Commercial Landlords Offering High Quality Offices As Incentives In Abu DhabiFriday, March 01, 2013
According to the latest suggestions of RICS (Royal Institution of Chartered Surveyors) Global Commercial Property Survey, there was a gradual improvement in real estate sentiment of the UAE during Q4 of 2012. The survey was conducted among 711 industry professionals worldwide and it showed an improvement in the key sectors particularly retail and industrial sectors. In the Q4 of last year, the activity sentiment was fairly poised with all sectors experiencing increases in transactions and enquiries.
Nevertheless, the trend line seems to be adversely affected in case of office sector, where the rents are experiencing shallow declines even for Grade A spaces.
The investment markets also seem to be experiencing improvements complemented with strong gains in transactions and enquiries at all-sector level. However, the capital values are expected to remain stable interestingly. Over the new term RICS (Royal Institution of Chartered Surveyors) is expecting capital values to rise in retail sector.
The commercial sector of Abu Dhabi has taken the advantage of completion of exclusive office premises in good locations. A positive growth has been assumed in lease transactions owing to the increase in supply and choice by landlords to offer structured incentives with the intent of attracting large government organizations along with private sector corporations.
Dubai has also experienced good sentiments from tenants both in landmark buildings and newly released opportunities. Although the interest of investors in buildings is greater now in contrast with the prevailing conditions six months ago, the sale of office spaces as individual units is likely to encounter significant changes.
The sentiment of real estate in the rest of the world generally remained positive, with the exceptional trend in Europe, where the prevailing economic uncertainty is exerting pressure on all major sectors.