Over the past two years Chinese investors have reportedly poured more than US$353 million into Dubai's property market.
Chinese entrepreneurs have invested in Dubai's land, houses and commercial buildings and according to Dubai's land bureau statistics around 10% of Dubai's residents are Chinese. Interest from Chinese buyers in Dubai’s property market has increased for a number of reasons. With strong air links between Dubai and China’s major hubs the emirate is used as a base to operate around the GCC region and offers extensive access into Africa. The luxury retail segment also provides a relaxed environment and competitive prices.
One of Dubai’s larger real estate developers Damac Properties has recently signed an agreement with 5i5j, the third-largest property broker in China, to market its pipeline of properties to Chinese investors. Ziad El Chaar, Damac’s managing director, signed the agreement with 5i5j during Dubai Week in China last month.
Also while Dubai's property prices have been rising their levels are still relatively low compared with that of the prime European cities, Hong Kong and Singapore.
One state-backed company that has invested in Dubai is China State Construction Engineering Corporation. It has taken a minority stake in Skai Holdings’ $1bn Palm Viceroy project and in its Suites in the Skai project being built in the Jumeirah Village Circle neighbourhood.
The number of Chinese visitors to the city is on the rise up by 25 per cent last year to 285,000 which will surely yield more property sales.
