Leading businessman Sheikh Maktoum told Dubai firms to begin preparations for a boom he expects within the next two years.
The CEO of Al Fajer Properties, Sheikh Maktoum Hasher Al Maktoum predicted that a boom is set to take the region by surprise some time within the next 24 months. He also warned the attendees of the CEO Middle East Awards in Dubai that businesses that have remained, survived, improved and implemented innovations stand the best chance of advancing in the coming boom.
He stated that the region has struggled somewhat, but with improved transparency in the markets, the removal of black boxes and the return of investment fundamentals, there is good news ahead. This is despite the fact that bankers are currently maintaining a conservative stance.
Sheikh Maktoum also forecasted the real estate slump three years back and stated that although Dubai was only a “small cup” that emptied with ease, it was also refilled just as easily.
The sheikh mentioned his decision back in 2007 to enter the real estate market after forecasting a market correction of about 50 per cent. Sheikh Makoum noted that money is made when the market is low, not when it is peaking.
The CEO of Al Fajer also mentioned that the local government is hard at work marketing Dubai’s image and reasserting the area’s status in the Middle East region.
He noted that legislation surrounding immigration and investments is coming out and told listeners to watch for the formation of boards consolidating all free zones under standardized management. Unification and working together will be positive changes for the region, according to Sheikh Makoum.
The renowned businessman stated that lower prices for real estate in the UAE will prove a magnetic draw for foreign companies thinking about creating jobs in the UAE by relocating the head offices in the nation.
He compared the prices in the UAE to those in the UK, where rental prices are high. For about $200 per square foot, equal to approximately 18 to 24 months of rent in the UK, financial and consulting firms can make the sensible move to the UAE.
Also, the sheikh commented on the value of the infrastructure in Dubai, where the free zones, roads and power are attracting leading and forward thinking business owners to the emirate.
Even though Dubai felt the pain of the recent global recession, the emirate made significant and obvious investments into the infrastructure.
The sheikh noted that other troubled nations, such as Ireland, are finding it difficult to account for where their money was spent.Paul Holdsworth, Staff Writer, Gulf Jobs Market News