Disclosures of the performance of real estate development companies in the UAE, during the first nine months of this year, reveal that most of these companies recorded growth in their net profits compared to the same period of the previous year, as profits exceeded more than 10%, and reached more than 50% for some companies.
For us, as followers of the local real estate market and analysts of the performance of the real estate development sector, these profits are not just numbers, but rather an indicator that confirms the strength of the UAE real estate sector, and a tangible sign that reflects the UAE’s success in building a bridge of trust with investors and consolidating its position as the best investment destination in the world, in addition to its ability to adapt to various external variables.
There may be many reasons for the achievements made by companies during the previous periods of this year, but it must be emphasized that the expansion plans adopted by these companies to benefit from market trends and strong demand were among the most important factors that contributed to achieving these profits, as the real estate sector is currently witnessing an increasing demand for residential and commercial properties, in light of the increasing number of international residents and residents who consider the UAE an ideal destination for living and working. This is due to government policies that encourage foreign investment in various economic sectors, starting with ownership facilities for foreigners, and extending to providing incentives specifically directed to investors, and its success in providing a safe and stable environment that has made the UAE real estate sector at the top of the list of the most attractive sectors for investment in the region.
As a consultant specializing in real estate project management and development, I believe that the plans adopted by real estate development companies play a role of 80% in the size of the achievements they make. Relying on the strength of demand in the market alone is not enough, because on the other hand there are enough companies in the market to support the supply side, but not everything offered in the market meets demand. Here, it can be said that the ability to adapt growth and expansion plans to the type and trends of demand and enhance the value of real estate to take advantage of the opportunities available in the sector is what drives the wheel of growth and sustainable profits for development companies, and the secret of their success and survival in the market. Finally, the growth in the profits of real estate development companies is a reflection of a clear and long-term vision aimed at creating a flexible and transparent investment environment, which consolidates the position of the real estate sector as one of the main pillars of the national economic equation.
Source Link: https://www.emaratalyoum.com/opinion/2024-12-11-1.1903891
