Emiratis have sent a powerful message to international investors across the world that the Middle East is a safe haven for investors, after spending billions of dirhams on Dubai property in the first half of 2014.
According to the Dubai Land Department, the total sum of GCC investment in Dubai's real estate market exceeded Dh19 billion, with U.A.E. nationals responsible for 66 percent of transactions, highlighting the strengthening investor confidence in the property industry.
These figures emerge as thousands of global investors prepare to descend upon the Middle East's largest property showcase, Cityscape Global, held at the Dubai World Trade Centre next month.
Outside of the GCC, investors from India, Pakistan and the UK make up the top three nationalities who visited the three-day event in 2013 and Wouter Molman, Director of Cityscape Group believes the success of government policies to regulate the market has ensured foreign investor confidence has been restored.
Molman said: "Based on findings from the Dubai Land Department, the sum of international real estate transactions for 2013 exceeded Dh114 billion, nearly half of the Dh236 billion total. Foreign nationals from 162 countries conducted property transactions in Dubai, further underlining the strength and stability of the market.
"The indications for the start of 2014 have also continued in a similar pattern, with investors from India, Pakistan and the UK spending more than Dh10.8 billion in the emirate's real estate market, accounting for 31 percent of the total amount invested in the first quarter of 2014.
"At Cityscape Global this year we expect a very strong turnout from visitors across the world, and in particular these three countries as they look to maximise their investment potential here." Organised by Informa Exhibitions and supported by the Dubai Land Department, Cityscape Global runs from 21 – 23 September, providing the annual meeting point for key real estate investors, developers, investment promotion authorities, architects, designers and other real estate professionals to drive growth in real estate investment and development across emerging markets globally.
Continuing its strong international appeal, the exhibition will feature eight international pavilions, led by over 2,000sqm from Turkey, featuring more than 30 companies which will all showcase their latest mega-projects.
Co-located with Cityscape Global are three dedicated conferences – the Global Real Estate Summit, Future Cities and the Real Estate Brokers Summit – which are expected to bring together more than 1,000 delegates and speakers who will explore opportunities and find solutions to key challenges affecting the industry today.
Christophe Reech, panellist at the Global Real Estate Summit, believes that the Middle East can become a safe haven for investors if the real estate sector offers investors transparency, maturity and visibility.
"The Middle East property sector is going in the right direction by adopting international standards, in term of transparency and market rules, which is increasing investor confidence in the market," said Reech.
"International investors are attracted by this level of rationality and can recognise that the Middle East is a promising and exciting market to be a part of. As long as investors understand the cycles, and know that the pipeline of development is not timed randomly but follows a logical pattern, then they can carry out their investments with certainty." Also running in tandem with the exhibition is the Cityscape Awards for Emerging Markets. The awards programme has attracted hundreds of entries from developers and architects behind real estate developments across emerging markets globally. Submissions are now being reviewed by an independent judging panel and 13 winners will be announced at an elaborate ceremony taking place at the Armani Hotel, Burj Khalifa on 22 September in Dubai.