SHARJAH, Sharjah Real Estate Registration Department (SRERD) issued a report on the results of real estate transactions for the period ending 30th September, 2022, revealing that cash trading volumes of the emirate’s real estate transactions amounted to AED 16.6 billion.
65,314 total transactions were carried out, distributed among the various cities and regions of Sharjah, including 5,335 sales transactions in 184 areas, with a total area of more than 42.6 million square feet.
The report showed that 79 different nationalities traded on 20,280 properties, and the value of Gulf nationality investments amounted to AED 12.2 billion; investments of other nationalities amounted to AED 4.4 billion, while the value of mortgages reached close to AED 6.6 billion.
Abdul Aziz Ahmed Al Shamsi, Director-General of SRERD, said, “The real estate market in the Emirate of Sharjah has achieved an upward recovery and positive growth in sales transactions during the first three quarters of 2022, in addition to the launch of new real estate projects. Despite the continued volatility of international oil prices and its impact on the business sector, real estate remains a steady economic component, capable of self-sustaining business activities, vitality, and attractiveness by businessmen and investors.”
Al Shamsi highlighted the development and diversification of the legislative structure governing the real estate sector in a way that ensures meeting the needs of owners, investors, and developers alike, while simultaneously keeping pace with developments in the sector.
Recent developments include Law No. (2) of 2022 AD, recently issued by H.H. Dr. Sheikh Sultan bin Muhammad Al Qasimi, Supreme Council Member and Ruler of Sharjah, regarding the amendment of Law No. (5) of 2010 that deals with real estate registration in the Emirate of Sharjah, and is part of a set of decisions issued by the Executive Council of the Emirate, to help regulate ownership laws of real estate in the Emirates. The amendment also grants the right of absolute ownership to non-Gulf citizens in a number of cases.
Al Shamsi explained that this amendment will reflect positively during the coming period in achieving more activity and growth in the real estate sector in Sharjah, and will help to enhance the pace of attracting investors and businessmen, in order to expand urban migration and population.
Highest Trading Value in March and August
Results of the first nine months of the year recorded the highest value in trading volumes, at AED 2.7 billion, followed by August with AED 2 billion, and June with AED 1.97 billion.
By distributing the monetary value of real estate transactions during the reporting period throughout the SRERD’s branches, the report found that 96.5 percent of the total trading value was witnessed by the main branch in Sharjah, with an amount of AED 16 billion. The remainder of the 3.5 percent of the total trading value, amounting to nearly AED 600 million, were distributed across the four branches – Central Region, Khorfakkan, Dibba Al Hisn, and Kalba.
Categorising the total transactions by city, 38,902 transactions were carried out in Sharjah, 8,635 transactions were conducted in Khorfakkan, 7,563 transactions were conducted in Kalba, 5,560 transactions were executed in Dibba Al Hisn, and 4,654 transactions were conducted in the Central Region.
Sales transactions increased by 17.9 percent
Sales transactions in the Emirate of Sharjah witnessed a qualitative increase of 17.9 percent during the first nine months of this year, with a difference of 808 transactions, with a total of 5,335 transactions compared to 4,527 transactions during the same period last year.
The total sales transactions executed during the first nine months of 2022 in the city of Sharjah amounted to 4,881 sales in total, across various residential, commercial, industrial, and agricultural categories.
The total trading value was determined at nearly AED 6 billion. Muwailih Commercial ranked first with 28.1 percent of the total transactions, amounting to 1,370 transactions, with a trading value of AED 1.3 billion. Al Khan area witnessed 707 transactions, amounting to AED 621.9 million, and the remaining 2,804 transactions were distributed among 104 other areas. It was noted that 75.6 percent of sales transactions were across 10 areas of the city, namely Muwailih Commercial, Al Khan, Hoshi, Al Raqiba, Al Saja’a Industrial, Al Majaz 3, Mezaira’a, Rawdat Al Qirt, Al Nahda, and Al Majaz 2 through 3,688 transactions.
In the city of Kalba, 25 areas witnessed 151 sales transactions worth AED 97.2 million. 36 of these were in the Industrial Area, representing 23.9 percent of the total transactions.
In the Central Region, 149 sales transactions were carried out, distributed over 32 areas, with a total of AED 119 million, and 15.4 percent of these transactions came in Al Taybeh 2, with 23 transactions. In Khorfakkan, 139 transactions were conducted across 17 areas worth AED 101 million and Al Harai Industrial Area accounted for 18 percent of transactions, recording 25 transactions, while 15 transactions were executed in 4 areas in Dibba Al Hisn city, with a total trading value of AED 9.9 million.
241 Usufruct Sale Transactions
During the January – September 2022 period, 241 usufruct sale and resale transactions were carried out with a value of approximately AED 379 million. All these transactions took place in the city of Sharjah, distributed over 8 different areas, namely Muwailih Commercial, Al Khan, Tilal, Al Raqibah, Umm Fanain, Al Saja’a Industrial, Al Nahda, and Al Majaz 3. These transactions were categories into 220 usufruct sale transactions, with a total value of AED 352.4 million, and 21 usufruct resale transactions, with a total value of AED 26.5 million.
3,862 Transactions In Residential Sector
The various types of real estate traded in the Emirate of Sharjah during the first nine months of 2022 covered a total area of 42.6 million square feet. These properties were distributed to 1,521 vacant lands with a total area of 14.1 million square feet, and 1,428 built, under construction, and cultivated lands with an area of 26.3 million square feet. The separated units represented 2,386 units, including parking lots, drivers rooms, residential studios, shops, offices, and commercial stores, with a total area of more than 2.2 million square feet.
Classifying these properties according to sector, the residential real estate reported 3,862 properties, representing 72.4 percent of the total real estate, while 605 industrial properties were traded, representing 11.3 percent. Regarding commercial real estate, 600 properties, representing 11.2 percent, 268 were traded on cultivated lands, representing 5.1 percent of the total real estate.
10 New Projects to Supplement Real Estate Sector
The first nine months of 2022 witnessed the registration of 10 new real estate projects across different regions of the emirate of Sharjah. These projects were divided into pure residential complexes, residential projects, commercial projects and other combined residential-commercial projects.
Investors from 79 countries
Nationalities of investors in the Real Estate sector in the Emirate of Sharjah during January – September 2022 period represented 79 nationalities, who traded on 20,280 properties, of which 731 properties were sold through usufruct transactions.
The value of Gulf nationalities investments amounted to AED 12.2 billion through 17,337 properties traded by 9,696 Gulf investors. Investments of other nationalities amounted to AED 4.4 billion, through 2,752 properties and 2,540 investors.
In regard to statistics of real estate traded in the Emirate by way of usufruct sale, properties’ traded amounted to 731, by 826 investors from 59 different nationalities.
In general, and by sub-categorising lists of the most traded properties by nationality, real estate of Emirati investors ranked first, with a total of 15,925 properties. This was followed by properties traded by Syrian nationals, with 727 properties, 724 properties of investors from the State of Kuwait, 563 properties traded by Indian nationals. Saudi nationals invested in 440 properties, followed by Iraqi nationals with 412 properties.
Source: Emirates News Agency