The real estate sector in the emirate of Sharjah has recorded a 10 percent growth in the real estate transactions concluded in the third quarter of 2020 as compared to the same period last year. Figures show that up to 14,854 real estate transactions, worth AED4.6 billion, were sealed over Q-3 this year.

The sales transactions recorded in the third quarter covered 14.6 million square feet, as per the latest quarterly report of the areas and cities of the emirate issued by the Sharjah Real Estate Registration Department, SRERD.

Abdul Aziz Ahmed Al Shamsi, Director General of the Sharjah Real Estate Registration Department, said the reported growth is mainly attributed to the series of stimulus decisions recently taken by the Government of Sharjah to contain the effects of the COVID-19 global pandemic.

"The support given to all government and private entities, business and individual sectors, included an extended three-month exemption of the annual license renewal fees for economic establishments, a discount of 50 percent on delayed fines and violations for economic establishments, and a discount of 50 percent on the license fees for industrial establishments to help boost the contribution of the industrial sector to the gross domestic product."

A further discount was also granted on the insurance and supply fees of electricity, water and natural gas services for the owners of economic, commercial and industrial establishments who were permitted to pay due fees in instalments over two years to reduce their financial burdens, Al Shamsi elaborated.

Al Shamsi said the decisions, covering all aspects of institutional and community work, proves that Sharjah is once again a stimulating and supportive environment for business and foreign direct investments. "This enhances the regional leadership and global position of the emirate which secures an appropriate environment for investors and customers locally and abroad."

Reducing the fees on the sale value from 4 percent to 2 percent for non-GCC purchasers until March 31, 2020 was also a major decision, he underlined. "This new decision, along with the latest stimulus package, have led to a rapid recovery of the real estate sector here that it continues to play a pivotal role in the progress and prosperity of the emirate."

Completing previous projects and launching new ones, like the development projects recently accomplished in the Eastern Region sent an important message to the investors about the stability of the economic situation in the emirate despite the pandemic, Al Shamsi said. "The emirate was not affected by the global crisis thanks to the insightful vision of the prudent leadership and its passion to keep work as per set plans."

Main branch accounts for 95.7 percent of total investments value Al Shamsi said the main branch accounted for 95.7 percent of the total real estate investments value recorded in the third quarter of 2020. "These are compared to 4.3 percent for other branches: 1.4 percent for the Central Region branch, 1.6 percent for Khor Fakkan and Dibba Al Hisn branch, and 1.3 percent for Kalba branch."

Transaction Classification The property statement transactions topped by 8,743 transactions, followed by 3,539 property title transactions, 1,675 initial sale transactions, 676 mortgage transactions, and 221 valuation transactions.

Mortgage transactions Up to 676 mortgage transactions, worth AED1.9 billion, were recorded in Sharjah in the third quarter of the year.

Sales transactions per area Up to 1,090 sales transactions were registered across the emirate in the third quarter of 2020. Most of these were conducted in Sharjah city with 928 transactions valued at AED1.1 billion. These covered 75 areas, led by Al Khan area with 159 transactions, while Al Tai area recorded 120 sales transactions valued at AED144 million.

The Central Region recorded 44 sales transactions, worth AED36.4 million, across 19 areas. The highest sales value in the Central Region was at Al Blida area where 3 sales transactions, worth AED 9.2 million, were sealed.

Up to 38 transactions, worth AED 24.1 million, were recorded at 11 areas in Khor Fakkan. The highest value of sales in the Khor Fakkan was AED9.8 million that was recorded at Al Midifi area where 11 sales transactions were concluded.

These are compared to 18 sales transactions sealed at 5 areas of Dibba Al Hisn city against AED12.6 million. The highest sales value there was at the Western District which recorded 4 transactions valued at AED4.3 million.

The Kalba city recorded 62 sales transactions, worth AED35 million, at 21 areas, led by 9 transactions, worth AED8.2 million, at Al Saf area.

Benefit sale transactions The emirate of Sharjah recorded 27 benefit sale transactions in the third quarter of this year, worth AED41.2 million. These were led by ‘Al Saja Industrial area’ where 7 benefit sale transactions were sealed against AED15 million.

Residential properties on the top Residential properties topped the list in the third quarter of 2020 with 813 sale transactions. The industrial transactions came second with 120 sales transactions, followed by 108 commercial transactions, and 49 agricultural sale transactions.

The residential properties, topping the list, constituted 74.6 percent of the sales transactions sealed in the third quarter of 2020. These are compared to 11 percent for the industrial sales transactions which came second, 9.9 percent for the commercial sales transactions which ranked third, and finally 4.5 percent for the agricultural sales transactions.

In total, up to 1,090 sale transactions of all types of properties were recorded or a rise of 68.7 percent compared to the same period last year.

In terms of properties kind, residential apartments topped the list with 307 apartments, followed by 236 residential built-up lands, 193 residential vacant lands, and 76 industrial vacant lands.

Investors from 47 nationalities Investors from 47 nationalities were involved in the reported real estate transactions in the emirate of Sharjah in the third quarter of the year 2020. These included 3,630 GCC investors, including Emirati nationals, who traded 4,483 properties, worth AED3.5 billion, and 691 foreign investors who traded 731 properties, worth AED1.1 billion.

We accept Guest Posts

Download the Dubai City Guide iPhone mobile app

DubaiCityGuide.com is owned and managed by Cyber Gear