Middle East property sector poised for growth in 2011, says DAMAC
|
UAE. Growth in the MENA region is forecast to outpace the global average in 2011, signalling the property sector is ripe for investment, according to the Middle East’s largest private developer, DAMAC Properties.
The IMF is predicting GDP will expand 5.1% in the MENA region next year, higher than the forecast global average of just 4.2%.
The MENA region is expected to be second only to Asia in terms of annual growth, with MENA economies expanding at more than double the pace of advanced nations including Europe and the United States. “The MENA region will be a powerhouse of the global economy in 2011. DAMAC Properties, with our large regional footprint is well positioned to take full advantage of the upturn” said Ziad El Chaar, Managing Director of DAMAC Properties.
The property sectors in Saudi Arabia, Lebanon and Egypt are forecast to report double digit growth in 2011.
Lebanon’s Director General of the Economy Ministry Fuad Fleifel is predicting property prices in Beirut will rise another 15% in 2011. Property prices in Egypt grew 10% this year according to Global Property Guide, with similar growth forecast for next year. Property prices in some parts of Saudi Arabia surged as much as 40% in the second half of 2010 according to Banque Saudi Fransi, and will likely continue to appreciate in the New Year.
“There are strong economic fundamentals underpinning the case for property prices to rise across the MENA region in 2011. DAMAC Properties, as the largest luxury developer in the region, is expecting a lot of activity in 2011, as investors rush to buy real estate to capitalise on the predicted upswing” El Chaar added.
