Emaar reschedules mortgage repayments |
|
Share With Members!
Saturday, Nov 08, 2008
Gulf News
Dubai: Faced with the difficulty of securing home loans from banks and finance companies amid the liquidity crunch, cust-omers of Emaar PropertiesEmaar Properties
have been given a breather in terms of extending the time for repayment of mortgages, a senior official of the company told Gulf News on the sidelines of the World Economic Forum.
Eisam Galadari, chief executive and managing director of Emaar Dubai's international operations, said the company introduced the facility one week ago and intends to continue it until the situation eases.
The UAE government stepped in injecting Dh120 billion to ease banks' liquidity squeeze.
"The credit crisis faced by the banks has made it difficult for our cust-omers," said Galadari. "Extending the time will help them to pay their money. Earlier banks used to give loans on the same day the application was made. But now they have become very cautious. It's hard to get a loan. It takes more than a month to get a loan."
Sold out
In the overall context of the ongoing and announced projects, he added that there is no slowdown in sales and most of the units have already been sold out.
Talking about global acquisitions in markets which have seen a meltdown and valuation has dropped, particularly in the US and Europe, Galadari said the company is following the news on the sectors affected, but is not looking at anything at the moment.
"The prices may come down further and we will wait," he said. "Right now we are not interested."
Emaar PropertiesEmaar Properties reported a net profit of Dh1.51 billion for the third quarter of this year, down 3.2 per cent from Dh1.56 billion reported during the same period last year. EmaarEmaar attributed the lower net profit for the first nine months of the year to a Dh750-million write off relating to the acquisition of John Laing in the US.
John Laing's performance was adversely affected by the US mortgage crisis. EmaarEmaar bought John Laing for $1.05 billion in June 2006.
Reuters reported that Galadari said EmaarEmaar was planning to launch two projects in Dubai worth $5 billion (Dh18.35 billion) each, subject to market conditions.
"We have to rely on these [financial] institutions... they are financing our customers and we have pre-sales," he said.
Galadari said the group was "watching the market", but had yet to cancel or put back any projects.
© Gulf News 2008. All rights reserved.
Zawya is a distributor (and not a publisher) of content supplied by third parties and subscribers. Any opinions, advice, statements, services, offers, or other information or content expressed or made available by those third parties, including information providers, subscribers or other users of the Service, are those of the respective author(s) or distributor(s) and not of the Company. The Company neither endorses nor is responsible for the accuracy or reliability of any opinion, advice or statement made on the Service by anyone other than authorized Service employee spokespersons while acting in their official capacities. The Company is not responsible for any infringement of intellectual property rights or breach of any applicable law or regulation, including regulation in relation to financial services or the distribution of financial products, defamation, data protection, telecommunications (including regulations relating to excessive use, spamming or other abusive activities) or obscene, offensive or illegal content). Under no circumstances will the Company be liable for any loss or damage caused by a member's reliance on information obtained through the Service. It is the responsibility of member to evaluate the accuracy, completeness or usefulness of any information, opinion, advice or other content available through the Service. Please seek the advice of professionals, as appropriate, regarding the evaluation of any specific information, opinion, advice or other content.
Read the full Member Agreement
http://www.zawya.com/legal/NewsLetter.cfm?name=disclaimer
Loading ...-
Zawya encourages you to add a comment to this discussion. You agree that when you add content to this discussion your comments will not:
1.1 Contain any material which is libelous or defamatory of any person, is obscene, offensive, hateful or inflammatory or causes damage to the reputation of any person or organisation.
1.2 Promote sexually explicit material, violence, discrimination based on race, sex, religion, nationality, disability, sexual orientation or age or any illegal activity.
1.3 Be made in breach of any legal duty owed to a third party, such as a contractual duty or a duty of confidence.
1.4 Be threatening, abuse or invade another's privacy, or cause annoyance, inconvenience or needless anxiety.
1.5 Be used to impersonate any person, to misrepresent your identity or affiliation with any person, or be likely to deceive any person.
1.6 Give the impression that they represent Zawya.
1.7 Advocate, promote or assist any unlawful act such as (by way of example only) copyright infringement or computer misuse. - The content posted on www.zawya.com is created by members of the public. The views expressed are theirs and unless specifically stated are not those of Zawya. Zawya reserves the right to review all comments prior to posting and edit or delete any contribution, but Zawya is not responsible for and can not be held liable for any content posted by members of the public on www.zawya.com.
- Zawya is not responsible for the availability or content of any third party sites that are accessible through www.zawya.com. Any links to third party websites from www.zawya.com do not amount to any endorsement of that site by Zawya and any use of that site by you is at your own risk.
- By submitting your comment, you hereby give Zawya the right, but not the obligation, to post, air, edit, exhibit, telecast, webcast, re-use, publish, reproduce, use, license, print, distribute or otherwise use your comments worldwide, in perpetuity.
Loading ...Stories
Companies
| Company Name | Country | Industry |
| Consolidated Contractors Company | Overseas | Construction and Design |
| Zuhair Fayez Partnership Consultants | Saudi Arabia | Construction and Design |
| Saudi Binladin Group | Saudi Arabia | Construction and Design |
| Saudi Electricity Company | Saudi Arabia | Electric Utilities |
| Roads and Transport Authority - Dubai | UAE | Regulatory and Administrative Bodies |
| Barwa Real Estate Company | Qatar | Landlords and Developers |
| Mubadala Development Company | UAE | Investment Firms and Funds |
| Ministry of Health - Saudi Arabia | Saudi Arabia | Ministries and Municipalities |
| Abu Dhabi Oil Refining Company | UAE | Oil |
| Gulf Pharmaceutical Industries | UAE | Pharmaceuticals |
Projects
| Project Name | Country | Sector |
| ENEC - Nuclear Power Plant | UAE | Power and Water |
| Abu Dhabi DOT - Abu Dhabi Metro | UAE | Infrastructure |
| Takreer - Ruwais Refinery Expansion | UAE | Oil and Gas |
| Abu Dhabi Ports Company - Khalifa Port and Industrial Zone (KPIZ) | UAE | Infrastructure |
| Aramco/Dow Chemical - Ras Tanura Integrated Refinery and Petrochemicals Complex | Saudi Arabia | Oil and Gas |
| SATORP - Jubail Refinery and Petrochemical Complex | Saudi Arabia | Oil and Gas |
| Emirates Aluminium (EMAL) - Smelter Complex - Phase 1 | UAE | Industry |
| Dubai Racing Club - Meydan City - Meydan Racecourse | UAE | Real Estate |
| Dubai RTA - Dubai Metro | UAE | Infrastructure |
| IGD - Gasco - Habshan 5 Gas Processing Plant | UAE | Oil and Gas |
Just postponing the inventible. Those who can't pay today won't be able to pay tomorrow. Emaar property prices should reach the same levels they had in 2003/4. Its a cycle and everyone who got in late in the upward trend will have to either take a loss or wait a very long time for it to reach its breakeven point and bear the payments. [Report Abuse | Email to a Friend | Reply to this Comment]
A slide in property prices will take place by Q2 2009. When sellers realize how difficult or impossible it is for them to offload there property, This is a simple puzzle, credit/leverage is why people managed to buy property n the first place. Unemployment rates among the financial and RE sectors in the region are increasing, but its clear no one would read this in a newspaper or hear it over the news as this will create panic. 3/4 of property buyers in the region are foreigners looking for a quick easy return. These funds are on the sidelines now and could remain this way upto a decade. [Report Abuse | Email to a Friend | Reply to this Comment]