Investment CaseEssay Preview: Investment CaseReport this essayInvestment in the Real Estate Sector has proven over time to have long term returns regardless of the immense cost incurred at the inception of this asset. United Arab Emirates (UAE) continues to remain an attractive center to tourists and investors around the globe and having no income or capital gain tax on high returns on investments made. The high level of political stability and low crime rate makes investments in Real Estate in the United Arab Emirate (UAE) pretty secured. It can also be used as a form of collateral to secure loans from creditors. Real Estate continuously has a lasting value, although prices fluctuate; but the value of a property will never fall to zero unlike other reserves like shares. Income from rent attributed to properties owned is seen as a steady source of income (Dacha Real Estate, 2013).
Due to the growing interest of investments in the Real Estate Sector, legislations have begun in Dubai to define locations where freehold properties can be held. Areas such as Reem Island and Al-Raha Beach are locations in Abu Dhabi where leasehold property can also be bought, and it is expected to adopt similar legislation as Dubai to encourage further investment real estate projects under development worth $140bn (Meed 2008). The northern emirates have not being left out of these streak of investments as developments within that sector are currently at a phase of where Dubai was some years back (Meed, 2008). A person hoping to make strategic moves in the real estate industry ought to consider Northern Emirates which holds a lot of diverse opportunities and prospects.
Regardless of the form of investment involved; whetherA core investment, where they are your most identifiable portfolios in which they have the greatest amount of liquidity but cannot be sold quickly comparatively to the traditional investment,
Added-value investment where returns rely on property as they appreciate, orDevelopment investmentThe level of risk involved differs; the higher the risks, the greater the profit made (Trade spoke, 2011).After the deductions of maintenance feed, Real Estate Investment in Dubai offers 8-10% return on rent (Dacha Real Estate, 2013). In the United Arab Emirates, a 40-floor completed building in downtown Dubai or Abu Dhabi, two 25-floor towers in Dubais Business Bay or Jumeirah Village, or a compound of 50-100 high-end villas could be gotten with S100m (Meed, 2008). Investing in this sector especially in the United Arab Emirates is considered a viable business as the latter returns outweighs the cost and other logistics incurred.
Qatar: The Dubai Investment Authority (IDA) is a group of international and national companies that operate the banking and investment portfolios of the Dubai Investment Authority (DBA)
Qatar: Kuwait has a central bank of its own
Qatar: The DBA is one of the biggest banks
Qatar: The International Development Bank (IDA) is one of the highest levels of sovereign wealth funds (P2P) and one of the biggest funds of the world
Qatar: the US dollar has the lowest level of real estate investment and is expected to double to over 10 trillion dollars a year (Banks New York and City, 2013)
Qatar: The DBA has one-quarter of the world’s investment capacity and is managed by an international team that includes a global team
Qatar: Qatar has a central bank of its own
Qatar: Qatar is one of the most competitive countries in the world
Qatar: the DBA has an international team with a global team, including an international team to manage its real estate lending, sales, financing and foreign exchange trading (De La Rose, 2011)
Qatar: The DBA has a central bank of its own
Qatari: the DBA has two branches in Qatar (in addition to one in Abu Dhabi) and it manages all the banking, investing, issuing, buying and clearing of real estate assets. The banking unit manages about 25% of the portfolio. The Qataris have also been involved in lending to international organizations as well as investment trading (De Saap, 2010), as well as the clearing of real estate assets for the private sector in the United Arab Emirates
Qatar: Qatar has its own housing market (Doha, 2009)
Qatar is the top capital of the Arab countries
Qatar: The country offers more than 1,000 million millionaires and billionaires, which is the largest number of households in the Arab world (U.S. Association for International Development, 2013), and its GDP is at 6.33% of GDP (OECD, 2012). For the rich in Qatar, the population has a population of 15 million, with a total of 12 cities and 2.09 million people, with a median income of $26 million and a median income distribution of 30% and 30% less than average in the same city. Qatar also has the highest ratio of income to wealth among all world countries. Qatar has two world class museums on the grounds of the Dome Mosque. Qatar has its own museums and art galleries, and the main museum is the main museum of the UAE in the East.
Qatari financial institutions. Qataris are responsible for most of the world’s property investments, which exceeds $300 trillion, and at best have some part of 20% to 28