the UAE as the Abu Dhabi market has picked up very, very fast," Lohmann said.

"The way they are developing Abu Dhabi is a little different from how Dubai developed. They are trying to perform a little culture with things like the Guggenheim and the Louvre. They are trying to do things differently," he said.

"It is ambitious but they have a lot more time than Dubai to plan it out. Prices in Abu Dhabi have almost increased 2 times in the last seven or eight months. We take notice on Abu Dhabi. It is a totally different market," Lohmann said.

He said that the works in Ajman will start with one residential and one commercial tower. The company did not announce the value of its Ajman project. ACI plans to open another office in Doha in the second half of the year.

The Dh2.2 billion Trilogy towers, involving German sporting legends Nikki Lauda and Michael Schumacher will conclude on Sunday with the launch of the Boris Becker Business Tower.

Real estate firms lead UAE bull run

2008-02-22T13:02:00.000-08:00

United Arab Emirates shares increased for a third day, led by real estate companies, as investors speculated economic growth in the Gulf region will benefit from higher oil prices.

Emaar Properties, the Middle East's biggest property developer, rose for a second day after HSBC Holdings Plc initiated coverage of the stock with an "overweight" advice. Sorouh Real Estate Co. increased to a record. Air Arabia rose to the highest in almost three weeks after launching a new route.

"Gulf economies arepredicted to come overperform emerging markets and oil crossing the $100 has definitely sent a positive psychological signal," Rami Sidani, vice-president at Shuaa Capital PSC, said yesterday.

Shuaa manages the equivalent of $1.2 billion. "Coverage on stocks such as Emaar helped support the market after the share was given a fair value at double its current price."

The Dubai Financial Market General Index gained 0.5 per cent to 5,893.90, bringing its three-day growth to 3.3 per cent. The Abu Dhabi Securities Market Index climbed 1.1 per cent, while Oman's Muscat Securities Market 30 Index rose 1.2 per cent.

The UAE's economy will grow at 7.2 per cent, while Oman's economy will expand at 5.5 per cent in 2008, according to the median estimates of seven economists polled by Bloomberg in December. That draws an analogy with Brazil economic growth of 4.5 per cent this year, according to a Bloomberg survey.