Investor Presentaiton
Dubai Economic Update (3/3)
Highlights
Residential real estate prices continued to decline across all
sectors on an annual basis, according to Cluttons, with
mid-range villas down -6.7% y/y in September. Apartment
prices have been more resilient, according to Cluttons data.
The Emirates NBD Dubai Real Estate Tracker indicates that
activity in the residential real estate market slowed further in
the three months to August with some of the weakness in the
survey likely due to the summer lull.
We expect the long term residential outlook to remain strong
as population and economic growth should underpin
demand in the run-up to 2020.
Strategy
% y/y
Financial & Operating Performance
Emirates NBD Profile
Operating Environment
Appendix
Dubai Residential Property Prices
90
Mid range villas
70
10
Low end aptmts.
High end aptmts.
60
50
30
10
-10
Mid range aptmts.
High end villas
-30
Sep-11 Mar-12 Sep-12 Mar-13 Sep-13 Mar-14 Sep-14 Mar-15 Sep-15
Source: Cluttons via Bloomberg, Emirates NBD Research
Thousands
Business Licenses issued*
85
Business licences
75
Emirates NBD
112
12
% y/y
10
65
8
81.064
73.246
67.716
55
6
61.852
57.416
45
4
H1 2011
H1 2012
H1 2013
H1 2014
H1 2015
Total Licences (LHS)
% y/y (RHS)
Source: DSC, *Licenses issued by DED only (excludes Freezones)
Dubai Commercial Property Lease Rates
% y/y
40
20
10
0
-10
-20
-30
-40
ུ 8 8 ༅ ° Ş8྅༈༙
Prime Office
Secondary Office
Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3
2010
2011
2012
2013
Source: Cluttons via Bloomberg, Emirates NBD Research
2014
2015
CO
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