Interest Up in Middle Eastern Property Markets

Property markets in the Middle East enjoyed a 15 per cent increase in investment activity in the first three months of the year, new figures from Cushman and Wakefield have revealed...

Property markets in the Middle East enjoyed a 15 per cent increase in investment activity in the first three months of the year, new figures from Cushman and Wakefield have revealed.

The consultancy explained that the quarter-on-quarter rise is a result of increasing optimism in the region, combined with stabilising values and rents. The firm's EMEA Property Investment Report notes that prime rents across all sectors in the UAE are beginning to stabilise following months of declines.

"Prime yields in the UAE are beginning to stabilise, reflecting investors' long term confidence in the country and its leading regional position in terms of transparency, availability of quality assets and the advanced logistics and infrastructure network," said Cushman and Wakefield.

And although investors remained primarily focused on the core property markets of the UK, France and Germany, the Middle East is beginning to re-emerge as a lucrative and attractive investment option.

The study added that occupational rental markets in free zones and prime office locations have also shown signs of stabilisation while freezone licensing enquiries have increased significantly during the first half of 2011.

- Tuesday 21 June 2011

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