In its latest research on the property market in Abu Dhabi, international real estate firm CB Richard Ellis notes that the supply for residential accommodation lags behind the demand. This comes despite the continuing economic slowdown hitting across the globe, which is also hitting the UAE. As a result of this, rents in Abu Dhabi have continued to rise consistently over the past 24 months.
The report notes that “Current Capacity, even taken in conjunction with planned developments, is not expected to immediately satisfy existing and new occupier demand base on present population projections.”
The emirate is in a very good position to weather the global downturn, and the report concludes with hopeful indications of things to come: “However, as the Abu Dhabi market remains significantly under-supplied across almost all property sectors it essentially offers an environment conducive to continued growth, albeit at a less aggressive pace.”
The long-awaited introductions of property regulations in the coming year will help the market as well. “Not only this will push the appeal of the market but also put Abu Dhabi in a competitive stance internationally.”
