Dubai realtors build hopes on Indian buyers

At a time when Indian developers are finding it tough to lure potential investors, real estate developers from Dubai — for the second time in a year — have decided to reach out Indian investors with offers of luxury villas and beach apartments in Dubai. Data obtained from the Dubai land department (DLD) reveals that in the first six months of 2016, 3,656 Indian buyers have invested around Rs 13,000 crore in the Gulf country’s real estate market.

Real estate experts claim that in the past few years, investors have almost disappeared from the Indian real estate market due to an economic slump. Gulam Zia, executive director, Knight Frank India, said, “Overall, as an investor, the Dubai market is not something one should strive for considering the slowdown in the real estate sector. The market in Dubai has not shown much improvement for many years now. Developers from Dubai eyeing India is also a sign of their desperation to sell off housing stock.”

But Ajay Chaturvedi, chief executive officer, Accommodation Times, said, “There are both positive as well as negative sides where investing in Dubai is concerned. Compared to Mumbai, in Dubai, one can buy a 2- or 3-BHK apartment for somewhere around Rs 80 lakh to Rs 2 crore, with better infrastructure, lifestyle and also a more transparent atmosphere. For those living there, investing in Dubai makes more sense.”

According to DLD data, in 2015, around 10,000 Indian buyers invested around Rs 41,000 crore in the Dubai real estate market.

According to the latest Dubai realty overview from Knight Frank, luxury apartments look to be the best option to invest in in that country. “We expect prime residential properties to continue to outperform the market average in the short-to-medium term,” Knight Frank said in its latest report.

Meanwhile, DLD is organising the Dubai property exhibition at Bandra Kurla Complex in December.