Market maturity and developers responding to buyer demand are key to the development of the UAE capital’s real estate market, according to industry specialists at Cityscape Abu Dhabi 2019, which is held under the patronage of His Highness Sheikh Mohamed bin Zayed Al Nahyan Crown Prince of Abu Dhabi, and Deputy Supreme Commander of the UAE Armed Forces, Chairman of the Executive Council.
Running until Thursday 18 April, the 13th edition of the UAE capital’s leading real estate exhibition at Abu Dhabi National Exhibition Centre (ADNEC), structures more than 80 leading local and international developers and real estate firms exhibiting dozens of new-to-market developments and real estate solutions.
Running together with the main exhibition, the industry-defining Cityscape Abu Dhabi Conference brought together a high-profile gathering of industry professionals to observe latest market trends and point the way for the future of real estate in Abu Dhabi.
Craig Plumb, Head of Research, at JLL MENA, the region’s leading financial & professional services firm specialising in real estate was among those who addressed the high-profile conference, during which he outlined how the Ab Dhabi market is responding positively to challenging conditions.
“We are positive about what we can expect to see. Property is a cyclical business and we are in a period of a soft market. However, there’s not a huge amount of new supply expected this year or next,” said Plumb, with the market maturing and developers more conscious about what they are planning and delivering.
“In the residential market, we are looking at about 8,000 units for this year and even less next year, that’s about 3% of existing stock and this is good,” he added. “The market has adjusted and is not just building a huge amount of supply that we saw three to four years ago.”
The leading researcher stressed that the market is currently experiencing a period of lowdown largely because “it has reacted” to what is needed.
“The market has become more affordable, as developers have recognised the sweet spot isn’t super luxury, it’s at the middle market,” adding the leading researcher. “The market is now providing for where the demand is. Developers have recognised that and are delivering a lot more product at that sweet spot.