Dubai’s property market continues to face a low supply of affordable homes, the head of UAE-based ECC Group’s contracting arm has told Construction Week.
“The luxury and the high-end sector has been built here and [developed] very well,” said Kareem Farah, chief executive officer of Engineering Contracting Company, when asked about the group’s ongoing work in the Dubai’s commercial and residential space.
“But there is a gap in the market [...] for people with lower incomes.”
ECC Group is working on an apartment complex called Lyra in Warsan 4, Dubai International City. Farah said the residential project was the group’s third in International City, and represented its drive to cater to the more affordable aspect of the emirate’s property market.
“While International City is a little further away [from central Dubai], the pricing per sq ft is more affordable to the majority of people that are here,” he explained.
“We saw [these spots] as the rising areas in Dubai and so far they’ve proven to be the correct areas to build in.”
According to a statement in early August by Cian Farah, chief executive officer of Aurora Real Estate Development – also part of the ECC Group – Lyra “specifically caters to young professionals and students”.
The two brothers are not the only professionals highlighting the need for more affordable housing in the emirate.
Rajesh Krishna, chief executive officer of UAE-based contractor Beaver Gulf Group, said some homes being marketed in the category are “not actually affordable,” as reported by Construction Week in February this year.
Aurora announced the completion and delivery of its milestone project, Hyati Residence in Dubai’s Jumeirah Village Circle, earlier this year.
Strong interest in the development has led to construction commencing on the second phase of the project, named Hyati Avenue. The development will deliver a 103 units and 19 townhouses upon completion in December 2019.