Tuesday, September 16, 2008

Business Bay likely to be a global business hub in future

Prices at Business Bay are likely to cross Dh.5000 per square foot mark from the present Dh.3500 to Dh.4000 per square foot during the coming months, predicts an industry expert.

The CEO of Aakar Developers, Yadvinder Singh, recently said that with Dubai drawing considerable attention from more businesses and people, a huge shortage of commercial properties are likely in future. Business Bay apart from being the only main business hub for Dubai, will rise to be a global hub for all businesses.

Although commercial properties in localities such as the Dubai Media City, Dubai Internet City, Dubai Financial Center and TECOM continue to remain attractive, they come with certain limitations and are open only to few kinds of business activities. But properties at Business Bay are used to conduct all types of businesses, and hence there is a greater demand for commercial space at the Bay, which is likely to be the hub for every industry, he pointed out.

According to Singh, the current price of Dh.4000 per square foot at Business Bay is comparatively cheaper than established international hubs such as New York, London, Singapore or Hong Kong. The prices here are soon likely to cross Dh.5000 per square foot mark, he said.

Business Bay is an ideal location for all businesses based in Bur Dubai, Deira and adjacent areas who are seeking relocation of their businesses to Business Bay, due to its close proximity to Dubai Mall, Burj Dubai and DIFC.

"The business-friendly Dubai continues to attract an increasing number of individuals and companies to its shores. Corporates are finding it difficult to establish offices here. Being a flourishing business hub, they require the best location for setting up an office, and Business Bay will be the next business hub not only for Dubai, but for the world. Owning an office at Business Bay would be prestigious" he added.

Any new developer seeking to begin a project at Business Bay will have to think twice before investing, as a plot of land here will cost him thrice more than what he would have ideally paid two years ago. This coupled with mounting construction and labour costs will need a serious thought before embarking on a project under prevailing conditions, Singh said.

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