Dubai is thinking big for 2013

A replica of the Taj Mahal four times larger than the original. An underwater hotel. A 5 sq km complex of homes linked by canals. The world’s biggest mall (again). A crocodile park. If you wanted any proof that Dubai’s economy is back on track following the financial meltdown that shook the world in 2008, one need only look at the list of ambitious new developments announced over the past 12 months. Many of the proposals have had seasoned expats whispering ‘it’s like 2006 all over again’, with a look of both excitement and desperation in their eyes.

There’s no denying that the new developments – sublime, ridiculous, beautiful, thrilling and garish as they each might be – will be a marvel to watch evolve in front of our eyes. But for those who lived through the sky-high property prices of Dubai’s 2006-2008 boom (a time when general inflation alone soared to 10.8 percent by 2008), a sense of anxiety may be somewhat justified. With this recent recovered economic confidence, Dubai has also seen property and rental prices soar – most of the sales and letting firms we spoke to reported that property prices in prime areas have soared by as much as 25 percent over the past 12 months, with rental prices rising by up to 15 percent. ‘When 2008 hit, I thought it would take six years to recover,’ says Priyesh Patel, a sales director with real estate firm Aston Pearl. ‘Yet it only took three years.’

Reference:Time Out Dubai