GCC’s rich prefer real estate investments
Real estate continues to be a preferred investment route for the GCC’s high-net-worth individuals (HNWI), according to a recent report.
Around 63 percent of HNWIs from the Arabian Gulf plan to invest in locations such as Dubai, Abu Dhabi and Sharjah, according to Cluttons’ 2016 Middle East Private Capital Survey Part II, which was conducted in partnership with YouGov.
Of those surveyed, 27 percent identified Dubai in their top three destinations within the GCC, while 21 percent chose Abu Dhabi and eight percent selected Sharjah.
The third edition of the two-day arab luxury world conference will delve deep into the investment and spending habits of HNWIs from the region.
The conference on the business of luxury will be held on June 1 and 2 at The Westin Mina Seyahi hotel, Dubai, and will review the expectations and the evolution of high-net-worth individuals when it comes to luxury in the GCC, and beyond, during a session titled “The spending and needs of HNWIs”. Close to 120 regional and international luxury industry experts will deliberate major challenges and opportunities for this region’s premium goods and services sector. The theme of 2016 conference is “The New Normal”.
On the real estate investment front, Cluttons’ senior partner Steve Morgan says:
“For the Gulf states as a whole, the oil price decline has certainly put budgets under pressure and has triggered a number of macro policy amendments including the phasing out of energy subsidies and the introduction of VAT. We expect these measures to put a clear squeeze on household finances but for now the investment sentiment of the region’s HNWIs remains positive, particularly towards the UAE which is seen as somewhat of a regional investment safe haven.”