Business | Property
Al Zorah 'will enhance and support Ajman financially'
Ajman, the smallest of the seven emirates in the UAE, is taking giant steps in expanding its construction and real estate sectors as hundreds of expatriates are buying freehold properties in the new developments.
- By Bassma Al Jandaly, Staff Reporter
- Published: 00:08 June 20, 2008
- Shaikh Abdul Aziz said increasing the green areas in the emirate is a top priority for the authorities.
- Image Credit: Ahmed Ramzan/Gulf News
Ajman: Ajman, the smallest of the seven emirates in the UAE, is taking giant steps in expanding its construction and real estate sectors as hundreds of expatriates are buying freehold properties in the new developments.
However, despite the massive boom in the emirate's real estate sector, there are growing concerns about a lack of infrastructure in the new developments, where residents in the new communities could fall victim of a lack of power and traffic solutions.
In an exclusive interview with Gulf News, Shaikh Abdul Aziz Bin Humaid Bin Rashid Al Nuaimi, Chairman of Ajman Planning and Property Department, openly expresses concern about his city.
He supports the new projects and the rapid development in Ajman and talks about the freehold ownership for expatriates. He stresses that no nationality is given priority over other nationalities, but there are laws and regulations controlling the matter.
Shaikh Abdul Aziz said the infrastructure in the city needs a lot of improvement and that the new property and the real estate law in Ajman is similar to Dubai's law.
Gulf News: Where is Ajman situated in relation to the country's rapid developments?
Shaikh Abdul Aziz: Ajman ranks number three in terms of rapid development after Abu Dhabi and Dubai. The country is witnessing rapid urban development, with a swift increase in the volume of land investment. Ajman's real estate sector is developing at a fast pace, which is expanding the city as well.
Can you update us on the huge development in Ajman's real estate market?
The real estate market is growing day by day as a result of freehold projects all over the emirate, as well as the competitive prices. Ajman is so close to Dubai and Sharjah and is expected to be the next destination for tourism and real estate.
There are a large number of real estate companies in Ajman who support the development of the city, and developers are finding work very smooth. Ajman has new projects such as Al Zorah, which will be a complete city. At a total cost of Dh220 billion, Al Zorah will enhance and support Ajman financially and economically.
How do foreigners invest, trade or buy property in Ajman and what benefits does it provide?
Ajman's real estate and property law has already been issued and it is similar to the law in Dubai. The law supports investors, developers and their partners. People who buy in Ajman now can have full ownership entitlement to their property, meaning they can sell, mortgage, buy and so on.
The new law being introduced will require real estate companies, developers and investors to register at our department. This will stop real estate businesses from being operated through fake companies.
Are there fake real estate companies in Ajman?
Yes there is at least one. Police and a public prosecutor are investigating the issue.
It is said that one buys from private companies rather than the government in Dubai. Is this also the case in Ajman?
The private companies are licensed by the government. The developers who are selling land, apartments, villas, offices or any property to clients need to provide them with full ownership issued from the property and land department. The case is the same in Ajman.
Do all areas in Ajman allow 100 per cent freehold for foreigners?
No. Land in specific areas, such as Al Nuamiya Towers and Emirates Road will be freehold for foreigners. In some areas developers are selling the air, not the land, to the client. This means they are selling an apartment in a building and the client has no rights to the land that the building is built on, but it is still freehold.
Some countries, such as Australia and UK, allow foreigners to buy, trade, invest and construct on their lands, but while selling the land, the foreigner can sell it only to the country's citizens in a bid to be sure that the land will be remain in the hands of its citizens. However, in the UAE one can sell the land to whoever they like and that could land the country in danger. For example, the land could be sold in the future to Israelis or others who can buy as much of UAE's land as they want. Is there any article in the new property law to preserve the UAE's lands?
The country's rapid development rushed authorities in setting the laws and regulations. However, such laws can be revised in accordance to the welfare of the country.
A complaint was raised more foreigners than citizens are buying properties in Ajman. Some fear the population of expatriates will outnumber those of the Emiratis. This is the case in some Dubai shopping malls where once can see 50 expatriates for each Emirati. What are your thoughts?
I believe the majority of expatriates you refer to in shopping malls are tourists. Dubai is the number one destination for tourists in the region.
Also, the rapid development in construction brings about the need for a large number of workers. Once this is complete, the number will decrease. In Ajman there is balance of foreigners and citizens, whilst some areas, such as Mushairif, are reserved for Emiratis. Those who have any concerns in relation to this issue can address the authorities and Rulers. All doors are open to the public.
Another issue raised about the property market in Ajman suggests that authorities favour certain nationalities, such as Arabs over Asians. Is this true?
We have investors, developers and traders of all nationalities who are all treated equally.
As head of board of trustee of Ajman Holding (Iqaar), what is the volume of its investment?
Until 2012, the volume of its investment is Dh5.5 billion.
The infrastructure development in Ajman is not coping with the rapid development in real estate and investment development. Could this cause problems in the future?
The sewage project is delaying the infrastructure development. However, we are pushing for its completion in order to meet the increased demands on infrastructure. Also, the Ministry of Energy will build a new electricity and water plant.
What about landscaping? Buildings are being built very close together, making them hard to live in.
Increasing the green areas is a top priority. All the projects consider landscaping, with many parks already located in different areas throughout the city and plans for a number of residential parks to be established.
What about road networks?
Federal and local authorities are building highways to link the emirates, such as the Emirates Road bypass. Road networks, bridges and tunnels are being built in Ajman at a cost of Dh35 million.
What about urban planning for the future in Ajman?
One of the problems facing Ajman is the scattered settlements that are disorganised. In order to develop roads, housing sectors will have to be rearranged. Another problem is caused by the abundance of labour camps in the industrial areas that need to be relocated, which will ease traffic flow in and out of the city.
We are co-operating with Ajman Planning and Survey Department to amend such problems. We also have a future urban plan until 2030.
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