The world has seen the economic breakdown of Dubai when global economic crunch hit the city, the trend of investing in real estate especially hotels industry has been affected by this fact. Year 2012 has brought a significant improvement to economic conditions of Dubai but due to the earlier events and condition of hospitality sector in Dubai, the investing situation in Dubai Hotels has not yet notably raised.
The global economic crunch has brought slow economic growth with it and decreasing investment in real estate generally and hotel industry specially unfolding the lowest investment volumes since late 1990’s and an investment downfall of about 64 percent in comparison with 2008 investment volumes.
Real estate and property investment is Dubai always remain in vogue. However, with the beginning of 2012, Dubai realty market is experiencing a new and unique investment trend as people are taking interest in commercial properties to start hotel or restaurant over there. It is really a positive sign for Dubai hotel industry. Hotel investments are relatively new to Middle East region as compared to the West, where you can find many institutional companies that buy and develop hotels.
The reasons can be many that are hindering Dubai to become more feasible and a mature market for hotel investments. First of all, Dubai is trying to come out of depression mode but experts are transforming its image from luxurious residential market to a land of opportunity for commercial property investors and an attractive platform to flourish hotel industry.
In few recent years, Dubai has faced a worst slump and decreasing investment in real estate sector but experts forecasted 2012 as a year that will bring significant rise in commercial real estate sector of Dubai by encouraging hotel investment that is expected to bring remarkable increase in Dubai economy as well.
It is the need of time that real estate experts, professionals, officials and property sellers should play their roles to make Dubai real estate market more transparent to promote this new investment trend in luxurious hotels of Dubai. Dubai Hotel investing opportunity will surely bring some rise in the economy and certainly put Dubai real estate market back on the recovery path.
Written by hotelsdubai