Property Monitor

Opinion

Hear our experts’ take on the latest developments and trending topics

26 March 2020

Will Covid-19 have the same effect on real estate markets as previous pandemics?

Famous pandemics of history Plagues have marked human history, from the Black Death in the 14th century to the Great Plague in London in the 17th century and the successive waves that affected Islamic cities such as Baghdad and Alexandria in the 19th century. In more recent times, the most famous was the 1918–19 Spanish flu pandemic which infected 500 […]
25 February 2020

Mortgages vs Payment Plans – What is the better pick?

Buy with a mortgage In most parts of the world, developers have insufficient size and financial ability to provide financial support to residential real estate purchasers. Instead, banks and other financial institutions provide mortgages for those unable, or unwilling, to make purchases in cash. In the UAE, mortgages are limited to a loan-to-value ratio of 80% (for citizens), and 75% […]
5 February 2020

The advent of a real estate investment market in the GCC with REITs

The property price correction in the UAE has triggered many investors to explore alternate investment avenues to preserve and grow their wealth. Ironically, the current downturn in the real estate sector is also an opportune time to invest in a Real Estate Investment Trust (REIT). REITs allow investors exposure to the real estate sector without the risk and hassle of […]
23 January 2020

Retire in the UAE?

How easy it is to retire in the UAE? Easier as of this year, is the simple answer. There are now estimated to be almost three million expatriates living and working in Dubai alone[1]. An equal number are to be found in the other emirates and a growing number of those are approaching retirement age. Not all of them, by […]
15 December 2019

The role of the surveyor in year-end accounting valuations

It’s the time of the year when companies try to maximise efforts for a strong close to the last quarter before jetting off on long-planned holiday breaks. It is also the time when they are closing their books for the year, ensuring accuracy of all financial information before starting afresh in the new year. With a rise in the number […]
20 October 2019

What’s working for co-working?

A simple business model of leasing large, coveted office space on a shared basis; a peak valuation of USD 47 billion; a mission to “to elevate the world’s consciousness”. These factors seemed to be the ideal ingredients for a successful start-up with a social conscience – WeWork. But, one look at a filing from the industry-leading unicorn as part of […]
25 September 2019

Interest rates, lending and the real estate market

What has happened Responding swiftly to the cut in interest rates by the US Federal Reserve, the UAE central bank followed suit in September this year with a reduction of 25 basis points to 2.25%. This is far from a historic low: interest rates in the UAE averaged 1.43% from 2007 until 2019, reaching an all-time high of 4.75% in […]
17 September 2019

Why short-term rentals are essential for long-term growth

Short-term rental accommodation, or holiday homes, have been a hot topic of discussion over the past couple of weeks, first because of Emaar Properties’ entry into the space with its short-term rentals platform Ease by Emaar, followed by the developer banning such stays in its Downtown Dubai community with effect from September 19. Apart from the fact that the move […]
5 September 2019

The e-commerce impact: Beyond retail into real estate

We’ve been listening to news of an increasing number of stores announcing closures, citing unviable trading conditions in the face of heated competition from e-commerce and changing preferences of a new demographic. The latest retail giant to report trouble is Forever 21, who as of last week was preparing for a potential Chapter 11 bankruptcy filing. The ramifications of these […]
20 August 2019

Robots, Buildings and Investors: Corporate valuation for developers in the new era for real estate

Business valuation has always relied on the triangulation between three different methodologies: discounted cashflow (DCF), comparable analysis, and some form of dividend valuation approach.
30 July 2019

Methodologies for forecasting the UAE real estate market

The importance of forecasts Every well-planned real estate investment decision is underpinned by a series of market and site-specific forecasts. For a construction project, the most important are almost inevitably the projected sales price and schedule, and construction costs, whilst for an investment, it is future rents, eventual sales price, yields, and most probably, financial variables such as interest rates. […]
22 July 2019

Building Insurance: What To Consider?

Sunil Parmar, Associate Partner of the Project and Building Consultancy department at Cavendish Maxwell, explains the common yet significant risks associated with Reinstatement Cost Assessments (RCAs), otherwise known as insurance valuations for properties.
Menu
Quick Links
Follow us