In a panel debate at the Arabian Business Leadership Summit 2024, featuring renowned figures in the real estate industry, Alex Zagrebelny of R. Evolution, Josef Kleindienst of Kleindienst Group, Atif Rahman of ORO24, and Ben Bandari of Ben & Core Real Estate LLC consulted the critical aspects of maintaining growth, promoting innovation, and navigating the combustible market conditions in the UAE’s bustling real estate sector.
Innovation in real estate
Josef Kleindienst, CEO of Kleindienst Group, discoursed the demand for invention within the industry. “Our number one customer demographic are UAE nationals, followed by Saudi Arabia,” showing a vital local and regional attraction in their offerings.
Despite this strong demand, Kleindienst realised that innovation within the real estate sector usually needs to be faster-paced. However, he conveyed a groundbreaking development for his company. “In May, we applied for a license for floating villas; it is the first registered in the land department,” he announced.
Alex Zagrebelny of R. Evolution echoed Kleindienst’s call for invention, highlighting the need for rapid transformation in a fast-changing world. “The problem with real estate is that it’s a five-year span, but now that the world around you is moving so fast, you always need to be innovative,” Zagrebelny remarked.
He encouraged his fellow developers to maintain pace with global improvements. “I want to ask all other developers if you are looking to move fast in the future,” he emphasised, highlighting the significance of skill and forward-thinking in the industry.
Market trends and volatility
Ben Bandari of Ben & Core Real Estate LLC delivered a thorough analysis of the present market dynamics, relieving light on the incredible activity within Dubai’s real estate market. “The numbers don’t lie. There were 36,000 transactions in Q1 2024,” Bandari mentioned, explaining the high magnitude of market dealings. He acknowledged the inherent volatility in the market, stating, “The market is volatile, goes up and down. We are having an upward trend right now.“
According to Bandari, this upward trend is attracting global attention. “Investors and buyers from all over the world are looking at Dubai. We are getting buyers from places we haven’t seen before,” he shared, reflecting on the expanding geographical interest in Dubai real estate.
Bandari’s optimism about the market’s future is professional and personal. “I believe in this market – my son and daughter will have properties here,” he affirmed.
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Economic growth and real estate impact
Atif Rahman of ORO24 brought a broader economic perspective to the discussion, emphasizing the interconnectedness of real estate growth and overall economic development in Dubai. “The market has performed exceptionally well. It is going to continue going upwards.“
He mentioned Dubai’s transition from a rising to a developing economy, an evolution that promises maintained growth but also needs cautious positiveness. “Is it a holistic economic boom we’re experiencing? The answer is no,” Rahman precautioned, illustrating a comparison to the 2008 economic crisis. “The 2008 was a market with broken limbs; this time, there will be some bruises, but it won’t be the same,” he explained, suggesting that while challenges remain, they are less severe than those faced during the previous downturn.
Rahman also highlighted the significance of moving the focus from merely real estate to broader financial growth. “The shift must move from overall real estate to economic growth of the country. Real estate impacts human life,” he pointed out. He advised investors to remain prudent, “Invest every penny in your pocket in Dubai real estate but be mindful,” underscoring the need for careful and strategic investment in the sector.
The panellists collectively highlighted the crucial need for innovation, rapid transformation, and strategic acquisition to support the growth of Dubai’s real estate market.
The Arabian Business Leadership Summit is presently underway in Dubai. Some of the region’s most significant business leaders, including Ben Bandari, Josef Kleindienst, Khaled Nuseibeh, and Vineet Budki, are in attendance.
The conference is a forum for leaders to swap ideas, discuss barriers, and explore options for shaping business fate in the Arab region.
