MAG Reports Change in Customer Demographic at Cityscape

September 24, 2014

Property development organisation sees increase in investors over end-users at exhibition

 MAG Property Development has reported a change in customer demographic at Cityscape, with a marked increase in enquiries from investors over end-users than in recent previous years. The company, which is the real estate development arm of MAG Group – one of the region’s largest multi-sector corporations – says that investor interest from outside of Dubai was particular noticeable, with its client profile now comprising visitors and tourists keen to generate returns on a financial outlay in the city’s booming property market.

“This year there has been a noticeable shift in the profile of customers we have been seeing at our stand at Cityscape, with far more visitors enquiring about property as an investment,” said Talal Al Gaddah, CEO, MAG Property Development. “This year we are seeing more investors and end-users investing in Dubai properties as a means of guaranteeing return on the capital invested – this is what differentiates the Dubai market from European markets,” he added.

MAG Property Development revealed that most of the investors and clients visiting its stand were from the Middle East (44%), with European customers comprising the next largest segment (16%), followed by visitors from India (10%), while Asia and Russia tied at fourth place (8% for each) and finally Africa (7%) and America (3%). The types of property that most investors have expressed an interest in have been mostly ‘holiday homes’, i.e. furnished studios and one and two-bedroom apartments, with location criteria including prime spots, ready roads, completed infrastructure and booming areas that are already in high demand. These stipulations have seen the company receive a high degree of interest from visitors for their Polo Residences launched in 2013, with 90 per cent of units now sold out.

According to MAG Property Development, a growing area of interest for investors is with green buildings. The organisation has addressed this demand for being environmentally friendly with two of its new developments, MAG 1978 and MAG Luxury, located in Business Bay and Burj Khalifa District respectively. The projects have been developed in conjunction with Chicago-based Skidmore, Owings & Merrill LLP (SOM) – one of the world’s largest and most influential architecture and interior design consultancies.

“Our collaboration with SOM forms part of MAG Property Development’s policy of taking Dubai’s property market to the next level. Their expertise in architecture and design has been instrumental in the launch of MAG 1978 and MAG Luxury, which will be launched later this year,” said Al Gaddah. “MAG Property Development is spearheading MAG Group’s ambition to be at the forefront of the region’s real estate industry. It is achieving this through ensuring that its developments offer the latest innovations and match the emirate’s vision of building a community that is sustainable and environmentally-friendly,” he added.

MAG Property Development says that it focuses on a mix of projects that target different communities and nationalities. They aim to be present in high profile prime locations to cover the range of requirements found in Dubai’s diverse real estate sector. The company says that the international profile of clients visiting its stand and the interest in investment coming from within and outside of Dubai will see it participating in a number of regional and global road shows to increase exposure of their projects. The organisation will be highlighting what it says is different about their operations compared to other real estate developers in terms of promise on delivery and quality of the final product. MAG Property Development is one of the very few developers in the region who have never had a real estate case filed against them.