Burj Dubai, the world’s largest tower, could be catalyst for falling rents at Jumeirah Lakes Towers
Jumeirah Lakes Towers has seen annual rents fall for quite some period now and although only the studio rents continued to fall in September when compared to August, several analysts are turning to the Burj Dubai in hopes of a recovery.
The Burj Dubai, when completed, will be the world’s tallest tower. Emaar, the developer building the tower, will have to position themselves just right and many hope that there will be a quick uptake of this world record building. This tower will add millions of square feet of retail, office, and residential space to a market that is already saturated. While some will remain hopeful, others predict that the Burj Dubai will drag down prices in areas such as Silicon Oasis and Jumeirah Lake Towers.
If the past few months are any indication, the Burj Dubai may not be enough. With developments such as the first seven-star hotel, the biggest indoor ski slope, and the man-made islands, Dubai has still been unable to shield the emirate from the downturn in the economy.
Experts indicate that the Burj Dubai should bring a new momentum to the area; however, only time will tell.
