As the Qatari economy looks to diversify away from its reliance on the hydrocarbons sector, real estate

could be well placed to benefit from diversifying investments. UK investment manager Barclays

Wealth has released a report showing the financial behaviour of 2,000 High Net Worth Individuals

(HNWIs) from across the world, according to Al-Bawaba. Of the Qatari individuals surveyed, 100% had

investments in real estate and 100% believed that it would be a safe sector for investment over the next 12

months. This was the highest rating for real estate investments among the other HNWIs surveyed.

Optimism in Qatar's business community rose in Q411, according to a survey conducted by Dun &

Bradstreet Ltd in conjunction with the Qatar Financial Centre Authority. The survey shows that the

business optimism for the non-hydrocarbon sector stands at 45 for Q211, 18 points higher than in Q3 and

standing at its highest level since Q109. Sentiment has been boosted by a strong economy and heavy

government stimulus spending. On the other hand, the equivalent score for the hydrocarbon industry fell

from 22 to 20 on concerns about moderating global energy prices.

And as the Qatari economy looks to diversify away from its reliance on the hydrocarbons sector, real

estate could be well placed to benefit from diversifying investments. In fact, UK investment

manager Barclays Wealth has released a report showing the financial behaviour of 2,000 High Net Worth

Individuals (HNWIs) from across the world, according to Al-Bawaba. Of the Qatari individuals surveyed,

100% had investments in real estate and 100% believed that it would be a safe sector for investment over

the next 12 months. This was the highest rating for real estate investments among the other HNWIs

surveyed.

Some of the key opportunities currently in the real estate market are:

Qatar's construction industry has much to look forward to. This is especially true in light of the

development of property related to the 2022 FIFA World Cup.

Qatar is improving organisation of its real estate sector to help reduce illegal operations, and so

has announced that real estate agents operating in the country without a licence will now be

subject to a QAR50,000 (US$13,700) fine, according to AMEinfo.

Some key risks to the current real estate market are:

So far, Qatar has escaped any political unrest of its own but the neighbourhood is unsettled and,

particularly if Iran is involved, Qatar could see trouble reach its shores.

Jones Lang LaSalle warns that demand is likely to be rather less than the huge amount of new

supply coming onto the market.

Increasing scrutiny of the country’s labour laws.