Safe Dubai Property Investment
The UAE government has taken phenomenally operational steps to contain the outbreak of coronavirus. The UAE continues to strengthen its reputation as one of the most active and safe destinations in the world, despite the current difficult conditions, and investment in Dubai real estate is one of the safest in the world, market experts say.
Atif Rahman, director of Danube Properties, noted that there is a temporary correction in the market right now, but its long-term prospects are bright thanks to a strong regulatory system.
«I have always believed that the Dubai property market is in a stronger position than most developed real estate markets around the world», said Atif Rahman in an interview with the Khaleej Times. Clarifying, he said that the main risk for consumers in any industry is cash flow and how these funds are managed.
«Thanks to the escrow system, which is an elementary requirement of any freehold project in Dubai, the consumer is at a much lower risk, since the funds are blocked on the escrow account and are released only for construction. In most other countries, this is not the case. This ensures that any investment made in real estate here remains intact, and the development of the project is largely guaranteed. We tend to forget that the only industry in which investments are made to increase the value of assets is real estate. Yes, I admit a temporary correction, but in the long run you get income. I always advise people to refrain from investing in real estate if they have no prospects for 7-10 years. Until your asset is built and delivered, your risks are under control», said the expert.
Atif Rahman shared the results of the beginning of this year. He noted that Danube Properties began the year 2020 positively with the completion of the Resortz Residence and is expected to complete three more projects this year. The total cost of the projects Glamz, Miraclz and Bayz, next in line for delivery, is 1.12 billion dirhams and includes 1488 housing units. «Including the Resortz project, we planned to commission nearly 2,000 residential units this year», he said.
Mr. Rahman praised the UAE leadership for taking phenomenal measures to contain the outbreak of coronavirus and said that the government is extremely quick to respond to any crisis, be it social, political, economic or pandemic per se. «We all know how fast the government is working to improve the situation, this is phenomenal. The country's leadership was able to make the UAE one of the leading areas of world tourism, business, education, healthcare and all other sectors. This is all due to the fact that we are not resting on our laurels and are always trying to improve everything», said Atif Rahman.
In the country, as well as in the company, precautions were taken to minimize the impact of COVID-19 on business and all human resources. The expert notes: «We have already faced this crisis, we hope that this is not the end of the world. As the leader of my company, I believe that my work is now clearly defined. We need to focus on the two most important things: how to limit any form of damage and how to keep moving forward. In doing this, we must be very careful, as human life is the greatest value. At the moment, we must fully control the cash flow and focus on the implementation of the project».
Answering a question about the alleged delay in real estate exhibitions and their impact on the real estate market, Atif Rahman said that the exhibitions will attract great attention from the business world, they are necessary to increase confidence. «I strongly believe that the situation with COVID-19 will improve quickly in the UAE, but global influence will last at least another quarter before everything returns to normal», he said.
Published: May 8, 2020