By Elsa Baxter
Poll finds only 5.3% of people think industry will return to its heyday by next year.
Nearly 80 percent of people believe Dubai’s construction industry will never return to its peaks of 2008 following the impact of the global economic crisis, according to the results of an Arabian Business poll.
Some 39.6 percent of respondents said they thought the market would not return to its heyday, when property prices were at their highest and billion dollar deals were common.
The majority of people (39.9 percent) said they did not think the sector would ever recover from the current global recession. The UAE's real estate and construction sectors have been badly hit by the downturn. A recent report suggests they have seen the biggest declines in the Middle East region. Some 566 projects have been shelved or cancelled in the country – the majority of which are in Dubai – according to the research house Proleads.
Last week, Thomas Barry, CEO of Arabtec, said he thought the emirate’s construction sector would not reach its heady heights again.
Instead, he said the Dubai-based contractor was concentrating on expanding its business in Saudi Arabia and Abu Dhabi, which have been less effected by the global recession.
"We will always bid for projects in Dubai, whatever happens and however limited that may be, but our focus,” he said at the time.
However, some optimism remained with 5.3 percent of AB poll respondents saying they thought Dubai’s construction sector would be back to its peak by next year.
While, 15.1 percent of respondents said the sector would see the market gradually pick up, reaching its peak again in a number of years.
Another completely blinkered article. Is AB not worried about its reputation for journalistic competence in the slightest? Do you have any idea who filled this survey? If they were just readers than they can pretty much be anyone. They could even be based outside of Dubai. The least you could have done before runing a story like this was atleast done a similar spot poll with experts in the sector to compare their views with those of the general public. Sheesh... N this is the fourth AB article in the past two days which is running the Arabtec CEO's quote. Interestingly he feels construction activity will not be as intense as earlier. THis however doesn't mean that 'real estate' activity will follow the same path. Tell me, if construction activity is low and new houses are being built, what do you think will happen to the prices of the exisitng houses? Doesn't take a genius to realize that less supply will lead eventually to rising prices. And a general opinion on the public's view- its typically blinkered and short term. If you had done the same poll in the first quarter of 2008 the same people would have said that prices will keep moving north, so so much for the public's ability for rational analyses. The least one expects is that a business website would be open to try and do some...
Yup, you are absolutely right bro. I second you.
There was a time when most of the population with a silly smirk would comment that Dubai has 25% of the world's crane here, where have all of them gone now, greed is good....!