Introducting Abu Dhabi
Under the rule of HH Sheikh Khalifa bin Zayed Al Nahyan, President of the UAE, Abu Dhabi, the capital city of the United Arab Emirates, is the richest city in the world; with a GDP per capita of over US$ 46,000 p.a. This has been buoyed recently by high oil prices, as well as considerable revenues from trade and manufacturing, and more recently, a rapidly expanding tourism industry.
The currency is stable (pegged to the US Dollar at a rate of 3.65) and the economy is tax-free with no trade barriers, no restrictions on capital repatriation and hence is rapidly opening up to encourage direct foreign investment in all sectors.
Abu Dhabi is fast-emerging as the UAE’s hotspot for cultural events, as well as an economic melting pot that continues to thrive and grow today. It is an emirate that balances a mixture of comfortable living, peaceful greenery and prime business opportunities.
Why Invest in Abu Dhabi Real Estate?
Abu Dhabi Property Law, revised in late 2005, has opened up the real estate market to foreign investment and paved the way to a new era of investing. With market forces suddenly shaping the local real estate landscape, arbitrage opportunities await quick and astute investors.
The fundamentals of Abu Dhabi are undeniable: it is the UAE capital, and as such holds political and legislative power; it is the largest emirate geographically at over 87% of the entire UAE; and it is the most populated, with 1.7 million inhabitants (approximately 75% of which are expatriates).
- GDP is estimated to reach US$159 billion by 2010 up from US$ 98 billion in 2006.
- The Abu Dhabi real estate sector is expected to attract over Dh 1 trillion investment (US$ 272 billion) over the next 10 years.
- Projected expense on infrastructure projects will be in excess of US$ 200 billion over the next five years.
- The demand for commercial space in Abu Dhabi is extremely high and analysts predict a similarity of prices to cities such as London, Paris and New York within five years.
- Increased demand from institutional investors globally.