By Daniel Shane
Next allocation of properties at popular development only for government employees
Dubai real estate firm Emaar has said it will release a number of new sale units at its Mira at Reem development, but only to government employees.
An initial launch of 188 villas at Mira earlier this month saw the units sell out on day one. Prices started at as little as AED500 per sqft for properties at the development, which is located next to Arabian Ranches.
It was reported just hours later that the same properties were appearing for sale on third-party websites at as much as 30 percent mark-up.
In a statement posted on Emaar’s website, the developer said it would launch an unspecified number of new units at Mira for sale to government employees, with online registration starting from 10:00 on Tuesday 30 April.
One estate agent that Arabian Business spoke to that deals in Emaar properties said they were not aware of the developer releasing units exclusively to government employees in the past.
An Emaar spokesperson said: “Emaar Properties has launched the sale of Mira in Reem, exclusively for UAE government employees, as part of our commitment to helping address the housing requirements of Emiratis and other government employees.
“It is a gesture of our gratitude to them for the valuable contribution they make to the progress of our nation. It also reiterates our focus of supporting UAE nationals to fulfill their aspirations for a modern home that meets their lifestyle requirements."
A lifestyle community focused on leisure, Reem will be the first gated community in Dubai to feature an exclusive desert botanical park, camping facilities, sand surfing and camel riding trails, go karting track, dune buggies, rock climbing wall and a skate park.
Anchored by a central park, the mega-development will also feature interactive fountains, walkways and a centrepiece water feature.
The project will also feature mosques, retail plaza, residents’ club, restaurants and cafes, nurseries and primary schools, dedicated jogging and bicycle paths, a cricket pitch and several football fields.
Emaar, Dubai’s largest listed developer, has launched a number of new projects this year including Sky Collection and Burj Visa, both in its Downtown district, as well as Mira. Most have been the subject of hefty demand, with investors paying blue collar workers to queue for up to 48 hours to secure deposits on units.
A report from Deutsche Bank earlier this month showed that Dubai real estate prices and rents rose for the 16th consecutive month in March, continuing the steady recovery in the sector.
Property prices increased by 1.5 percent from February to March with price increases recorded across most areas, while prices and rental values remain significantly below their peak of 2008, the report said.
It added that apartment prices remain between 43-61 percent below peak with villa prices between 12-49 percent below. Rental values show similar trends, Deutsche Bank added.
And how does this encourage employment by the private sector?
I admire the goal of providing housing for nationals. I fear however that the buyers are not those looking to live in the accommodation, but speculators who as pointed out will immediately resell the properties.
Unless the seller places a restriction on the buyers to avoid "flipping" we are in line for another investment bubble that would be detrimental to the economy, and everyone involved.