DOHA: Residential and commercial rentals in Qatar are most unlikely to go back to the 2008 peak levels. Development works the country is witnessing are part of its natural growth story, a leading market player has said.
“I don’t think that the rise in residential and commercial rents in Qatar will trigger high inflation rate or affect the general economic situation.
“Local contracting companies have the potential to mobilise resources and are capable of implementing projects as per schedule,” Karem Akawi, Area General Manager, Drake & Skull Qatar (DSI Qatar), said in an interview with the Arabic business news portal Argaam.
Qatar’s projected development works suggest the real estate sector will witness a significant recovery during the next few years. The Qatari market undoubtedly carries tremendous growth opportunities and this is reflected positively on the real estate market and the movement of real estate transactions.
“Local contracting companies have the potential and resources to implement planned projects.
“However, in view of the huge number of projected opportunities, it seems the state is working to attract foreign investments,” he said.
Drake & Scull Qatar has strong ties with key government agencies involved in development and top local real estate developers.
The company has carried out several important projects in various sectors, taking advantage of its expertise and capability of high-adapt to market mechanisms in the country,” he said.
On the boom in construction activities in the tourism sector, he said the tourism sector is a key segment that attracts foreign investment to the region.
The company has forecast a very strong growth in the hospitality sector in the coming years as Qatar’s Tourism Authority (QTA) has lined up mega projects.
According to QTA, the number of hotel rooms in the country will jump to nearly 100,000 by 2022, adding at an annual rate of 5,000-6,000 until 2022.
“Qatar is a dynamic market with the total infrastructure spend expected to reach $24bn this year. The hospitality sector is making rapid strides, and several mega projects are in the pipeline for announcement by 2016.
“We are aiming to consolidate our position as a leader in the engineering and construction sector by winning projects in newer segments this year,” he said.
“We expect an influx of large-scale projects to be unveiled soon, keeping in mind the grand long-term national goals with regard to the FIFA 2022 World Cup and Qatar National Vision 2030,” Akawi added.