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Real estate Investment | Dubai-Real-Estate-Market- Transaction Report-Q2-2022

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Real estate Investment | Dubai-Real-Estate-Market- Transaction Report-Q2-2022

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  1. DUBAI REAL ESTATE MARKET Q2 2022

  2. Dubai Dubai Residential Residential Sales Transactions Transactions (Volume Sales (Volume & & Value) Value) The overall residential transactions volume increased by 11% compared to the previous quarter. Off-plan transactions volume increased 8% quarterly while ready transactions volume increased by 13%. Compared to the same period last year, the overall residential transactions volume increased by 46% where off-plan transactions grew by 51% and ready transactions by 43%. The value of overall transactions increased by 15% compared to the previous quarter. Off-plan transactions value increased 17% quarterly while ready transactions value grew by 14%. Compared to the same period last year the total value of transactions increased by 62% where off-plan transactions value increased by 101% and ready transactions value increased by 46%. The quarter-wise transaction volume and value (off-plan, ready and overall) has been highest for any quarter when compared to past several years Volume of Residential Sales Transactions Value of Residential Sales Transactions 25,000 60.00 20,000 50.00 Number of Transactions AED Billions 40.00 15,000 12,039 10,655 31.85 8,822 30.00 7,935 27.99 8,448 10,000 22.44 20.63 20.00 21.89 5,000 9,032 8,354 7,762 6,928 5,978 10.00 18.39 16.54 15.72 13.48 9.13 - Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 0.00 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Off-Plan Market Transactions Secondary Market Transactions Off-Plan Market Transactions Secondary Market Transactions Source:Reliant Surveyors Research/ REIDIN 2 ©2022 Reliant Surveyors. UAE REAL ESTATE MARKET REPORT – Q2 2022

  3. Dubai Dubai Apartment Apartment Sales Transactions Transactions (Volume Sales (Volume & & Value) Value) Volume of Apartment Sales Transactions 16,000 The total apartment transactions volume went up by 9.5% in Q1 2022 compared to the previous quarter. Off-plan apartment transactions volume went up by 16% on a quarterly basis while secondary apartment transactions volume increased by only 3%. Compared to the same period last year, the overall apartments transaction volume went up by 70%. 14,000 Number of Transactions 12,000 7,079 10,000 5,615 8,000 5,453 4,817 5,037 6,000 The overall value of apartment transactions went up by only 2.3% quarterly where offplan apartment transactions value went up by 1.7% and secondary apartment transactions value went up by 3%. On a Y-o-Y basis, the value of overall apartmenttransactions increased by 137%. 4,000 6,947 6,169 5,306 4,898 4,574 2,000 - Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Off-Plan Market Transactions Secondary Market Transactions On a quarterly basis the volume and value of overall apartmenttransactions has been highest when compared to any quarter for the past several years. Source:Reliant Surveyors Research/ REIDIN Value of Apartment Sales Transactions 30.00 25.00 11.97 20.00 AED Billions 9.05 8.79 15.00 6.95 6.99 10.00 14.66 11.86 11.66 5.00 9.77 6.75 0.00 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Off-Plan Market Transactions Source:Reliant Surveyors Research/ REIDIN Secondary Market Transactions UAE REAL ESTATE MARKET REPORT – Q2 2022C 3 ©2022 Reliant Surveyors.

  4. Dubai Dubai Villas Transactions Transactions (Volume Villas Sales Sales (Volume & & Value) Value) Off-plan villa transactions volume fell by 2% in this quarter compared to the previous one while ready transactions increased but only by 1%. This has been the slowest quarterly growth for villa transactions since the third quarter of 2020 as overall villa transactions grew only by 0.1%. Compared to the same period last year, overall villa transactions increased by 38% where off-plan transactions increased by 35% and ready transactions increased by 39%. Value of off-plan villa transactions fell again in this quarter by 5% compared to the previous quarter. Contrary to this, ready villa transactions grew again in this quarter by 7% compared to the previous quarter. Overall villa transactions volume did grow by 5% quarterly. Annually, the villa transactions have grown by 32%. Volume of Villa Sales Transactions Value of Villa Sales Transactions 7,000 6,000 25.00 Number of Transactions 5,000 20.00 AED Billions 4,000 4,361 4,401 15.00 3,029 2,844 3,000 18.51 17.36 3,175 12.91 10.00 12.91 14.19 2,000 5.00 1,000 1,960 1,630 1,555 1,520 3.79 1,124 3.05 2.95 2.80 1.95 0.00 - Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Off-Plan Market Transactions Secondary Market Transactions Off-Plan Market Transactions Secondary Market Transactions Source:Reliant Surveyors Research/ REIDIN Source:Reliant Surveyors Research/ REIDIN 4 ©2022 Reliant Surveyors. UAE REAL ESTATE MARKET REPORT – Q2 2022

  5. Top Top 10 Apartment Apartment Transactions 10 Areas Areas for for Transactions Top 10 Areas for Offplan Apartment Transactions The highest number of offplanswere witnessed in Downtown Dubai with 25%, Business Bay, Dubai Creek Harbour, Jumeriah Village Circle, Al Wasl, Sobha Hartland and Al Jadaf. Major ready apartments included, Dubai Marina to lead the read transactions, accounting for nearly 18%, followed by Jumeriah Village Circle, Business Bay, Downtown Dubai, Palm Jumeriah, Jumeirah Lake Towers, International City and Jumeriah Beach Residence (JBR). Top 10 Areas for Ready Apartment Transactions Source:Reliant Surveyors Research/ REIDIN UAE REAL ESTATE MARKET REPORT – Q2 2022 5 ©2022 Reliant Surveyors.

  6. Top Top 10 Villa Villa Transactions Transactions 10 Areas Areas for for Top 10 Areas for Offplan Villa Transactions Top 10 Areas for Ready Villa Transactions 3%1% The Villages 4%4% Damac Lagoons 5% 4% 6% 25% Arabian Ranches Phase 3 Akoya Oxygen 4% Villanova 4% 8% Al Furjan 5% The Valley Dubai Hills Estate The Springs 50% 8% 4 Rukan 7% Town Square District One 9% 23% 8% Tilal Al Ghaf Jumeirah Park 10% 12% Source:Reliant Surveyors Research/ REIDIN Source:Reliant Surveyors Research/ REIDIN 6 ©2022 Reliant Surveyors. UAE REAL ESTATE MARKET REPORT – Q2 2022

  7. Dubai Dubai Residential Residential Sales Transactions Transactions (Q Sales (Q- -o o- -Q Q Changes) Changes) Source:Reliant Surveyors Research/ REIDIN UAE REAL ESTATE MARKET REPORT – Q2 2022 7 ©2022 Reliant Surveyors.

  8. Dubai Dubai Residential Residential Sales Transactions Transactions (Y Sales (Y- -O O- -Y Y Changes) Changes) Source:Reliant Surveyors Research/ REIDIN UAE REAL ESTATE MARKET REPORT – Q2 2022 8 ©2022 Reliant Surveyors.

  9. Dubai Dubai Residential Residential Supply Supply Dubai Residential Supply by Type [Completed] Dubai Residential Supply by Type [Under-Construction] Over 7,750 new units were added to the Dubai market in Q2 2022 of which 5,836 units were 15% apartments and the remaining were villas. No 22% serviced apartments were delivered in this quarter. Currently over 105,000 new apartments and serviced 78% 85% apartments are under construction while over 30,000 new villas are under construction. Apartments/ Serviced Apartments Villas Apartments/ Serviced Apartments Villas DUBAI RESIDENTIAL SUPPLY Completed Under Construction 48 70 252 265 282 309 338 374 415 452 466 514 UP TO 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Source:Reliant Surveyors Research/ REIDIN 9 UAE REAL ESTATE MARKET REPORT – Q2 2022 ©2022 Reliant Surveyors.

  10. Dubai Dubai Apartment Apartment Sales Price Price Series Series (Value (Value & Sales and Rental and Rental & Changes) Changes) Dubai Apartment Price Movements Last 3 Months Last 6 Months Last 1 Year Last 2 Years 25.0% Apartment sales prices increased only by 0.5% in this 20.0% quarter compared to the previous quarter, however rentals 15.0% have soared by 6.6%. % 10.0% Compared to the same period last year, sales prices are up 5.0% by 8.7% while rentals increased by 21%. 0.0% Sales Price Movement Rental Price Movement Dubai Apartment Price Trends 150 1400 130 1200 110 Rates in AED/Sqf 1000 90 800 70 600 50 400 30 200 10 0 -10 Apartment Sales Price [AED/Sqf] Apartment Rental Price [AED/Sqf/Month] Source:Reliant Surveyors Research/ REIDIN UAE REAL ESTATE MARKET REPORT – Q2 2022 10 ©2022 Reliant Surveyors.

  11. Dubai Dubai Price Change Price Change Apartment Apartment PRICE CHANGES IN THE APARTMENT COMMUNITIES Last 3 Months Last 6 Months Last 12 Months DISCOVERY GARDENS DOWNTOWN DUBAI DUBAI SPORTS CITY INTERNATIONAL CITY JUMEIRAH LAKE TOWERS BUSINESS BAY DUBAI MARINA PALM JUMEIRAH THE GREENS 19.38% 16.37% 14.47% 13.75% 11.40% 7.56% 7.31% 5.49% 5.36% 4.78% 3.83% 3.41% 2.77% 2.64% 1.92% 1.42% 1.06% 0.87% 0.73% 0.38% 0.25% -0.17% -0.52% -1.23% -1.36% -2.04% -3.65% Source:Reliant Surveyors Research/ REIDIN UAE REAL ESTATE MARKET REPORT – Q2 2022 11 ©2022 Reliant Surveyors.

  12. Dubai Dubai Villa Series Series (Value (Value & Villa Sales Sales and Rental and Rental Price & Changes) Changes) Price Dubai Villa Price Movements Villa sales prices accelerated again this quarter and grew by 4.5% compared to the previous quarter after slowing down in the previous two quarters. Last 3 Months Last 6 Months Last 1 Year Last 2 Years 40.0% 35.0% 30.0% Villa rentals jumped 7.1% compared to the previous quarter which is the fastest increase ever recorded. 25.0% % 20.0% 15.0% Y-o-Y villa sales prices have increased by 19.3% while rentals have increased by 24.7%. 10.0% 5.0% 0.0% Sales Price Movement Rental Price Movement Dubai Villa Price Trends 120 1400 1200 100 1000 80 AED/Sqf 800 60 600 40 400 20 200 0 0 Villa Sales Price [AED/Sqf] Villa Rental Price [AED/Sqf/Month] Source:Reliant Surveyors Research/ REIDIN UAE REAL ESTATE MARKET REPORT – Q2 2022 12 ©2022 Reliant Surveyors.

  13. Dubai Dubai Price Change Price Change Villa Villa PRICE CHANGES IN THE VILLA COMMUNITIES Last 3 Months Last 6 Months Last 12 Months JUMEIRAH GOLF ESTATES JUMEIRAH VILLAGE CIRCLE ARABIAN RANCHES EMIRATES HILLS JUMEIRAH PARK PALM JUMEIRAH THE VICTORY HEIGHTS AL FURJAN THE LAKES SPRINGS 50.54% 29.22% 28.25% 27.04% 23.97% 21.77% 21.53% 19.86% 17.51% 15.74% 15.67% 15.65% 14.08% 9.20% 8.54% 7.56% 7.13% 7.06% 6.50% 6.20% 5.99% 5.32% 4.86% 4.77% 4.51% 4.41% 3.83% 3.68% 2.86% 0.53% Source:Reliant Surveyors Research/ REIDIN UAE REAL ESTATE MARKET REPORT – Q2 2022 ©2022 Reliant Surveyors. 13

  14. Dubai Dubai Office Office Market Market Office Supply (Dubai) 14 0.1 0.1 12 SQM in Millions 10 8 6 4 2 10 10 11 11 11 11 12 12 13 - Up to 2015 2016 2017 2018 2019 2020 2021 2022 2023 There were no office projects delivered in the second Completed Under Construction quarter of 2022. Source:Reliant Surveyors Research/ REIDIN Office Rental Price [AED/Sqf/Year] As per developer announcements over 116,500 sqm of 140.00 office supply is expected to enter the market in the 120.00 100.00 second half of this year. AED/Sqf 80.00 Around 130,000 sqm of office space is expected to 60.00 enter the market in the upcoming years. 40.00 20.00 Office rentals have continued to increase in this quarter and 0.00 are up by 2.25% compared to the previous quarter. Rentals are at their highest point since Q4 of 2019. Source:Reliant Surveyors Research/ REIDIN UAE REAL ESTATE MARKET REPORT – Q2 2022 14 ©2022 Reliant Surveyors.

  15. Dubai Hospitality Market Hotel & Hotel Apartments Room Supply 140 120 Average Daily Rates (ADR) 100 80 Thousand Rooms 60 Jan to May 2021 [AED] 397 Jan to May 2022 [AED] 603 40 138 141 127 126 20 98 103 107 116 0 Y-on-Y 51.89% Jan to May 2022 2021 2015 2016 2017 2018 2019 2020 Completed Supply data is from Dubai Tourism Hotel prices have slowed down this quarter as expected due to seasonal pressure and also because comparatively there is no international event going on in Dubai at the moment such as the EXPO 2020. Compared to the same period in the previous year however prices are around 52% this year which is a good sign for the hospitality industry. There is a lot of anticipation for the fourth quarter of 2022 to provide a major boost to the hospitality sector as the FIFA 2022 world cup in Qatar is expected to attract tourists from around the globe towards Dubai as well. UAE REAL ESTATE MARKET REPORT – Q2 2022 ©2022 Reliant Surveyors. 15

  16. About About Us With a history that goes back to 4 decades, Reliant is known for delivering excellence and holds 2nd number license from insurance authority. We have over 2,000+ satisfied clients and successfully completed over commercial and residential sectors. Reliant is living up to its name and has become trustworthiness in the asset valuationindustry. Us 5,500 assignments across synonymous to reliability & We are a company driven by passion and hold dear our values i.e. integrity, honesty, transparency, quality, and professionalism. With a client-centric approach, we remain committed to deliver excellence and perfection in everything we do. Our sheer commitment, dedication, passion and devotion towards work have enabled us to Middle East and India – with plans to set foot in the UK market very soon. grow exponentially in the Our People Reliant as a company takes pride in its heritage, people and culture and oers its clients a comprehensive range of customized reports leveraging its dedicated, skilled, and multi-disciplinary team, which includes RERA approved valuers, RICS professionals, Chartered Engineers, and CEIV. Naresh Sharma B.Tech, FIIV Chairman Vivek Seth B.Sc (Hons), MRICS, CEIV RICS Registered Valuer, Director Abhinav Sharma BBA (Banking & Insurance) AssocRICS, MCMI RICS Registered Valuer. Director Amrita Chandhok B.Com (Hons), AssocRICS RICS Registered Valuer , Director Valuations

  17. DUBAI - HEAD OFFICE 806, Capital Golden Tower, Business Bay Dubai, UAE +971 4 267 5572 info@reliantsurveyors.com ABU DHABI OFFICE Office C102C , 1st Floor, Level 1, Al Bateen Tower C6 Bainunah ADIB Building, Street 34 Abu Dhabi, United Arab Emirates Disclaimer: This report is for general informative purposes only. It may not be published, reproduced or quoted in part or in whole, nor may it be used as a basis for any contract, prospectus, agreement or other document without prior consent. Whilst every effort has been made to ensure its accuracy, Reliant Surveyors accepts no liability whatsoever for any direct or consequential loss arising from its use. The content is strictly copyright and reproduction of the whole or part of it in any form is prohibited without written permission from Reliant’s research team. ©Reliant Surveyors. INDIA OFFICE 207, Padma Tower II 22 Rajendra Place New Delhi, India

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