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FINANCIAL NEWS
Rents in Abu Dhabi may resume dropping
16 Jan 2012
(MENAFN) UAE’s Tasweek Estate Marketing and Development said that since new projects would be constructed in Abu Dhabi, rents would likely continue to drop, as landlords planned to attract tenants, reported Gulf News.
The company added that last year, the capital recorded a stable rise in unit introductions, which led to large reductions in rental rates, mainly in areas outside Abu Dhabi, including Mohammad Bin Zayed City, which had big supply of new buildings.
It also said that over the past 2 years, rents on Abu Dhabi Island were falling, moreover, in 2011; residential yield averaged 10.5 percent across all residential categories, with price declines surpassing a rental slide, whereas commercial yield averaged 12.5 percent.
It is worth noting that in 2012, over 5,000 residential and office units would be introduced in Al Reem Island, while several projects will be expected to complete in the port areas.
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