VP forms panel to ensure demand and supply balance in realty sector

Business Bureau, Gulf Today

His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, has issued directives to establish the ‘Higher Committee for Real Estate Planning’ under the chairmanship of Sheikh Maktoum Bin Mohammed Bin Rashid Al Maktoum, Deputy Ruler of Dubai and First Deputy Chairman of the Dubai Executive Council.

Members of the new ‘Higher Committee for Real Estate Planning’ will include the General Secretariat of the Executive Council of Dubai, Dubai Land Department, and various semi-government real estate developers including the Investment Corporation of Dubai, Wasl Properties, Dubai Properties, Emaar Properties, Meraas, Nshama, Nakheel Properties, Meydan, Dubai Silicon Oasis Authority, Dubai South, and Dubai Multi Commodities Centre.

The Committee seeks to create a comprehensive plan for the real estate sector’s development in Dubai and a clear strategy to add value to real estate projects. The move is part of increasing the competitiveness and highlighting the attractiveness of the real estate sector, which is a key driver of Dubai’s economic development. The Committee also aims to study the needs of the real estate market to ensure projects are not duplicated. The Committee will also work to ensure the uniqueness of mega projects and raise their standards of excellence so that they have a positive impact on the economy.

The formation of the ‘Higher Committee for Real Estate Planning’ is in line with the open letter Sheikh Mohammed sent to UAE citizens at the start of a “new season of achievement”, in which he stressed the need to generate exceptional innovative ideas and initiate quality projects that can take the economy to new heights. His Highness also highlighted the importance of controlling the pace of real estate projects so that they add value to the national economy.

Sheikh Maktoum Bin Mohammed stressed that Sheikh Mohammed’s message touched on many vital national issues and underlined the importance of a strong and balanced national economy. Sheikh Mohammed further said: “Foreign trade, export, tourism, logistics and service sectors, along with the real estate sector, are the largest and most important sectors driving the Dubai economy. The Committee will work to consolidate the attractiveness of the real estate sector and enhance its competitiveness for the benefit of all other vital sectors,” he added.

The ‘Higher Committee for Real Estate Planning’ will assess the state of the real estate sector, study the needs of the market, evaluate all future real estate projects, develop an integrated plan for the real estate sector to regulate and control the pace of projects, and achieve a balance between supply and demand. It will also direct real estate entities to develop new innovative projects focused on quality rather than quantity.

Sultan Butti Bin Mejren, Director General – Dubai Land Department said,” This is a very wise and visionary move to take our real estate market to the next level and to create a sustainable environment for investors and companies in the sector. His Highness’ message includes several proactive solutions that can help us face the challenges at an early stage, overcome them, and turn them into opportunities, especially when looking at scenarios from previous eras years, in other countries. Controlling supply and demand will be the key to real estate sustainability for the coming years, along with by dependence on proper planning, especially as it is the first guarantee factor that helps us to reach the objectives of our plans and predefined strategies with great precision.”

He added, “The Chairmanship of Sheikh Maktoum Bin Mohammed bin Rashid Al Maktoum, Deputy Ruler of Dubai will give a very positive experience to the committee, and will give a strategic dimension to the economy. DLD will contribute in making the work of the new committee as easy as possible by providing all information and support to the members. We believe that working together will create a unique opportunity to meet the expectations of our wise leadership.”

Niall Mcloughlin, Senior Vice President, DAMAC Ppoperties said, “The real estate committee that has been set up under the directive of His Highness Sheikh Mohammed Bin Rashid Al Maktoum will have a positive impact on the real estate sector and enable effective urban planning. As the industry continues its road to recovery, key initiatives will undoubtedly help in accelerating the upturn. The real estate market is maturing, and as a key driver of the economy, the introduction of government initiatives such as this committee, will help achieve balance and efficiency, enabling the city’s progress towards its long term goals. We will continue to support the government initiatives that help boost the real estate sector and the UAE’s economy.”