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Mass relocations up housing demand
Mass relocations up housing demand Haseeb Haider / 31 August 2013 The new rule which has forced tens of thousands of Abu Dhabi government employees to move to the capital, has given the property sector a boost with demand for housing shooting up. The government gave a one-year timeframe to employees and their families to find new homes and schools and move to the emirate. Many believe the move will create more economic opportunities in the capital, and macro-economic stability. There are different estimates on how many people have been affected by the new rule — one estimate suggests about 30,000 were previously commuting daily between Abu Dhabi and other emirates, while David Dudley, the Abu Dhabi-based regional head for property consultancy firm Jones Lang LaSalle (JLL), thinks the figure is more likely between 10,000 and 15,000 people. A separate study by the Department of Transport stated that 19,000 people commute in the morning from Dubai to Abu Dhabi. The CEO at Abu Dhabi economic consultancy Global Minds, Riad Mattar, said the government policy suggested the number must be really big, otherwise the decision would not had been taken. His own estimate was between 15,000 and 20,000 people — mostly executives — would move to the capital. The relocation has already had its impact on rents as in the first quarter of the year when rents shot up by eight per cent, as families started moving back, Mattar said. Abu Dhabi opened up its property sector to foreign investment in 2007, allowing expatriates the right to own properties in the designated investment zone like Al Reem Island, Saadiyat Island and Al Raha Beach and adjoining areas like Al Reef. But, after the financial crisis of 2008, Abu Dhabi residents found rents much lower in Dubai, as thousands of residential units were delivered to their owners much earlier than in Abu Dhabi, where rents plunged significantly. However, due to late arrival of housing units, the rents were not affected in Abu Dhabi. The properties built after the financial crisis, when finally delivered to their owners, created an over–supply situation. Mattar described the government move as a well thought out one. He said first it would improve the occupancy levels in the capital and, secondly, the executive class – the primary people who would be moving back – would spend more money in Abu Dhabi on shopping, groceries and dining out, which will have a multiplier effect on the overall economy. The economist said that many Emiratis would also be affected by the new rule, as an estimated 10,000 or even more had to commute between Abu Dhabi and Al Ain, Dubai and other emirates. According to JLL, 2,000 residential units were delivered in the first quarter of the year in the up-scale localities of Al Bateen Park, Al Reef Community, Saadiyat Beach Residences and Nation Towers on the corniche, bringing the total residential stock to 2,08,000 units. An additional 14,000 units are scheduled to be delivered to the market throughout the rest of the year in the posh area of Eastern Mangroves Promenade by Tourism Development and Investment Company (TDIC), additional units on Saadiyat Island, Al Bustan Complex on 29th Street and several towers on Al Reem Island. The property consultancy says more developments are coming up within planned areas such as Al Reem Island, Saadiyat Island, Danet, Saraya and Rawdhat. Dudley said the rise in the rental values this year was due to the relocations. Ram, an Abu Dhabi property agent, said the recent surge in the demand for housing primarily related to one and two-bedroom housing units, which triggered hikes in their rental prices significantly. The bigger properties and villas with five and six-bedrooms were not in as great demand, as their rental values had dropped, since one family can stay in a villa. With the estimated 14,000 units delivered to their owners, the housing shortage will most probably be addressed over the year, with another 14,000 housing due to come on to the market next year, according to Jones Lang LaSalle. It also estimates that in 2015, about 17,000 residential units are expected to arrive in the capital, which means Abu Dhabi has to maintain its seven per cent per annum economic growth, so that enough jobs opportunities are created and the existing investments into hydrocarbons bear fruit. haseeb@khaleejtimes.com Continue reading
Obama says world cannot stand by on Syria
Obama says world cannot stand by on Syria (AFP) / 31 August 2013 President Barack Obama insisted that war weariness cannot excuse world powers from their duty to punish Syria after the gassing to death of hundreds of women and children. US President Barack Obama speaks during a meeting with Baltic leaders in the Cabinet Room of the White House in Washington on August 30, 2013. While he said he had made no “final decision” on taking military action against Bashar Al Assad’s regime, Obama gave his clearest indication yet that a “narrow, limited” attack is imminent. His remarks came after the United States released an intelligence report that concluded the regime had launched a chemical onslaught in the suburbs of Damascus last week, killing 1,429 people, including at least 426 children. “This kind of attack is a challenge to the world,” Obama told reporters at the White House. “We cannot accept a world where women and children and innocent civilians are gassed on a terrible scale,” he said, calling the attack a threat to US “national security interests.” “The world has an obligation to make sure we maintain the norm against the use of chemical weapons,” he said, slamming the failure of the UN Security Council to agree on action. Obama said he was looking at a “wide range of options” but had ruled out “boots on the ground” or a “long-term campaign.” “We are looking at the possibility of a limited, narrow act,” he said. France gave its backing to the US plans, saying a “strong message” should be sent to the Assad regime, but British lawmakers had already voted against any involvement in military action and other close US allies said they would not sign up. Russia, Syria’s most powerful ally, has questioned US intelligence about the August 21 gas attacks and has warned against any military strikes without UN backing. In Damascus, UN experts completed their investigation into the attacks east of the capital and said they would “expedite” a report on whether chemical weapons had been used there. The team is due to leave the war-battered country on Saturday and report back immediately to UN chief Ban Ki-moon, who has appealed to the West to allow time for their findings to be assessed. US Secretary of State John Kerry cited “multiple streams of intelligence” indicating that the Syrian government had carried out the chemical attack and that Assad himself is the “ultimate decision maker.” But the United States, faced with an impasse at the Security Council and the British parliament’s shock vote on Thursday, has been forced to look elsewhere for international partners. While Germany and Canada ruled out joining any military strikes, French President Francois Hollande said the British decision would not affect his government’s stance. Hollande said he and Obama “agreed that the international community cannot tolerate the use of chemical weapons, that it should hold the Syrian regime accountable for it and send a strong message.” Turkey, Syria’s neighbour, went further still, demanding not just surgical strikes to send a message about chemical weapons but a sustained campaign to topple the regime. “A limited operation cannot be satisfactory for us,” Recep Tayyip Erdogan was quoted as saying by the NTV news channel. Gruesome pictures of some of the reported victims of the attacks, including children, have shocked the world and piled on the pressure for a response that could draw a reluctant West into the vicious Syrian civil war. But Russia and even some US allies, have warned against any intervention, saying it risks sparking a wider conflict. Divisions over Syria have further chilled the frosty relations between Washington and Moscow ahead of the G20 summit next week in Saint Petersburg, where pointedly there will be no face-to-face talks between Obama and Russian President Vladimir Putin. Syria has denied using chemical weapons, and the foreign ministry said on Friday that the US intelligence report was “nothing but tired legends that the terrorists have been circulating for more than a week, with their share of lies and entirely fabricated stories.” The military build up was meanwhile continuing, with US warships armed with scores of cruise missiles converging on the eastern Mediterranean. In Damascus the mood was heavy with fear and security forces were making preparations for possible air bombardments, pulling soldiers back from potential targets. More than 100,000 people have died since the conflict erupted in March 2011 and two million have become refugees, half of them children, according to the United Nations. Continue reading
Dubai Courts launches ‘Twitter Visit’ initiative
Dubai Courts launches ‘Twitter Visit’ initiative Staff Reporter / 30 August 2013 The Dubai Courts’ 4,000 Twitter followers and other interested individuals will now have the chance to take part in an arranged visit to the courts’ premises and have a closer look at the way the judicial system works. According to ‘Twitter Visit’, an initiative which was launched by Dubai Courts General Manager Dr Saeed bin Hazeem, a monthly visit will be arranged for the members of the public who wish to get familiar with the judicial system in operation within the courts, and procedures and services rendered to the litigants. Dr Saeed bin Hazeem and other Dubai Courts officials checking the courts’ Twitter account during a ceremony held to announce the new initiative on Thursday.— Supplied photo The initiative was launched during a ceremony attended by a number of judges and heads of departments on Thursday. Dr Bin Hazeem stressed that the courts department was keen to spread its vision and mission among customers and society in general and that it was important to raise the public’s awareness about its services and procedures. “The courts plays an important and prominent role in the community, and we must enlighten the community members about this judicial role. The main purpose of the Dubai Courts is to boost confidence in the judicial system both locally and internationally. “This is achieved through the spreading of justice in society, precision and speed in the settlement and adjudication of claims, and enforcement of judicial judgments, decisions and orders, as well as documentation of contracts and other edited materials. This goal can be achieved by relying on qualified national cadres and modern and sophisticated systems, procedures and techniques.” The programme is aimed at all those who have tweeted Dubai Courts through its Twitter site which currently receives around 4,000 followers in total. According to the Public Communication and Social Media Office at the Dubai Courts, to take part in the Twitter Visit, one should contact them and reserve a seat. The programme will include a tour inside the courts’ premises and introduction about the various departments, divisions and services provided to litigants. In addition, a meeting with a judge from Dubai Courts will be included, in order to familiarise the visitors with his profession, its secrets and inside information, and the challenges he faces in his work as a judge. The courts has already launched its accounts on social networking sites such as Twitter and Facebook with the aim of opening new channels to communicate with the general public. mary@khaleejtimes.com Continue reading