Abu Dhabi, Property Market Outlook, Winter 2017
Cluttons has released its Abu Dhabi Property Market Outlook report for Winter 2017/18.
The nervousness we have been reporting on for almost three years is well entrenched in the market at present. Weaker economic growth has taken a toll on the hydrocarbon sector in particular, which has been a key driver of demand in the residential and commercial markets in the emirate historically.
Key highlights from our report include:
- The residential rental market has been relatively more buoyant than the sales market, with higher levels of activity compared to this time last year
- Due to the sustained drop in demand, we have seen developers respond by offering attractive payment plans, as well as bringing residential developments through that are far more affordable than what we have seen previously
- Subdued growth in the oil and gas sector continues to undermine overall activity in the office market. The public sector on the other hand, which includes government departments and other quasi government entities, appears to be mobilising in response to the weak office rents
Further detail, including our forecasts for the residential and office markets is presented in the report.