Oman real estate shows green shoots of recovery

Prices nearly 10% higher than 2007 as buyers return to housing market

NEWS, Business

RELATED ARTICLES: Oman National Engineering sees net rise 38% | Oman's Al Anwar Holdings posts nine-month loss | ETA Melco unveils new Nexiez lifts in Oman

Oman’s battered real estate market is showing early signs of recovery after seeing prices plunge 25 percent from their peak, industry experts have said.

The sultanate, which offers full freehold ownership and residency visas to homeowners, is slowly emerging from the gloom of the past two years, said Michael Lenarduzzi, CEO of state-backed real estate development The Wave.

“From its peak it has come down about 25 percent,” he said. “[But prices] have sort of settled now,” he said, adding that prices are about 10 percent higher than those seen in 2007.

Real estate consultancy Better Homes also reported that investor sentiment is starting to flow back into the Oman market.

As a broad brush… overall, that is a pretty good view,” said Glenn Meek, general manager of the Oman branch. “The local market did suffer from the crash two years ago but it is still very vibrant… [and] a lot more people are venturing back into the market.”

Key to the rebound has been the return of end-users, rather than the speculators that dominated the market during the Gulf-wide boom years.

“People are buying, not in the volumes they were, but they are there,” Meek said.

CB Richard Ellis, one of the world’s largest real estate consultancies, said prospects for Oman’s real estate market looked positive for the year ahead.

“Activity in the Muscat residential sector remained subdued during 2010… amidst the backdrop of reduced employment,” it said in a recent report.”[But] 2011 is likely to see a return to more positive territory as more bullish economic expansion takes place.”
 

Most popular

Awards

CW Oman Awards 2020: Meet the winners
A round of the thirteen winning names at the Construction Week Oman Awards 2020 that

Conferences

Leaders UAE 2020: Building a sustainable, 'resilient' infra
AESG’s Phillipa Grant, Burohappold’s Farah Naz, and Samana's Imran Farooq on a sustainable built environment
CW In Focus | Inside the Leaders in KSA Awards 2019 in Riyadh
Meet the winners in all 10 categories and learn more about Vision 2030 in this

Latest Issue

Construction Week - Issue 767
Sep 01, 2020