Real Estate Essay Example | Topics and Well Written Essays - 2000 words

Real Estate - Essay Example It has become extremely wealthy after gaining foreign direct investment funding in the 1970s. The country has a rather high Human Development Index when compared to other Asian countries the country has risen 8 ranks on the Human Development Index. Real GDP in 2005 grew quite rapidly by 8.2% to AED357.6bn on the back of extremely strong economic activity, and the prices of oil also grew at a fast pace resulting in big fiscal as well as external surpluses. Economic Growth in the last few years has highly increased the per capita GDP to a record high of US$28,147 in the year 2005 as compared with US$24,380 the year before (Marcus & Howard p 78). When Gulf Cooperation Council (GCC) countries are analyzed it can be said that that after Qatar, UAE has the highest per capita GDP. After looking forward, we anticipate economic growth to stay the same for both years 2006 as well as 2007. GDP is expected to grow by a good 14% for the year 2006 to reach AED553.4bn, whereas in real terms the economy is expected to achieve approximately 9.7%. Of a high growth rate The UAE's property market sector wholly contributed to 7.4 percent of the country's GDP in 2005. That year, in 2005 it experienced an immense growth of 19.7%, as well as a CAGR of 13.5% during the period 2000 to 2005. This sector was buoyed by the increase in investment in infrastructure, the rise in the residential and non-residential units, and the country's development into an eye-catching tourist destination. Because of the country being transformed indication to the rise in residential and non residential units The real estate and construction sectors both accounted for 14.6% of GDP via government in 2005 (Marcus& Howard p 76). Dubai, the most important market for foreign investments has made some crucial improvements over the last few years. After allowing 100% possession for foreigners in selected locations, there have been some amendments to the law including the newly announced property law No. 3 of 2007 which was issued via government early this year. This law completely l egalizes freehold ownership of land as well as property to UAE along with GCC nationals, whereas permitting equal rights to non-GCC expatriates in designated areas. The latest law fully permits expatriate homeowners to record and register all their property in their names through the Dubai Lands and Properties Department. Urban Planning 2030: Abu Dhabi Urban Structure Framework Plan 2030(Marcus &Howard p 75), a complete plan destined for the development of the city of Abu Dhabi that will aim to help, as well as guide, in making decisions for the next quarter of a century. The Government has also recently made an announcement regarding the establishment of a new Urban Planning Council to supervise the implementation of the plan for future development of urban planning policies. The plan has been made for the sole purpose of delivering upon the vision of Sheikh Khalifa bin Zayed Al Nahyan, President of the UAE as well as Ruler of Abu Dhabi, and