Abu Dhabi Property Prices Are Stable Now

According to one of the leading real estate consultancy companies in the Middle East, Landmark Advisory, October and November are the two months in which the sales have really become active as far as Abu Dhabi real estate is concerned in the year 2009. The demand focused on developments which were just on the verge of completion such as Al Reef villas, Marina Square, Al Bandar and Sky Tower. The investors are looking forward for the completed properties and waiting for the dates to be announced by the developers.

Throughout the fourth quarter of 2009, the transactional prices have remained stable according to company’s latest sales guide and until the properties are handed over in 2010, it is not expected to boost. However, the prices for the properties which are close to competition in 2010 are likely to augment. As the developments are near to the completion date the transaction volumes might get increase which could lead to marginal increase in prices.

A marginal increase of 5 to 6 percent has been seen in the asking price with an exception to Al Bandar property development. This property development in Abu Dhabi will likely to start drawing buyer’s attention by reducing the prices of Al Bandar. Currently a very small number of buyers are active in the market. Moreover, the demand can further be restricted if the delivery dates most notably for Marina Square and Al Bandar are postponed.

Abu Dhabi Land Announces the Completion of Two Mega Projects

Abu Dhabi Land is a part of the Royal Group which was founded in the beginning of the year 2006. This company is a general contracting firm that offers construction. This UAE based contracting giant announced that the Rock revetment works at Dolphin Island, Dredging, Reclamation and Coastal Protection for the Marina Square at Reem Island Sector 1. In the year 2008, Abu Dhabi Land was awarded the Abu Dhabi real estate projects by Tamouh Investments for the Beach works and the coastal Protection at Marina Square Reem Island respectively.

The surrounding areas of the dolphin island project were searched in order to form accessible channels in order to retrieve the island to the required levels and limits.

Abu Dhabi Land is quiet responsible in every aspects starting from the end to end design to technical submittals, commissioning, procurement, delivery and this goes with both the projects. The CEO of Abu Dhabi Land Mr. Syed Basar Shueb said, “We are pleased with the timely completion of these landmark projects and congratulate everyone involved on this mammoth achievement.”

The Marina Square coastal protection works comprises of a sea wall of 1,700 l.m. for shore protection, however, for its safeguard there are Rock Groins and Decorative Panels of its 270 l.m. Beach. At the northeastern coast of Abu Dhabi, Al Reel Island is located and Marina Square is its first part that is to be constructed. The responsibilities of Abu Dhabi Land’s include he construction of the craft marina which has a diameter of about 180 meters. It has a total of 22berths that includes guide piles, pontoons, gangways, a super yacht marina with 12 berths which again includes gang ways, pontoons and guide piles and last but not the least a water taxi courtyard with 7 berths.

Ferrari World Abu Dhabi External Structure Completion Announced by Aldar

The completion of the external structure of Ferrari World Abu Dhabi was announced by Abu Dhabi’s chief property developer, Aldar Properties. Ferrari World Abu Dhabi would be the world’s first Ferrari theme park and the largest indoor theme park when it opens up its doors in 2010.The exclusive theme park will serve as the host venue for the inaugural Formula 1 Etihad Airways Abu Dhabi Grand Prix and is located on Yas Island. It is also Aldar’s brand new Retail, Leisure and Entertainment destination.

The structure of this awesome real estate has been inspired by Ferrari GT body covering a surface area of 200,000m2 and also features the biggest Scuderia Ferrari "prancing horse" emblem in the world. The emblem measures 66 m in diameter.Uk firm Benoy is the lead consultant and architect of this amazing masterpiece.

Farah Leisure Park Management LLC (Farah), a joint venture between Aldar and ProFun Management Group will be responsible for the operation of Ferrari World Abu Dhabi.

Ferrari World Abu Dhabi represents the passion, performance, excellence and technical innovation which Ferrari has established over the years. ‘A must-visit venue for zealous families and a multi-sensory experience’ is the perfect portrayal of this property.

Mohammed Al Mubarak, Chief Commercial Officer, Aldar Properties and Chairman of Farah Leisure Park Management LLC, commented:"We are delighted to have reached this landmark in the development of Ferrari World Abu Dhabi. Signature projects like this are another element of our commitment and contribution to Plan Abu Dhabi 2030, by delivering attractions that further enhance the Emirate's credentials as an exciting place to live and visit. We are proud to be a part of bringing Ferrari to Abu Dhabi and giving our citizens and visitors alike the opportunity to share in the passion and excitement of   these initiatives."

Adding to it, Piero Ferrari, Vice Chairman, Ferrari Spa said: "With the inaugural Formula 1 Etihad Airways Abu Dhabi Grand Prix just days away, this milestone is a fantastic demonstration of the blossoming relationship between Abu Dhabi and Ferrari. Abu Dhabi's involvement with Ferrari is emblematic of our collective commitment to quality and tradition linked with innovation and vision."

Realty Laws by Early Next Year in Abu Dhabi

According to a legal expert, Realty laws in Abu Dhabi like those dealing with escrow accounts, brokers, strata title and mortgages is expected to be executed by near the beginning of next year.

David Nunn, Partner of Simmons and Simmons stated, “Currently, the Department of Municipal Affairs has confirmed the real estate laws are under consideration and so we can assume that they are in draft phase. I am not aware that the planning and the building regulations law have yet been drafted although I believe that the underlying regulations have been worked out,"

As per Emirates Business reports of December last year, five draft laws have been concluded to manage the realty sector in Abu Dhabi. The laws will set regulations for real estate developers, contractors and brokers. In addition to it the rules will also check the off-plan sales, licensing of high-rise residential towers and property registration.

"I anticipate all these new laws although there was scope under the existing law 19 of 2005 to introduce regulations dealing with some of these matters," he said.

The new laws will be imposable once they are published in the Gazette, Nunn said. "I am confident the new laws will be more sophisticated than any real estate laws we have in the region.”

Saadiyat Island- Infrastructure to be awarded in 2010

According to senior official from Tourism Development and Investment Company (TDIC), the two main infrastructure packages for Cultural District and Marina Disttrict on Saadiyat Island in Abu Dhabi will be announced by the first quarter of 2010. However, he turned down the request of disclosing any values.

Andrew Seymour, the Director of o Infrastructure at Saadiyat Island added to the matter, “As a client, we are anxious to see what prices we get since it is a competitive market. The contractors are hungry now unlike two years ago. We are taking full advantage of the fact that competitive pricing need to be brought into every single element of the work that we are doing.”

Seymour also told Emirates Business, "Our initial focus was on the Saadiyat Beach area, where we have luxury resorts and golf courses and all infrastructures around the area. It also included Saadiyat Bridge, Khalifa Bridge and expressway. It will all be completed in the next three to six months. The next focus is primarily on Cultural District to support the museums and their construction. At the same time, we will be looking at Marina district. It is a considerable amount of work considering the sizes of the project components.” He further said, ” "In very broad terms, we are looking at continuing the infrastructure work on Saadiyat Island over the next 10 years and are tying in with that. As areas get completed, the verticals of the building and the development above ground will start to occur. We are looking at 2020 for the completion."

However, the main power and water facilities to the island are under construction and nearing completion.

"The transmission supplier built at 400kv grid station and all the cables are nearing completion. Of the four substations, two are nearing completion and the other two will be completed by mid-2010. We are in the first phase of finishing off the huge ground storage tank, which will distribute water across the island. That will finish in 2010. One sewage treatment plant will be completed this month, and the design build contract on the second one has been awarded to Kharafi National," said Seymour.

The Australian-based Thiess Management Services is managing the construction waste management issues and have been imploring third-party contractors to take on various related jobs.

Seymour said:"We have a concrete crushing and waste management disposal system on the island. We are also looking at ways to control waste on the island so that sub-contractors on the island would deliver to one central location, which will minimize the logistical issues and traffic. We also have environmental services through TDIC and our lead consultant Parson to make sure our and third party developers are complying with our environmental mitigation plans. Sustainability will remain our priority along with reuse of construction waste, if possible."

The main issues on the project are logistical issues. However the bigger challenge is being predicted as Saadiyat Island will see more developers and contractors coming in the coming days.

Master Plan For Al Ain Bus Transport Is Launched in Abu Dhabi

A master plan for public bus transport in Al Ain has been announced by The Department of Transport in Abu Dhabi (DOT). This plan of public transport was a part of the long term program in order to decrease dependency on private vehicles which will in turn reduce road congestion and passenger facilities will get enhanced across the emirate. By the end of the year, 8 local bus routes in Al Ain will get operational. Furthermore, in 2010, 9 more routes are getting planned for launch, thus making it a total of 17 bus routes in Al Ain.

The General Manager, Public Bus Office, Abu Dhabi DOT, Saeed Al Hameli, said: “The Department of Transport is committed to developing a reliable, comfortable and integrated transport system for people across the emirate. One year on from the launch of our first buses, we continue to make improvements, with new routes, new facilities and increased service frequency.” By the end of the year 2009, there will be a total of 100 buses serving the Al Ain passengers. This number is expected to rise to 134 in 2010. In total by Q4 2011, 350 buses will be operational. New buses are designed for passengers including passengers with special needs.

The basic aim of the project is to integrate high quality and enhanced public transport and passenger facilities. A new bus station for Al Ain is already getting opened. The bus station features seating for 114 passengers, with an additional 24 seats in women’s waiting area. The new station in Al Ain offers up-to-date route and customer service along with timetable information. Hot and cold beverages are also available at the station.

Enabling Works Contract Awarded Damac Properties for Marina Bay

Damac Properties is a Dubai based real estate developer hat has been awarded with a contract worth Dh 7.5 million for facilitating works at Marina Bay construction in Abu Dhabi. Marina Bay is a well designed mixed use development comprising of retail and commercial space, a 25 storey tower offering two and three bedroom apartments, facilitated shops, restaurants etc. The Chairman of Damac Holdings, said, “We are delighted to see that work on site at our Marina Bay development will commence very soon and that we can begin the process of building this truly stunning tower at such a fantastic location.”

Marina Bay is a prime development offering canal views through the entire development. At the prestigious CNBC awards 2008, this property in Abu Dhabi won two awards for the Best Marina Development and another one for Best High-rise Architecture. Peter Riddoch, CEO of Damac properties commented: “Abu Dhabi is a very significant marketplace for Damac Properties and we know that the location of our Marina Bay tower will be hugely attractive to customers.” More than 3000 units have already been delivered by this property developer in Dubai into the marketplace. Further, by the end of 2010, they are committed to deliver 7100 more units.

Damac properties have already completed the enabling works for this particular project and apart from this the second project being Oceanscape in the Shams area of the capital. Recently retail units have been launched for sale in the already enabled development. Peter Riddoch added: “We have made a clear commitment to progress and construction during 2009 and the enabling works starting at Marina Bay is just a typical example of how we are demonstrating this commitment. We look forward to the successful completion of this important foundation work within the next few months.”

UAE on a path to recovery

Due to the lowering of the prices of the Abu Dhabi property, the UAE economy is on a path to a U-shaped recovery, as told by Sultan Saeed Al Mansouri, the UAE Minister of Economy.

“While economists continue to debate on whether the global financial crisis is over and how long it will continue to play out, we feel that the worst of the crisis is behind us,” Al Mansouri said, in his speech which was read out by Mohammed Ahmed bin Abdul Aziz Al Shhehi, the director general of the ministry, in his absence. Event was held at the Mega Trends Conference organized by Abu Dhabi University to throw some light on the impact of the universal economic crisis on the economies of countries in the GCC.

Al Mansouri’s speech said: “We do not harbour any false illusions that the days ahead will be easy or less difficult. We have all learnt our lessons and it will be hard to forget those easily. The most important lessons from the crisis have been the need for corporate and governmental accountability and transparency.” He said that the government is dedicated to shield the concern of the business community, while it is also paying attention on the economic and social welfare of the people.

Proceeding further in his speech, the minister mentioned that the motto will prolong to be diversification. “We will concentrate on diversifying our revenue streams through focused investments in several high-growth sectors. The country has already recognized and acted upon the importance of diversifying the sources of energy, while oil revenues have been the driver of growth, we set on a course of diversifying our economy, which is reaping rich rewards today.”

Considering the rise in competition for FDI in the region, Al Shhehi said that the UAE has everything that is required to make the nation more enticing to foreign direct investment.