Cityscape Global signals resurgence of investment

Sajjad Ahmad, Deputy Business Editor

International real estate investment flows are resurging following a pandemic induced lull with buyers signing up to properties across the Middle East, Asia, Europe and the UK at Cityscape Global, the leading real estate investment show, which continues at Dubai Exhibition Centre, Expo 2020, until Thursday.

As the show’s 21st edition got into its stride the UAE’s Sobha Realty was celebrating a multi-million-dirham first day sales tally. “We achieved sales transactions of more than Dhs100 million on the first day as we launched Waves Grande, the second residential tower at the Waterfront District in Sobha Hartland,” commented Ms. Jyotsna Hegde, the company’s President.

The UAE’s Select Group notched up a first day success selling out more than 25% of its 330 Dubai Peninsula Two, Business Bay apartment inventory on the project’s release day.

“It surpassed all our expectations with a good mix of locals and expatriates buyers,” said Georges El Hachem, Commercial Director of Select Group. “We sold over 80% of Peninsula One within a month of the launch last month, and if the market appetite remains intact, we would be hopeful of reaching similar levels of sales with Peninsula Two.”

Sharjah’s Arada Developments received strong interest in the 566 smart apartments it launched in its Aljada mega project. “Right from the show’s opening we started seeing some good sales, so for us it was an extremely strong start,” said Ed Atwood, Chief Communications Officer, Arada Developments.

As UAE developers processed the interest uptake, Middle East buyers and residents were also planning overseas investments with the UK, the Med and Egypt in the main frame.

Regal London reported a first-day sale of a studio apartment in Watford and ongoing negotiations with Gulf buyers for St. John’s Wood properties. “The solid sale was to an Indian gentleman who is resident in Dubai and bought it for his daughter to live in while she studies in London,” explained Jacob Sullivan, Sales & Marketing Director, Regal London. “There is still interest in the London market from people wanting holiday bolt holes in the UK, for investment or for accommodation for family studying in the capital.” Montenegro’s Lustica Bay development on its first Cityscape showing was sealing the sale of a waterfront villa in the new Mediterranean destination by Egypt’s Orascom. “The buyer is an Egyptian who is looking for a Mediterranean retreat,” said Volia Dzikovich, Sales Manager. “We are here to build awareness of Montenegro and the opportunities, and we have had a steady flow of interest.” Egyptian properties were in high demand as first and second homes, according to Ismail Hafez, Marketing Director of Orascom’s Makadi Heights. “Traffic has been better than we expected,” he commented.

Investment in Sustainable energy: India invited the Gulf cooperation Council (GCC) member countries to invest in the sustainable energy sectors in the country, which is one of the major focus areas of the government.

Addressing the representatives of the GCC countries at India pavilion Expo 2020 Dubai, Mr Vipul, Joint Secretary, Gulf, MEA said that India’s sustainable energy sector has immense opportunities, and the Government of India has taken a series of measures, including increasing the FDI limits along with opening up of the sectors like defence, telecom and insurance.

He added that Prime Minister had announced that India would be having 500 GWs of Renewable energy by 2030 and GCC nations can capitalize on this opportunity. “We need to evolve our areas of cooperation, and the platforms required for this purpose like business technology corridors will be important. The theme of Expo 2020 itself helps us take our relations forward and look into sectors that come under – Sustainability, Mobility and Opportunity,” he said, adding that,  “Essentially, sustainability technology like renewable and hydrogen energy, electric vehicles, and health technology are the potential areas of cooperation and partnership.”

Vipul said it is expected that by 2025, India will attract FDI of up to $120-160 billion annually, and Gulf countries are best placed to exploit this opportunity given our relations, and our cultural connect. India already has a large market with highly talented workforce along with a focus on predictability in the business environment, he added.

 “There will be a continuous strengthening of India-GCC relations and that would provide an enabling environment for businesses to succeed,” Vipul added.

Dr Aman Puri, Consul General of India in Dubai & Deputy Commissioner General for India at Expo 2020 Dubai said that the Govt of Dubai recently collaborated with the Govt. of J&K to invest in the state. This is a huge opportunity for all the GCC countries as well. “Expo 2020 is a great opportunity for all of us and we should collectively come forward to utilize this to drive economic growth, economic recovery and revival,” he added.

Inviting Indian companies to invest in the GCC nations Nasser Alaqil, VP Strategic Partnerships and Government Affairs, National Companies Promotion Program, Kingdom of Saudi Arabia said that India and Saudi Arabia are on a growth path and the business relationships are continuously improving with the changing dynamic world. “We look forward to the strengthening of India-Saudi ties,” he added.

Bader Ali, Regional Director, MENA & Asia- Investment Origination, Bahrain EDB said that India and Bahrain relations have become stronger, and business always comes when there is a right opportunity.

Ms Haura Al Wahaibi, Director of Investment Promotion, Ministry of Commerce, Industry and Investment Promotion, Oman said that the country is a gateway to the gulf. “Recently we announced 50 different investment opportunities and we would like to receive interest from companies across India. We want Oman to be a place where business can come grow and thrive,” she said.

Eng Abdulbasit Al Ajji from Qatar said, “Qatar has developed sustainable and rapid economic growth through dynamic strategy and modifying several legislations. Infrastructure, energy, IT are sectors where we want to partner like India along with the human resources”.

Ms Bashayer Al Usaimi, Head of Projects Evaluation and Incentives Granting Section, Kuwait Investment Promotion Authority (KDIPA) said that the country provides incentives like IT and custom duty exemption for investors and soon allocation of land will be part of future planning to attract investments. “Kuwait has a vision 2035 which includes potential sectors like renewable energy, healthcare, education, environmental services,” she added.

Vikramjit Singh Sahney, Chair, FICCI-India Arab Council, Member of FICCI’s National Executive Committee and Chairman, Sun International, India said that the region provides immense opportunity for investment partnerships in sectors like renewable energy, health sector, pharma, Information Technology, Start-ups.

Abdullah Albasha AlNoaimi, Commercial Attache to India, UAE said that there are endless opportunities for mutual collaboration in the realm of woman entrepreneurship between the GCC and India.