Hamad AL Wazzan | Gulf cities back to pre-pandemic numbers by 2024!

Due to the temporarily limited international and domestic migration caused by the Covid-19 pandemic, the real estate market is forecast to return to pre-pandemic levels by 2024 with Dubai, Abu Dhabi and Kuwait City mostly set to benefit from this property interest surge, according to real estate expert Hamad AlWazzan.

¨Gulf cities are the Middle East's mobility leaders, each with net migration rates projected to exceed 8 percent over the next five years. The continued economic growth in the Middle East has allowed key markets such as the UAE, Saudi Arabia, and Kuwait to focus their efforts on improving their residential and commercial infrastructure, which has been greatly aided by government initiatives such as Dubai's Vision 2040 and Abu Dhabi's Vision 2030¨, explained Hamad AlWazzan.

He believes that this has increased investor interest in the region. ¨Restrictions have been lifted and daily consumer activity has resumed, the increased availability of retail and leisure activities, combined with the revival of live events, has increased mobility within the region, accelerating the growth of the real estate sector¨, added Hamad AlWazzan. “The demand for purpose-built, professionally managed residential space is expected to increase further as cities worldwide begin to recover from lockdowns and global net migration returns to pre-pandemic levels¨, he said.

"The Middle East’s economy has recovered rapidly as a result of the accelerated vaccination drive, showcasing its resilience as a place of investment and residence. This has resulted in an increase in investments, thereby creating employment opportunities and stable incomes¨, observed Hamad AlWazzan. According to his expert opinion, cities in the region such as Dubai, Abu Dhabi and Kuwait City have emerged as mobility leaders, each with net migration rates projected to exceed 8 percent over the next five years.

 “Whilst capital values increased in the Middle East in 2021, the rental market remained stable, owing primarily to travel restrictions between key source markets. However, as travel restrictions continue to ease and economic activity accelerates, creating new job opportunities, the real estate sector is likely to see acceleration in growth”, concluded Hamad AlWazzan.