Real estate experts from CBRE, a leading property services provider, have revealed that Saudi Arabia and the United Arab Emirates (UAE) are dominating the $1.36 trillion worth construction sector in the Middle East. It demonstrates the current boom in the region’s property sector, despite global economic challenges.
CBRE has predicted further improvement in Middle East’s real estate this year, due to inflated oil prices and economic growth.
The Gulf Cooperation Council (GCC) economies have outpaced other regions, recording an average growth of 6.3% in 2022. Their GDP growth is projected to reach 2.7% this year.
The real estate sector, including other industries like hotels, logistics, and manufacturing, will help the Middle East in ending its oil dependency.
The value of real estate projects, planned or under development, is projected to be $1.36 trillion, with Saudi Arabia accounting for 64.5% ($877 billion), followed by the UAE at 21.6% ($293 billion). Bahrain, Kuwait, Oman, and Qatar account for 1.7%, 4.4%, 4.6%, and 3.3%, respectively.
