Real estate deals continue to rise in Bahrain: CBRE

Real estate deals continue to rise in Bahrain: CBRE

MANAMA: Real estate transactions in Bahrain continued to rise over the last quarter of 2021 amidst ongoing pandemic uncertainty, reveals research by CBRE.

The value of property transactions rose by 46 per cent year-on-year (YoY) in 2021 to BD1 billion ($2.8bn), as reported by the Survey and Land Registration Bureau (SLRB).

Looking at Bahrain’s office sector figures, CBRE, believed to be the largest commercial real estate services company in the world, found that visitation to the workplace began to recover noticeably in Q4-2021, surpassing its pre-pandemic baseline.

In 2021, the quantum of vacant office space reached approximately 339,000sqm, accounting for 28pc of total supply, it adds.

Prime rental rates remained stable in 2021, whereas average rental rates for Grade A & B offices declined.

Performance in this segment of the market has continued to trend downwards on the back of the excess supply levels.

Heather Longden, director of advisory and transactions at CBRE in Bahrain, says: “Affordable rental rates and surplus supply continue to underpin flight to quality. We see that properties with modern facilities are faring better than some more dated properties, with Bahrain Bay emerging as a key business destination for instance, while Seef District continues to be popular with tenants.”

The decline in quoted