State-backed master developers in Dubai are damaging the property market’s prospects of revival by continuing to build during the downturn, the CEO of the emirate’s real estate watchdog RERA has said.
Speaking exclusively to Arabian Business, Marwan bin Ghalaita said: “Everyone is saying there is too much supply…. One of the factors of any real estate market is supply, but supply in Dubai real estate market is coming from master developers, Nakheel, Dubai Holdings and Emaar, and sub developers. And we need as a regulator to watch for the master developer, not the sub developer. Because the master developer should understand, believe that, that they are damaging the sector by introducing more supply.”
Last month Nakheel announced it had recommenced work on three projects – Jumeirah Park, Al Furjan and Jumeirah Golf Estates. When completed, the projects will add in the region of 3,000 new homes to the Dubai market.
Bin Ghalaita, who has been CEO of RERA for three years, added no master developer in Dubai was above the law, which his agency was mandated with imposing.
“There is no developer above the law. Or sub developer. Nakheel, Emaar, Dubai Holding, all of them are following the law of the regulatory agency. All of them. There is no exception. If any of them has any assumption that they are above the law, then let them read the law. The law did not exempt anyone…. But people think ‘oh those are the master developers, so they are exempt.’ No, no, no.”For all the latest business news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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