Influential Nakheel chairman Ali Rashid Lootah feels that Dubai housing market will lead the Emirates recovery after it took a battering during the global recession
Property in Dubai is predicted to lead the economic sectors through to recovery according to Lootah. The Chairman of Nakheel optimism comes from stability evident in the property market, including stable rents and property prices.
He said that real estate developments in Dubai over the last 24 months have been an important element in the restructured market.
Data in their organization indicates that there is strength supporting the Dubai property market allowing it to lead other sectors through the recovery process. Examples of these supports are the UAE’s superior infrastructure and healthy investment climate. Nakheel feels that the emirate is going through a transitional period that will give rise to a new phase in the market.
Lootah was quoted by local media saying that a strengthening “wave” of demand was expected to hit the property market throughout the next period.
Nakheel who has had its own troubles has paid $681m to trade creditors as it pushes towards agreement settling unpaid bills to contactors.
Ali Lootah, Nakheel’s chairman, told a local newspaper on Sunday that the developer had agreed claims with 80 per cent of its trade creditors as it pushes towards the 95 per cent threshold needed to finalise a restructuring agreement.
Under the restructuring agreement, contractors are to be repaid 40 per cent of their outstanding claims in cash, with the remaining 60 per cent issued in the form of an Islamic bond, or sukuk, that would be listed on NasdaqDubai, the international exchange in Dubai
