Dubai
Where available, mid-market offerings are hitting the right notes in Abu Dhabi’s property market. Aldar’s Water’s Edge scheme on Yas Island has had a good response and follows on from its earlier launch of The Bridges.
But the broader Abu Dhabi residential market continues to “face downward pressure, with rents and prices registering further declines on both a quarterly and an annual basis”, states the latest JLL update on the emirate’s property market. But what the likes of Water’s Edge does is set a “new benchmark for good quality waterfront housing at a lower price point”.
Around 550 units were delivered in Q3-17, bringing the emirate’s total residential stock to 250,000 units or so. Latest deliveries include the Al Jazeera Tower on the Corniche, the C34 residential tower in Saraya on the Corniche and the Abu Dhabi Marina Development in Al Bateen.
A further 3,000 residential units are scheduled to enter the market by the year end, mainly within Reem Island, Saadiyat Island and Saraya, JLL adds.
In office space, rents were stable in the third quarter.
While headline rents in prime retail and office projects remained relatively stable, both sectors moved further in favour of occupiers. Q3 also saw a further decline in residential and hospitality performance due to the continued reduction in market sentiment.
And this was “despite the decline in demand, as office supply remains stable with no major completions. However, the delivery of additional supply at a time of weaker demand is expected to place downward pressure on rents over the next 12 months, particularly in secondary buildings.”
