Mazaya Monthly Real Estate Report - November 2013
Winning the Expo will see very large
amounts of liquidity flood into Dubai
from all over the Gulf, as it did before the
crisis, much of which will go directly into
real estate. Other sectors likely to benefit
include transport and communications.
Some analysts fear the movement of
capital to Dubai from countries such as
Bahrain, Saudi Arabia or Oman could
hold up planned development projects
in those countries. However, there are
also considerable opportunities for
GCC countries to benefit from the Expo
through investments and knock-on effects.
Al Mazaya believes it would be of
great benefit to look closely at the
experiences of other host countries,
to see what can be gleaned and what
pitfalls can be avoided, particularly
where they pertain to real estate
.
4
In conclusion, while very enthusiastic
about the Expo and the advantages for
Dubai of hosting it, Al Mazaya urges
caution in embracing the opportunities
doing so will present. Dubai has only
recently emerged from the financial crisis
and must continue to progress carefully.
The Expo will lend huge impetus to
construction projects, opening the taps
of liquidity, but it is vital that all projects
entered in to are sustainable in the long-
term, and that the benefits of hosting
the Expo are felt by all of the emirate’s
financial sectors, not only by some.
