* Dubai re-exports goods worth billions of dollars to Iran

The central bank of the United Arab Emirates has told financial institutions in the Gulf Arab country to freeze 41 Iran-linked accounts, in a move based on new U.N. sanctions on Tehran, a UAE daily reported on Monday.

It came a week after another Emirati newspaper said the seven-member UAE federation was “tightening the noose” on companies the United Nations Security Council suspects act as fronts for Iran’s disputed nuclear programme.

The Islamic state and the UAE have close economic and historic relations. Tens of thousands of Iranians live and work in business- and trade-hub Dubai and elsewhere in the UAE, many involved in the multi-billion-dollar re-export trade to Iran.

With Iran facing growing Western pressure, Iran’s ties with Dubai have drawn scrutiny from the United States, which has been spearheading a drive to isolate Tehran over nuclear work the West fears is aimed at making bombs. Iran denies the charge. [Read More]

The venue is owned by Dubai World Trade Centre, which also owns Airport Expo Dubai.

Dubai World Trade Centre board chairman Sheikh Hamdan bin Rashid Al Maktoum, who is deputy ruler of Dubai, said the number of companies exhibiting at DICEC was up 2.5%.

He said Dubai World Trade Centre has effectively positioned Dubai as a world-class business destination, and the partnership between government, private entities and associations combined with expertise and modern infrastructure had helped the destination attract ten major global congresses that will bring more than 70,000 delegates to Dubai over the next 18 months. [Read More]

“The problem is that the delivery schedule by 2012 I think there is another 20 to 30 million square feet of offices coming into the market,” said Nick MacLean, managing director of CB Richard Ellis said on Monday at the Second Arabian Business Conference in Dubai.[Read More]

Dubai Airports, the company overseeing airport projects in the emirate, said in a statement Dubai World Central-Al Maktoum International (DWC) started with three cargo flights operated by Rus Aviation, Skyline and Aerospace Consortium, with 13 other freight carriers signed up[Read More]

The first plane landed on the sole runway of the Dubai World Central-Al Maktoum International Airport — named after the emirate’s ruling family, Dubai Airports said in a statement.

Three air freight companies have begun operations from the new airport with 12 others due to follow, it said.

The first phase be confined to freight traffic, with a capacity to handle 250,000 tonnes annually while passenger traffic was scheduled to begin in March 2011, with an annual capacity of five million passengers.

“We have achieved another important step towards completing” the airport, said Sheikh Ahmed bin Saeed al-Maktoum, the head of the Dubai Civil Aviation Authority.

Situated on the desert outskirts of Dubai and close to the Jebel Ali port and its large free zone, DWC-Al Maktoum International is touted to become the world’s largest airport when completed at an undisclosed date.[Read More]

As the supply in the residential sector nears its peak, rentals continued to decline in the second quarter of this year, particularly for luxury and high-end villas and apartments.

“Rents have fallen the most in the upmarket areas such as Downtown and Marina. There’s been a bit of movement of people shopping around for a good price as they look to save money,” Craig Plumb, head of research for the MENA region at Jones Lang Lasalle, told Gulf News.

According to Jones Lang Lasalle’s recent report, average apartment rents saw a year-on-year decrease of 10 per cent and 4 per cent quarter on quarter with the greatest decline in the high-end sector.

Average villa rents year on year fell about 23 per cent and 11 per cent quarter on quarter with the greatest decline also seen in the high- end sector.

Attractive terms

“The continued rental decline is attached to the overall economic situation. The amount people are willing to pay for rent is directly connected to their jobs and salaries. People are getting what they can afford,” Laura Martoramo, CEO of Leo Sterling, told Gulf News.

According to Martoramo, landlords are continuing to offer more attractive terms such as payment by more cheques to attract customers. Another trend is the shift of residents from Sharjah to affordable housing in Dubai.[Read More]

The paper quotes the latest report from Jones Lang Lasalle, “Dubai Real Estate Market Overview for the second quarter of 2010.”

“Although asking prices have marginally declined since the first quarter of 2010, achieved prices increased by one per cent to around Dh867 per square foot. While apartment prices remained stable, villa prices on the other hand, increased marginally during the quarter,” said the report.

But this news appeared to put positive spin on otherwise disappointing results. “The value of residential transactions increased by 50 per cent over the last quarter, although this still represents a decrease of seven per cent over a one-year period,” admits the report.

On the plus side, rents are falling. Rents decreased by four percent from the first quarter of 2010 to the second quarter. Year on year they fell by 10 percent from the second quarter of 2009 to the second quarter of 2010. [Read More]

Retail vacancies have increased to between 8% and 10% as competition intensifies and retailers have closed poorer performing stores. This is resulting in a flight to quality and increasing problems (broken tooth phenomenon) in poorer quality centres. The more enlightened centre managers are responding to changing circumstances by seeking to proactively engage and offer more attractive and flexible terms to their tenants.

Supply in the residential sector continues to complete, with fewer delays being experienced than in the office market. While sales activity has increased and average prices have remained relatively stable, rentals have continued to decline significantly across Q2, particularly in respect of luxury / high end villa and apartment projects. [Read More]