Emirates NBD Financial Performance and Awards 2014
2500
2000
1500
1000
Price per sq ft (In AED)
Mar-06
500
Dubai Economic Update (cont)
Highlights
Residential real estate prices have continued to consolidate in
Q4 2014, and annual price growth has slowed as expected this
year. For the year to December, mid-range villa prices fell 6.7%
and mid-range apartments grew by 4.7%. Higher transaction fees
and mortgage caps have helped to cool the market.
The medium term outlook for residential real estate prices is
strong however, with Phidar Advisory forecasting a shortage of
residential units in Dubai by the end of 2018.
Commercial property lease rates also stabilised in Q4 2014.
Prime office space prices rose 17.5% y/y and secondary
commercial space rose 21.1% y/y, unchanged from Q3.
Dubai Residential Property Prices
Aug-06
Jan-07
Q-unc
Jun-07
Nov-07
Apr-08
Sep-08
Feb-09
Jul-09
Dec-09
May-10
Oct-10
Mar-11
Mid range villa
Mid range apt
High end villa
Source: Cluttons via Bloomberg, Emirates NBD Research
Aug-1
Jan-12
Jun-12
Nov-12
Apr-13
Sep-13
Feb-14
Jul-14
Dec-14
Lease rates per sq ft (In AED)
500
450
400
350
300
250
200
150
100
50
0
Mar-06
Aug-06
Jan-07
Jun-07
No. of licenses in '000s
120
100
Business Licenses issued*
80
60
40
20
0
-20
2010
2011
New Licenses
â– Renewed
2012
Cancelled
Source: DSC, *Licenses issued by DED only (excludes Freezones)
Dubai Commercial Property Lease Rates
Nov-07
Apr-08
Sep-08
Feb-09
-Low end apt
Prime office
Secondary office
Source: Cluttons via Bloomberg, Emirates NBD Research
Jul-09
Dec-09
May-10
Oct-10
Mar-11
Aug-11
Jan-12
Jun-12
Nov-1
Apr-13
Sep-13
Feb-14
Jul-14
Dec-14
7
2013
Emirates NBDView entire presentation