The first two phases of the master development in the Business Bay area of Dubai have all been taken, according to the master developer.
Khalid Al Malik, the Group Chief Executive Officer of DPG has told press this morning that there are no plots left in the 5.9 million square metre area in the Burj Area of Dubai.
“We don’t have land to sell in Business Bay. We ran out of land in phase one and phase two … so all these indicate there is massive attention and demand on Business Bay,” he said. “Demand is very high. We are struggling in terms of inventory as we don’t have it whether residential or retail.”
Nearly one hundred projects have been announced in the Business Bay area with many now open and roads and infrastructure come on line. Overlooking the prime real estate of the Burj Area, Business Bay is hoping to become the news Central Business District (CBD) of the Emirate.
A host of office space, retail locations and residences are under construction in the area which will link the Burj Area to Ras al Khor and the developments planned for the Meydan district and the Lagoons.
Mr. Al Malik’s comments come as real estate firm Cluttons reports an increase in investment activity for office space during the third quarter of 2012.
Office space has been the one area of the Dubai property market which has yet to see significant growth in 2012, compared to residential and retail space, however the company said it has seen a “surprising number of transactions” during the summer months with revenue reaching US$ 545 million.
Cluttons added that commercial property rents had stabilized in the first six months of the year thanks to “a modest level of positive sentiment”.
An increase in take up of office space will support the occupancy levels in Business Bay and help to add vibrancy to the area in the coming months.
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