Expo 2020 buzz adds to positive traction in UAE realty market
Dubai,United Arab Emirates, 2 November 2019,
Market players expect additional demand and capital appreciation as one of the world’s biggest shows is set to contribute AED 62.2 billion in gross value added to the UAE economy.
Less than a year ahead of the World Expo 2020 Dubai, the buzz of one of the biggest global events is already being experienced by the market players across the sectors, particularly the UAE’s real estate industry, according to an expert.
“The upcoming Expo 2020 is adding to the business confidence of real estate investors, and there is positive traction in the market. More professionals and experts are taking up residence in the city to support the preparatory work, and all core sectors – including aviation, tourism, retail, hospitality, logistics and financial services – are gearing up with new investments, which is ultimately energising the economy,” said Kalpesh Kinariwala, the founder and Chairman of Pantheon Group.
“Market players are expecting additional demand and capital appreciation during and after the world’s biggest show, which is expected to woo 25 million international visitors. They will get a chance to ponder over the opportunity to relocate and settle in the UAE, particularly Dubai,” he added.
According to an Ernst & Young (E&Y) report, the legacy period of Expo 2020 — estimated between 2021 and 2031 — is expected to contribute AED 62.2 billion in gross value added (GVA) to the UAE economy.
The E&Y report estimates that within the total AED 122.6 billion GVA contribution of the Expo 2020 from 2013–31, a resounding AED 27 billion can be attributed to the construction sector alone.
It also suggests that Dubai Expo 2020 has the potential to create thousands of jobs and stimulate investments, particularly in the real estate sector.
With the current focus of property developers to offer competitive deals, through easy payment plans, will further incentivise more people to invest in own homes – helping build one of the most competitive real estate sectors and creating long-term value for property buyers and investors.
“Relaxed property buying norms and freebies from the developers will further help in wooing new population to the country,” said the chairman of Pantheon Group, which is a well-known name in the affordable luxury segment in Dubai’s real estate market since 2016.
The company handed over its first affordable luxury project Pantheon Boulevard, valuing at AED 150 million, in Jumeirah Village Circle. Its second project Pantheon Elysee is underway at District 13, Jumeirah Village Circle. This AED 180 million project will comprise of 268 residential and commercial units. It is likely to be delivered by October 2020, just before the beginning of the World Expo 2020.
Highlighting Dubai’s central geographic location, world-class infrastructure and the highest standards of safety and security, Kinariwala said the emirate is poised to impress the visitors, leading to the arrival of more professionals and entrepreneurs to the city.
“In addition to the resident population and the international investors already aware of the potential offered by the city, the new stream of people is also expected to invest in the UAE property market,” he said.
“A massive marketing to promote the Expo is likely to benefit the emirate for decades,” Kinariwala said. “The image of Dubai will long be in the mind of the global population, and this will definitely have a far-reaching effect on people’s ideas of moving to and settling in Dubai, attracting a new population to the city, ultimately giving the market some well-needed stability.