- Industrial, retail, and office sectors saw a 45% increase in demand in Q1 2024
- British/Indian/German investors account for 43% of DHG’s Helvetia sales
- 82% of UAE/KSA professionals prefer working in the GCC versus the US/Europe
Dubai, UAE – 03 June 2024: DHG Properties, a renowned Swiss real estate developer with a legacy of over three decades of excellence, explains how the UAE’s high commercial property demand is translating to greater residential real estate success for the country. DHG cites a 45% increase in demand for industrial, retail, and office sectors through Q1 2024; according to Miloš Antić, Vice Chairman of DHG Holding & Founder of DHG Properties, this surge is playing a key role in facilitating sales transactions in the country’s real estate sector.
The UAE’s industrial and retail sectors grew by 34% and 41%, while the office sector demonstrated the greatest growth at 61%. Miloš explained: “The country’s future-oriented, flexible remote work system was born out of necessity during COVID-19 but the pandemic is now a thing of the past and business has resumed as usual. Hybrid and work-from-home systems remain intact in the UAE but employees have returned to offices in greater numbers. With an increased demand for commercial spaces, residential demand has followed in parallel; as homes that serve as a separator between professional and personal life, and provide easy access to workplaces, are being highly sought after.”
The UAE’s growing demand for commercial infrastructure is not only to accommodate existing residents but also future ones. Dubai in particular has witnessed tremendous population growth as more than 25,700 people migrated to the emirate in Q1 2024, compared to just 25,489 people in all of 2023. With this, DHG has observed an uptick in German, Indian, and British investment with these nationalities contributing to 43% of the 50% of sales that have already been logged for the company’s Helvetia Residences project in JVC. Many of these investors live overseas but a substantial amount are migrating to the emirate and investing in its real estate sector due to tax advantages and high rental yields, among other factors.
The notion that commercial real estate growth is fuelling the country’s residential property success is reinforced by the UAE’s rank as the most popular destination for global workers; a recent survey illustrates this as 82% of professionals in both the UAE and KSA said they prefer working in the GCC region rather than moving to Europe or the US, with approximately 46% of respondents crediting the region’s standard of living and 35% citing its attractive lifestyle.
Miloš added: “It’s easy to forget that the real estate sector is affected by other dynamics, and vice versa. With that said, the implementation of several initiatives – from Golden Visa reforms to D33 and now the Quality of Life Strategy 2033 – by the UAE’s wise leadership is having a profoundly positive impact on the country as a whole, and in relation, its real estate market. As the nation continues its growth journey, developers must not only commit to present-day market dynamics but also to future-proof the nation for years to come.”
Currently, DHG is bringing its signature European touch to the UAE via Helvetia Residences. With this JVC-situated project, the company is catering to the country’s diverse range of nationalities and simultaneously bolstering its own portfolio. To date, DHG’s 30-year track record includes global feats including 300 total delivered projects, 2.5 million square meters of construction and development, and over 1,500 residential and commercial developments in its pipeline.
