Dubai: Sharjah is calling on more private developers to launch freehold projects as the emirate looks to project its status as a place to live and work as well as own homes.
“When it comes to foreign ownership in real estate, it’s something relatively new to Sharjah,” said Mohamed Juma Al Musharrkh, CEO of Sharjah FDI Office. “On freehold, we can do a lot more, with private sector players. There’s demand for new homes in Sharjah and there’s plenty more to come.
“On the business side of things too, Sharjah has much to offer. If you look at 2023 alone, our GDP grew by 1.2 per cent. Within this, real estate sector had one of the highest growth rates.”
More developers are joining in
There is already quite a bit of latent interest among non-Sharjah headquartered real estate developers to take on projects there. The culture of freehold ownership in the emirate is building up nicely, as is obvious from what the likes of Aljada and Al Zahia projects have achieved. Then there is the entity Shurooq (Sharjah Investment and Development Authority), which has taken on alliances with leading developer names such as Eagle Hills.
“More areas will open up in Sharjah for freehold designated projects, where buyers from anywhere in the world can own,” said Al Musharrkh. “This is where we want to see private developer participation, where possible. Recently, there was the Ajwan launch in Khorfakkan, and there will be plenty more.
“The PPP (public private partnership) model has worked so well for the UAE, and Sharjah wants to make full use of this.”
Sharjah needs new homes to own and we will allow development in more areas
Sharjah’s residential market is possibly reaching the precise point where it needs more apartments and villas to be launched. The mix of nationalities that are investing in homes in the emirate has seen significant changes in the last 3 years. According to property industry sources, this trend is only in its beginning stages, and they expect more end-user buying happening as soon as more projects hit the market and at various price points.
Clearly, an ever expanding resident base in the emirate is reflecting on rented property demand and rents. Property market sources say that many tenants could easily shift to home ownership if more freehold options become available.
How such demand shapes an emirate’s real estate landscape can already be seen in Ras Al Khaimah, where a combination of residential and hotel projects have been driving investments from private developers.
Sharjah Investment Forum
Highlighting the prospects that the emirate offers will be the main agenda of the Sharjah Investment Forum, which opens today (September 18). The key areas that will get special focus are agri-tech and, of course, AI.
“We have new agri projects happening in Mleiha, and that’s a clear focus area for further development,” said Al Musharrkh.
Sharjah, the official says, is also ready to think beyond light industrial manufacturing, which has been one of its core areas through the years.
“We have all the right reasons to attract serious interest in manufacturing related to high-tech industries,” said Al Musharrkh. “It could be in support or associate categories that feed directly into new-generation sectors like drones, for instance. Or in robotics and smaller EVs.
“That’s where we need to be in, and PPPs will be one way to make things happen.”
