Downtown Dubai property prices 'up 10 per cent'

Property prices in Downtown Dubai increased by up to ten per cent in the final quarter of 2012 alone, according to local real estate agents.Citing information from several sources, Emirates 24/7 reported that strong investor demand and a lack of new supply in the district has driven prices up in recent months.Asal Abedi, residential consultant at Better Homes, said property prices in the area are estimated to have risen by as much as 25 per cent last year, depending on their location.Downtown Dubai is the large mixed-use development that contains some of the city's most famous landmarks, including its centrepiece the Burj Khalifa skyscraper. Other features of the district are the Dubai Mall - the world's largest shopping complex by total area - and the Dubai Fountain. It covers an area of two square kilometres.Mohanad Alwadiya, managing director at Harbor Real Estate, told the news provider: "Downtown has and will always continue to attract tenants as it is a quality development, strategic location and a family friendly community."Being one of the most popular residential areas with high occupancy rates also translates to more demand and increased prices."The agents' comments come shortly after a report by property consultancy CB Richard Ellis (CBRE) said prime Dubai property prices increased by an average of 13 per cent in 2012.Values rose significantly last year despite the fact that many new units are set to enter the market in 2013 and 2014, with developments such as Dubailand and Motor City due to add capacity.Matthew Green, head of research and consultancy UAE at CBRE Middle East, told Reuters that recent market conditions suggest there is "some speculation creeping back into the market" from investors in Dubai.The First Group can help you find apartments for sale in Dubai