By Anil Bhoyrul
The first Arabian Business Think Tank votes 7-2 against price recovery by year-end.
The first ever
Arabian Business Think Tank (ABTT)
has voted 7-2 against any rise in UAE house prices occurring in the fourth quarter of the year.
The group of nine expert panelists – assembled from some of the biggest companies in the region – has overwhelmingly predicted that the UAE’s property market will continue its downward spiral into the rest of 2009.
Click here to see the members of the panel
The views correlate with a
poll compiled by Reuters
at Cityscape Dubai on Monday where analysts at investment banks and industry experts predicted that house prices had a further 10 percent to fall and only 20 percent said prices would recover by 2011.
Property prices in the UAE have been in freefall since the start of the year, with some areas experiencing near 60 percent crashes. However, many estate agents and property experts have claimed that prices were now stabilising and even rising in some areas.
Last Thursday, a new report by Jones Lang Lasalle claimed "marked improvement" had been seen in some sectors with "significant demand" being seen for the right product.
Ian Ohan, head of MENA Investment Transactions at Jones Lang LaSalle, said: “Investors are much more positive than they were six months ago. Our previous survey concluded that 2010 was shaping up to be the ‘vintage year’ for real estate investment in the MENA region and our latest report confirms this view.
"What we can also see now is a clear rationale for investment strategy over the next 12-24 months and a recognition that the right products located in the right places will attract investment."
But the ABTT – which includes leading figures from Deyaar and Arabtec – has given the thumbs down to any increase, by a massive 7-2 margin.
The newly formed think tank will vote of each month on the major business issues in the region, and is intended as a pulse of business opinion.
Keep it up and hope that it would be bias free and also not influenced by any interest