Dubai’s real estate, cost of living conundrum creates opportunities for Gulf rivals to capitalize
The UAE’s red-hot real estate market could price out many expats and drive them towards neighboring countries, greatly impacting the regional competition to become a global business hub.
To:
Al-Monitor Pro Members
From:
Samuel Wendel
Senior Market Research Analyst, Al-Monitor
Date:
May 12, 2023
Bottom Line:
A new influx of global wealth has the UAE’s real estate market red hot and is pushing Dubai’s luxurious tax free lifestyle to new heights. However, this boom also threatens to price out many expats, with soaring rents fueling rising living costs. Signs point to that trend continuing through 2023 — raising fears of an expat exodus that could alter the UAE’s reputation as a global business hub. That could suit Saudi Arabia just fine at a time when the kingdom is prying business and senior executives away from its smaller Gulf neighbor.
