New Market Research Report: United Arab Emirates Real Estate Report Q2 2011

April 1, 2011 - PRLog -- For some time, the general trends in the UAE's commercial real estate sector have been unfavourable. The economy was largely affected by the global financial crisis in late 2008 and early 2009 but more so by the extremely overzealous boom in property development in the years up to 2008. All sub-sectors have suffered from chronic oversupply as a result of over-extensive development. Vacancy levels have been low or falling and show little sign of recovery in the next year or so. Even when they do, there is so much empty space that it will take time after that for the construction market to recover.

Our latest interviews with our in-country sources, which were conducted in late 2010, indicate that rents in most sub-sectors had declined strongly relative to 2009 and at the same pace between H110 and H210. The drops in rentals across all three sub-sectors - in all three cities for which we gather data (Abu Dhabi, Dubai and Sharjah) have been spectacular at the top end. Maximum rents for top end office property have dropped from AED490 per m2 per month to AED320 in Abu Dhabi.

Our sources find it difficult to comment on the amount of vacant space in the UAE, as so many projects are partially finished and the construction companies are often not in a position to say what might come on line in the near future. For the time being, we are assuming that Abu Dhabi has around 1.3mn square metres of office space; Dubai has 0.9mn square metres and Sharjah has at least 0.6mn square metres. The in-country sources had the most difficulty assessing industrial space availability.

The key point to remember when evaluating the UAE's real estate market is that any recovery in any area will happen slowly. It will take years for the currently vacant space to be absorbed.

For more information or to purchase this report, go to:
-  http://www.fastmr.com/prod/128693_united_arab_emirates_re...


Report Table of Contents:

SWOT Analysis
- UAE Real Estate Industry SWOT
- UAE Economic SWOT
- UAE Business Environment SWOT
Real Estate Market Overview
Industry Forecast Scenario
- Real Estate Outlook
- Table: Real Estate Markets - Rentals, 2010-2012 (m2/month, AED)
- Table: Forecast Yield, 2008-2015 (%)
- Construction Industry Outlook
- Table: UAE Construction And Infrastructure Industry Data, 2007-2015
- Table: UAE Construction And Infrastructure Industry Data, 2012-2020
- Macroeconomic Outlook
- Table: United Arab Emirates - Economic Activity
Business Environment
- Real Estate/Construction Business Environment Rating
- Table: Middle East And Africa Real Estate/Construction Business Environment Ratings
- Project Finance Ratings: Outlook For Middle East
- Table: Design And Construction Rating
- Table: Commissioning And Operating Rating
- Table: Overall Project Finance Rating
- The UAE's Business Environment
- Table: BMI Business And Operation Risk Ratings
- Table: BMI Legal Framework Rating
- Table: Labour Force Quality
Company Monitor
- Aldar Properties PJSC
- Al Habtoor Leighton Group
- Damac Properties
- Deyaar Properties
- Dutco Balfour Beatty
- Emaar
- Mubadala Development
- Nakheel
- Sorouh
BMI Methodology
- How We Generate Our Industry Forecasts
- Construction Industry
- Bank Lending
- Real Estate/Construction Business Environment Rating
- Table: Weighting Of Indicators
- Project Finance Ratings Indicators
- Table: Design And Construction Phase
- Table: Commissioning And Operating Phase - Commercial Construction
- Table: Commissioning And Operating Phase - Energy And Utilities
- Table: Commissioning And Operating Phase - Transport
- Sources

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Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.