Real estate consultancy notes that many units forecast for delivery in H2 will only be ready next year
Dubai’s property market will show signs of improvement in 2019 compared to 2018, according to Elaine Jones, the executive chairperson of Asteco, the Middle East’s largest real estate services company.
“We’ve got 2020 coming, so there are certain projects that need to be started, finished, concluded or developed,” she said on the sidelines of Cityscape in Dubai. “We know there will be quite a bit of activity.”
Jones also pointed to the recent announcement of a record UAE federal budget for the next three years, “means that next year should be better than this year.”
“But certainly, it’s been a period of consolidation. We see the number of companies that have merged, and the number of employment opportunities that have reduced,” she said. “We hope to see that reversed, but…that comes down to economic drivers. It’s [about] employment. We need people to have jobs to be able to make everything else worthwhile.”
In a recently published report, Asteco said that the Dubai market has seen a “substantial” delay in project handovers, mainly as a result of project delays and overly ambitious handover schedules.
The report added that because of the delays, a large number of units previously forecasted for completion in H2 of 2018 will only be ready next year.