On time delivery growing in value for Gulf residential property investors - Saudi Gazette

On time delivery growing in value for Gulf residential property investors

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DUBAI — Residential developments that fall well behind schedule have become standard in many parts of the Gulf, leaving investors and end users counting the cost.

Delayed delivery of projects is a big concern for anyone seeking a healthy return on investment, or an on-time move into a new home, and punctuality is a factor now making developers stand out, and has a growing influence on buying decisions.

When Mada Residences, a 36-storey luxury residential tower in Downtown Dubai, is completed bang on time next summer, it will set a standard for residential property development in one of the city’s most desired locations.

While other homes buyers wait patiently for overdue delivery, Riyadh-based ARTAR Real Estate Development will start handing over keys to the 193 spacious 1, 2, 3 and 4 bedroom luxury apartments on schedule.

Not only that, homeowners moving in and investors looking to sell or rent out will be doing so safe in the knowledge that their property has another key ingredient.

Mada Residences is the first residential tower in Dubai built using specially developed cladding that can resist temperatures of up to 1200ºC.

ARTAR’s decision to invest in the cladding, made in Spain from extruded porcelain, was taken months before Dubai authorities recently took action to counter the threat of fires in high rise buildings.

“Developers give investors a number of important promises, and it’s important to keep to them,” said the Saudi company’s COO Eng Okbah Abdulkarim.

“One of the most important promises is to meet the original delivery date, so people who invest through their payment plans don’t to lose money if their cash is tied up for longer than expected.

“A whole multitude of factors can cause delays, but as we’re showing with Mada Residences, it is possible to overcome obstacles and hand over on time.”

Added Abdulkarim: “More and more investors and end users are taking into consideration developers’ delivery record. At the same time, fire safety has become another key concern affecting buying decisions, and we expect to see many more building owners taking the initiative to use cladding that can withstand extreme temperatures.”

The Dubai Government announced last month that skyscrapers with potentially flammable cladding are to undergo work to better protect them against fires. It followed a number of high profile blazes in recent years.

The installation of the new cladding at Mada Residences, currently 80% complete and on course for delivery in 2Q 2018, will also reduce AC consumption during the summer months, with energy savings of up to 30%.

The luxury tower, a one-minute walk from the new Dubai Mall extension, features a Signature Collection of nine elite 4-bedroom apartments as well as the only two bedroom apartments with maid’s rooms in the Downtown district to be handed over in 2018. — SG


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