Property in Dubai
Dubai office rents remain stable last month
Rent decline has been continuing its breather in Dubai, with the residential and commercial rents remaining static in November, as revealed by Asteco, the property management company.
The survey showed that re-location to other apartments has slowed down, as people seem to have put off their plans to shift until after holidays. Tenant enquiries are limited to localities that are less cramped, and to localities with best deal on rates.
Landlords continued to remain flexible and are still open to negotiating rental rates and payment terms. Several of the upscale neighbourhoods and projects have seen stability in annual rents since September.
According to a survey by Khaleej Times, a studio in Dubai Marina, Marina Promenade, Downturn Burj Dubai, Emaar Six Towers, Sheikh Zayed Road, Palm Jumeirah and World Trade Center, ranged from Dh.50,000 to Dh.60,000, while rents for single bedroom units remained static at Dh.85,000 to Dh.120,000.
A double bedroom flat was priced at Dh.120,000 to Dh.160,000, while a triple bedroom unit was priced at Dh.160,000 to Dh.210,000 the survey found.
In the mid-tier neighbourhood of Bur Dubai, the Greens, Al Barsha, Jumeirah Beach Residence and Dubai Marina, a studio ranged from Dh.35,000 to Dh.50,000 last month, while a single bedroom flat ranged from Dh.55,000 to Dh.75,000, a double bedroom flat ranged from Dh.70,000 to Dh.100,000 and three-tier bedroom units ranged from Dh.90,000 to Dh.120,000.
Average annual rents were cheaper in International City, Deira, Discovery Gardens, Jumeirah Lake Towers and some parts of Dubai Marina. In these areas the prices of studios were in the range Dh.26,000 to Dh.40,000, single bedroom at Dh.38,000 to Dh.65,000, double bedroom at Dh.60,000 to Dh.85,000, while triple bedrooms were in the range Dh.90,000 to Dh.110,000.
In the commercial sector, average annual rent for leading commercial locations such as the Downtown Burj Dubai, Sheikh Zayed Road, Dubai International Financial Center were between Dh.150 and Dh.370 per square foot per year.
However, with the new supply, rents decline at Jumeirah Lake Towers, wherein the rents ranged at Dh.5 to Dh.55 per square foot at the lower-end, while on the higher-end rents were in the range Dh.170 per square foot per annum at Bur Dubai, Downtown Jebel Ali, Tecom, and Festival City.
In Dubai Silicon Oasis, Deira and Dubai Sports City, office rents still ranged from Dh.50 to Dh.100 per square foot per annum in November.
Posted on 3/12/2009