HSBC bullish on Dubai property market; upgrades Emaar companies

HSBC bullish on Dubai property market; upgrades Emaar companies

Dubai's residential property market is witnessing a huge fillip despite supply concerns and negative population growth thanks to home buyers flocking to larger villas and apartments during the pandemic. "The globally synched post-pandemic migration to larger homes is also reigniting Dubai's residential property market. The reported sales rebound in Dubai YTD has been remarkable, Stephen Bramley-Jackson, Global Head of Real Estate Research at wrote in a note. "Based on quarterly trends, it has really been the last two (and at the end of this month likely three) quarters that have seen the pivot to price appreciation, following a multi-year period of price depreciation,“ Bramley-Jackson noted. The bank said Dubai-listed developer Emaar Properties and its property development arm, Emaar Development are well placed to take advantage of this trend. is expected to benefit from the Dubai Expo. The note said Emaar Properties offers the best means of capturing this trend, offering liquidity and a share price that provides a 90+ percent correlation to property prices, the note said. HSBC has upgraded Emaar Properties to 'Buy' from 'Hold' and raised the target price to 5.20 dirhams ($1.41) from 3.83 dirhams, despite a development pipeline bias to apartments (vs villas) and an increasing