Blogs

The Dubai Real Estate Market continues to soar The commercial property market right now is the strongest it’s been since 2016, with office, warehouse and retail units in high demand for both sales and leasing according to our recently released commercial property market report for Q1 2022.DOWNLOAD THE REPORT HEREAs Dubai opened back up to the world and the majority of restrictions were lifted, the trust in the commercial property market recuperated, resulting in increased demand for properties for sale. New policies issued by the government at the beginning of 2022, such as modifying the working week to Monday – Friday to align with the rest of the world, have made Dubai even more attractive to investors looking to grow or expand the business.Overall, it can be expected that the commercial property market will continue on an upward trajectory, supporting growth in Dubai’s property market and the economy as a whole. Here are the headline statistics from the report:Commercial SalesQ1 2022 has followed on from the trends we saw in 2021, with prices, demand and transactions continuing to rise. The commercial property market has experienced a 107% increase in sales value for Q1 2022 compared to Q1 2021. The Dubai property market had a total sales value of nearly AED 56 billion in the first quarter of 2022, according to DXB Interact, a record breaking quarter compared to previous years. At CRC, our invoiced transactions rose 62% in Q1 2022 over Q1 2021. Office and retail sales remain at the forefront of the growth, with offices experiencing a 31% increase and retail a 104% increase for units sold over Q1 2021. The total sales value also continues to rise, as offices have seen a 71% increase and retail units a 49% increase over Q1 2021.Increasing demand combined with the limited supply of Grade A commercial spaces is an ongoing trend visible through the first quarter of 2022. As businesses have successfully rebuilt after suffering from the impact of the pandemic, the objective is now to expand, the need for larger office spaces is rising, and as the occupancy of these spaces increases, so does the shortage in stock.Commercial LeasingThe commercial property leasing sector has maintained steady growth in the first quarter of 2022. The multitude of new businesses opening their doors across Dubai has increased rental prices throughout all sectors, creating greater demand for those seeking new premises for their growing businesses.According to CRC data, the number of leasing transactions is up 7% for Q1 2022 vs Q1 2021, with the highest increase in the warehouse sector, which is 88%.  The overall number of registered tenant leads for CRC increased by 32% compared to the same period last year. In line with the spike in demand, the highest increase came in at 128% for warehouses.This quarter, we’ve witnessed a continuous demand for commercial property, as businesses that downsized during the pandemic started getting back to bigger office spaces. As well as retail and warehouse businesses benefitting from a surge in demand due to a boost in the economy.While prices rise and the demand grows, tenants who would previously shop around year on year, in order to secure high-quality units at the lowest price, are opting to lock down long term leases at lower rental values instead.Seemingly, the trust in the market has bounced back in the first quarter of 2022, with CRC recording a 17% increase in payments with 4 cheques and 1 cheque payments decreasing by 7%.

The plans for EXPO 2020 after March 31 have been announced and it looks like the site is set to become a new urban development.District 2020 has officially been named as the project set to replace EXPO 2020. District 2020 will focus on “curating a global innovation ecosystem and an integrated community lifestyle,” according to Expo organizers.They have billed the site as “a model global community for the future that will use state-of-the-art innovation, science and sustainability to create a cleaner, safer, healthier environment to live and work.”80% of EXPO 2020 will be repurposed for the new development as it diverts into a smart and sustainable mixed-use community. District 2020 has already gained the nickname ‘15 minute city’ as plans for the site show that housing, work spaces, retail, restaurant and attractions will never be further than a 15 minute walk away from one another.  District 2020 aims to cater to a population of 145,000 at full capacity.How does this affect real estate?Well, despite the fact this will create both residential and commercial real estate opportunities, it is also set to be yet another attraction for this bustling city. This new development will provide more working opportunities for those who are already or considering living and working in Dubai, as well as an increase in tourists travelling to visit the new smart city. So, what else can we expect to affect the real estate industry post EXPO 2020?RAPID COMMERCIAL EXPANSION In terms of commercial real estate, there has already been a huge injection of stock into the market, with the development of new shopping centres, hotels and over 400 restaurants, both in and around the Expo 2020 site. As such, it has opened the doors to hundreds of new businesses and investors in the city. With these new businesses expected to expand around Dubai, they will need to find commercial spaces in which to operate.THE SURGE IN DEMAND FOR RESIDENTIAL INVESTMENTSInvesting in Dubai has become increasingly attractive over the past few years due to the thawing of diplomatic relations with several countries, including Israel and Qatar; government incentives, including the introduction of new visas; the reduction of ‘Loan-to-value’ for first time buyers; as well as the relaxation of many of the country’s more conservative, cultural laws. Not only has this promoted investment into the country but has also made the city an attractive place to live. It should also be pointed out that as businesses expand into Dubai, families will come with them, necessitating new housing developments. These new investors have had, and are expected to continue having a primary focus on high-end luxury properties, with properties worth over $10 million accounting for over 7% of all real estate transactions. This interest in high value, luxury properties was witnessed in 2021 by Betterhomes, the sister company of CRC, whose agent Hannah Pratap, secured the biggest leasing deal in the history of Dubai. POSITIVE IMPACTEXPO 2020 has brought a huge number of people to Dubai and in turn, introduced them to its upscale lifestyle, safe environment and the possibility for impressive career growth. Although it was already one of the most popular places to relocate, the past year has seen more people than ever want to make the move to this bustling city and there’s no question as to why. Expo 2020 Dubai welcomed more than 10 million visitors in the first 3 months and both the educational and entertainment aspect of the event will have inspired many residents, expats and investors to explore new avenues of both life and business. There’s no doubt that the new development, District 2020, will continue to inspire growth across the city. So, what will happen next? Will the real estate in Dubai witness a boom after EXPO 2020? Well, in a nutshell, Expo 2020 was just the beginning of Dubai’s new future. This global event was expected to kickstart business development and encourage foreign investment into the country, and I’m sure we will document the positive effects of that as Dubai’s economy continues to thrive through 2022 and beyond.If you require any assistance on leasing, selling or buying commercial property, get in touch with us today.    

Starting a business in the UAE is fairly easy, making it one of the most desired cities for entrepreneurs and investors interested in a startup. The local government encourages both investment and startups in many ways, and in the past year has even rolled out long-term visas for investment.However, like anything there are both advantages and disadvantages to take into consideration and it’s important to do thorough research and seek professional advice with big financial decisions.In this blog, we have listed some of the pros and cons to consider when opening a start up in Dubai. ProsMultiple set up optionsIn the UAE, there are 3 options for business set up, these include, mainland, offshore or freezone. Each option holds its own features and benefits and it is important to fully understand each, in order to make the right decision for you and your business. Depending on your type of business will determine the option that best suits. For example, a mainland company structure will offer you the freedom to operate your business in any part of the emirate. Whereas, a freezone will allow you to benefit from a tax free environment and 100% ownership of your business. Whatever the case may be, you will be sure to find an option that fits both your needs and requirements. Growing economyIt’s no secret that Dubai is host to a very healthy economy and provides opportunities for both businesses and individuals to thrive, grow and develop. Not only Dubai, but the UAE as a whole offers both comprehensive and transparent business procedures as well as a stable political situation and an abundance of resources. Which makes this an ideal location for operating a business. Diverse industries The opportunity to develop a successful company here is available through many different industries. Whether its manufacturing, hospitality, retail or services, with the right business structure your company has the potential to thrive.ConsTrade limitationsAlthough there are many benefits that come with setting up a business in a freezone, if you choose this option you will experience trade limitations, meaning that you will be restricted to performing all business operations within the confines of your free zone only. Although, depending on your type of business, it is possible to obtain an agreement with a distributor in order to operate in mainland areas. Confusing set-up proceduresIf you are unfamiliar with the UAE’s laws and procedures, setting up a business may feel like a difficult and confusing task. There are multiple consulting companies that can assist you to ensure your business set up is a quick and easy process, we would recommend enlisting the help of one of these companies, if you are new to Dubai and the world of business.Do you already own a business in Dubai and are looking for Commercial space to rent or buy? Get in touch with one of our agents today.   

Dubai is one of the world’s most enticing expat locations. The warm weather, high standard of living, and low crime rate are just a few of the reasons why it has been dubbed one of the best cities in the world to live in. Plus, Dubai’s economy just keeps on growing, making the wealthy city a number one choice for those looking to enhance their career.The economic success of Dubai has even prompted many expats, business owners and retirees to buy properties instead of renting. This is a useful investment strategy which helps achieve some capital gains over time as their Dubai properties increase in value.However, as always, there are some risks associated with buying a property in a foreign country. Below we’ll share some information about buying property in Dubai and the risks associated with it. Is it easy to buy property in Dubai?Over the past 20 years, the United Arab Emirates (UAE) has become much more welcoming to forign investment. A variety of platforms have even been launched which are designed to encourage foreigners to invest in the country through starting a business or buying property. The government have also been particularly proactive when it comes to assisting retirees, they even launched a programme in 2020 called Retire In Dubai. Benefits if buying a property in Dubai Below are some of the benefits that come with purchasing a property in Dubai:Safe and stable country Dubai has recently been named the safest city in the world (for women in particular) which makes it a great location to invest in a property for you, your family or your business.Reasonably priced real estateI know what you’re thinking, the UAE is one of the wealthiest nations in the world, right? Right! But surprisingly, it is still possible to find reasonably priced properties in Dubai, as opposed to other popular cities like Los Angeles. Excellent rental yieldsOne of the reasons Dubai is so popular with retirees, is the fact that rental yields can be extremely high. Investors have been known to achieve as much as 12% rental yield from property investments.Long term capital growth The UAE economy is anticipated to keep on growing through to 2030 which means property prices are likely to increase. Although it is important to check the current condition of the market with a financial advisor before investing.  Is it safe to buy a property in Dubai?No matter where you are in the world, buying a property is a significant financial decision, so caution is always advised. We recommend consulting with experienced financial and property experts to ensure you have the most up to date information relevant to your location and circumstances. Although generally speaking, it is relatively safe to buy a property in Dubai. However, the laws are slightly different in Dubai as opposed to other countries, which means running into a legal issue when buying or selling a property may lead to difficulties. To avoid these types of situations, it is important to always be diligent in your negotiations and consult with a lawyer to oversee any legal transactions. The Cost of investing in Real Estate in Dubai The price of properties in Dubai have fluctuated over the years. However, the current price of Townhouses & Villas for sale in Dubai range from 1.5M to 16M and Apartments from 280K to 2.9M.Top Villa communities include: Palm Jumeirah Jumeirah Island Jumeirah Golf EstatesEmirates LivingTop Apartment communities include: City WalkPalm Jumeirah Dubai Festival City Dubai Creek Harbour Additional FeesAlthough the initial Sale price may be within budget, it’s important to note that there are some additional costs associated with buying a property in Dubai and these include Government, Mortgage and Agency fees.  The Risks There are many success stories that have come from investing in property in Dubai. However, there can be some risks involved which you should be aware of, these include:Real Estate scams Although Rare, some expats have fallen victim to scams from those posing as real estate agents. You can avoid this by performing background checks and hiring a good legal team to manage your transactions. Choosing the wrong neighbourhoodAlthough many parts of Dubai are extremely nice, there are some communities that lack relevant amenities that buyers, renters or businesses will prefer. Avoid this by making sure you have conducted relevant research into the right neighbourhood to fit your circumstances. Choosing an area with lower rental yieldsReceiving excellent rental yield is one of the best reasons to invest in property in Dubai. It’s possible to gain 7% for a villa and as much as 12% on an apartment. Although, this isn’t true for some parts of the city so make sure you do your research to learn the parts of the city that are best for this. The UAE economy may decline Like any economy, there is always a risk of decline, however the UAE government is aware of any risks for the future and are taking action to promote sectors that will ensure their economy continues to grow.  Overall, there are both benefits and risks involved with investing in property in Dubai. The surest way to succeed is to ensure you complete in depth research and work with trusted professionals.If you are interested in purchasing a commercial property in Dubai or Abu Dhabi, get in touch with one of our trusted agents today. They can help you every step of the way, ensuring a smooth, stress-free process and guaranteed professional support.  

Jumeirah Lake Towers is known for its many commercial buildings and office spaces, which has become a popular place of work for many businesses in Dubai. A place of work is more than a piece of real estate. It is a living environment that helps individuals and businesses create and experience a rewarding fusion of life and work. Jumeirah Lakes Towers, popularly known as JLT, is a thriving residential and commercial community in the heart of New Dubai and one that is a great destination to live, work and play. Conveniently located off Sheikh Zayed Road and positioned between Damac Properties and DMCC metro stations, JLT provides easy access throughout Dubai’s other key business corridors such as Jebel Ali and Sheikh Zayed Road and popular business hubs such as Dubai Media City and Dubai Internet City.  Comprising 64 residential, commercial, and mixed-use towers, Jumeirah Lake Towers offers an inspiring work environment with its man-made lakes, parks, and landscaped spaces. While the residential towers make up 45 percent of JLT, 21 percent is dedicated to commercial office use, hotels, restaurants while and retail outlets make up 34 percent. The area mostly consists of high-rise towers offering a wide range of commercial properties for sale and rent. The 66-storeyed centerpiece, the striking and unmissable Almas Tower, is the tallest commercial building in the Middle East and serves as the centerpiece of the community. Furthermore, JLT is a Free Zone providing business owners with the applicable free-zone business license, a large variety of office options, and access to government and customer services from Dubai Multi Commodities Centre Authority.  In terms of lifestyle offerings, there are a plethora of restaurants, cafes, convenience stores, boutiques, hotels and leisure outlets spread across the area. The lakefront area provides a perfect setting to unwind and serene ambience to relax with a leisurely walk or a team lunch. The Lakes provide the perfect setting for those who love the outdoors with wide walking, jogging and cycling paths, as well as restaurants and cafés.  Some of the popular commercial buildings in JLT include Jumeirah Business Centre, Mazaya Business Avenues, Indigo Icon, Tiffany Tower and Goldcrest Executive and come equipped with round the clock security, well-designed spaces, modern interiors, high-speed elevators, car parking spaces, splendid views of the Montgomery Golf Course and the lakes, community pools, recreation decks and an eclectic range of eateries and restaurants for when you need a break from a hectic workday. Featuring spectacular waterfront views, a diverse set of leisure options along with multi-purpose facilities and amenities, JLT has grown to be one of the most popular neighborhoods in Dubai and the number one choice for business owners and residents looking for a community where they can live and work. If you are a business owner who is looking to capitalize on the thriving business environment JLT has to offer, let’s get started! Get in touch to select from a host of JLT commercial properties furnished with the latest amenities and infrastructure that will seamlessly suit your business needs. Search here or contact us to begin your journey.

When starting a business, you want to make sure you set up in a prime location that will help your business thrive, and as such you may be wondering what the top 5 areas to set up a business in Abu Dhabi are. With Abu Dhabi being such a large city, it can sometimes be challenging to decide where to base your company. In truth, one of the key factors that should determine your business location would be related to the kind of activity you will be participating in. Other deciding factors include who and how many staff you will need, as well as your price point. Abu Dhabi has gained a reputation for being an attractive location for investors and business owners. This is especially the case since the government has implemented many schemes in order to ensure a thriving business environment. That withstanding while the city is an excellent place to conduct business, company owners should know where the best sites to set up and operate are. We have compiled a list of the top 5 areas in Abu Dhabi depending on the business type. Abu Dhabi Airport Free ZoneTop area for logistics & import/exportAbu Dhabi Airport Free Zone focuses on businesses conducting either logistics, import/export or otherwise other industries that need to be in close proximity to one of the country’s largest international airports. The area contains a large number of warehouse and office options for companies and businesses of all sizes. The area was established as part of the Emirate’s 2030 vision to become a dynamic and well-established economy. Although predominantly focused on logistics and import/export, the free zone also has other key sectors that it aims to promote. This includes sectors such as Aviation, Defense, Airport services, Cargo, Freight, Pharmaceuticals, Consultancy management, and even Marketing & Events. Abu Dhabi Corniche & Hamdan Street Top area for a central locationA popular place to live and work, Abu Dhabi Corniche is one of the busiest commercial areas in Abu Dhabi. It is a key business and cultural hub of the city and is primarily centred around the 8km Corniche Road. There are many lovely restaurants and cafes and a wide range of amenities, including gyms, malls, and supermarkets. Its strategic location means it’s in close proximity to other key business areas throughout the city. This includes Al Markaziyah West, one of the busiest commercial streets and Al Khalidiyah, the city’s cultural hub. Many of the offices within this area feature beautiful sea views or overlook luscious green parks. . In addition to this, with so many office buildings in the area, makes the prices are highly competitive.Hamdan Street is one of the busiest commercial areas of Abu Dhabi. Strategically located in Abu Dhabi’s centre, it is one of the oldest and most established areas of the city. Running parallel to the Corniche, Hamdan Street is close to many of Abu Dhabi’s residential areas and Marina Mall, World Trade Centre Mall, Qasr al-Hosn, the key retail, business, and cultural hubs of the city. Known for its retail hubs and commercial buildings, Hamdan Street has proven to be popular for business owners to base their companies on. Twofour 54Top area for media companiesTwofour 54 is another free zone in Abu Dhabi that aims to provide both a local and international hub for media companies. It aims to be at the forefront of the regions media industry, creating all types of media, including Events, Film, Digital Media, Publishing, Music, Broadcast, Gaming and all other media types. Already, the area has established itself as a prominent player, with major international companies such as Thomson Reuters Foundation, CNN, Financial Times, and the BBC setting up their operations in the free zone. Like other free zones, there are numerous benefits. Those that set up their operations here have 100% ownership of their company, can enjoy tax-free incomes, as well as take advantage of the numerous incentives the free zone authority has set up. FOr example, international TV and film production can benefit from a 30% cash allowance. There is also comprehensive training facilities available for those in the free zone. Elektra street Top area for electronics companiesElectra Street is known as an area of the city that never sleeps. Whilst one of the oldest places in Abu Dhabi, it has made a name for itself for being home to a large and thriving electronics market. It sits at the heart of the city with great accessibility to facilities, including shops, supermarkets and plenty of other amenities that your business and employees will appreciate. Whilst a thriving area for businesses involved with electronics, it is worth noting that it is not a free zone area. As such, there are certain restrictions regarding business ownership. Because of this, unlike Freezone areas, businesses are unable to have 100% ownership unless the owner is Emirati. Masdar City Top area for companies promoting sustainabilityMasdar City is a global hub for companies that specialise in sustainability, specifically sustainable energy. This includes companies that focus on either generating, discovering, manufacturing, and developing energy products and future green technology. Whilst a free zone, the area distinguishes itself by becoming a‘Green’’ city that relies solely on renewable energy. Masdar established itself as a beautiful yet sustainable living and working business area. Companies set up here can benefit from world-class facilities and state-of-the-art infrastructure for tech companies and partner with institutions to develop their research.  So which are the top 5 areas to set up a business in Abu Dhabi?As you can see, there are many areas in Abu Dhabi for businesses to establish themselves. Our list just has our picks for the top 5 areas to set up a business in Abu Dhabi. There are many other areas within the city that can be great for businesses. For more information, contact us today to book a consultation with one of our commercial property specialists.  

You might have been looking for a commercial property, and wondered, ‘What does GBA mean in commercial real estate? In the property market, particularly in regards to commercial real estate, there are many different ways of calculating the area of a property or building. As such, it is important to understand the differences between them, so when you look for your next commercial property, you will be able to understand exactly what you are paying for. We have gone through and explained some of the key terms used when calculating the area of a commercial property. What does GBA (Gross Building Area) mean?  GBA, or Gross Building Area, is a unit of measurement unit used in commercial property valuations. This measurement differs from the measurement type of residential real estate, which predominantly uses GLA or Gross Living Area.   GBA includes the total enclosed area of a building and the sum total of all floors. This is determined by the slab area measured to the exterior surface of the exterior walls, excluding elevator shaft openings. What is GLA (Gross Living Area)?  Gross Living Area has been defined by the Dictionary of Real Estate Appraisal, as the “Total area of finished, above-grade residential space; calculated by measuring the outside perimeter of the structure and includes only finished, habitable, above-grade living space. Finished basements and attic areas are not generally included in the gross living area.”, or put simply, the habitable area of the property, including both heated and cooled areas.  GLA will also tend to include common areas and areas that the tenant can use but do not necessarily occupy. This can include areas such as elevator space, common bathrooms, stairwells and other shared spaces. It usually includes certain common areas, elevators, common bathrooms, stairwells, and other portions of the building that the tenants do not occupy, but can use. What is the difference between GBA and GLA? The reason why commercial property uses a different unit of measurement is that areas of the property that are not heated or cooled may still be usable aspects of the property. Therefore GBA takes into account the total or gross building area. A GBA evaluation will generally not include below-ground space as part of their square footage equation but will include the space in their appraisal valuation What is NLA/NRA (Net Leasable Area/Net Rentable Area)? Another term that may be used is NLA/NRA, which stands for Net Leasable Area/Net Rentable Area. This is used to measure the total area of floor space that may be rented out to a tenant. This differs from GBA, as it will generally exclude common areas, such as a shared pantry, or shared washrooms, or reception areas, as well as excluding areas dedicated to the heating and/or cooling of the building, as well as the building’s utility areas.   Tenants and property owners should also be aware of the term BUA or Built-Up Area. This is the sum of all usable areas, circulation areas, service areas, balconies, plus the area of all factored non and semi-enclosed areas.  How to calculate GBA?  GBA is calculated by measuring to the outside finished surface of the permanent outer building walls, without any deductions for features such as stairwells, or walkways, common areas and shared spaces, alongside unusable or non-leasable areas. This type of calculation is generally done for larger commercial spaces with a high number of square footage. So, to answer the question, ‘What does GBA mean in commercial real estate?’, simply put, it is just one of many units of measurement for commercial property.  Navigating the commercial property market can be a complex process, especially when there are so many different terms and industry-specific vocabulary. It is therefore important to work with a trusted real estate professional that specialises in commercial property. A specialised commercial property consultant will be able to talk you through all the terms you need to know and help you through the entire process. 

When looking for a commercial property, you might come across some terms that might seem unfamiliar. One of these terms is ‘NNN’. NNN stands for Triple Net Lease and is one of the most popular types of leasing agreements, which is generally an alternative to a gross lease. So what is a Triple Net Lease? A triple net lease is a type of lease agreement in which the tenant pays all the property expenses. This would include all real estate taxes, building insurance, maintenance, utility bills, as well as the cost of the rent. Due to the fact that the onus is on the tenant to pay for everything, the actual rent for a triple net lease is typically less expensive. A triple net lease differs from a standard lease in that it is generally the landlords’ responsibility to pay for at least some of these expenses. Aside from triple net leases, there are also double net and single net leases. In a single net lease, the landlord takes on more responsibility, with the tenant still taking on some of the additional costs. With a single net lease, the tenant will generally be responsible for the property taxes, whilst the landlord will take ownership of any other costs.  Due to the tenant bearing some of the additional costs, the rents will tend to be lower than a gross net lease but slightly more than a triple net lease. A double net lease will tend to mean the tenant paying for the property taxes and property insurance, with the landlord paying the maintenance costs. Again, these lease types will be lower than the gross net and single net leases. This type of leasing agreement tends to be more popular in larger commercial developments where one landlord will have multiple tenants who may have different square footage. As such, it is easier for the owner to assign taxes and insurances proportional to the amount that is leased.Why choose a triple net lease agreement? Triple net lease agreements have become increasingly popular with investors who are looking to secure a steady income stream at low risk. By not including the additional fees that are generally part of a start of a standard lease agreement, investors avoid any unexpected or additional costs during the tenancy agreement. The landlord will therefore get a fixed income and will not have to shell out on any expenses due to the liability being on the tenant. A triple net lease can also have benefits for the tenant. As all the costs associated with leasing the space falls onto the tenant, it means they can have good negotiating power in terms of the base rent. Providing they are willing to take the risk of paying for any future maintenance costs, or any other unexpected expenses, the tenant may end up securing a property at a much more reasonable price.Is the landlord responsible for any costs in a NNN lease? Whilst the tenant is responsible for most of the costs associated with the property, there are generally a few exceptions. Structural damage, i.e. damage to the roof, or other significant expenditures, are typically covered by the landlord. With that being said, it would be recommended to clarify and discuss with the landlord a price point at which they should pay any costs.So how is NNN cost calculated? The advertised cost may be advertised as AED 14 per square foot. This is the base rent, but then the landlord will add up all the other associated costs, including the insurance and any other property costs which the tenant will have to pay in addition. It will then be up to the tenant to pay for any additional maintenance costs that would be required throughout the duration of the contract. How is NNN lease different from a gross lease agreement?Gross lease is the second most popular type of tenancy agreement. The gross lease or full-service lease will tend to include all costs associated with the property, including tax, property fees, insurance, any maintenance fees and in some cases also utility bills. As such, the tenant will only have to pay one upfront price that is typically more expensive than an NNN rent, which the landlord will use to pay the additional costs themselves. One of the key differences between an NNN lease and a gross lease is that the tenant has much higher responsibility for the space that they are using, and have to bear the risk of undertaking any maintenance issues, and the associated expenses that come with it. As such, gross leases allow tenants to have much greater control over their finances and budgeting, with there being a constant fixed amount that will not change throughout the entire duration of the contract.As one can see, there are different benefits of these different lease types. With that being said, the most important thing a tenant can do is have a thorough discussion with their potential landlord and carefully look at their leasing contract to see what exactly is included in the contract and what each party is expected to pay. What’s more, tenants should choose an experienced commercial estate agency that will be able to help broker these deals and get the best deal for both sides of the deal. If you are looking to rent a commercial property, book a consultation with one of our many expert commercial property consultants.   

Determining the value of a property is a crucial aspect of the real estate industry. As such, it is vital that the process is put through rigorous regulation, with all valuers in Dubai needing to adhere to a strict set of codes and standards that ensure industry transparency and ensure that all of their work valuers provide is to the highest standards. The local government in the UAE has embedded international standards of best practice in this process by developing and continuously improving what is known as the ‘Emirates Book’. This document mandates the rules and regulations and the correct procedures that all valuers in Dubai must adhere to. This ‘Emirates Book’ is based upon the International Valuation Standards (IVS). The leader in the industry is The International Valuations Standards Council (IVSC). The international community recognised this council as the global standard setter, responsible for developing guidelines for valuations to ensure quality assurance and to implement a high level of standardisation of valuations across the globe, strengthening the valuation profession. The ‘Emirates Book’ has three distinct sections1. The general framework of real estate appraisalThis section presents the general bases for valuers who follow this book regarding objectivity, judgement, jurisdiction and acceptable exceptions to the International Valuation Standards.2. The general standards for Emirates Book valuation standards These look into the standards of real estate appraisal tasks, including valuation contract terms, value determination bases, methods and valuation approaches, and preparing reports. 3. Other standards in the Emirates Book valuation standardsThis part of the book looks at other standards related to real estate, ownership and controlling interests. This section also discusses concepts related to local laws, such as freehold, leasehold, non-freehold and real estate development concepts.In addition, there is the Royal Institute of Chartered Surveyors (RICS) Valuation Global Standards, better known as the ‘Red Book’, which fully incorporates IVS. RICS awards professionals an accreditation to Chartered Surveyors after professional assessments. These chartered surveyors are qualified in their domain. Through developing the Emirates Book, valuation experts in Dubai can have a clear set of instructions on how to provide the highest quality of valuation services that are in compliance with both local UAE law and the International Valuation Standards as laid out by IVSC. Creating a handbook that all valuers are mandated to follow ensures high accuracy, transparency, efficiency and professionalism, ensuring that all valuation-related services are of the highest quality. What is more, not only do the individual valuers and surveyors need to be qualified, but the companies they work for also need to be certified by the Real Estate Regulatory Agency (RERA) in Dubai. In order for a company to be accredited, it will need to submit specific documentation and meet the specified criteria. The individuals performing the valuations will also need to provide an accredited university degree, certificates of experience, among others, to register a valuations company. There will also be a check for any conflict of interest. As per Dubai law, an individual cannot work as a valuer and a broker at the same time, and companies that offer brokerage services cannot provide valuation services except through a separately licensed valuation company with separate staff. It is very important that when choosing a valuation company, you choose one that is accredited by RERA and the Royal Institute of Chartered Surveyors (RICS). This will ensure that any valuation reports or advice you receive will not only be objective and trustworthy but will also guarantee that you will be able to use the report for cases such as securing a bank mortgage. RERA displays all companies certified to perform valuations on their website, which you can check here, where you will also find CRC listed.Once a company is certified, it would have to register its dedicated valuers with Taqyeem at the Land Department. Taqyeem will ensure that each valuer has the correct professional valuation experience and education. Before being legally allowed to conduct valuation services, all individuals must attend and pass an intensive course that familiarises future valuers in Dubai with the laws and ensures that they are well versed on best practices and regulations, including the standards set out in the Emirates Book. These stringent measures will help guarantee that all their work will be of the highest quality. The course covers aspects relevant to the local market and international standards. This includes Valuation Standards, Valuers’ responsibilities, conflict of interest avoidance, ethics, reporting, and legal matters. Upon passing the course, the individual will be able to become a certified valuer who can legally conduct valuation services in Dubai. As you can see, the Dubai government has worked diligently to ensure that all valuation practices within the Emirate are of the highest quality and standards. If you want to find out more information or require valuation services, contact us today to book a consultation with one of our highly qualified and experienced Chartered Surveyors.  

A valuation is generally a relatively quick process and takes very little preparation on the homeowners part. With that being said, there are a few things that you should be doing prior to the valuers’ arrival. It’s important to remember this in order to properly prepare your home and to ensure the entire valuation is conducted smoothly, in a timely and efficient manner. Here, we have listed a few things that homeowners can do to ensure this is possible. Ensure full access In order to complete a full valuation, the valuer will need to have access to every room in the house. As such, it is the home-owners responsibility to ensure that each room is unlocked and the valuer can view every part of the house. This includes anything and everything that is a part of the property, such as outdoor areas, basements and/or any balconies the home has.If your property is being rented out, the tenants should be given prior notice and informed of the exact time and date the valuation will be taking place. The tenant should also be briefed so that they can ensure the entire property is available for the valuer to view. You should also ensure that the valuer has access to any communal facilities or any shared spaces that comes with the property, including pool areas, gyms, parks, etc. Having this done in advance will speed up the process by ensuring access is possible as and when the valuer needs it.Provide necessary documentationBefore your valuer comes to your home, you should have all the necessary documents prepared in advance. This includes any building plans, rates notices and any other documents relating to your property. You should also provide any ‘No Objection Certificates’ and/or any planning permissions that your property has for any future work that can be done on the property. The more paperwork you can provide, the more accurate the valuation can be.  This can help make the space seem more spacious and better present all the available space you have. Ensure the property is tidyFirst impressions count. Whilst a good valuer will be able to look past a bit of clutter, however a thorough cleaning and tidy up will help show your property in the best possible light and will be easier to assess. Some key areas to keep in mind would be the bathrooms and kitchen area as these can add great value to your property. It would also be advised to do a full vacuum and sweep as well as taking out any rubbish you have.As a homeowner, you should never neglect your garden or other outdoor areas when it comes to valuations. This means you should mow your lawn and trim any overgrown weeds and shrubbery.  Lighting is also a key factor, as it can make a space feel a lot roomier. If you are not currently living on the property, try and ensure that electricity is connected. Otherwise, try to organise the valuation to be conducted during the day so there is plenty of natural light illuminating your home. This is especially important considering the valuer will need to take many photos of the property. Highlight key features of the homeIt is important to highlight any changes or renovations that have been conducted on the property. The homeowner will be in charge to provide documentation to prove what and when these changes were made. This is even more important for changes that have been made that the valuer may not immediately notice or are not visually obvious. Some examples would be new air conditioning units, irrigation systems, or any structural changes/improvements that have been done. What’s more, the valuer should be informed of any other spaces that the property can use that are outside of the physical unit space. This will include any car parking spaces, as well as any communal amenities that property owners can use. This could include communal parks/green spaces, gyms, swimming pools, tennis courts or any other facilities. Keep it COVID-19 friendly Now more than ever, it is important to ensure proper hygiene protocols are put in place, with the homeowner preparing for the visit. Whilst the valuer themselves will take necessary precautions, such as wearing a mask and using hand sanitiser, it is the homeowners’ responsibility to ensure the safety of themselves and the valuer. The property should be sanitised with anti-bacterial spray. You should also keep all doors open, providing a clear pathway for the valuer, with them not needing to touch any doors or door knobs unnecessarily. Further to this, if the property has multiple occupants, they should either be advised to vacate the house whilst the valuer conducts the work, or they should remain in one room, minimising any potential contact the valuer will have with other people. Set an allocated time-frameThe homeowner should set aside an allocated time for the valuer to have complete uninterrupted access to the property. An apartment valuation will typically take 5 to 15 minutes, whilst a villa valuation will generally take anything from 10 to 30 minutes. Ideally, the home should either be empty or otherwise, all occupants should remain in one room, as well as be advised not to interrupt the valuer whilst they are conducting their work. This will make the process a lot more efficient and will allow the full valuation to be completed smoothly in a timely manner. For the inspection of any communal areas, management and/or the necessary individuals should be notified in advance so that the valuer is expected and allowed to conduct their work thoroughly. At CRC, we have a team of highly experienced, RICS certified valuers, who are held to the highest professional standards. We will be able to give you a full brief on everything that is required in order for you to get the best service possible. Regardless of your home or property type, we will be able to conduct a full and thorough valuation and produce a comprehensive report in an efficient and timely manner. If you require valuation services, book a consultation with us today.   

Whether you want to invest in commercial office space, retail, warehouse, or another type of commercial property, the first step is to understand factors affecting commercial property value. All investors want to know is how to get better returns for their money and the factors that will affect the value of their investment going forward. There are many factors that come into play, ranging from location to transport links, local amenities, and property characteristics. We have broken down some of the crucial elements that can impact the commercial property value.Location One of the critical factors affecting commercial property value is the location, including the transport links in the surrounding area. Infrastructural development within the surrounding area is one of the most important factors which influence real estate valuation. The average price per square foot in Business Bay is AED 589, which is higher than the average price per square foot in Barsha Heights, which is AED 579. The presence of transport links and other facilities in the vicinity of the property helps increase the property value, and as such the valuation of properties with better infrastructure capabilities and modern amenities are generally higher than those which fail to provide it. Access to transport is another crucial aspect that can affect the value of your property considerably. The more modes of transportation that your unit is connected to, the higher the value will be. The more popular and accessible your property is, the more valuable it will be. Take, for example, an office space in a key business location such as Business Bay. The area is well connected to Dubai’s key arterial roads, has access to the Dubai Metro, and has many bus stops within the district. This will have a higher value than an office in a remote area with very few amenities. Depending on the preferences of your employees, some amenities will more important than others. Supermarkets, restaurants, cafes, and other retail establishments in close proximity to your unit will help increase its value. Other facilities such as clinics or hospitals can also affect the value of the property. Further to this, the plot type that the unit is built on will also affect the property value. Buildings that are constructed on freehold land tend to command a higher valuation than those on leasehold plots.Property characteristics Generally speaking, the larger the property the more valuable it will be, with larger spaces commanding higher prices. With that being said, whilst your unit may cover a large amount of square footage, this is only useful if the space is actually usable. A good way to optimise your property’s value is to ensure that all available space is utilised. This might mean changing the configuration of your unit and opening up areas so there is more room and space for the end-user to conduct business. The type of buyer for your property can help determine the value of your property. You should consider who your property will be best suited for and if there is a high demand from these users. As such, where possible, you should optimise your unit so it is best suited for the type of end-user you are trying to attract. Commercial property that doesn’t have the functionality to meet current market demand, will have the potential to be unable to satisfy potential end users and therefore be less valuable. If your unit is designed to be used as an office, then as the owner, you should ensure that the space can function as an office space. Property condition The quality of the building also plays an important part. A brand new, modern building, will generally be valued higher than a run down unit that has not been kept up well. Pay attention to building ratings, and how your asset compares to other similar properties in the area. This follows on to make sure that your property is well maintained. The asset should not just be visually appealing but should have a well-maintained interior and exterior. Those first impressions can be critical even when it comes to securing a viewing. Minor improvements such as painting and deep cleaning can be very effective with small capital expenditures.Any upgrades to your unit would be welcomed by potential buyers, especially if they improve the property’s potential to make a higher profit. What’s more, there is an increasing number of companies that are making it a goal to be more environmentally sustainable. As such, making environmentally concise improvements can increase the value of the property by reducing operational costs. This could be as simple as insulating the property and switching to efficient light bulbs. If you are looking to attract large companies, more of them will have corporate social responsibilities and will only occupy energy approved assets. With that being said, whilst making improvements can make your property more attractive and drive the price up, cost does not necessarily equal value, so plan carefully what and how much you spend on improving the unit. Smaller improvements such as a fresh lick of paint, fixing any minor repairs, doing a professional clean, including carpets, will all make your property more attractive to potential buyers and do not cost a lot of money. However, first impressions do count, so both the interior and exterior of your property should be well maintained.Paperwork and approvalsAnother major factor that can affect the value of a property, is whether you have all the necessary paperwork. Do you have your licenses in place? Have you got all your approvals? What’s more, a property that has planning permission to extend or make any significant changes will also improve the value as it will enable greater opportunities for the unit. Whilst these are all factors that can affect the value of your property, it is worth noting aspects of your unit that will not be included in a valuation. Generally speaking, a valuation will include all non-moveable assets within the property, such as the size, layout, specification, condition, and views. A valuation will therefore exclude furniture, plants, machinery and any equipment within the unit. As you can see, there are many factors that come into play when determining the value of a commercial property. If you require a thorough and comprehensive valuation report, contact us today to book a consultation with one of our valuation experts. 

A property valuation can be needed for a variety of reasons by different people and can play an important role in getting loan security, financial reporting, or internal use. The importance of these valuations makes it no surprise that individuals and companies alike would want to know how much it will cost before proceeding with a particular company. With that being said, that no valuation is the same, with many variables involved in the process. As such, it is rare for a valuer to have a set or standard price for a property valuation. So whilst answering the question ‘How much does it cost for a property valuation in Dubai?’, it would be much more efficient to understand the different factors that affect the price. We have broken down some of the key factors that impact the cost of a valuation, and what can make it more or less expensive.  Purpose of the valuation There are many different reasons why a person may need a valuation and as such the prices for valuation. One common reason is for loan security. Lenders or banks will often necessitate an independent valuation to take place so they can determine how much they are willing to lend. Companies or individuals may need independent advice to determine the value of the assets they hold. Otherwise, corporations and businesses will need to conduct quarterly or annual valuations for financial reporting and accounting. Whilst these are all valuations, their purposes differ, and as such, so does the liability, therefore the prices of the valuation will most likely vary.  Time and EffortSome valuations take more time than others, depending on the complexity and the scale of the project. Take for example a drive by inspection for a single office, which will be priced differently from a total inspection of a full tower or commercial complex. The more effort, and the more complex the valuation, the more time it will take, and subsequently, the more expensive the valuation will be. As a general rule, smaller residential properties will be considerably less expensive than larger commercial properties.  Inspection TypesThere are several different inspection types that can be performed, depending on the needs and requirements of the client, as well as the specifications of the property in question. One inspection type is a desktop investigation, this involves an investigation into the property and its surroundings which are all done from the valuer’s computer at their office. All of the relevant documents should be provided to complete the valuation accurately. A client may opt for this if the client has had a full valuation report completed previously, and all that is needed is a re-evaluation of the property. Next, there is a drive-by inspection. If access into the property is not permitted a client may opt for this type of inspection. This involves a full external inspection, wherein only the outside of the property is looked at. Following this, a partial inspection may be completed. This type of inspection would arise if the valuer has restricted access to the property and they are only allowed to access certain parts of the unit. Finally comes a full visual inspection, which will involve an internal, external visual inspection. This is the most comprehensive inspection type that will give the most detailed property valuation report.Depending on the type of inspection, the price may vary, with full property inspections tending to be more expensive than drive-by or desktop valuations. With that being said, a full inspection would tend to be the best type to do whenever possible. Valuation methodology There are various methods that are employed when doing a property valuation, and deciding which are used is generally dependent on asset type.  The most commonly used methods are comparable, investment, and the profit method. The investment method is typically used for more complex investment type properties, whereas the comparable method is the most commonly used when there is a good availability of transactional evidence. As one can see, there are a lot of different factors to take into account when factoring in the price of a property valuation, with the purpose, amount of time, the inspection type, and the methodology all playing a part in the final cost. To get an accurate quotation of how much a valuation of your property will cost, the best course of action would be to book a meeting with a chartered surveyor and/or a qualified valuation expert. They would be able to sit down with you and discuss your special requirements, as well as find out more information about the type of property that needs to be valued. After a thorough preliminary analysis has taken place, the valuer will be able to give you a quote. If you require a valuation for your property, our valuation team is fully qualified and RICS certified, so will be able to deliver a high quality and comprehensive report that is designed with your specific needs and requirements in mind. For more information, book a consultation with one of our team.