Property prices in Dubai and Abu Dhabi are bottoming out as end-users and investors show renewed interest in buying apartments and offices, according to the new chief executive of a Dubai-based developer.
Federico Tauber, of Tameer, said the market had passed its most volatile period in the wake of the property downturn that started last October.
'Four or five months ago, there were no sales,' he said. 'Now, we have investors interested again in buying.'
Property brokers and analysts said recently prices had been stabilising in Dubai and Abu Dhabi after months of consecutive declines. To spur sales and accommodate investors who bought at the peak, Tameer recently cut prices at its Dh6 billion (US$1.64bn) Tameer Towers project on Reem Island in Abu Dhabi to Dh1,800 a square foot for residential units and Dh2,500 for offices from highs of Dh3,000 and Dh4,000 respectively, decreases as much as 40 per cent from peak prices.
Tauber said the prices represented the new natural equilibrium for higher end property in the capital.