»»Abu Dhabi: Rents Increased by 50 Percent
According to a recent study by the Abu Dhabi Chamber of Commerce and Industry, rents have increased by 50 per cent in Abu Dhabi this year.
That despite the massive investment in the constructions operated in recent years in the emirate.
Recent estimates suggest 36.1 per cent of an average household budget goes toward rent.
The main factors for this surge were:
- Dubai rental costs soared by 40 per cent which had a knock-on effect in Abu Dhabi.
- Restrictions to the demolition and construction of commercial buildings in the capital slowing down the construction of new units.
- Oil companies have now started to pay employees’ rent rather than paying them for leave.
- Influx of the incoming labour to participate in the booming economic development of the emirate.
- Excessive interference of brokers and realtors.
- Increasing costs of building materials.
- Absence of a clear outline for the owner/tenant relationship(source)
Bookmark this article!
