Property Prices Near Dubai Metro Have Risen 34%Thursday, April 05, 2012
Roads and Transportation Authority (RTA) has reported a sudden rise up to 34 percent in property prices near Dubai Metro stations since 2009. To cope up with the increasing living cost, people search for cost effective ways to minimize the expenditures. Therefore, real estate developments near metro station have seen a surge in demand in recent years, the RTA reported.
A joint study was carried out by Roads and Transportation Authority (RTA) and Real Estate Regulatory Authority (RERA) Dubai and the results revealed that the demand of properties near metro stations has soared more than a third in some areas. Bear in mind that Dubai Metro was one of its kinds of transportation facility in the Middle East with a driverless network.
Originally, it was planned that there will be six lanes across the city but soon after Dubai debt crisis 2008, the plan was scaled back. The Red Line carries around 190,000 passengers on daily basis and it was the first track to begin operations started from Rashidiya Station to Jabel Ali Station. Green Line was opened in September last year to service relatively older areas of the city like Deira and Bur Dubai.
Easy transportation is one of the basic needs of the society. Therefore, people started favoring properties near Dubai metro stations. Real estate agents and brokers have already reported an increase in rental prices of properties near operating metro stations. Other analysts were not agreeing to the figure presented by RTA’s report and they claimed that increase of 10 to 15 percent is probably more realistic for most of the areas near Dubai metro stations. However, prices are increased, everyone believes.
According to analysts, the prices depend upon the location and it is a linear system. Another analyst said that the increase in property prices in Dubai near metro station is following the global trend, as everywhere prices for properties, which are close to public transport, increase.