Transactions worth Dh11.3b in 45 days

Dubai: Dubai's Land Department recorded Dh11.3 billion in land transactions in 45 days this year, an official said.

In 2008, total transactions reached Dh70.2 billion. The most land activity was seen last May, with Dh11.6 billion taken in total.

With just Dh1.9 billion taken in December, the Dh11.3 billion recorded in the first 45 days this year is a strong sign that the market is already improving, officials said.

"It is a good figure, very positive. About Dh6 billion of this is from selling and mortgages. It means the market is not like how it was a year ago. Today the market is like it was in 2007, a little slow but still people registering properties," Sultan Butti Bin Mejrin, director general of Dubai land department, told Gulf News during the opening day of the International Property Show (IPS) Dubai 2009.

People are still too nervous to invest their money in real estate given the strained economic environment.

"There are fewer buyers [today] as people are afraid but, for real estate, you don't invest for one year only," Bin Mejrin added.

Dubai's Real Estate Regulatory Authority (Rera) have increased the level of transparency and regulations in the market so far this year, which is hoped will give investors further signs of a maturing market.

"The sentiment will take time to change. These new rules and regulations are not reactive, they are for the future. If anything needs to be done, then we will do it," Mohammad Sultan Thani, Assistant Director of Dubai land department, said yesterday.

"What we are seeing more and more is that people are registering now but with smaller values. It is rare [now] to get the Dh200 million or Dh300 million transactions," Sultan Thani added.

This year's show sees an increase in international real estate companies, from the UK, South Africa, the US and Bulgaria as there are many opportunities for investment in these countries, organisers said.

"The IPS 2009 is in a very tough period but we're proud to be holding the event as we have to support the sector. The market is going to pick up, just not at the speed it was before," Dawood Al Shezawi, managing director of Strategic Marketing and Exhibitions, organisers of the IPS, said.

To give potential buyers more confidence and comfort, Rera are controlling the exhibitors. All local exhibitors must be approved by Rera and all international exhibitors must provide proof of registration from their home country.

Over 150 exhibitors are participating at the IPS Dubai 2009 and more than 20,000 visitors are expected at the three-day event.