DOHA: With the award of contracts for mega infrastructure projects like Qatar Rail, the real estate sector is witnessing unprecedented growth. The value of real estate transactions jumped 71.4 percent to QR4.8bn in January this year compared to QR2.8bn for the corresponding period last year. The size of the market, according to industry experts, is expected to double by the end of 2014.
Industry analysts suggest that Qatar’s real estate market will witness a further boom in 2014, and the trend will continue over the next several years as a result of massive government investments in the country’s infrastructure development and host of 2022 World Cup related projects.
“Latest figures suggest that the real estate market may double in 2014, compared to 2013, and the trend is expected to continue in the years to come,” Abdurrahman Al Muftah, a leading Qatari businessman, and member of the government’s elite Advisory Council was quoted as saying by Al Sharq yesterday.
Al Muftah, who is also the member of the Central Municipal Council (CMC), said: “Growing supply, especially in the number of residential units and commercial space, has created a healthy and competitive environment in the market, which has caused a downward pressure, or correction in the prices of real estate properties, resulting a further rise in the demand, including for the plots of land.”
Another prominent businessman, Ahmad Hussain Al Khalaf, had similar views on the market. “The real estate sector will continue to remain bullish over the years. Government’s high spending on mega projects will further push the market to grow rapidly.”
Al Khalaf also said that currently the supply in the real estate market is more than the demand, but given the sharp rise in the population growth in past few months, mainly due to the influx of foreign workers, the demand will continue to remain robust.
“The real estate sector has started the year 2014 with a rise, thanks to the increased demand for land plots in order to implement new projects to keep up with the population growth and economic development of the country.
These projects are also set to keep pace with the rising demand on real estate initiatives in the coming years, especially to achieve goals of Qatar National Vision 2030 and meeting the needs of the 2022World Cup,” Ezdan Holding’s latest monthly report said.
The Peninsula
