Dubai has cancelled 217 property projects in a two-year review by the Real Estate Regulatory Agency.
According to a Dubai government bond prospectus, 237 of over 450 reviewed projects will be completed. It did not, however, name which projects have been cancelled.
The document showed that the value of property transactions in Dubai dropped to 119.5 billion dirhams (S$40 billion) last year, from 152.9 billion dirhams in the previous year.
Meanwhile, Deutsche Bank AG recently said that prices of residential property slipped 1.2 percent last month, as the market failed to benefit from the political turmoil in other parts of the region. Home prices declined 64 percent from the 2008 peak, after construction exceeded demand and the financial economic crisis ended.
The document also showed that the number of mortgage transactions in the country dropped to 9,548 in 2010 from 9,859 in 2009. Dubai’s property market share in the Persian Gulf economy shrank to 13.7 percent in 2010, from 14.4 percent in 2009. Construction also fell to 9.4 percent of the gross domestic product (GDP), from 11.2 percent in 2009.
To contact the journalist, you may send your message to editor@propertyguru.com.sg