Tuesday, December 26, 2006

Lesser rents quoted for the high tower buildings in Ajman

Many new high tower buildings have come up over the past one year in Ajman, and the real estate agents in the place are facing a tough time, trying to draw tenants to the buildings.

One can see plenty of “To-Let” boards particularly in the Rashidiya and Al Nuaimia area, where there are plenty of constructions being done. According to a real estate agent in Ajman, the owners are ready to lease out the flats at reduced rents. The Northern Emirate Property, which has plenty of units for lease and sale in Ajman, had quoted Dh.50,000 per year for a three bedroom apartment and D.28,000 for a single bedroom flat. According to a resident of the area, an estate agent who had quoted Dh.35,000 for a double bedroom apartment in Ajman about six months ago, is now ready to offer it for Dh.25000. Some real estate agents are even said to be quoting Dh.18000 for a single bedroom flat.

Inspite of such a condition, the real estate agents are confident that the occupancy rates will increase and the rents will also simultaneously rise. The Real Estate Manager for Northern Emirates Property, Roger Wilkinson is of the opinion that the property market in Ajman is good, and as their first project was completely sold out, there are confident of selling all of their tower projects in Ajman.

The mounting traffic in the Dubai-Sharjah route, the floods and water supply problems are believed to be the negative factors contributing for the decline of rents currently in Ajman.

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