Dubai New Investment Venue for Chinese
One of the leading property developers in the United Arab Emirates, Jumeirah Golf Estates, had spearheaded its latest thrust for investments for the kingdom. The company, together with other property developers in the region participated in Beijing's Luxury Property Showcase, as reported on The National.
Chinese investors, seeking investment havens, have put their money into commercial units and luxury properties throughout the world, such as the United States, Australia, New Zealand and Mauritius. Many have started to expand into the European and other Asian property markets as well.
In 2015, nearly half a million Chinese tourists came to Dubai. Currently there are about 4,200 Chinese businessmen in the emirate. These figures alone have made China a wealthy market for property developers in the Middle East.
Aside from traditional investment havens, Chinese buyers have started to search for bargains and higher returns. The examples, as reported on Arabian Business, had ranged from land and homes in Dubai to student housing projects in Manchester, England.
This was echoed by SPV Global Director Clara Yeung, "People invest in emerging markets for higher yields, lower entry prices and higher capital appreciation. Some invest for vacation purposes... good prospects for an economy or political situations, for example, the World Expo 2020 in Dubai or the change of governor in Myanmar are some other reasons to invest in these emerging markets."
Overall, Chinese investments accounted for the seventh largest investment in Dubai for 2015. This translated to a volume of $463 million for the first three quarters of 2015. This was a large jump from 2013 figures, which accounted for just $354 million, according to Sumansa Exhibitions Director Sajid Ali.
Ali added, "The average price of a studio apartment in Hong Kong's (Central) area is HK$7 million ($900,000), while for the same amount one can buy 7 studio apartments in Dubai."