The Geraci-Chenoweth-Gutierrez-Wood Team, or GCGW, of Voit Real Estate Services, has announced the completed $18.1 million sale of 45 acres of industrial land in Riverside, Calif. on behalf of LNR Property Corporation of Newport Beach, Calif.
The Dubai property market is in a mess right now, but the implications for the small investor are unclear. Although Dubai is world famous for owning some massive real estate developments in Dubai such as the Dubai Palm Island projects, it has also built up a $100 billion portfolio of assets in international property around the world and if Dubai world defaults on her debts, as is seeming more likely, international creditors wilkk be looking at their overseas assest as a way to recoup some losses. The fact is – it is illegal for foreigners to own land in Dubai, so the offshore properties, which include Turnberry golf resort, and numerous other holdings, including P&O, the British based shipping company, are going to look far more attractive. Prime real estate in the U.K. is the more appealing target for creditors than the desolate, undeveloped patch of desert that was earmarked for the Waterfront project near Dubai.
More on Investing in Property in Dubai – What Do the Defaults Mean?
The global financial crisis has hit Dubai particularly hard and Dubai’s property bubble has burst in a big way. Banks and property companies are renegotiating or defaulting on contracts left and right. The lawsuits are already starting to fly according to Reuters news agency.
The biggest investment listing of 2008 in Brisbane has been withdrawn from the market. Even so Brisbane, which has recorded $730 million in CBD sales is in marked contrast to Sydney. Sydney, according to Jones Lang LaSalle has only had a handful of commercial sales.
Another British property consultant, Jones Lang LaSalle, announced the fact that it would be making redundancies this year. A spokesman stated:
In light of the current challenging financial and economic climate, the company has taken the difficult but necessary decision to make 60 to 80 redundancies affecting employees based in England.
No surprise really, and according to homemove back in April, a third of British estate agents could be forced to close.
The volume of property sales in Dubai is poised to rise as more global investors enter the Gulf markets, said Blair Hagkull, MD of Jones Lang LaSalle, a real estate investment and advisory firm. Dubai is projected to record a 55.2% increase in property deals to hit $195 billion in 2008.
More on Investing in Property in Dubai – No shortage of new developments
Large discounts from property developers, dropping prices and a dwindling amount of transactions might be frightening away the individual investor, but seem to be attracting more groups of international investors in the Chinese property market
More on Real Estate investing in China – dropping prices attract an international crowd
