By end of 2018, around 293,000 residential units in Qatar will house 2.69m people
If you are looking for further reductions of property rents in the country, then it may happen at a fast rate by the end of the year.
This is because the country is expected to have 293,000 residential units, 51 million square feet of office supply and nearly 31,000 hotel rooms and apartments by the end of 2018, assuming all projects are delivered on time, reported Gulf Times.
The newspaper, citing a report by advisory firm ValuStrat, said that Qatar’s population was expected to reach 2.69m by the end of 2018.
Supply projections have been adjusted upwards to 8,800 units in the residential sector due to delayed deliveries. Meanwhile, rent and price corrections are expected to continue especially in prime areas in the first half of the year due to increasing number of project handovers, expected to stabilise by the end of the year.
In the office sector, ValuStrat said the majority of the supply is expected to concentrate in Lusail which will continue to depress commercial rents in the area unless there is an uptick in demand or a large number of users in secondary locations move to occupy offices there.
With the government relaxing visa rules, more tourists are expected to enter the country this year. As of October 2017, Qatar had 25,600 hotel rooms and apartments. A total of 1.94m international guests (compared to 2.38m last year) stayed an average 3.7 nights and spent an average daily rate on their room of QR417.
The fall in occupancy was due to the loss of visitors from GCC triggered by the illegal siege of Qatar.
Although there were negative impacts on hospitality and retail sectors, it had two positive spillovers on the industrial sector.
The demand for local produce increased and it resulted in local manufacturers increasing their production capacity. It also provided opportunities for further optimisation in food security.
Secondly, due to the suspension of land borders, the demand for port and logistical services augmented to support buffer stocks. Hamad Port saw 30% YoY average increase in cargo since Q2, 2017, the report said.
Additionally, government-regulated warehousing zones were completed in south and north of Doha, which offered storage options at competitive rates.
Everything is directly connected with the Highest Rent such as prices of each and everything, services etc. If the Government looks into it and keep restrictions everything can be in control.
We can see a lot of startup entrepreneurs around Qatar discontinue being unable to cope up with the expenses in which main part of the expense is Rent. With Residential if the unoccupied units are provided in affordable prices all the Partitions need not be necessary and people can live safely.
Everybody knows these facts but it remains as if Unnoticed or neglected.
Lets hope for the best until the last breath !!
Everything is directly connected with the Highest Rent such as prices of each and everything, services etc. If the Government looks into it and keep restrictions everything can be in control.
We can see a lot of startup entrepreneurs around Qatar discontinue being unable to cope up with the expenses in which main part of the expense is Rent. With Residential if the unoccupied units are provided in affordable prices all the Partitions need not be necessary and people can live safely.
Everybody knows these facts but it remains as if Unnoticed or neglected.
Lets hope for the best until the last breath !!
I totally agree with you @Maahadi.......I just can't stop wondering who will occupy these houses that are being built daily even though there are lots remaining unoccupied. I really wish to know the plan concerning the empty houses. The amount I pay for a 1 bedroom apartment per month here is far more than the cost of a 3 -bedroom apartment for a year back home! I think the government need to look into the exorbitant rates of house rents.
God bless Qatar.
What are these units build for ? Eventhough a lot of the existing are unoccupied since long time.
When Majority of the Expats are just surviving in partitioned Villas or apartment why don't they reduce the rents which are very high and make it affordable to these expats who are here to earn for themselves for a good living back in their own country and also for the services rendered to this Country.
Reduces some 500 riyals or 1000 riyals to existing units of 10000 or 20000 doesn't make any sense at all. Which would have been only 2000 or 3000 before this drastic hike happened in rents before ten years.