Followed by Abu Dhabi and Sharjah as attractive investment destinations
According real estate consultancy Cluttons, Dubai, Abu Dhabi and Sharjah have emerged as the region’s most popular investment destinations amongst GCC High Net Worth Individuals.
Cluttons’ 2016 Middle East Private Capital Survey, in partnership with YouGov, shows that 63% of GCC HNWI plan to invest in their preferred real estate locations during 2016. Of those surveyed, 27% identified Dubai in their top three destinations within the GCC, while 21% chose Abu Dhabi and 8% selected Sharjah.
Steven Morgan, Senior Partner at Cluttons tells World Property Journal, “For the Gulf states as a whole, the oil price decline has certainly put budgets under pressure and has triggered a number of macro policy amendments including the phasing out of energy subsidies and the introduction of VAT. We expect these measures to put a clear squeeze on household finances but for now the investment sentiment of the region’s High Net Worth Individuals remains positive, particularly towards the UAE which is seen as somewhat of a regional investment safe haven.”
According to data from the Dubai Land Department, GCC nationals were the largest investors in Dubai real estate in 2015, with a total of AED 44 billion being committed over the course of the year. The strength of GCC investment into Dubai real estate over 2015 demonstrates the continued desirability of the emirate as an investment location and the most sought after investment destination in the region. Dubai also emerged as the most preferred location for real estate investment in the Middle East during 2016, based on the findings of Cluttons’ latest research.
