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Discuss this article (1 Comments)Qatar real estate prices decline 40-70% since Sept
by This email address is being protected from spam bots, you need Javascript enabled to view it on Monday, 27 April 2009
QATAR CHECK: The survey was conducted applying price data supplied by a number of real estate brokers. (Getty Images)
The real estate prices in Qatar have dropped by 40-70 percent from their levels last September, the Emirates Business daily reported on Monday.
Citing the results of a survey conducted by Aswaq.net of Al Arabiya television, a state of stagnation and anticipation prevails in the LNG exporting nation, the daily said.
The survey was conducted applying price data supplied by a number of real estate brokers. It revealed that the price of land allocated for construction of villas in Doha declined by around 50 percent while prices of villa land outside the capital dropped by 65 per cent to 70 per cent.
Related: Arabian Travel Market 2009
Villa prices are down by almost 35 percent. A villa of 400 sqm inside Doha is now sold for QAR2m ($549,390) from QAR3m ($824,085).
Brokers told Aswaq.net that Qatar's real estate market is witnessing an unprecedented state of stagnation, eight months after the outbreak of the global financial crisis, the Emirates Business added.
Last week, Colliers International, the global real estate consultancy, had released the GCC Overview Report, which indicated that the impact of the global economic and financial crisis on Gulf real estate markets has been swift and dramatic leading to a decline in real estate capital values and rents.
According to the report, in Doha, the rentals for newly constructed office space have softened by 10%-15% over the last four months. The sales of residential properties have collapsed due to the lack of finance and a wait and see attitude on the part of buyers, the report added.
The total shopping mall supply is still on track to increase by 100% between Q1 2009 and Q4 2010, it said. According to consultancy, $17bn has been earmarked to boost the infrastructure for tourism over the next five years in Qatar.
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out of line
Posted by geg, Manamah, Bahrain on Monday 27 April 2009 at 18:51 UAE time
Let's face it, across the Gulf really, with most rents for a reasonable pad being often more than twice the monthly average salary, it was outrageous, absurd and pure fantasy all last year, but if the hype was to be believed there were plenty of takers. Now Dubai and Qatar are showing their true commercial nous and going where the market goes. Bahrain? You must be joking, the very rich greedy landlords (and there are plenty) have to be in for such a rude awaking sooner than later, because right now, they are still posting enormous rents, yet there are literally thousands and thousands of new empty flats and villas going and have been empty for over a year or so. Just a completely different mind set over such short miles. Although places like Amwaj, owned by expats (the reclaimed island) is showing a 50% or more reduction in some instances. But 50% of what is was still makes it extremely expensive.
Posted by geg, Manamah, Bahrain on Monday 27 April 2009 at 18:51 UAE time
Let's face it, across the Gulf really, with most rents for a reasonable pad being often more than twice the monthly average salary, it was outrageous, absurd and pure fantasy all last year, but if the hype was to be believed there were plenty of takers. Now Dubai and Qatar are showing their true commercial nous and going where the market goes. Bahrain? You must be joking, the very rich greedy landlords (and there are plenty) have to be in for such a rude awaking sooner than later, because right now, they are still posting enormous rents, yet there are literally thousands and thousands of new empty flats and villas going and have been empty for over a year or so. Just a completely different mind set over such short miles. Although places like Amwaj, owned by expats (the reclaimed island) is showing a 50% or more reduction in some instances. But 50% of what is was still makes it extremely expensive.
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