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Zawya
26-03-2025
- Business
- Zawya
Abu Dhabi's residential property market set for sustained growth
UAE - Demand for residential property is on the rise in Abu Dhabi, where 38,700 new units are set to come to market by 2028, according to leading real estate advisory and property consultant, Cavendish Maxwell. Following a strong performance last year witor in the UAE capital is poised for further growth this year and beyond, fuelled by increased demand and strategic Government initiatives, said Cavendish Maxwell in its latest Abu Dhabi Residentiah 9,700 sales transactions worth a total AED26 billion ($7.1 billion), the residential real estate sectl Market Performance Report. Some 10,800 new units are due to be delivered this year, with another 6,000 in 2026. By the end of 2028, Abu Dhabi's total residential inventory will be around 313,700, it stated. Cavendish Maxwell said 5,200 new homes were delivered in 2024 - mostly at Al Raha Berach, Yas Island, Masdar City and Saadiyat Island – with 275,000 units in total at year end. Andrew Laver, the Associate Partner in Abu Dhabi, said the residential sector in the capital was experiencing steady growth, driven by increased demand from local and international investors as well as strategic government initiatives such as residency incentives. Sustainable development and innovative housing solutions will be key in shaping the future of capital's residential property market, with rising demand and price appreciation further boosted by infrastructure expansion and enhanced community offerings, he stated. Sales and rental prices up Cavendish Maxwell said the average sales prices for apartments rose by nearly 11.5% in 2024, with villa prices up by just over 12.5%. Yas Island commanded the biggest rises at more than 20% for apartments and 13% for villas. In the rentals market, rates were on an average of nearly 13% for apartments and 8% for villas, with Yas Island seeing the highest rises, at 16% and 10% respectively. Cavendish Maxwell predicts further gradual increases this year. The real estate expert said the demand for ready properties surged by almost 50% year-on-year in 2024, while off-plan transactions saw a decline of 13%, largely due to a reduction in new project launches. Of the 9,700 sales transactions last year, 75% were for apartments – up 63% on the previous year. Apartment sales transactions reached 7,300 with a total value of AED12.6 billion. 2,400 villas and townhouse, with a combined value of AED13.4 billion, were purchased in 2024 – a drop of 44% in volume and value, driven by limited new projects launches. However, demand for ready villas and townhouses was up 47% and 26% respectively, reflecting growing confidence among investors and end-users in the completed property market. Abu Dhabi saw a 34% increase in mortgage transactions in 2024, with nearly 5,000 mortgages, worth a total AED7.1 billion secured. Loans for apartments dominated the mortgage market, up 66% in volume and 55% in value on the previous year. Falling interest rates, increasing investor confidence and attractive financing options from banks fuelled mortgage demand last year, it stated. Almost 40 residential projects were launched in Abu Dhabi last year, bringing 11,000 new units to the market. Al Reem island saw the highest number of new units (2,000), followed by Saadiyat Island (1,800) and Al Bahyah (1,700). Aldar Properties dominated the market, launching around 4,000 units across 12 projects, reinforcing its position as a leading player in the capital's real estate sector. The performance of this year's off plan market will hinge on the number of new launches: a decrease in new projects could lead to a decline in volume and value of off plan transactions.- TradeArabia News Service Copyright 2024 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (
Trade Arabia
25-03-2025
- Business
- Trade Arabia
Abu Dhabi's residential property market set for sustained growth
Demand for residential property is on the rise in Abu Dhabi, where 38,700 new units are set to come to market by 2028, according to leading real estate advisory and property consultant, Cavendish Maxwell. Following a strong performance last year witor in the UAE capital is poised for further growth this year and beyond, fuelled by increased demand and strategic Government initiatives, said Cavendish Maxwell in its latest Abu Dhabi Residentiah 9,700 sales transactions worth a total AED26 billion ($7.1 billion), the residential real estate sectl Market Performance Report. Some 10,800 new units are due to be delivered this year, with another 6,000 in 2026. By the end of 2028, Abu Dhabi's total residential inventory will be around 313,700, it stated. Cavendish Maxwell said 5,200 new homes were delivered in 2024 - mostly at Al Raha Berach, Yas Island, Masdar City and Saadiyat Island – with 275,000 units in total at year end. Andrew Laver, the Associate Partner in Abu Dhabi, said the residential sector in the capital was experiencing steady growth, driven by increased demand from local and international investors as well as strategic government initiatives such as residency incentives. Sustainable development and innovative housing solutions will be key in shaping the future of capital's residential property market, with rising demand and price appreciation further boosted by infrastructure expansion and enhanced community offerings, he stated. Sales and rental prices up Cavendish Maxwell said the average sales prices for apartments rose by nearly 11.5% in 2024, with villa prices up by just over 12.5%. Yas Island commanded the biggest rises at more than 20% for apartments and 13% for villas. In the rentals market, rates were on an average of nearly 13% for apartments and 8% for villas, with Yas Island seeing the highest rises, at 16% and 10% respectively. Cavendish Maxwell predicts further gradual increases this year. The real estate expert said the demand for ready properties surged by almost 50% year-on-year in 2024, while off-plan transactions saw a decline of 13%, largely due to a reduction in new project launches. Of the 9,700 sales transactions last year, 75% were for apartments – up 63% on the previous year. Apartment sales transactions reached 7,300 with a total value of AED12.6 billion. 2,400 villas and townhouse, with a combined value of AED13.4 billion, were purchased in 2024 – a drop of 44% in volume and value, driven by limited new projects launches. However, demand for ready villas and townhouses was up 47% and 26% respectively, reflecting growing confidence among investors and end-users in the completed property market. Abu Dhabi saw a 34% increase in mortgage transactions in 2024, with nearly 5,000 mortgages, worth a total AED7.1 billion secured. Loans for apartments dominated the mortgage market, up 66% in volume and 55% in value on the previous year. Falling interest rates, increasing investor confidence and attractive financing options from banks fuelled mortgage demand last year, it stated. Almost 40 residential projects were launched in Abu Dhabi last year, bringing 11,000 new units to the market. Al Reem island saw the highest number of new units (2,000), followed by Saadiyat Island (1,800) and Al Bahyah (1,700). Aldar Properties dominated the market, launching around 4,000 units across 12 projects, reinforcing its position as a leading player in the capital's real estate sector.
Zawya
25-03-2025
- Business
- Zawya
Abu Dhabi's residential property market poised for sustained growth, with 38,700 new units set for delivery by 2028
Sustainable development and innovative housing to shape future market Dubai – Demand for residential property is on the rise in Abu Dhabi, where 38,700 new units are set to come to market by 2028, says leading real estate advisory and property consultant, Cavendish Maxwell. Following a strong performance in 2024, with 9,700 sales transactions worth a total AED26 billion, the residential real estate sector in the UAE capital is poised for further growth this year and beyond, fuelled by increased demand and strategic Government initiatives, according to Cavendish Maxwell's latest Abu Dhabi Residential Market Performance Report. Some 10,800 new units are due to be delivered this year, with another 6,000 in 2026. By the end of 2028, Abu Dhabi's total residential inventory will be around 313,700, the research shows. 5,200 new homes were delivered in 2024 – mostly at Al Raha Berach, Yas Island, Masdar City and Saadiyat Island – with 275,000 units in total at year end. Andrew Laver, Cavendish Maxwell Associate Partner, Abu Dhabi, said: 'The residential sector in Abu Dhabi is experiencing steady growth, driven by increased demand from local and international investors as well as strategic Government initiatives such as residency incentives. Sustainable development and innovative housing solutions will be key in shaping the future of capital's residential property market, with rising demand and price appreciation further boosted by infrastructure expansion and enhanced community offerings.' Sales and rental prices up Average sales prices for apartments rose by nearly 11.5 in 2024, with villa prices up by just over 12.5%. Yas Island commanded the biggest rises at more than 20% for apartments and 13% for villas. In the rentals market, rates were an average of nearly 13% for apartments and 8% for villas, with Yas Island seeing the highest rises, at 16% and 10% respectively. Cavendish Maxwell predicts further gradual increases this year. Ready properties dominate transactions Demand for ready properties surged by almost 50% year-on-year in 2024, while off-plan transactions saw a decline of 13%, largely due to a reduction in new project launches. Of the 9,700 sales transactions last year, 75% were for apartments – up 63% on the previous year. Apartment sales transactions reached 7,300 with a total value of AED12.6 billion. 2,400 villas and townhouse, with a combined value of AED13.4 billion, were purchased in 2024 – a drop of 44% in volume and value, driven by limited new projects launches. However, demand for ready villas and townhouses was up 47% and 26% respectively, reflecting growing confidence among investors and end-users in the completed property market. More mortgages … Abu Dhabi saw a 34% increase in mortgage transactions in 2024, with nearly 5,000 mortgages, worth a total AED7.1 billion secured. Loans for apartments dominated the mortgage market, up 66% in volume and 55% in value on the previous year. Falling interest rates, increasing investor confidence and attractive financing options from banks fuelled mortgage demand last year, says Cavendish Maxwell. … and new projects Almost 40 residential projects were launched in Abu Dhabi last year, bringing 11,000 new units to the market. Al Reem island saw the highest number of new units (2,000), followed by Saadiyat Island (1,800) and Al Bahyah (1,700). Aldar Properties dominated the market, launching around 4,000 units across 12 projects, reinforcing its position as a leading player in the capital's real estate sector. The performance of this year's off plan market will hinge on the number of new launches: a decrease in new projects could lead to a decline in volume and value of off plan transactions. Download the full Cavendish Maxwell Dubai Residential Market Performance report here. To contact Cavendish Maxwell, email dubai@ -Ends- For media enquiries, please contact: Rebecca Rees at rebecca@ About Cavendish Maxwell Cavendish Maxwell is one of the Middle East's leading real estate advisory groups and property consultants, with offices in Dubai, Abu Dhabi, Sharjah, Ajman, Kuwait City and Muscat. The company is a member of the Royal Institution of Chartered Surveyors (RICS) and offers a full range of property-related services, including valuation, strategic advisory, research, project and building consultancy and investment and commercial agency expertise. With a team of experienced professionals and a commitment to delivering exceptional service, Cavendish Maxwell has established itself as a trusted advisor in the regional real estate market.
Trade Arabia
30-01-2025
- Business
- Trade Arabia
Mashreq delivers record $2.7bn net profit before tax
Mashreq, one of the leading financial institutions in the MENA region, has reported a double digit growth in net profit before tax for 2024, reflecting both operational efficiency and revenue momentum. Thi is a clear indication of the ability to generate industry-leading shareholder value, it said. Net profit before tax reached AED9.9 billion ($2.7 billion), a 12% increase and underlining Mashreq's solid financial foundation and efficient cost management. Even after an AED869 million tax payment, net profit after tax grew to AED9 billion and increased 78% quarter on quarter and 4% year-on-year. Revenues Mashreq achieved AED13.4 billion in revenue, representing a 24% increase year-on-year and maintaining an impressive three-year CAGR of 32%. This remarkable growth demonstrates Mashreq's ability to harness market opportunities effectively and build diversified income streams. Other highlights * Net interest income grew by 9% year-on-year despite interest rate cuts in 2024, reflecting healthy margins on the back of strong high-quality balance sheet growth. • Non-Interest Income surged by 63% to AED 5 billion highlighting the continued emphasis on diversifying revenue streams through robust fee-generating activities and strong client engagement in FX, derivatives, and commodities. • Growth in Non-Interest Income reflects the resilience and scalability of Mashreq's business model, which continues to perform strongly amidst evolving interest rate environments. • Mashreq recognised a one-off net gain of AED1.2 billion from the strategic partial sale of a subsidiary, demonstrating its ability to identify and capitalise on value-accretive market opportunities. Expenses Efficiency gains reflect the ongoing success in optimizing operational efficiency and advancing digital transformation initiatives, while allowing for strategic investments. • Cost-to-Income Ratio improved by 339 bps to 28%(1) in 2024. • This improvement was registered despite an increase in operating expense by 11% year-on-year in 2024. Balance Sheet 2024 witnessed an impressive loan growth of 18%, largely funded by an increase in customer deposits. • Total assets increased by 11% year-on-year to AED267 billion, driven by loan growth across wholesale and retail financings. • Customer deposits increased to AED 161 billion in both wholesale and retail segments, with CASA now representing 66% of total customer deposits. Liquidity and Capital Mashreq maintained a robust liquidity and capital position, reinforcing its ability to support growth while safeguarding against potential market disruptions. • Liquid Assets Ratio was 34% and Liquidity Coverage Ratio stood at 150%, reflecting a prudent approach to liquidity management and the ability to exceed regulatory requirements. • Capitalisation metrics further strengthened compared to FY 2023, with Capital Adequacy Ratio increasing to 17.5%(2), Tier 1 Capital Ratio rising to 16%, and CET1 Ratio reaching 14.5%. • These levels highlight Mashreq's sound capital management strategy, which ensures a solid foundation for further growth. Asset Quality Mashreq has continued to set industry benchmarks in credit quality, showcasing its strategic focus on prudent lending and robust asset monitoring practices. • Net release of AED166 million in allowances for impairments was achieved through high recoveries from Non-Performing Loans and disciplined credit risk management and marks the second year of net releases. • The non-performing loans to gross Loans ratio of 1.35% (1.30% in FY 2023) at the close of 2024 reflects one of the lowest levels in the industry, highlighting Mashreq's disciplined and effective risk mitigation measures. • Coverage Ratio of 209% in 2024 (247% in FY2023) is amongst the strongest in the sector and demonstrates the prudent approach to safeguarding against potential credit losses while ensuring sufficient provisions to withstand market volatility. Abdul Aziz Al Ghurair, Chairman of Mashreq said: 'As we reflect on 2024, Mashreq's journey stands as a testament to resilience, innovation, and excellence amidst a dynamic global and regional environment. The UAE's remarkable progress, marked by its embrace of innovation and steadfast focus on economic diversification, reinforces its position as a global hub for trade, finance, and technology. "This year, Mashreq achieved record-breaking financial results, including a net profit before tax of AED 9.9 billion, alongside exceptional growth in our digital and international operations. These milestones reflect our unwavering commitment to delivering value to our stakeholders while aligning with the UAE's vision for sustainable growth and global leadership. "Looking ahead, we will continue to leverage our agility, adaptability, and innovation to shape the region's financial ecosystem. Mashreq remains committed to driving sustainable growth, empowering communities, and supporting the UAE's broader aspirations as we navigate an ever- evolving economic landscape.' Ahmed Abdelaal, Group Chief Executive Officer of Mashreq said: '2024 has been another transformative year for Mashreq, marked by record-breaking achievements and a steadfast commitment to delivering value for our customers, stakeholders, and communities. Our 24% year-on-year revenue growth and an impressive Return on Equity of 29% reflect the success of our strategy and our ability to adapt and thrive in dynamic market conditions. "This year, we achieved phenomenal growth across several markets, including India, Hong Kong, and the GCC. Our entry into Pakistan, where we became the first bank to secure a restricted pilot license for digital retail banking, represents a significant milestone in our journey to foster financial inclusion. Additionally, the launch of Mashreq NEO in Egypt and our ranking as the fastest-growing banking brand in the region by Brand Finance further solidify our leadership in innovation and customer-centric solutions. "At the core of our success is a relentless focus on digital transformation. The expansion of the NEO CORP platform across the GCC and the introduction of groundbreaking initiatives like Egypt's first-ever banking-as-a-service partnership with e& demonstrate how we are redefining financial services. "Sustainability has also been a critical focus for Mashreq in 2024. Through our award-winning Climb2Change initiatives and several landmark sustainability-linked loan deals, we continue to integrate ESG principles into our operations and deliver transformative impact for our clients and the communities we serve.
