Dubai Global Connect (DGC) has opened its new visitor centre close to the Expo 2020 site. Situated in Dubai South, the new centre was completed in October, as part of the company’s wider plans for Expo 2020. The 4,000 square metre space will act as a showroom and small-scale market space, with products from the company’s three key trade industries: food, furniture, and fashion.

The clean lines and floor-to-ceiling windows of the space are built in a Modernist style, while the raised building (featuring a central trunk and large platform above) gives the build a futuristic feel.

A MICRO-MARKET SPACE AND TRADING SPACE

Mohammed Al Shaibani, Managing Director of the Investment Corporation of Dubai (ICD) said: “Throughout history, Dubai's strategic location forged a rich legacy of commerce for the city, continued global ambition, and a decisive role in international trade. DGC was initiated by ICD to build on this history of trade and we look forward to welcoming traders from around the world to our Visitor Centre from today onwards.”

Although space was built for Expo 2020, the DGC may have to wait some time to see the footfall they have anticipated. The global gathering has already been postponed once – by one year, to October 2021 – due to the global pandemic. 

FURTHER EXPANSION PLANS FOR DGC

The new visitor centre is possibly the most modest of those which DGC has lined up. With their main base currently in Dubai’s Business Bay, the company already has another development planned in the city. The company is planning to open a much larger showroom and market space in the city, in Q1 of 2023. Once the space is fully operational it will be able to host 3,700 companies and is expected to contribute $ 16.3 billion (AED 60 billion) of annual trade to Dubai’s economy, along with creating more than 10,000 jobs.

_{Photo Credit: www.dubaiglobalconnect.com}

 

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Last month leading Egyptian real estate and tourism company, Hawai for Tourism and Investment (HTI), announced that it planned to build one of the world’s largest observation wheels, as part of Egypt’s Vision 2030 sustainable tourism strategy.

Just three weeks later, it’s clear HRI means business, as construction has already started on the new super-structure.

THE FIFTH BIGGEST IN THE WORLD

Following the announcement, Major General Khaled Abdel Aal, the Governor of Cairo positioned the city as being a leading world attraction, noting that the new Cairo Eye would be “the fifth largest in the world”, after the international hubs of London, Dubai, Las Vegas, and Singapore.

The project is due for completion in 2022, and will feature 48 cabins, and stand at 120 metres in height. The structure will have the total capacity of eight people per cab, similar to the other top five observation wheels. The total landmass taken up by the new construction will be 20,000 square metres in the Zamalek area of the city.

GROWTH OPPORTUNITY IN CAIRO

The total cost of the project is expected to be $31.6 million (EGP 500 million), with the city hoping it will bring investment to the area, while eyeing up a potential pull of 2.5 million tourists annually, to the attraction.

The project is also expected to have a positive impact on the employment sector, creating 1,200 direct job opportunities, as well as a potential 4,000 indirect job opportunities.

Discussing the new development, HTI chairman, Ahmed Metwally, said: “The project comes in line with Egypt’s Vision 2030 and its strategic development plan across sectors, including tourism development.

He continued: “The project is designed with environmental aspects in mind, [such as] preserving the entire park’s existing trees and palm trees, to remain true to the legacy and identity of the Zamalek area. The design also aims to increase the total green spaces by 15% where total greenery will amount to 7,000 square metres  instead of 6,100 square metres.”

_{Photo Credit: Wikipedia}

 

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Egypt has announced plans to build the longest road network on the continent, which will see 9 African nations interlinked. According to the country’s Minister of Transport, Kamel Al-Wazir, the project is part of wider plans that Egypt has to develop Africa’s transport links.

A PAN-AFRICAN TRANSPORT NETWORK 

The road will start in Libya, in the north of the continent, later running south through several countries including Chad and the Democratic Republic of the Congo. 

Inter-connected transport infrastructure is one of the key issues facing development in many African nations, so no doubt the news will be well received by the countries affected by the plans. A time frame for the network to be completed, however, has not yet been announced.  

The road is part of Egypt’s ambitious transport strategy, which will also see the country lead the development of ports and rail networks across Africa. 

DEVELOPMENT OF TRADE ROUTES 

According to Al-Wazir, there will be 13 ports and a logistical centre developed in Egypt as part of the country’s goal to improve internal and external trade routes. The move is aimed at stimulating Egypt’s economy and reducing wait time for goods and containers in sea ports. 

The latest announcement is the most recent in a string of developments for Egypt’s transport network. The country has already completed nine such projects including the development of three key ports. Those include the Qustul land port and the Arquin land port, both of which sit on the country’s southern land border with Sudan, and cost $5 million (EGP 79 million), and $6 million (EGP 93 million) to build respectively. Meanwhile the Taba land port, which sits at the top of the Gulf of Aqaba, cost $2.5 million (EGP 40 million).

Building on the successful completion of the first nine projects,  Al-Wazir said that Egypt would build a further 35 new transport links, across ports, roads and rail networks to support business and development in the country and the wider continent. 

 

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Saudi Arabia’s pioneering ecotourism development along the country’s west coast – called The Red Sea Project –  is one step closer to achieving the prestigious LEED* accreditation. 

A BOOST IN DESIRABILITY FOR INVESTORS  

The development, which was first announced in July 2017 by Saudi Crown Prince HH Mohammed bin Salman, runs along 28,000 square kilometres in The Kingdom, and is expected to provide a significant boost to the country’s GDP upon completion (currently scheduled for 2022). 

The country’s western neighbour, Egypt, has traditionally been seen as the go-to tourism destination along the Red Sea coast, however the Saudi push in the region is part of a series of reforms seen in the country in recent years, aimed at spurring economic growth and diversification.

The latest LEED achievement is only expected to boost the Red Sea Projects desirability for investors. The Red Sea Development Company (the group behind the project) was awarded the first stage of platinum certification in the “Plan & Design” criteria of the Leadership in Energy and Environmental Design (LEED for Cities).

The certificate recognises the company’s use of practices aimed at supporting sustainability in the development of the project, as well as the standard of living for those who will eventually reside in the area. 

John Pagano, CEO of the Red Sea Development Company commented on the news: “As part of our ambition to become standard bearers in luxury ecotourism, we are proud to have passed this first stage of LEED accreditation. The award is a recognition of our efforts to go beyond the current expectations associated with sustainable tourism, and to become one of the first global destinations to demonstrate a regenerative approach to tourism.”

NEW CONTRACTS ANNOUNCED 

On the back of the news of the project’s new LEED win, two new contracts were announced for the luxury ecotourism hub. According to the company, they were awarded to two firms – one from Saudi Arabia and second from Switzerland. The two companies are expected to play a key role in the development of 40 luxury villas in the Southern Dunes area, as well as a hotel which will be developed on Ummahat Al-Shaykh Island.

Commenting on the news, Pagano said: “It is exciting to award these contracts, which signify the start of a new phase for us as we move into the build of our stunning resorts both inland and on one of our key islands." 

The first four hotels at the new luxury ecotourism hub are due to open in quarter four of 2022, at the same time as the completion of the new international airport which will serve the area. Twelve further hotels are planned for 2023, with a total of 50 resorts, 1,300 residential properties expected to be completed by 2030. 

* Leadership in Energy and Environmental Design

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It’s an anomaly only a pandemic-like event can truly explain, the first-of-its-kind occurrence in three decades. London’s population is falling.

The spread of COVID-19 first checked the flow of migrants into the city. A little later, it sent residents scrambling for safety in outer districts and less densely populated boroughs. Then came redundancies, furlough schemes, and the promise of more affordable housing outside the capital.

UK’s Economic Statistics Centre of Excellence estimates around 700,000 foreign-born residents have left the city — that is, around 8% of London’s population. This loss has reverberated across the city’s property market. According to estate agent Chestertons, rental prices in Greater London fell by 4% in 2021. Rental prices in prime central London and other prime areas of the capital dipped even further, by 20% and 15% respectively.

Meanwhile, property agent CBRE says GBP 8.9 billion worth of central London offices, stores, and office and retail development sites were traded in 2020 — a 30% drop from the year before.

But CBRE also found evidence of recovery in the final quarter of the year, on the back of vaccine approvals and national rollouts. Investment volumes in the last quarter of 2020 totaled GBP 4.5 billion — not just the largest quarterly total of the year, but also half of the year’s total investment volume.

So is this uptick indicative of sustained growth? Or will a third national lockdown and underlying economic weaknesses produce a continued drag on London’s property market in 2021?

THE RENTAL MARKET

Enduring work-from-home orders and rising unemployment rates will continue to drive people out of the capital — according to estate agency Hamptons, this London exodus trend will persist at least through the first half of 2021.

The rental sector’s success also depends largely on the UK’s overall economic recovery, which is not expected to regain levels recorded before the pandemic until mid-2023. Still, the economy is slated for a growth rate of around 6% in 2021. So once the latest restrictions are lifted, tenant demand is expected to increase. This will lead to the rate of rental decline slowing. And if the economy recovers as expected, annual rent should resume growth in 2022.

THE RESIDENTIAL MARKET

For years the capital’s housing market outpaced that of the rest of the country. The pandemic changed this, but the recent ‘stamp duty holiday’, which voids tax on properties under GBP 500,000 till March 31, has produced a slight boom in the residential market. Unfortunately, if the tax holiday isn’t extended by parliament, transaction levels will slow down after spring.

Chestertons predicts house prices will decrease by 2% in Greater London by the end of 2021. But central London and other higher-value locations will likely fare better. The agency predicts central London prices will stabilise in 2021 and other prime London locations will rise by 2%.

THE COMMERCIAL PROPERTY MARKET

Although many firms across London are expected to continue with flexible and hybrid models of working even after the pandemic, a number of bosses have said the office will still be crucial to doing business, functioning as a hub and a meeting ground.

CBRE’s Real Estate Market Outlook Report for 2021 forecasts that central London’s commercial property sector will gain strength throughout the year as vaccination drives succeed and workers return to offices — sales and investment volumes are expected to continue to recover over the next 12 months.

FOREIGN INVESTMENT

London has long been considered a safe haven for property investors across the globe. And, in spite of the pandemic, overseas investors still recognise its long-term appeal. The Emerging Trends in Real Estate report from PricewaterhouseCoopers named London the second-best place for property investment in Europe.

Investors are now snapping up property in the UK before the additional 2% stamp duty surcharge comes into effect for overseas buyers in April. But with London’s property market being more susceptible to economic and political fluctuations, the mainstream market will likely make only a partial recovery in 2021.

 

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According to the recent Gensler Middle East Workplace Survey, 74% of employees at the most innovative companies in the region have flexi-offices and regularly work away from their primary workspace. Meanwhile, the region’s office workers spend on average 51% of their total week at their office.

“Alternative work environments, such as co-working spaces and hotels, are increasingly used by a large cohort of small and medium-sized enterprises (SMEs) and boutique-style businesses. To streamline operations, many large organisations are consolidating their workplaces into one location,” said the report.

INNOVATION MEANS GREAT PERFORMANCE

The survey also acknowledged that innovation and performance tend to operate hand-in-hand. “The Middle East workplaces that have high performance and effectiveness also score highly on our innovation index, or a composite of six critical questions that measure how a workplace supports, encourages, and creates strategies for new ideas and thought leadership,” said the Gensler report.

It continued: “Innovation and performance tend to operate in concert. The Middle East workplaces that have high performance and effectiveness also score highly on our innovation index, or a composite of six critical questions that measure how a workplace supports, encourages, and creates strategies for new ideas and thought leadership.”

The findings from the report showed that workplace performance is built on balance and that it’s a key driver of innovation. By Gensler’s topline metrics, Middle East workplaces are succeeding: “The region has the highest Workplace Performance Index (WPI) score among global regions we’ve studied. From the effectiveness and functionality of workspaces to creating a culture of transparency and autonomy, the Middle East is rivaling – if not outperforming – its global peers. One driver of this success is balance or the prioritisation of both focus and collaborative work. Currently, the Middle East leads other global regions in creating this type of workplace versatility workers need.”

UAE "SETS THE BENCHMARK" FOR THE REGION

According to the survey, the region is also one of the most fast-developing in the world, building “next-generation workplaces,” while highlighting Dubai and Abu Dhabi as “setting the benchmark” for key developments across the region, including workplace technology, amenities, and the overall experience that workers may come to expect in the region.

SUSTAINABLE CITIES ARE SMART CITIES

Having a robust eco-policy, and keeping sustainability at the heart of decision-making in city planning is key for smart city development. This can be achieved through having basic aspects covered (such as city-wide recycling facilities for all buildings and public spaces), to seeking to replace all public facilities with sustainable options. Electric, reliable public transport, smart energy systems, and ensuring local produce is available, are just some of the ways cities can transform their metropolitan hubs.

HOLISTIC PLANNING IS ESSENTIAL

Operating on a macro, rather than micro-level is key for the evolution of city spaces in the region. An example of how this can be developed is through strong, reliable IT infrastructure as a pillar of development in the city. This can allow for better traffic management, and reaction to accidents when implemented on a macro level. When Rio de Janeiro implemented such a strategy in 2010, the city saw a 30 percent decrease in time taken to respond to accidents, due to being able to quickly process the available data, and therefore send teams much faster to the accident sites.

THINK IN THE LONG-TERM, RATHER THAN THE SHORT TERM

Using research to plan in the long term, rather than making quick, short-sighted decisions is key for cities of the future. This can be achieved through aligning holistic planning, with long term planning. For example, looking at the impact on different sectors upon each other (from health to education) and how these areas can be better managed through a hybrid system. Solutions that cities could look at could include everything from smart apps that assist remote learning, to the use of great smartphone based health management for all citizens.

 

The global economy was rocked by COVID-19 in 2020, however as the year came to a close, Abu Dhabi remained stable, despite worldwide uncertainty. Although the UAE capital saw a slight decline at the height of the pandemic, it soon corrected itself, ending the year on a “normal” note, according to regional real estate experts Property Finder.

PRIOTISING OUTDOOR SPACE

Lynnette Abad, the Director of Research & Data at Property Finder, said: "2020 was quite interesting to say the least overall. When it comes to residential real estate, we at Property Finder predicted pent up demand from the beginning. Abu Dhabi trends saw people migrating to larger properties and villa/townhouses with outdoor space. This has been a trend we have seen around the world.”

Indeed, these trends were consistent across both the rental and sales markets, according to Property Finder’s report. Leading the way for the sale of villas and townhouses was Saadiyat Island, which represented 26.7% of market sales. Following the key hub, the most popular areas to purchase a villa or townhouse were Al Reef (11.8%), Al Raha Gardens (7.3%) and Al Salam Street (3.3%). 21.34% of the listings were for 3-bedroom units, 29.19% for 4-bedroom units and 39.74% for 4+bedroom villa/townhouses, according to the report.

Meanwhile, Al Reem Island (44.7%) dominated apartment sales, as well as the rental market although albeit at a lower rate, where it accounted for 25.4% of all apartment rentals in the emirate. Keywords used by customers also seemed to suggest that people were prioritising outdoor space, while the threat of lockdown loomed. The most searched terms for apartments included: “balcony” and “seaview”.