مهند الوادية.. الجيل الجديد لإدارة الأصول العقارية

“هاربور” استطاعت التميز والخروج من براثن الازمة العالمية أكثر قوة وخبرة وذلك من خلال التفكير المبدع والمبتكر الذي عملت بموجبه قيادات الشركة وفي مقدمتهم مهند الوادية المدير التنفيذي في الشركة، الذي لعب دوراً بارزاُ في توجيه دفتها والوصول بها الى النجاح الذي تتمتع به اليوم من خلال ادارتها لاصول عقارية تصل قيمتها الى اكثر من 15 مليار درهم ومحفظة عقارية متنوعة تصل الى 6000 وحدة عقارية في امارة دبي.

  الابتكار والتحدي.. ليس هو فقط ما يميز شخصية مهند الوادية بل تتميز ايضاً بالكثير من الطموح والشغف والمثابرة، فالروح الشابة للرجل تدفعه الى مزيد من الابتكارات التسويقية والادارية الخاصة بالقطاع العقاري في امارة دبي بل في المنطقة عموماً، وهذا بالذات ما قاد شركة “هاربور” الى أن تكون واحدة من الشركات الكبرى في مجالات متخصصة في الخدمات العقارية المميزة والجديدة كلياً على القطاع العقاري في الدولة.

  الخدمات العقارية التي تتضمنها أعمال شركة “هاربور” تشمل الكثير من الابتكار والتجدد بما يضمن مصالح جميع اطراف المعادلة العقارية، فمن جهة يضمن استثمار ناجح لصاحب العقار، ومن ناحية أخرى يضمن الخدمة المثلى للمستأجر، وبنفس الوقت الحفاظ على القيمة الاستثمارية للعقار على المدى الطويل، فالمعادلة الناجحة هي التي تضمن حقوق الجميع كما يقول “الوادية”.

  ويضيف مهند الوادية: “قادت دبي التطوير العقاري عالمياً وجعلت من هذا القطاع القلب النابض الذي تدعمه الدول في سبيل بناء وتطوير قطاعات السياحة والتجزئة والتجارة والبنى التحتية التي تشكل العصب الحقيقي لتطور البيئة العقارية في الدولة وخصوصاً في امارة دبي التي تشكل رؤية صاحب السمو الشيخ محمد بن راشد آل مكتوم نائب رئيس الدولة رئيس مجلس الوزراء حاكم دبي المفتاح السحري لتطورها وجعلها قبلة العالم الحديث”.

  الحوار مع مهند الوادية، المدير التنفيذي لشركة هاربور العقارية، ومحاضر مادة إدارة العقارات وخدمة العملاء في “كلية دبي العقارية”، ذراع التدريب والترخيص التابع لـ”دائرة الأراضي والأملاك”، شامل ومتنوع، يلقي الضوء على مستقبل القطاع العقاري في دبي على المستويين القريب والبعيد، فنظرة الرجل الثاقبة وتحليلاته العلمية المبتكرة والمستمدة من كونه محاضراً بارزاً في “كلية دبي العقارية” تجعلان من هذا الحوار مادة دسمة للقراءة والتأمل، وفي ما يلي نص الحوار:

ما أولى خطواتك العملية، وكيف كانت البداية؟

  لقد كان للعديد من المناصب العملية التي تقلدتها بعد تخرجي من الجامعة الأمريكية في دبي في بكالوريوس التسويق والاعلان، أهمية كبرى في ثقل خبراتي المهنية ودفعها الى الامام قدماً حتى أصبحت على ما هي عليه الآن، لكن التجارب وحدها لا تحمل معها الخبرة التي يبحث عنها الانسان باستمرار بل عليه المثابرة على تحليل المعطيات العلمية التي يستطيع جمعها بطرق عملية إحصائية تجعل من التحليل المنطقي اقرب بنسبة 90% من الحقيقة، هذا بالذات الذي اكتسبته خلال مسيرتي العملية التي بدأت في شركة “ليوبرنت العالمية” الإعلانية العريقة، وعملي كمدير قسم البحوث والتسويق والمبيعات في الذراع العقارية العالمية لـ”مجموعة دبي القابضة” وصولاً إلى شركة “هاربور” العقارية.

الانعطافة المهمة من التسويق الاعلاني الى العقاري، كيف حدثت؟

  في الواقع لقد حدث ذلك بشكل تلقائي، خاصة وأنني نشأت في عائلة عملت في التطوير العقاري لعدة أجيال متعاقبة، لذلك فالعمل في العقار هو في صلب اهتمام العائلة بجميع افرادها، لذا فقد وجدت أنني احبذ العمل في التسويق العقاري على العمل في أي مجال آخر بالرغم من الخبرة الكبيرة التي اكتسبتها من عملي في التسويق الاعلاني في واحدة من اكبر الشركات العالمية.

من هم أبرز الشخصيات التي تأثرت بهم وتعتبرهم قدوة لك؟

  بالطبع تأثرت كثيراً بالعديد من الشخصيات القيادية في مختلف مراحل حياتي الإنسانية والعملية، وقد كان والدي هو القدوة الأولى لي بفضل مثابرته وتفانيه وجهوده في تطوير عمله، كذلك كان لشخصيات عملية قيادية مثل السيد رجا طراد رئيس مجلس إدارة مجموعة “ليوبرنت العالمية” تأثيراً كبيراً في تطوير مهاراتي الإدارية والمهنية، على أن المثل الاعلى الذي نسير جميعاً بفضل رؤيته الفذة هو صاحب السمو الشيخ محمد بن راشد أل مكتوم، نائب رئيس الدولة، رئيس مجلس الوزراء، حاكم دبي، رعاه الله، الذي استطاع أن يجعل من دبي والامارات قبلة العالم الحديث ومركز الاستثمار فيه، وهو لا يزال يسير بخطى ثابتة لتقديم الافضل في كل مجال من مجالات التطور التقدم.

ما أبرز التجارب التي مرت بحياتك المهنية وكان لها الأثر الكبير في مسيرتك؟

  لا شك بأن التجارب المؤثرة التي تمر بحياتنا تكون شديدة التأثير على تكريس مفاهيم وازالة أخرى وذلك وفقاً لظروف كل تجربة على حدا، لكن التجربة الكبرى التي مرت على الجميع أبان الازمة الاقتصادية الكبرى التي تعد واحدة من أكبر الكوارث الاقتصادية التي ضربت البشرية منذ الكساد العظيم وحتى الآن، كان لها الأثر الكبير على مسيرتي الشخصية بشكل مباشر حيث أنها قد علمتني دروسا مهمة في كيفية التكيف والاستمرار وفق الظروف الجديدة، لا بل جعلتنا في شركة “هاربور” أكثر ابتكاراً وتميزاً من خلال استحداث ادارات تقوم كل واحدة منها بعمل مبتكر يقدم خدمة لشريحة محددة في منظومة المستفيدين من قطاع العقارات، حيث تم إنشاء أقسام متخصصة في خدمات جديدة لم تكن موجودة من قبل في القطاع العقاري عموماُ، مثل قسم تسليم الوحدات السكنية للملاك الجدد بالنيابة عن المطورين الأساسيين، وكذلك قسم خاص بتقييم وإدارة الأصول بطريقة مبتكرة وآمنة، وكذلك العديد من الخدمات المميزة كالاستشارات العقارية التي لاقت إقبالا كبيراً من المطورين واصحاب المحافظ العقارية الكبيرة.

  هذه التجربة كانت درساً كبيراً لجميع قطاعات الاعمال في العالم وخاصة في الإمارات، حيث استطاعت دبي بفترة قصيرة من التكيف مع الوقائع الجديدة لما بعد الازمة وابتكار أدوات نمو جديدة معتمدة على الخدمات والضيافة والقطاعات الاقتصادية المساندة للقطاع العقاري وهذا ما حفز النمو في الدولة مجدداً. مما كان له أثر على “هاربور” العقارية بطريقة إيجابية وفعالة، فقد منح الشركة فرصة لتوسيع عملياتها ومجموعة خدماتها المهنية، ولهذا فإن الابتكار الدائم هي عملية أساسية وجوهرية لدعم مسيرة نمو الشركة وتعزيز جودة خدماتها العقارية الشاملة.

ما ابرز ما يميز دبي في هذا المجال؟

  برأيي، أهم ما يميز دبي هو عنصر الأمن والأمان الذي تتمتع به وهو عنصر مهم للغاية في جذب السياحة ورؤوس الأموال العالمية إلي أي بلد في العالم، والأمان يميز دبي كوجهة تجارية وسياحية لها اسمها على خارطة السياحة والتجارة العالمية لذا فأن جهود الجهات الحكومية والخاصة في دبي تعد دائرة يكمل كل من فيها بعضهم ليخرجوا بالناتج النهائي وهو جعل دبي وجهة التجارة والسياحة والتسوق والترفيه الأولى في المنطقة.

ما انعكاسات انخفاض اسعار النفط على نمو القطاع العقاري في دبي؟

  إن الإمارات ودبي تحديداً لن تتأثر بتراجع أسعار النفط العالمية نظراً لحرصها على تنويع مصادر دخلها والتزامها بدعم قطاعاتها الاقتصادية المختلفة بخطط استراتيجية مبتكرة وميزانيات متنامية، علماً بأن تقلبات أسعار النفط العالمية لن تشكل خطراً حقيقياً على نمو القطاع العقاري خلال العام 2015، خاصة اذا اخذنا بالاعتبار أن الانخفاض الذي سيشكله احجام المستثمرين الروس والايرانيين سيعوضه اقبال المستثمرين من الدول الأوروبية وأميركا الشمالية وغيرها من الدول التي ستستفيد اقتصاداتها من انخفاض اسعار النفط، اضافة الى أن اسواق العقار في دبي تعتمد على ديناميكية وحيوية دبي الاقتصادية وهي بالتالي ستشهد نموا متزايداً مع اقتراب موعد معرض “اكسبو 2020” الذي يعتبر احد المكاسب الاقتصادية الكبيرة لدبي وللمنطقة بأسرها.

هل المشروعات الكبيرة الجديدة التي طرحت مؤخراً تشكل إغراقاً للأسواق، أم أنها تفي الطلب المتزايد؟

  على العكس تماماً فالمشروعات الجديدة وبالرغم من ضخامتها، إنما جاءت لتغطي وتخدم الاحتياجات المتزايدة للتزايد السكاني السنوي في الإمارات والذي يقدر بـ7% سنوياً هذا من جهة، ومن جهة أخرى فإن اقتراب اسعار التأجير من نقطة معينة يجعل عملية إقبال شرائح متوسطي الدخل على شراء الوحدات السكنية في هذه المشروعات التي تناسب شرائح كبيرة منهم.

ما المناطق الأكثر جاذبية للمستثمرين في دبي؟

  جميع مناطق إمارة دبي مميزة ولها خصوصيتها التي تجعلها تستقطب المستثمرين الذين يبحثون عن خصائص تخدم استثماراتهم وتنميها إما عن طريق العوائد الإيجارية المتنامية أو الزيادة على رأس المال. علماً أن منطقة”دبي لاند”تعتبر المنطقة الأكثر استقطاباً حالياُ وذلك لتضمنها العديد من المشروعات المميزة اضافة الى أنها تعتبر المنطقة التي لا تزال قيد التطوير وتحمل معها الفرص المتنوعة لتحقيق أعلى عوائد إيجارية ونسب نمو على رأس المال.

ما افضل الحقائق الاستثمارية التي تنصح بها؟

  أفضل النصائح الاستثمارية التي نقدمها لعملائنا هي الأخذ بعين الاعتبار العوائد طويلة الأجل المتوقعة من دخل الايجارات ونمو رأس المال والمحافظة على قيمة العقار من خلال الاستثمار في الموارد البشرية المهنية وخطط الصيانة عالية الجودة.

ما أبرز المميزات التي يتمتع بها فريق عمل شركة “هاربور”؟

  لدى “هاربور” للخدمات العقارية المتكاملة فريق متخصص وعلى مستوى عال من الكفاءة المهنية من الخبراء والاستشاريين المشهود لهم بخبرتهم في السوق العقارية المحلية والعالمية. فالشركة تلتزم بتقديم خدمات عالية المستوى للعملاء وحلولا عقارية مبتكرة. ونحن نفتخر بفريق عمل يعمل وفق أعلى المعايير التي تتبنى رضا العملاء وتلبية متطلباتهم والالتزام بالأخلاقيات السلوكية المهنية المطلوبة ودقة وسرعة إنجاز المعاملات بالإضافة للمهارات المهنية والخبرات المميزة التي تتضمن برامج التدريب والتطوير المهنية الشاملة والعمل وفقاً لأفضل أنظمة ومعايير المبيعات والتأجير. باختصار “هاربور” توفر جيل جديد من موفري الخدمات المهنيين الذين يقدمون حلول فعالة ومبتكرة تحقق قيمة حقيقية مستدامة.

ما ابرز الابتكارات والخدمات التي تقدمها شركة “هاربر” لعملائها وكيف كانت مسيرتها؟

  تعد شركة “هاربور” العقارية إحدى أبرز شركات الخدمات العقارية الرائدة في دبي فهي جزء من مجموعة شركات عقارية عالمية أنشئت منذ عام 2001. وتكمن قوة الشركة بفريقها الذي يمتلك خبرة أكثر من 20 سنة في السوق العقارية ومن خلال تقديمها لخدمات رفيعة المستوى لعملائها والتي تشمل: خدمات البحوث المتخصصة في مجال العقارات وخدمات التسويق والبيع والتأجير المتكاملة وخدمات إدارة محافظ الأصول العقارية وخدمات إدارة المشاريع وتسليمها بالنيابة عن المطورين وخدمات الكشف على العقارات.

  وتمتلك “هاربور” قاعدة عملاء واسعة تتكون من أكثر من 5000 عميل من مختلف القطاعات الخاصة والعامة ومن شركات التطوير الكبرى والمستثمرين والأفراد والمؤسسات.

وفي عام 2009 أطلقت هاربور للوساطة العقارية تقرير “هاربور” الفصلي، الذي يطرح ويحلل أهم المواضيع وآخر الأخبار والمستجدات التي تسود السوق العقارية بأسلوب مبتكر وصريح.

ماذا عن البحوث المتخصصة التي تجريها الشركة؟

  تشمل خدمات “هاربور” العقارية على خدمات البحوث المتخصصة في مجال العقارات حيث أن معرفة “هاربور” للسوق العقارية وخبرتها التي اكتسبتها من خلال عمليات البحث والتدقيق المدروسة والمشهود لها من العملاء والتي تجريها في مجال العقارات، تجعل الشركة تؤمن بأن التحاليل والنتائج المبنية على وقائع نابعة من أبحاث في السوق العقارية هو الشرط الأساسي لإصدار أي توصيات أو توقعات متخصصة توفر أفضل النتائج لعملائها.

خدمات التسويق والبيع والتأجير المتكاملة:

  “هاربور” ليست شركة تهتم بعمليات بيع وشراء العقارات فحسب، بل لديها القدرة على ابتكار خطط عمل متكاملة يمكن للمطورين وملاك المحافظ العقارية أن يستفيدوا منها مثل وضع استراتيجيات التسويق والتواصل الفعالة. فقد صممت استراتيجياتها على أيدي مختصين في خدمات البيع والتسويق لتساعد المطورين والملاك على الاستفادة تماماً من الفرص المتوفرة في السوق العقارية و تحقيق نتائج فوق المتوقعة.

خدمات إدارة المحافظ العقارية:

  تعتبر “هاربور” الشركة الأولى من نوعها التي تختص في توفير خدمات ادارة العقارات المملوكة من الشركات الكبرى بحيث ان إدارة هذه العمليات تتم من خلال مهنيين ذوي مهارات عالية المستوى وخبرة في بناء وادارة المحافظ العقارية المعقدة وتنميتها على المدى الطويل وتوفير حلول منتظمة ومبتكرة طبقا للمعايير العالمية لهيئة الايزو والتي عن طريقها استطاعت “هاربور” أن توفر عوائد تفوق توقعات عملائها وتجعلها الخيار الاول والافضل لشريحة العملاء المؤسسيين.

خدمات إدارة المشاريع:

  يضم فريق “هاربور”خبراء عقاريين واستشاريين على مستوى عال من المهارات والخبرة. ويفخر فريقنا بتوفير خدمات متكاملة ومميزة لادارة المشاريع العقارية وتسليمها بالنيابة عن المطورين بمعايير عالمية.

EXPERT EYE

This year will see a continuation of policy development and credit controls

The year 2014 could be considered one of the most important periods in Dubai’s real estate history, It demonstrated to the world that the real estate industry in the emirate has achieved a level of maturity that enabled it to successfully manage the significant challenges associated with being the hottest real estate market in the world without succumbing to what would have been an inevitable and resounding crash.

But crash it didn’t. The market in 2014 saw a slowdown which was managed land welcomed by all those who wished to see a market which enjoys healthy and sustainable growth rates.

Given the events of 2014 and the resultant state of play, what is likely to shape industry this year? For a start, the development of the policy, regulatory and legal framework will continue. To achieve this, 2015 will see a continuation of focused oversight, policy development, credit controls, implementation of legislation to protect investors and tenants, and an increasing focus on the professional development and ethical standards of industry participants.

The achievements of 2015 will have a huge bearing on the degree of success enjoyed by the emirate over the next decade

This year will also see increasing levels of investments by the government, corporations and entrepreneurs as the continued focus of economic policy and resources on building the economic pillars of tourism, trade and finance gathers pace. Much of the investment in infrastructure will be in preparation for the Expo 2020 and all its effects. In a sense, 2015 can be seen as a launching pad for the industry as it plays its part in a period of strong economic growth. Having established its resilience and maturity, the event which will most shape the industry going forward is the Expo.

This year will see a more intense focus on the requirements and opportunities that the event will bring the industry and economy as a whole, from new transport systems to waterfront developments, from multi-billion dollar theme parks to affordable housing developments. The event will be the biggest ever to be held in the emirate and one that will play an important role in helping shape world opinion of Brand Dubai.

Economically, the potential benefits are enormous. For real estate, hosting the Expo will provide the impetus for the industry to enjoy continued growth and the predictable surge in demand for accommodation of all types, from labor camps to apartments to executive villas.

This year, investor demand will drive much of the value appreciation on the back of renewed confidence in an economy which has already shown robust growth in 2014. However, initial end-user demand is likely to increase for accommodation, both villas and apartments, in close proximity and easy access to the site itself. The demand for this type of property will continue to increase in the run-up to the event launch and duration.

This year will also see office and commercial units benefit from a rise in demand as operations are commenced for those companies involved in the initial construction or preparatory phases. It is likely that new developments will commence in areas in close proximity to the Expo site, while the area surrounding Dubai World Central is also likely to be in focus for developers as logistics, storage and transport service providers look to set up shop.

The year 2015 will be remembered as the first year of a new era characterized by strong economic growth, major investments in economic initiatives and infrastructural development, a robust and expanding yet sustainable real estate industry and a rapid population growth rate driven by economic opportunity.

In this respect, the achievements of 2015 will have a huge bearing on the degree of success enjoyed by the emirate over the next decade.

Ask The Expert

Retirement home

I am thinking of buying a villa in The Villa project to live in. What do you think of the community and my decision to purchase?

The community is one of the best in Dubai. Amenities include a mosque, nursery, playground, community centre and a new tennis academy. A major supermarket has just been completed and plans are under way for the construction of a new health club. Shopping is easy with Dubai Outlet Mall only ten minutes away, Mirdif City Centre 15 minutes and the Dubai Mall just 20 minutes.

As for purchasing a villa, I would recommend The Andalusia Collection as these villas are renowned for their uniqueness in design, levels of grandeur, quality and value. it boasts some of the biggest plot sizes in The Villa project while the villas themselves have high quality features and fittings from some of the world’s leading brands such as Villeroy and Boch, Grohe and Bosch.

Other features include marble flooring, designer staircases, an overflow swimming pool, decorative fencing, a fully enclosed and air-conditioned central courtyard, and unique Andalusian archways connecting large living areas, some adorned with wooden beams. On offer now are villas with a built up area of 8,400 sq ft and plot sizes ranging from 15,300-30,300 sq ft. All the villas will have provisions for smart home systems with security applications, as well as surveillance and audio distribution systems.

I have a mortgage on an apartment that I live in and I happen to have some cash currently. Should I settle my loan or invest the cash elsewhere?

It all depends on what interest rate you are paying on your mortgage. And what return you could expect if you invested elsewhere.

If you can achieve a return greater than your mortgage interest rate, then you should invest the cash elsewhere and take advantage of your low mortgage rates.

There are some very attractive mortgage products in the marketplace, with a few providers offering rates as low as 3.99 per cent or even 3.49 per cent. If you have a mortgage with such a low interest rate, it will not be too difficult to find an investment that will yield in excess of your mortgage rate.

For example, you may consider investing in a property such as an apartment that will yield you a net annual cash flow of 5 per cent and, over a period of five years, an annual capital appreciation of anywhere between 5 and 7 per cent. This would be a more lucrative allocation of your cash.

lf, however, you are not confident about achieving a return on your cash that exceeds your mortgage rate, then I suggest you pay off your mortgage as you will save the interest costs.

I am currently planning my retirement and have been looking at Dubai as a possible part time retirement destination. I would like to purchase a property, rent it out initially but eventually use it myself during my retirement. Do you have any advice?

Many people include property as part of their retirement plan. The key to choosing your property is determining the right balance between the amount to be invested, the returns you require in the interim period before you retire, and what type of property you want to live in after retiring.

As the property will eventually be for your own use, you need to determine what you will enjoy in your retirement. The good news is your tastes are likely to be shared by your tenants in the interim, so renting should not be a problem. Quality properties are available starting at Dh700 per square foot. However, if you want to purchase in the prime areas of Dubai – either downtown, close to the beach, or with a golf course view – you can easily double or triple that amount. The choice is amazing and getting what works for you is certainly achievable.

You can expect a minimum net rental return of around 5-7 per cent, which, given the cheap financing available at the moment, makes for a solid investment in preparation for outright ownership and retirement. Be careful with fluctuations in exchange rates.

You will require a reputable local real estate professional to help you with factors such as location, developer’s record and reputation, quality, service fees, building management and the existence of a functioning owner’s association to minimise any risks connected to your investment during procuring as well as managing it until you are ready to move in.

Can you describe the property characteristics that I must pay close attention to in order to minimise any risk related to my investment decision?

The first factor to consider is location as it can drive up to 90 per cent of the property‘s value. Established and prestigious locations such as The Palm Jumeirah, Downtown Dubai, Dubai Marina and Jumeirah Beach Residence fared extremely well in the post global financial crisis period, and secondary, more affordable areas such as Jumeirah lakes Towers, The Greens, Dubai Sports City, Discovery Gardens and Dubai International City followed suit.

But there are other factors as well. Quality of product, maintenance services and infrastructure, as well as the extent of completion are now playing a big part in investors‘ decisions.

With plenty of supply at the beginning of the recovery, buyers could demand, seek out and purchase the best of what was on offer, and the realisation of the importance of these factors has remained a key learning for most investors.

Value for money and superior return on investment are also some things that you need to consider closely.

In the post-recession era, the chase for yield. Along with an increase in the level of critical assessment of true values, has meant that properties offering more in way of physical product and potential rental returns arc attracting greater attention.

Current and future supply levels of various asset types need to be examined, and you should consult a reputable property broker to assist you in this. For example, villas, as an asset type, across the board have out-performed others because of supply shortages. However, looking at the inventory pipeline, this may not be the case in the future with more affordable properties likely to be in higher demand.

One thing we have learnt from the recovery is that the fundamental drivers of market values remain location, product features and benifits, quality, as well as demand and supply.

I Rents in our building have been rising significantly as new tenants took up residence. We will need to renew our contract soon and are anticipating an Increase. Can you describe the regulations covering this issue?

Authorities have addressed this particular situation, which is fairly common, to give you some protection. For a start, your landlord needs to give you notice of at least 90 days prior to the expiry of your contract if he wishes to increase your rent. You should familiarize yourself with Law 43, which was issued on December 22, 2013 and replaced Decree 2 of 2011. It introduced the following restrictions (summarised) to take immediate effect with regard to the calculation and implementation of legal rental increases:

  1. There should not be any rent increase, if the rent for the real estate unit is no more than 10 per cent below the average rent that a similar property commands within a neighborhood.
  2. The annual rent hikes, as specified by the decree, can range from 5-20 per cent, according to how much the current rent is less than the market average.
  3. The market average rates are to be determined by the Real Estate Regulatory Agency (Rera) Rent Index (Rera Rent Calculator)

The implementation of Law 43 is necessary to safe guard consumers’ interests, the overall industry, and the economy at large from rampant and unjustifiable rental increases on existing contracts. It does not set out to control the rent in new contracts and where a property is to be let for the first time or to a new tenant. It is up to the owner and prospective tenant to agree on the rent.

I’m looking to rent a house but I found that it has district cooling. Coming from overseas, I am not too familiar with this type of cooling. Can you explain the advantages and pit falls please?

District cooling for the provision of chilled water has emerged globally as a way to provide cooling to buildings in a more environmentally sensitive way. It is considered to provide great benefits in the long run and, in addition, helps in saving on the costs of electricity, which will be reflected in lower Dewa bills for tenants.

You will find that most of the units that are serviced by chilled water district cooling are offered at slightly lower rental rates. However, you should enquire about all the charges included in the cost as well as how they are calculated. You may even ask current tenants how much they pay before you decide on signing the contract.

With regard to consumption charges, I assume you have a BTU meter installed in your apartment. If so, you will be billed directly by the cooling services provider based on what you actually consume in terms of cooling. The more you use, the more you pay.

However, the Dewa savings will be somewhat offset as you may incur an additional utility charge. Some owners may pass to tenants the slightly higher charges they incur, which involves the remuneration of the capital costs of providing the infrastructure that delivers the chilled water to the unit. This charge will, in all likelihood, be proportional to the actual consumption charges.

Nevertheless, in most cases developers have managed to offer better value for money while being environmentally friendly.

Ask The Agent

I am looking at investing in a flat in Dubai for the long term. Can you advise me on the factors I should be concerned with?

As Always we must be thinking location, Quality of the building and the completion status and quality of the infrastructure and building amenities.

Anything which is close to the beach (especially with a sea view), a golf course view or situated somewhere close to downtown is a good place to start. If you can also have close access to metro, even better. You will virtually be assured of renting your new property relatively easily at a rate which will provide a tax-free ROI of at least 5% net. These locations are more likely to provide superior appreciation in capital values as well.

You also need to consider the effectiveness of the owners association (OA), services charges and the quality of maintenance services. Facility management is becoming increasingly important to determining the value of buildings as it will have an effect on the long-term value of your investment.

 

With a lot of new developments being offered, what do you think about buying off-plan vs. completed properties?

By buying off-plan, you can benefit from capital appreciation exceeding the market average in the period just prior to lunch, and over the ensuing 12 months. However, remember that in purchasing a completed property, you will benefits from the cash flow immediately providing you an-immediate yield on your investment.

To help estimate which option will work best for you, seek the advice of a reputable real estate professional. They should be able to help you define your investment objectives, identify suitable investments and conduct a complete financial analysis.

Look for certain property types which you believe will be keenly sought in the future, and buy properties from developers who have the strong and stable track record.

 

Do you think that there are too many new projects being introduced too soon?

There have been projects unveiled with an estimated value of at least US$40 billion in the recent past. They include the world’s biggest Ferris wheel, a new “city within a city”, and a range of theme parks.

These types of developments are a little different to the random, unfettered developments of the pre-recession era in that they are tapping into what actually drives Dubai’s economic growth.

One reason why the economy is growing at a very healthy rate is because of a booming tourism industry. If you add to that a location which is one of the best cities for young professionals globally, you’ll see why investment in developing, and expanding an economic capability to satisfy a growing demand for tourism and entertainment makes sense.

It is ideal for the real estate industry to grow as a result of population growth driven by economic development. Many of the newly-announced projects are aimed at doing just that.

 

With the recent uptick in prices, is real estate still providing real values?

Definitely. Remember. Regard less of where the capital comes from, the market ultimately determines a broadly representative perception of value, and we believe that there is some way to go before the Dubai real estate industry is considered overpriced.

Of course, it varies by asset type. For example, the reason areas such as Emirates living. The Villa Project. Arabian Ranches and the Palm Jumeirah have been appreciating so strongly is because of the superior value they are providing prospective owner-occupiers and investors to whatever exists elsewhere.

There are different types of buyers driving the demand. The first type is taking the opportunity to upgrade from apartment-style to villa-style living. The second is upgrading villa type, style, size and location, and from a pure investment point of view.

Whether owning or renting value will always attract interest and activity.

 

Question of the Week

 

There has been a lot written about the new investor protection Law. Is it a case of too little too late, and how will people who have been disadvantaged during the financial crisis benefits from its implementation?

In essence, The Real Estate Investor protection Law is yet another step in the maturation of the Dubai Real Estate industry. We always said that a viable and robust real estate industry requires three important elements which we call the 3Cs: confidence, Capital and Clarity.

The law will go a long way to boost the level of confidence of investors by protecting them from contract breaches or fraudulent activities by developers, and add clarity as to what legal protection they may draw upon if needed. In addition, it is expected that the status owners’ associations will be further strengthened. All this is good news for the industry, going forward.

However, the degree to which the law may be applied retrospectively is likely to be limited. Already. Those investors who have been disadvantaged by developers cancelling projects can take their case to a special committee set up specifically to handle these matters; while it is still not clear as to whether those investors experiencing delays in projects commenced prior to the new law’s introduction will be entitle to relief under its provisions.

Ask The Agent

I own a third of a floor of office space with two other parties sharing the balance. We couldn’t find reputable tenants at a reasonable lease rate. Any advice?

The issue of multi-strata ownerships, particularly when looking at office space, would be a concern as prospective tenants do not want to negotiate or deal with multiple owners. One solution requires the willingness and commitment of all owners to form a type of cooperative or rental body. Under this concept, the owners would commit their space to a “rental pool” to offer to prospective tenants. This pool would be managed by a third party appointed by the owners so that tenants requiring space owned by more than one person would be dealing with one central body representing those owners, and all owners benefit from the rental receipts garnered from leasing “pool” space. This will provide superior returns.

 

How does one become a shrewd property investor? What qualities or skills are important?

Investing in property is all about recognizing and capitalizing on opportunities that are, consistent and supportive to your overall wealth accumulation objectives. In order to do this, you must have some industry knowledge, able to communicate intelligently with the experts.

You must also have a clear understanding of what role your property portfolio will play within a larger diversified portfolio. The more skillful you are at conceptualizing your wealth generation schematic, the greater is your likelihood of generating successful strategies to grow your wealth.

You also need to be able to identify, engage and work with a professional in the industry. As astute, skillful and knowledgeable as you may be. A reputable, experienced and client focused full service agency will greatly enhance your level of success. Choose wisely. Don’t think the cheapest will be good enough as this is rarely the case.

 

 

My apartment is ready. When I stated that I would like to inspect the apartment, the developer said that they had already completed their inspection. Is this right?

Technically, once an official Completion Certificate has been issued for the building by the Dubai Land Department (DLD), it is deemed ready for handover and your contractual obligations regarding transfer of ownership remain. You have the right to inspect (snag) your apartment, and report any legitimate issues to the developer for rectification. Items which can be remedied in the short term should be fixed immediately; and remember, once you have taken ownership of the apartment, the developer is obliged to fix any issues that may arise for a full 12 months following the transfer of ownership. I strongly recommend you engage a professional to do this on your behalf.

 

 

Why is it that the cost of renting a good but not-so-new apartment in some areas remains expensive? The rates in these areas didn’t fall as much as in other places during the recession, and when rents increased, they increased in these areas fast. How come?

The value of a particular location is usually derived from the levels of lifestyle convenience, pleasure, harmony, security, future economic value or even status that can be derived from the property. Whether it is an outstanding view or proximity to dining, entertainment, business districts, schools, hospitals or public transport, the perceived benefits that a location may bring to a prospective tenant can account for up to 90%. Locations close to the beach and entertainment areas as well as properties located close to/within Downtown Dubai or the business district will command a location premium. Most potential tenants consider a view as a key feature for their home to be enjoyed.

 

 

Question of the Week


I am considering hiring a new property management team for my mixed-use property as I was receiving a lot of complaints about the old one. What things should I be on the lookout for since this is the first time I am changing property managers?

A proficient and professional property manager will make your investment work harder for you. The property manager should be able to provide you with a complete and realistic property assessment, strategy and activity plan designed to harness the true financial potential of your property. Considerations start with objectives and requirements and will include history, current and projected future market factors and risk factors. The scope of consideration should be global, regional and local in nature and your property manager should have a good understanding of economic factors, societal trends, industry knowledge extending to policy and regulation. finance and market dynamics.

Your property management agreement should stipulate that you receive an extensive range of services including marketing. Vetting tenants, executing rental agreements, etc.

Choose your property manager carefully. Ask for referrals and call some existing clients. Remember, it’s your investment, and you need to ensure it’s in good hands providing you with the best returns.

Can oil affect realty?

Everybody knows that oil is really important. To dismiss the effects of shifts in supply, demand and prices on economies will be akin to denying history and ignoring logic. But those who overestimate the consequences of the tumultuous oil industry only exacerbate fear of unlikely events.

We should have learned from the recent global financial crisis that cooler heads should prevail in times of stress. The recent reactions to the dramatic reduction in oil prices have been disturbing and far from rational.

The need for a balanced analysis

The reactions of global stock markets were noteworthy because of their rapidity and severity. They were also significant because of the lack of cool-headed analysis that should have been applied to save the situation.

The old adage of panic breeds panic sprung to mind as I received a flurry of phone calls from investor clients, finance brokers and journalists. But it also gave me an idea of the level of unease surrounding the likely effects of oil prices on Dubai’s real estate industry.

I was surprised at the short-sightedness of the opinions being offered. A balanced analysis of what a decline in oil prices really means in terms of demand for Dubai’s real estate in the long term was absent.

Those in the oil industry understand that given the costs of exploration and high level of capital required to commence greenfield operations, possible price fluctuations must be carefully considered to ensure continuity of profitable operations. In ensuring that excess profits are reserved for when prices fall, established players in the industry can smoothen out the peaks and troughs of oil revenues.

The UAE protected

So, while many doomsayers were predicting a halt in public spending and infrastructural investment in the UAE, they forgot that a decade of record oil prices has enabled Abu Dhabi alone to accumulate an estimated $800 billion (about Dh2.9trillion) in reserves. Needless to say, it would take a long duration of severely de-pressed oil prices for these reserves to be diminished.

Additionally, with an economy that as diversified to the extent that only 6 percent of Dubai’s GDP is reliant upon oil, and the fact that lower prices will assist the growth of trade and tourism, the emirate does not appear to be particularly vulnerable to a temporary dip.

Similarly, non-government oil conglomerates that enjoy lower costs of production due to more established operations and low cost extraction methods are also in a position to absorb the fall. It is only high cost operations, some of which are highly leveraged, that face a threat. But as they say, there is nothing like a good industry shake out to bring markets back to a state of equilibrium.

In the short term

There are several advantages to lower oil prices in the short term. If you come from a country that has to import all its energy supplies, then a decrease in the price of oil can lower costs in sectors such as manufacturing, distribution, travel, tourism and transport.

This will allow an increase in disposable incomes, which can, in turn, significantly contribute. To economic growth. And every country in the world is chasing that dream at present. Many investors who enjoy returns from Dubai’s real estate market hail from countries such as India, which can benefit enormously from cheaper energy. In fact, other than Russia, which is mired in many more serious issues, a vast majority of people comprising the Dubai investor mix will not be affected and perhaps even tangibly benefit from lower oil prices.

So why the panic? Most players and stakeholders agree that Dubai’s real estate industry has achieved a level of maturity that led to a successful rebound. Why would it succumb to this latest de development and collapse?

As an industry, we need to embrace changes and challenges. How we analyse and address them is a measure of maturity. And it seems we have some way to go.

Ask The Agent

I heard about the Andalusia collection at the villa project, can you tell me what makes these villas more special when compared to other villas within Dubailand?

The Andalusia Collection consists of 69 ready-to-move-in premium limited edition villas renowned for their unique design, levels of grandeur, quality and value. It boasts some of the biggest plot sizes while the villas have been fitted with high quality features and fittings. Other features include marble flooring, designer staircases, an overflow swimming pool, decorative fencing, a fully enclosed and air conditioned central courtyard and unique Andalusian archways connecting large living areas, some adorned with wooden beams. The project has proven very popular. If you are interested in owning one, you better hurry because they are as popular as they are rare. And they are currently being offered with a 3-year-in-house payment plan for a limited period.

 

I would like to buy an apartment for investment purposes. Do you advise I buy in the main areas of Dubai or should I consider the projects located in the outer rings of Dubai?

I suggest you consider the more affordable areas. Properties in international City. Dubai Sports City (DSC). Discovery Gardens and JLT have benefitted from a “trickle down” effect as the market has recovered and more people are now seeking more affordable accommodation. A wide variety of apartments in Skycourts and DSC achieved YTD average growth of 20.5%, 23% and 21%, respectively with demand being driven mainly by first-time home buyers and investors such as you. International City and Discovery Gardens have shown a 23% and 26% increase in rental income since the 3rd quarter 2012, respectively. I also suggest you check the apartments in Queue Point in Liwan, and Ajmal and Windsor Residence in Dubailand. They are all expected to perform very well going forward as the demand for affordable properties continues to grow.

 

I have properties in Dubai Marina and Downtown Dubai and wish to acquire more. What areas in Dubai will have good investment potential?

Given that you are already exposed to the more upmarket areas. I suggest you use your next investment activity to diversify your property portfolio. There are some lucrative opportunities in the affordable housing segment which stand to benefit greatly from Dubai’s well-chronicled economic and population growth over the next five years. I suggest you look at the apartments in Queue Point in Liwan, Skycourts, Ajmal and Windsor Residence located in Dubailand. If you wish to diversify asset types, consider the recently launched Pacific Village located adjacent to the renowned The Villa Project. City of Arabia and Falcon City of Arabia This project offers high quality. Spacious villas and townhouses. All the above recommendations will provide you with good rental and capital appreciation returns.

 

We’re a family of five with three dongs relocating from New Zealand, with UAE work to be based in Business Bay. Which villa communities would you recommend for people like us?

You need not look further than The Villa Project. An easy 20-minute commute to Business Bay, it offers affordable and spacious living within a secure gated community complete with 24 hour security. The project was designed and inspired by Spanish architecture and is ideal for family living. It offers affordable free-standing 4.5 and 6-bedroom villas set among lush and expansive landscapes ideal for exercising your dogs, and is located within easy driving distance from some leading schools. Amenities include a mosque, children’s nursery, playground, a community center and a new tennis academy. Spinneys is currently under construction and plans are underway for a new health club. Shopping is not an issue with Dubai Outlet Mall only 10 minutes away, Mirdif City Centre 15 minutes away and The Dubai Mall 20 minutes away.

 

Question of the Week

 

How do I select the best real estate broker to represent me in buying my family home in Dubai?

For you, the homeowner, there are many consideration to take into account and what follows are just few things to watch out for.

Look for and experienced and passionate team. The best way to find such is to ask around. Seek out friends or peers who have recently conducted a real estate transaction and listen to the positive as well as negative stories.

Look for an agency that exhibits breadth and depth of industry knowledge and expertise. When conducting initial meetings, make sure you assess how much the agency or its broker actually know.

Look for longevity. Those that survived the recent recession must be good.

Seek an agency with a strong network of contacts.

Agencies with good relationships with key industry stakeholders such as major developers or authorities such as DLD, RERA, DEWA or the Economic Department will be able to operate more efficiently and effectively.

Finally, look for an agency that has received some form of industry or peer recognition. These are the hardest plaudits to get.

ASK THE AGENT

I am considering buying an off-plan property. How do I determine its potential versus buying an established property with a history of returns?

The fundamentals still apply. Make sure that an off-plan purchase is consistent with your property portfolio strategy. Location is critical and cannot be underestimated. The asset type is also important. Be smart about the “product” that you buy. Look for certain property types in locations which you believe will be keenly sought in the future. You need to do some careful financial analysis which will enable you to determine the value of the discount that you anticipate receiving by buying off-plan. Check easy payment plans which can ensure you limit your capital exposure before completion. You also need to be conversant with financial concepts such as NPV (Net Present Value) and IRR (internal Rate of Return) to guide you when you make your decision.

 

I am thinking of adding property to my other investments, but have no prior experience. What advice can you give?

Investing in property is all about recognizing and capitalizing on opportunities that are consistent and supportive to your overall wealth accumulation objectives. You must have some knowledge about the investment you are getting. You may not be an expert, but you need to be able to communicate knowledgeably with the experts. You must have a clear understanding of what you are trying to achieve and what role your property portfolio will play within a larger diversified portfolio. What is your source of finance and where do the greatest risks lie in the event of an economic downturn? How liquid might you need to be? All these questions need to be addressed. Finally, you need to be able to identify, engage and work with a professional in the industry. Selection of the right agency is a skill in itself and it’s up to you to choose wisely.

 

I know that the market has slowed but is the slowdown being experienced across the board, or do some areas still look promising?

The affordable segment in Dubai still shows a lot of promise as these properties will be in high demand as Dubai’s strong population continues to grow on the back of a strong economic recovery. Properties located in non-prime areas such as Dubailand continue to do very well. With the recovery in real estate going from strength to strength, we have witnessed the more affordable or secondary areas of the market continue to do well where the prime areas have slowed. Examples of affordable projects that provide good rental returns and expected capital appreciation are Skycourts and Queue Point. Skycourts has seen excellent capital growth with some apartments growing by 20% to 25% over the past 18 months with rental premiums of at least 7% not uncommon. Queue Point is also attracting rental yields of 6% to 7%. Demand for this type of housing has been growing steadily as the population swells in the run-up to Expo 2020.

 

With property now cooling in Dubai, does it still make sense to invest, or wait until the market is showing signs of picking up again?

While the market is cooling a little, there are definitely opportunities available and advantages to be gained from purchasing now. The market will pick up again as the next five years are expected to see strong economic growth in Dubai, but picking the exact timing is always difficult. Start your property search immediately as a property investment requires the same approach and considerations regardless of the state of the market. Know what you can afford. If you have the cash, pay for it outright; however, don’t be afraid to take out a mortgage. Think carefully about location, surrounding infrastructure, construction quality, and developer reputation and building amenities. You also need to consider the effectivity of the owners association, service charges and the quality of maintenance services. Finally, be purposeful, persistent, patient and pragmatic in your approach and you are well on the way to making a sound investment decision.

 

Question of the week

 

Do you expect the Dubai Tram to have the same effect on property values as the metro did when it commenced operations?

The effect of a metro system on property values can be significant. It’s all about convenience, cost and life style efficiency that a fast, comfortable and reliable mode of transport to travel to work, visit, friends or even do some light shopping can bring.

Hassles with traffic, road works and parking can be eliminated, wear and tear on the family car is kept to a minimum for property which allow them to enjoy these benefits.

In Dubai, the metro definitely become a factor when considering the rental return or sale price of a property located within proximity to stations. Dubai properties located within a five-kilometer radius of the metro can command between a 6% and 11% premium compared to similar properties with no feasible ambulatory access to the metro.

We would expect to see similar moves in values of properties resulting from the new tram, providing the effect of the system addresses one of the issues confronting residents in Marina and JLT areas: traffic congestion. If the Tram is successful in reducing it, then the value will increase. We will all be watched closely as only time will tell.