Dubai Shows What A Property Plunge Really Looks Like

Here's essentially what caused Dubai's debt extravaganza to finally come to an end.

Far too much easy money flowed into Dubai during previous years, fueling a massive construction boom financed with debt. For awhile this debt looked sustainable to those involved because it was ostensibly backed by valuable property.

Yet when the global financial crisis hit, property prices fell in many parts of the world. Dubai property prices were hit especially hard.

As shown below by the skiing Emirati, Dubai property rates per square foot fell 45% from Q3 2008 to Q3 2009 according to Colliers International.

Thus just as many American's went underwater on their mortgages due to the American property crisis, owing more to the bank than their house was worth, the same thing basically happened to the Nakheel property business of the Dubai state-owned conglomerate Dubai World.

Combined with near-term cash flow constraints, this finally forced Dubai World to admit to its creditors that it would not be able to meet all of its debt obligations.

Dynasty Zarooni is involved in the fraud

Dubai’s Public Prosecution is detaining Kabir Mulchandani, chairman of Dynasty Zarooni Real Estate, amid allegations he defrauded investors of up to 450 million U.A.E. dirhams ($123 million), according to lawyers for the investors, government officials and one of his business partners.

The first case relates to allegations that he conned a small group of wealthy investors into pledging large sums of money with the promise of a hefty monthly return.

The second case involves the selling of property at the AED2 billion Ebony and Ivory development in Dubai’s Jumeirah Lake Towers district. According to Salem Al Shaali, the lawyer handling the case at Dubai-based Al Shaali & Co., Mulchandani took deposits for 20% of the property but failed to deliver the project.

How Dubai has lost its sparkle for one UK jeweller

For successful London jeweller Nadeem Osman, Dubai had all the bling in the world. Like thousands of others, he loved the city's fast life, with its sports cars, glitzy shopping malls and super-luxury hotels. And, of course, its sun and fabulous beaches.

The 37-year-old businessman from Balham, South London, holidayed there at least twice a year with his wife and even thought of moving there eventually, away from the rain and cold of England.

So 14 months ago, as an investment on the side, Mr Osman decided to buy four apartments in the city, which he planned to rent and also use as his holiday homes.
Losing its sparkle: Jeweller Nadeem Osman bought four flats in Dubai last year, just before the property market there crashed

Losing its sparkle: Jeweller Nadeem Osman bought four flats in Dubai last year, just before the property market there crashed

He paid £580,000 for two off-plan apartments in Villa Caria, a residential block in Jumeirah South, and two more in a proposed hotel on the Dubai Waterfront, known as Hotel K. But his timing could not have been worse, with the Dubai property market then going into free fall: down 32 per cent in the first quarter of this year and 47 per cent in the second, according to Knight Frank.

Assetz, a property investment company, estimates that the fall may reach 70 per cent this year. Mr Osman bought the apartments through Dynasty Zarooni (DZ) - one of the city's biggest real estate companies, with a portfolio of properties worth £219million.

He paid the full sum upfront, assured that the money would be put into an escrow account which protects a buyer's money until the work is complete.

In January, one of the directors of DZ was arrested on a £60million fraud allegation - and since released without charge - but work on Hotel K has not even started. It is scheduled to finish by 2011. The company does not even own the land on which it was to be built.

Villa Caria was supposed to be completed by the end of this year, but DZ has told him it may take a further two years. Mr Osman has also been told that his money was not put into an escrow account, and he is unable to get any back.

'I don't know what to do,' he said. 'If it was in this country I could do something about it, but in Dubai it's so difficult as there is a huge backlog in the courts.' Dynasty Zarooni has declined to comment after repeated attempts to contact it. Mr Osman has now formed a group with ten other investors to decide whether to take legal action or file a criminal case.

Dubai's courts are struggling with a mountain of property cases totalling £3billion - as much as £500million may involve British investors.

Stuart Law, of Assetz, says Britons, who were the largest Western investors, were partly responsible for the crash as they inflated prices through their highly geared buy-to-let schemes.

'We've known of properties that were sold again and again about ten times one after another - it was good as each person made a profit, but the person who was left with the contract at the last was in trouble,' said Mr Law.

Donald Trump - Dubai Tower

Donald Trump is one of the world’s most successful businessmen, with an impressive international property portfolio. Speaking from the Trump Tower boardroom in New York, he tells us about his latest venture in Dubai

Why have you bought in Dubai?

Dubai is a splendid place, which I’ve been to many times. Trump Tower Dubai is a project I’m involved with along with the property developers, Nakheel. It is unbelievable, it will be the best in the world.

Do you actually own there yourself, or are you just putting your name to the venture?

No, I’m keeping one of the apartments there for myself. I love the city, it’s a hot place, it’s a great place, and there will not be any other buildings or locations like it. People from around the world tend to buy wherever I build, so it represents a great investment.

Surely you must have one of the luxury penthouses?

No, it’s just an apartment. The penthouses are already in great demand and are setting property rice records at £3,000 per square foot which, for what they are getting, is an incredible bargain.

We’ve heard all about your plans for a golf development in Aberdeen, Scotland, being on hold because of various environmental issues. Has your experience there put you off developing?

Certainly not! We have 97 per cent agreement and are confident that it will go ahead – we’re swaying them! That course will be one of the world’s finest. I now even have the great 007, Sean Connery, on my side, which I’m very happy about. I certainly wouldn’t want him against me!

How does developing in Dubai compare with, say, developing in New York?

In Dubai they are building in the ocean, which has never been seen before – it’s really spectacular, a real engineering feat. I love building and I love engineering. I come from a country that likes to get things done but it’s now very hard to get things done in the US. With planning constraints, you couldn’t do what we’re doing in Dubai here in New York so I’ve great respect for what they’re achieving out there Your current portfolio includes the Grenadines, Seoul, São Paulo, Istanbul, Punta Bandera in Mexico, Cap Cana in the Dominican Republic, Tel Aviv, Toronto and Puerto Rico.

Wherever next?

We are looking at other things but I don’t want to say where until the contracts are signed. We want to make sure that Trump Tower Dubai is the great success which we know it will be, then we will be looking at other things, ideally with Nakheel.

Are there any destinations which you wouldn’t touch?

There are but I wouldn’t like to insult anyone by naming them.

With much of the world suffering an economic downturn, do you think your timing on this project is good?

I think the timing on this is great as Dubai is doing so well. Most of the USA’s not doing so well, although places like Manhattan are unique. I just sold a house in Palm Beach, Florida for over $100 million – that’s another unique area.

You front the original, American version of The Apprentice. Who is meaner, you or Sir Alan Sugar?

We’re different but I think he’s terrific and does a good job. We had plenty of choice for the UK show, lots of people wanted to do it but I think we made the right decision when we hired him.

You are involved in so many diverse products, from clothes to casinos even water and vodka. Which of your business interests gives you the most pleasure?

I take great pleasure in all of them, but I really hope the golf development works out in Scotland. The Apprentice has been great for the Trump brand – we’re all about quality and the show highlights that, all over the world.

You have numerous holiday homes around the world, and have just added to them with this latest Dubai property. Do you plan on taking many holidays there?

I’ll be visiting for business and to play golf, which I love – but no, I don’t take too many holidays. What do you like doing in your rare moments off? I love all sports, golf, tennis and soccer – or football as you call it in Europe.

40% decrease of Dubai property in Q1 2009 - Colliers International

Colliers International, the global real estate consultancy, has released the Dubai House Price Index (HPI) for Q1 2009, which indicates a decline in the overall index of 41% for the first 3 months of 2009. The index, compiled using mortgage transaction data from financial institutions accounting for 60% of the mortgage market in Dubai, also demonstrates a 34% year-on-year decline between Q1 2008 and Q1 2009. At the end of Q1 2009, property prices in Dubai had returned to approximately the same level as those recorded in Q2 2007.

John Davis, CEO, Colliers International, said, "Negative sentiment is the key factor driving the decline in the Index and the availability of finance continues to impact the market. End-users are concerned about job security and therefore unwilling to enter the market, even if finance is available to them, while the price/yield gap is tempting professional investors to wait for further declines. On a more positive note, the Index remained unchanged in March 2009. However, we would caution that it is too early to say whether the halt in the decline of the Index can be sustained, especially over the traditionally quieter summer months."

Colliers' analysis also highlights a key change in Dubai real estate market as professional investors, focused on the yield generated by a property, became the primary purchaser type as end-users and speculators fell away from the market. The HPI also analyses the trends for prices achieved for completed properties as opposed to properties still under construction.

Paris Hilton is going to settle in Dubai

Dubai: Paris Hilton could be the latest in a constellation of stars to light up Dubai's property sector, in a possible $2 million (Dh7.3 million) deal with Abu Dhabi-based developer, Hydra Properties.

Hilton, who was famous before she was even born, will add a dash of desert glam to Dubai's celebrity skyline.

"Mr Hilton is having a lawyer look over a million-dollar agreement between a property company in the UAE and Paris Hilton. The deal would give the company 'naming rights' for three years to call a set of twin towers Paris Hilton Towers. The deal currently stands at around $1.5-2million," said celebrity booking agent, Mike Esterman.

Officials at Hydra Properties were not immediately available for comment.

Although Hilton's roots are firmly entrenched in the hotel business, branding a property is just a hop, skip and a jump away.

And there is perhaps nowhere more fitting for a celebrity to flash a smile and name a building than in Dubai, where real estate is very much the name of the game.

As a recent wave of celebrities-turned-real-estate-professionals have found, investors in Dubai real estate are cashing in on a booming economy.

If agreed, Hilton would follow in the impressive footsteps of tennis great, Boris Becker, Formula One champion Michael Schumacher and golf-pro, Tiger Woods.

But if it's glamour you're after, you'd be hard pushed to find a star more focused on glam than Paris.

Of course, aside from those celebrities who want to see their name on a tower, there are other stars here working with local developers who know the bigger the name, the bigger the interest.

There's property heavyweight, Donald Trump with Nakheel, fashion legend Giorgio Armani and Emaar and most recently, bona fide Hollywood superstar, Brad Pitt, working with Zaabeel Properties.

Dubai Tower named as one of the Best 50 inventions of the Year

The worlds first rotating skyscraper, 'The Dynamic Tower', has been named as one among the "Best 50 inventions of the Year" by the TIME Magazine, due to its revolutionary design and innovation.

Created by David Fisher, the renowned Italian architect, the tower was one of the first choices in a list of ground-breaking inventions. Every floor of the tower rotates independently so as to form a building that constantly changes its shape and appearance, resulting in a unique and evolving architectural landmark.

The environment-friendly tower is the first building to be completely self-powered with wind turbines, positioned horizontally between each floor. The photovoltaic cells on the roof of each rotating floor, produces solar energy.

The Dynamic Tower in Dubai will also be the first high-rise to be built completely from prefabricated parts that are custom-built in a workshop and then installed on site.

This method comes with several benefits, including environmentally clean on-site construction, reduced time and cost of construction, less onsite accidents. Residents of the tower can park their cars at the entrance of the apartments with voice activated systems.

The residents can get a glimpse of the world rotating around them when looking through the glass wall of the buildings. These buildings will also be the first wherein construction begins at the top, with each floor mechanically installed from top to bottom.

Property agents optimistic about Dubai property market

Several property agents in Dubai predict a bright property market, with the sector expected to pick-up within next six months.

The CEO of Dubai Properties, Mohammed Binbrek, said that the current issue is more due to public sentiment, than due to liquidity or resource availability. Once the fears and concerns of the people are addressed, the business would return to normal.

The same optimism was seen among the respondents of a survey, involving 170 Dubai-based property agents, out of which 77 percent felt that the issues currently plaguing the Dubai real estate sector would vanish in six months time.

Pointing out to other markets, the Managing Director of Better Homes, Ryan Mahoney, said that the markets had a slow phase for a couple of months, and then improved in terms of transactions, depending on the availability of financial lending.

But Mahoney predicts that although the transactions may not rise to previous levels within next six months, the prices would stop falling, and then grow again, which may take about a year.

Over 40% say it is still a good time to buy property in Dubai

Since the recent dramatic events in the financial world around the globe, the organisers of this weeks' Worldwide Property Show being held in Dubai have just announced the results of a recent survey on investor confidence conducted in association with YouGovSiraj.

The survey shows an optimistic view, with one fourth of respondents feeling that the global crisis will only have a minor impact on the local UAE Property Market. 56% surveyed felt that there may be a slowdown but will not have the same impact as in Europe and US.

The survey further revealed that Dubai residents are more confident than those living in Abu Dhabi and Sharjah however 40% of all respondents felt that now is still a good time to invest as they can pick up a bargain. 16% of respondents were not sure and were sitting on the fence.

When deciding on the developer -value for money, ability to adhere to promises and transparency of information are the attributes that people look at. The least important attribute is public information available either on a website or in the media. This indicates that consumers are anxious about cost of ownership and the inherent investment value of the property.

Respondents were also asked what were their top destinations for real estate investment around the world - 55% favoured Asia, 40% for Middle East, 32% for Europe & UK and 27% for North America.

George Betz ,International Sales Director at Dubai Shows Limited organisers of the Worldwide Property Show said: "Considering our survey has literally been completed in the last few days since the global meltdown, it is very encouraging to see that people still understand the merit in investing in real estate and that now is still a good time to buy as prices are low."

Betz continued: "The Worldwide Property Show which started in 1995 has received a record number of developers and estate agents wishing to participate in this season's show and will feature 85 exhibitors from 32 countries including USA, Egypt, Morocco and UK, as well as emerging Asian markets such as Philippines and Thailand and a very wide variety of UAE developers and agents."

Mike Bridge, Business Development Director at Dubai Shows Limited said: "With developers feeling the pinch, it is definitely a buyers market with great opportunities to select prime property in some of the best locations in the world. You cannot take away the benefits, even in a crisis, of a fabulous city or beautiful coastline."

Bridge added: "It is also good news that the banks have recently received Governments' support and are more likely to be in a position to fund property investment again".

The Worldwide Property Show and UAE Developer, the UAE's longest running consumer property exhibition opens 23rd to 25th October 2008 at the Grand Hyatt Dubai.

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Cityscape, World's biggest real estate investment expo opens in Dubai as growth slows

Cityscape Dubai, the largest business-to-business real estate investment and development event in the world, opened today amid news that Dubai house price growth slowed to 16% in the second quarter of this year.

In an earlier version of this story, Property Wire incorrectly cited a report by Colliers stating that Dubai property prices fell by 16%. Colliers actually said that the house price growth had slowed down to 16% in the second quarter. Property Wire regrets the errors and the story has been amended to reflect the accurate figures.

The figures were met with an intake of breath as they had been rising sharply and although analysts have been predicting a slowdown few expected such a drop at this time.

The figures, from leading international property consultants Colliers, indicate that Dubai's six year property boom is at an end with the company predicting figures will remain flat for at least 12 months, probably until 2010.

'In the first quarter, the average price went up by 43% while in the second quarter they (slowed to) 16%,' said Ian Albert, a regional director at Colliers International. He attributed the drop to seasonal trends and a possible inkling among investors of the looming credit crunch.

Colliers said the main threat to house prices was liquidity in the financial system. A shortage of cash has already doubled the interest rate that banks charge each other in the last four months to more than 4%. Many home finance companies have restricted the amount of money they lend to 65 or 75% of the property's value, and home finance rates have risen to about 8%.

'Future performance will be hinged on liquidity. Everyone in Dubai is now looking for the magic figure on how much prices will fall, but because of what's going on in the US and Europe, we won't know where we are in terms of liquidity for at least another two to three months. Prices have so far mainly appreciated through speculation,' added Albert.

He concluded that although mortgages will be harder to come by, demand would remain strong, with the market moving away from off-plan speculation and back to basic fundamentals, such as providing a good quality product.

The news should be taken as a wake up call but should also be seen as an opportunity to look at other markets. 'Now, as the world faces up to market uncertainty, we enter a new era in which Middle East developers are expected to maintain and even increase their presence throughout the world,' said Rohan Marwaha, managing director of Cityscape.

'The sheer scale and intensity of the iconic projects in one of the most impressive property booms in modern history has kept the UAE, and Dubai in particular, in the headlines worldwide for the best part of a decade,' he added.

Dubai's largest developer, Nakheel, defied the pessimistic news by launching the world's tallest tower. Nakheel, part of the Dubai World group, unveiled plans to build a tower that will be more than one kilometre high - eclipsing the current tallest tower in the world, Burj Dubai.

Nakheel declined to disclose the project's costs, but said it was confident of weathering the financial storm, particularly as the project would be phased over 10 years. 'We know that the world is experiencing a financial crisis right now. But this is jut part of a normal economic cycle,' said Nakheel's chief executive Chris O'Donnell.

'It will have an impact on the Middle East but our view is that it will be relatively small as the fundamentals in this market make it stand out compared to other markets. There might be a slowdown but there definitely won't be a crash. We are confident that over 10 years we will be able to finance, build and develop this project,' he added.

The most luxurious offering at the $1.5 billion Atlantis bore the brunt of the blaze that hit the soon-to-open resort on Palm Jumeirah on Tuesday.

With its private elevator, the $25,000 a night Bridge Suite - located above the hotel lobby where the fire started - suffered extensive smoke damage, a source close to the project told Arabian Business.

The suite offers a generous reception lounge, dining area with a gold-leaf table seating 16 guests, and library with state-of-the-art media centre.

Foggy Dubai: View from the Tallest Structure on Earth [PIC]

Here is the view of Dubai from the Burj Dubai construction - the tallest point in the World

Skygardens Luxury Residential Project in Dubai Completed

Dubai, UAE - Amlak Finance PJSC, the largest real estate financier in the Middle East, today opened the doors of Skygardens for an exclusive viewing by the media. Skygardens is the first ready to move-in high-rise residential tower located at the heart of Dubai International Financial Centre (DIFC). This spacious architectural masterpiece has been completely designed by Fendi Casa, the world renowned house of style, and the apartments will bear its double-F insignia.

Speaking during the media tour Mr. Arif Alharmi, Chief Executive Officer, Amlak Finance PJSC, said, “This is a unique address brought by Amlak to all our customers, a one of its kind ready to move in development to be completely designed by Fendi Casa. The tower consists of spacious contemporary apartments of different sizes to suit individual requirements, intertwined with exquisite gardens and plenty of open spaces.”

The residences, ranging from a studio, one, two bedrooms, duplexes and penthouses have spectacular views of Emirates Towers, The Gate and Burj Dubai. There are a total of around 500 units with five typical floor layouts. Adding to this there are five exquisite gardens, each with their own distinct character, lighting, and design.

Alharmi added, “We will soon be retailing the units in the UAE as well as international financial centers that are of strategic importance to DIFC such as London, Singapore, Hong Kong, Tokyo and Germany. We will offer competitive financing packages to our customers who are interested to invest in Skygardens”

The deluxe 39-floor tower, developed by Mazaya Real Estate, is the first residential building to anchor the DIFC and includes extensive landscaping with park-like environment as well as unparalleled luxury lifestyle. Skygardens is located south of the Gate and Emirates Towers, our most prestigious neighbors and moments drive from Sheikh Zayed Road and Emirates road connecting Dubai with all other emirates.

Lincoln Park - Arjan - Dubai Land

Lincoln Park is a fantastic low-rise architectural masterpiece in the heart of Arjan, at Dubai Land. This Dubai property is a mixed use development of 7 buildings split into dedicated commercial (office and retail) and residential areas, and has been stylishly designed in Chicago-style architecture. Its magnificent location and excellent facilities make Lincoln Park a perfect place to work and live at the heart of Dubai.

Iconic tower Emaar Burj Dubai attains record heights

The iconic tower developed by Emaar, Burj Dubai, has attained record height of 688 meters.

The tower, which is already the world's tallest, after surpassing KVLY-TV mast of USA, North Dakota, in April 2008, now includes 160 storeys, which is also the largest number of storeys than in any building.

On completion, Burj Dubai, will meet all four criteria listed by the council on tall buildings and urban habitat (CTBUH), which classifies the world's tallest structures. The CTBUH takes into consideration the height of buildings upto the structural top, the highest occupied floor, the top of the roof, and the tip of pinnacle, antenna, spire, mast or flag pole.

Designed by the Skidmore, Owings & Merril (SOM), Burj Dubai is constructed by Samsung Corporation of South Korea. The project and construction is managed by Turner Construction International. About 7500 professionals and skilled workers are employed on-site at Burj Dubai.
The cladding work is nearing completion, and the work has begun on the interiors, which boasts superior finishes. Only the best efficient technologies are being deployed to ensure that the iconic building remains as a standard for energy usage and water recycling.

Burj Dubai is the anchor mega-project by Emaar at the Dh.73bn Downtown Burj Dubai. Being described as the new heart of the city, the Downtown Burj Dubai is a mixed-used development comprising premium hotels, modern residences, exclusive business facilities, and shopping malls and leisure amenities.

First phase of construction begins at the $3.8bn Pearl Dubai

Al Fahim Group, the developers of the Dh.14bn Dubai Pearl Project, have announced the commencement of first phase of construction of their world-class mixed-use development, the $3.8bn Pearl Dubai.

Dubai PearlPearl Dubai has completed the scaffolding and site hoarding and has obtained mobilization permit from Tecom Investments. It is currently mobilizing contractors for the foundation works of the project. The preliminary piling test is scheduled for mid-May.

The Chairman of Pearl Dubai, Abdul Majeed Al Fahim, revealed that the project received an overwhelming response from investors during the first two launches of its residential and commercial units this year.

He confirmed that the construction work of Pearl Dubai, too, is progressing as scheduled and the project is gaining momentum for another exciting launch of an exclusive residential component which would be an additional incentive for investors.

Located at the heart of Dubai Technology and Media Free Zone, the Dubai Pearl project overlooks Palm Jumeirah. The Dubai Pearl is expected to be ready by 2010, and covers a built-up area of 15 million square feet, combining an active business district with quality urban lifestyle.

Dubai Pearl offers easy access to major commercial and residential areas, such as the Dubai Knowledge Village, Dubai Internet City and Dubai Media City. It also houses a state-of-the-art theatre, with sufficient capacity to seat 2000 people, a luxury fashion precinct, sky penthouses, sky palaces and temperature-controlled pedestrian walkways.

Sama Dubai has announced the launch of ‘Dubai Towers – Dubai’,

These were announced only a few days ago and really caught my eye. The tallest has 94 floors and should be just under 400m tall. I think 400m is the absolute limit there because of the proximity of the airport. Also I think the towers in the background might just be placeholders as opposed to showing their final design


Sama Dubai, the real estate development and investment arm of Dubai Holding has announced the launch of ‘Dubai Towers – Dubai’, a cluster of breath-taking towers that combine, to form a truly inspiring and dynamic sculpture.

Centrepiece of ‘The Lagoons’ Central Business District, the ‘Dubai Towers - Dubai’ will comprise four state-of-the-art towers for residential, commercial, retail and hospitality purposes. Ranging between 57–94 floors, the estimated date of completion of ‘Dubai Towers - Dubai’ complex is mid 2010.

Launched under the ‘Dubai Towers’ brand of Sama Dubai, the iconic structures will feature a choreographed concept of form and function to metaphorically represent the movement of candle light.

Farhan Faraidooni, CEO, Sama Dubai said: “Symbolising hope, growth, harmony and opportunity, ‘Dubai Towers – Dubai’ represents an unique investment opportunity for those seeking a corporate lifestyle experience combined with peace and tranquillity in the seven beautifully landscaped islands of ‘The Lagoons’.”
Visible from extended distances as the main feature of ‘The Lagoons’ skyline, ‘Dubai Towers–Dubai’ will reflect the UAE’s futuristic vision and commitment to foster creativity and originality.

Faraidooni added: “As signature components of Sama Dubai, the ‘Dubai Towers’ brand is committed to sharing Dubai’s evolutionary and innovative achievements in the property sector with the world. In every country identified as a potential market for ‘Dubai Towers,’ Sama Dubai will develop exclusive landmark towers that reflect its distinctive personality.”

The ‘Dubai Towers’ brand is committed to deliver developments that offer a consistent and complete corporate experience, not just for businesses, but also for the people who live and work there. As the UAE’S gateway to international real estate investment and development, Sama Dubai is currently developing ‘Dubai Towers – Doha’, ‘Dubai Towers - Casablanca’ and ‘Dubai Towers – Istanbul’ under the ‘Dubai Towers’ brand.

As well as their bold architecture and prime locations, the ‘Dubai Towers’ will be characterised by the range of additional facilities they offer including retail, restaurants, entertainment, health spas, gymnasiums, hotels and residential apartments that create a vibrant, dynamic community.
The ‘Dubai Towers – Dubai’ will be revealed at the upcoming Cityscape exhibition taking place December 4-6 at the Dubai International Exhibition Center. The towers’ model will be showcased at ‘The Lagoons’ stand in hall 1, stand F30.

‘The Lagoons’ is a mixed-use freehold development being built along the Dubai Creek coastline. The AED 65 billion (US$ 18 billion) project will cover an area of 70 million square feet over 40 kilometres of waterfront land. Located next to the Ras Al Khor Wildlife Sanctuary, ‘The Lagoons’ will ensure harmonious existence with the surrounding eco-systems.

‘The Lagoons’ will appeal to tourists seeking cultural attractions with its theatre, museum, arts center and Dubai’s opera house.

ETA unveils VERDE Residences and Offices at Dubai Maritime City

The leading UAE property developer, ETA Star Properties, have announced the launch of VERDE Residences and Offices in Dubai Maritime City.
Comprising two towers, VERDE Residences and Offices are designed to earn Gold ratings in accordance with the US Green Building Council's LEED (Leadership in Energy and Environment Design) programme.
Located in Dubai Maritime City, near Port Rashid in Dubai, VERDE Towers are designed by renowned architects Adrian Smith and Gordon Gill. The towers are so designed that they utilize the natural forces of light, wind and geothermal mass and recyclable construction materials, along with maximum use of other energy-efficient systems and technologies.
The entire project includes two towers - residential and commercial. The 33 storey curtain-glazed VERDE office tower is trapezoidal in shape, covering a built-up area of 820,000 square feet. It features podium offices and a unique sky garden.
The 48 storey glass tower, VERDE residential tower, is boat-shaped, covering a built-up area of 1.35mn square feet. It is inclusive of double and triple bedroom units, apart from penthouses and four bedroom duplex townhouses on podium liner.
ETA Star has already built several beautiful homes and living communities apart from world-class business and commercial developments across the region. Due to this excellent track record of ETA, the regional banks have developed confidence in ETA Star Properties and a strong credibility has been established with the leading financial institutions in the region.
ETA is currently developing several million square feet of premium properties in several Middle East and South-East Asian countries such as UAE, India, Qatar, Turkey, Oman and Sri Lanka.

Dubai's Property Prices to increase by 20-25% in 2008

Dubai: Property prices have quadrupled in Gulf Arab countries due to surging demand for housing and office space created by economic growth and windfall revenues from a 5-fold increase in oil prices since 2002. Dubai, the Gulf commercial hub, has already set an annual rent cap of 5% for 2008, tighter than last year's 7% cap and the 15% ceiling of 2006.

Jones Lang LaSalle expects a supply surplus in Dubai between 2010 and 2012. This adjusts the global real estate investor's previous forecast that supply would surpass demand between 2007 and 2009.

Real estate prices and rents in the Gulf Arab region, especially Dubai are most likely to rise by up to 20% in 2008, due to higher labor and construction costs and delivery delays, says market analyst, Jones Lang LaSalle.

Blair Hagkull, Regional Managing Director, Jones Lang LaSalle in Dubai, said, "With the delays in delivery, the specter of huge supply continues to be delayed and you see greater demand... there will also be an increase in labor and construction costs and land prices".

Of 57,000 residential units expected in Dubai in 2007, less than 20% were delivered by September, Cairo-based investment bank EFG-Hermes said in a report that month. It said then it expected a rise of 5-10% in property prices in 2008.

Apartment in Burj Palace

Burj Place offers studios, single and double bedroom serviced apartments in the rage of 574 square feet to 1253 square feet, making it the right choice for modern lifestyle. The commercial spaces of 'Burj Place' range from 3837 square feet to 7027 square feet.

Emaar Properties Sales Director, Saif Al Mansouri said "At Burj Place, Emaar invites its customers to be connected to Downtown Burj Dubai and Dubai. Burj Place is the new addition to the Downtown Burj Dubai, the address of prestige and status. It is a place with variety and style, offering a unique investment opportunity."

The development value of the project is, however, yet to be revealed.

The residential and commercial units of the development will be open for sales tomorrow at the Downtown Burj Dubai sales center, with various institutions offering attractive finance options.

The Dh.73bn ($20bn) Downtown Burj Dubai, flagship mega-project of Emaar, known as the 'most prestigious square kilometer on Earth', is now one of the most desired destinations in the bustling city of Dubai. The units at 'The Old Town' and 'The Residences' have been handed over to the customers, and three hotels, and a modern shopping mall are already open in the development.