Resilient real estate
08 Feb 2018 - 12:23
The real estate sector in Qatar is gaining momentum.
The approval of a draft law that allows non-Qataris to own real estate as well as the entry of a large number of citizens from foreign countries has helped boost the sector in a huge way.
Qatar’s real estate sector witnessed a high growth rate, both in terms of value and numbers last year despite the unjust blockade imposed since June last year.
The blockade has helped Qatar undergo an economic transformation which resulted the state establishing the foundations of a flexible, independent and open economy.
Leading real estate developer SAK Holding Group noted in a report that the FIFA 2022-related projects are progressing according to the original schedule.
The report said the market is expecting an increase in the inflow of investments into the real estate sector, especially housing. The activities in the construction sector will witness a peak during the second half of this year. Continued demand for real estate units is still considered by a large segment of investors and savers as a safe haven because it is an investment capable of protecting initial investment value of assets.
Moreover, construction works for the first phase of Al Mutahidah Towers at The Pearl Qatar has been completed and United Development Company, the master developer of The Pearl Qatar, has already started selling out the apartments and retail spaces at the iconic towers. Al Mutahidah Towers project consists of 450 high-end apartments and retail space, which is located at Viva Bahriya. Currently, the number of residents in The Pearl Qatar is between 25,000 and 30,000, which include expatriate communities from 54 countries. The number of residents is growing every month with the completion of new projects.
Citing a series of positive macroeconomic indicators, the report by SAK Holding Group noted that there is a 13.4 percent growth in the number of companies established in Qatar last year. The establishment of 14,639 new companies last year will increase the demand for a variety of units and areas of land, particularly commercial.
The post-blockade period witnessed registration of 27 foreign companies. With large number of commercial complexes in various areas nearing completion, growth in commercial areas and retail trade business by about 70 percent is expected.
The real estate sector has weathered the blockade. The market is giving enough signals that it has overcome the impact of the siege. Investors have reposed their faith in Qatari economy. The sector, supported by a series of policy-driven decisions, is staging a turnaround with residential properties expected to increase in the years ahead.