2020 was a challenging year for the UAE housing market, with a vast supply glut surrounding it. Dubai’s residential property prices declined by 4.88% during the third quarter of 2020, as stated in the Global Property Guide. The main reasons for this decline in property prices are excessive supply compounded by low requests resulting from COVID-19. Experts believe that Expo 2020 will enhance real estate sales, boost the labor market and ensure this sector thrives despite market fluctuation.
Expo 2020 will Act as a real-estate panacea:
A list of good policy reforms and schemes launched by the UAE government, such as the gold card visa, a 100% foreign ownership for companies, manageable payment plans, long-term residency options for professionals, and the flexibility offered by financial institutions in debt repayment and foreign retirement, provides a lot of expectation for the EXPO 2020 immobilizers.
Expo 2020’s impact on the Dubai property market:
Immobilien experts anticipate that Expo 2020 Dubai will boost the expansion of the UAE real estate industry. The event will positively impact the competitiveness of the real estate market, infrastructure, economies, and trade flows, which will stimulate real estate sales. These arrangements will enhance investor confidence and encourage additional investment in the UAE real estate industry.
Expo 2020 will alter the housing market in Dubai in terms of both sales and value. Since Expo 2020 was announced in Dubai, sales of hotel rooms have grown enormously, with estimated 25 million guests eager to book accommodation well in advance. Expo 2020 will also boost residential purchases, with thousands of expats moving to Dubai before, during, and after the event. As experts predicted that after the exhibition, an exhaustive list of international logistics and marketing organizations in Dubai would migrate or expand into service-related event-driven demand, the Grand Event will also have a good effect on the commercial real estate sector.
In recent months, the immobilization industry will also significantly impact suitable government measures, such as easing ownership and visa rules. This will work well for the immobilization business and create even more attractive opportunities for immobilized growth. The spectacular event will have a positive pricing impact and attract more investment soon.
An announcement has been made of new infrastructure projects worth billions of dirhams that will significantly impact the south of Dubai. Some people predict that Dubai South would emerge as a microcosm of alternative immobilization and architecture following Expo. The exhibition location in South Dubai has 4,38 sq. km. It is equipped with world-class infrastructure and impressive architecture and, in the past, has hosted various prominent events. Dubai South is quite close to Al Maktoum International Airport and is conveniently connected through the Route 2020 metro line to all regions of Dubai.
- After Expo 2020, around 8,200 residential units will be built in Dubai South. Within a 700,000 sq. ft. area are schools and malls (2).
- Dubai South also contains a list of commercial development projects scheduled for 1.5 million sq. ft.
- The government will power the event with a solar project and reuse and repurpose 90% of the building materials used after the event, benefiting Dubai South. Several Dubai South renewable energy firms will profit from it.
- Exhibition 2020 will start redeveloping District 2020 in Dubai South, where the Expo will be held.
- District 2020 will contain 700,000 sq. ft. of residential, educational, and parkland area.
- District 2020 will be a Free Trade Zone (FTZ) near Al Maktoum International Airport, allowing enterprises to operate tax-free.
- Currently, 8,228 units are being built in the Expo South site in Dubai. This will result in new houses, schools, and commercial malls.
- The AED, 10 billion investment in metro lines in Dubai South, will benefit locals and international expats working or visiting the city.
- Investing billions in Dubai’s infrastructure would boost its worldwide image and commercial competitiveness. It will also attract thousands of talented foreigners who would buy or rent property, raising the real estate sector’s sales.
Future of Dubai Real Estate:
The future of real estate sector in Dubai is an ambitious proposal will lead to urban growth by boosting health & education institutions by 25% and increasing economic, commercial, and industrial sectors to 168 km2. To fulfill these duties, real estate companies will have a huge need. Future of Dubai is a billion-dollar opportunity for the real estate market to be cashed on.
Here are some of highlights of Dubai’s future:
- 134 percent increase in land utilized for hotels and tourism activities
- Length of public beaches increased by 400 percent
- 60% of Dubai consists of nature reserves and natural regions
- 55% of the inhabitants of Dubai reside within 800 meters of the central public transit station
- Infrastructure will invest trillions of dollars to make Dubai a worldwide center for creative start-ups and multinational businesses
- Focus on increasing resource efficiency and promoting a dynamic and integrated ecosystem
- Doubling the number of green and recreational spaces to provide inhabitants a healthy environment
- Development of comprehensive laws and governance planning model