This year will be one of "selective stability", as increased vacancies force prices down across the market, according to the latest report from Jones Lang Lasalle.
Some of the highlights:
- Nearly $15 billion worth of residential projects were put on hold or cancelled in 2009
- An additional 24,000 units will come on the market this year
- Residential transactions increased by 14 per cent in the last six months, but are still down by 19 per cent since Q4 2008
- From JLL: "Despite stabilization in both pricing levels and transactional volume, Dubai's residential market will experience a situation of over-supply and prices are not expected to recover fully before 2011 at the earliest"
- Average price per square foot in Dubai is Dh882 per square foot
- Citywide vacancies for office space have increased to around 33 per cent of 43.6 million square feet
- Commercial rents declined by 44 per cent between Q4 2008 and Q42009 to Dh200-250 per square foot
- Average retail rents have declined by around 29 per cent