|Dubai’s real estate market is gaining strength as new projects are launched by private and government developers alike on a weekly basis, according to Macdonald & Company, a leading property recruitment specialist.|
The commentary was released during this year's edition of Cityscape Global, a property event, which concluded recently in Dubai.
It is based on data taken from the annual Middle East Salary Survey 2013 together with the other regional Macdonald and Company surveys in the UK, Europe, Asia and Africa, which were also completed in collaboration with 'The Royal Institution of Chartered Surveyors' (RICS).
“Many long term developer and consultancy clients are now beginning to hire mid to senior level individuals again for feasibility studies and due diligence, design and planning and development and delivery roles,” said Ben Waddilove, director.
“Salary levels are holding firm in general, and we predict a steady increase in the coming months in line with inflation.”
The current market sentiment is very strong and it is certainly much more cash driven than the debt driven bull run of 2007/2008. The ‘greed factor’ is once again very evident and industry participants are wondering how sustainable and long term this market is. Recent off plan launches from Emaar and Nakheel and other private developers have sold out very quickly, said the commentary.
Prices are again rising rapidly despite the government’s best efforts to curb speculation in the sales market and to curb large rent increases. The whole industry is eagerly anticipating the November decision on who will host World Expo 2020 as industry analysts say that a UAE win could drive in more growth and confidence for the local real estate market, it said.
There is still a relatively large pool of labour in the Mena region and there remains a good demand for Arabic speaking candidates with experience of all facets of the development life cycle. Long term employment history with blue chip consultancies or developers is favoured along with a spell in a developed market too.
It noted that there is also a strong supply of qualified candidates from the UK, Europe and the US that are still seeking opportunities here, although there is a slight decrease in numbers applying as these economies recover recently.
The Arab spring has hugely benefited Dubai with large amounts of cash seeking investment opportunities here as well as families seeking employment and political stability here. GCC traveller prefer Dubai as a tourist destination, taking market share from Egypt, Syria and Lebanon, it added.
“Professionals are still very attracted to this region for financial, career and family reasons. The current situation is definitely improving and we expect that the Gulf States will continue to achieve significant GDP growth next year," concluded Waddilove.