Emaar Properties managing director Mohamed Alabbar announced that regional property sales have dropped by up to 50% amidst ongoing geopolitical tensions, while hotel occupancy rates hover near 60% and shopping mall sales fell 15% despite stable visitor numbers, according to statements reported by CNBC Arabia and Shorouk News.
Real Estate Sales Drop Amid Regional Pressures
Real estate sales felt the sharpest pinch from regional volatility, registering declines of up to 50% according to Alabbar’s statements on CNBC Arabia and Shorouk News. Despite the sales slump, Alabbar noted that financial collections and home cancellation rates remained completely unaffected, holding firm at pre-tension levels. Emaar’s management attributed the retail slowdown—including a 15% drop in mall sales—to a natural market correction following five straight years of consistent 15% annual growth.
Supply Chains and Contractor Tenders Move Forward
Construction timelines face no major disruptions despite maritime bottlenecks. Alabbar reported zero delays in supply chains, with several development projects slated for early delivery. Emaar officially resumed issuing tenders to contractors following a temporary pause caused by port disruptions immediately after the war broke out, as noted by Shorouk News.
Multi-Billion Dollar Expansion in Syria
Emaar plans to finalize its upcoming Syrian portfolio during the first week of October. Alabbar valued the pipeline of projects at approximately $15 billion. Describing the move as a calculated risk, Alabbar pointed to improving local stability over the past 22 months, positioning the Syrian market in an excellent operational standing.
Global Economic Outlook and Financial Caution
Beyond local markets, Alabbar characterized the wider global economy as shaky. Citing persistent structural challenges across the United States, China, and Europe alongside ongoing energy and inflation crises, he urged business leaders to preserve liquidity and trim debt levels. However, he expressed confidence in a market rebound occurring within two to three months, according to Shorouk News reporting.
Frequently Asked Questions
How much did Emaar property sales decline?
Property sales dropped by up to 50% due to ongoing regional tensions, though financial collections and cancellation rates remained stable.
What are Emaar’s current hotel occupancy and mall sales numbers?
Hotel occupancy is sitting at approximately 60%, and shopping mall sales dipped by 15% while visitor foot traffic stayed constant.
When will Emaar sign its upcoming projects in Syria?
The company intends to sign the anticipated $15 billion worth of projects in Syria during the first week of October.
What are your thoughts on current real estate corrections and regional market trends? Leave a comment below or subscribe to our newsletter for weekly industry updates.