Dubai added real estate projects valued at over $110 billion in November alone, taking the total preliminary/early stage projects in the UAE to $199 billion, according to a Citi report.
“The most interesting point to note here is that UAE projects now stand at $199 billion, up 127 per cent from October’s $88 billion.
This is driven by a $110bn real estate development project in Dubai,” the global bank said in its new Mena Construction Project Tracker report.
Overall early stage projects in the Middle East and North Africa (Mena) region rose 17 per cent to $655 billion since October, the bank said, adding that the UAE had surpassed Saudi Arabia in the early stage projects category. Early projects in Saudi Arabia were valued at $172 billion.
In the fourth quarter of 2012, a slew of mega projects were announced by the Dubai government and private entities.
In November, Dubai made the biggest announcement by launching "Mohammad Bin Rashid City," which will consist of a family center for leisure and entertainment set up in collaboration with Universal Studios; Mall of the World, the largest shopping mall of the world and having over 100 hotel facilities to meet the needs of visitors.
In the same month, Dubai approved the development of a Dh10-billion destination that will feature five distinct theme parks based on movies, animals and fun characters that shall appeal to all demographics.
In October, private developers took the stage with Link Global Group announcing plans to construct $1 billion Taj Arabia project and Sobha Group launching Sobha City, a project spread across 8 million square feet of land in Meydan City, while Dubai endorsed the extension of the Dh1.5 billion Business Bay Canal Project and Meydan Group launching Hadaeq Sheikh Mohammed bin Rashid and Meydan Tower.
In its new report, Citi pointed out that it was the first time since first quarter of 2010 that the UAE has shown growth in terms of projects planned and underway.
“The market is up six per cent year-on-year to $614 billion. This is driven by the recently announced Dubai mega real estate projects.”
Although the percentage of delayed & cancelled projects in the UAE have declined by seven per cent, the country still tops the list with delayed & cancelled projects worth $703 billion.
Overall in the Mena region, cancelled & delayed projects have fallen and are down four per cent to $1,449 billion.