Out of the box

Where did the big developers disappear?

Ismail Al Hammadi

March 30, 2021

The most important developers who were considered among the major and major players in the Dubai real estate market a while ago, where are they today?

And where are they from the reality of the market and the sector?

And why did they disappear from the real estate arena?

A question that should be asked and discussed based on the current reality of the market in Dubai, and the list of the most active and selling real estate developers, as the small developers market is witnessing its peak activity, compared with the big developers who were among the first contributors to drawing the real estate map of Dubai, and establishing the reputation of its market globally, and made a noise At the time, the pattern of their projects presented to buyers.

Almost all areas of Dubai record significant real estate sales monthly, and this is evidenced by the data and reports of the Dubai Land Department, but the largest share of sales goes to the secondary market, and to small developers, who were able to compete with the "big" in a smart way that made them monopolize the direct selling market. Developer, and gradually withdraw the rug from the big developers.

This is thanks to the adoption of several policies, the most important of which are the long payment plans, the reduction of the down payment percentage for the purchase, which reached 1% for some developers, in addition to the nature of the offered prices, which in most of them are close to the secondary market prices.

Here lies the secret of the small developers covering the real estate sales market in Dubai (competitive prices for the secondary market), the secret of the disappearance of the "adults" voice, and the dwindling of their real estate sales compared to what they were years ago, when the adults were monopolizing the market at the time, if true.

Today, however, the verse has been reversed, and it is compared to you as if the big developers are currently surrounded by small developers in the market, not by the logic of power as strength, but by the logic of new market trends, and the emergence of a new class of low-net-worth dealers, which has become the majority of the demand market, according to The rule "The public wants that."

On this principle, the spread of small developers in the market expanded, and they launched projects that are in line with the new trends, and serve the limited solvency category.

In spite of the presence of many ready-made real estate projects that are under implementation for the "big boys" across the various regions of the emirate, we have become almost unheard of for them, compared to projects of small developers, which suggests that the developer market also has cycles, as names disappear and others show their place to make The scene, as in the years 2019 and 2020 until the beginning of 2021, where the square was for the young developers, so where did the adults disappear?

And why did the sales of their projects disappear in the market?

Is it related to their marketing plans?

Or has the plan for them to remain on the real estate front faded and needs to be renewed?

Or is this calm the same as the calm before the storm?

The question remains open until the "adults" find an answer to it.

It is noteworthy that the history of the emergence of small developers in the Dubai real estate market began with the announcement of Dubai winning the hosting of the "Expo 2020 Dubai" in 2013. Their presence was strengthened with the emergence of the need for real estate targeted at the middle and low-income segment of dealers, specifically with the end of 2015 and early 2016, Where the real estate sector witnessed the implementation of a large number of real estate projects, and Dubai turned into an open real estate workshop.

That period was the starting point for many developers of this category, who benefited from the new set of laws to enhance the attraction of investors to Dubai, and to enter the real estate sector with less capital.

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