The plans for EXPO 2020 after March 31 have been announced and it looks like the site is set to become a new urban development.
District 2020 has officially been named as the project set to replace EXPO 2020. District 2020 will focus on “curating a global innovation ecosystem and an integrated community lifestyle,” according to Expo organizers.
They have billed the site as “a model global community for the future that will use state-of-the-art innovation, science and sustainability to create a cleaner, safer, healthier environment to live and work.”
80% of EXPO 2020 will be repurposed for the new development as it diverts into a smart and sustainable mixed-use community. District 2020 has already gained the nickname ‘15 minute city’ as plans for the site show that housing, work spaces, retail, restaurant and attractions will never be further than a 15 minute walk away from one another.
District 2020 aims to cater to a population of 145,000 at full capacity.
How does this affect real estate?
Well, despite the fact this will create both residential and commercial real estate opportunities, it is also set to be yet another attraction for this bustling city.
This new development will provide more working opportunities for those who are already or considering living and working in Dubai, as well as an increase in tourists travelling to visit the new smart city.
So, what else can we expect to affect the real estate industry post EXPO 2020?
RAPID COMMERCIAL EXPANSION
In terms of commercial real estate, there has already been a huge injection of stock into the market, with the development of new shopping centres, hotels and over 400 restaurants, both in and around the Expo 2020 site. As such, it has opened the doors to hundreds of new businesses and investors in the city. With these new businesses expected to expand around Dubai, they will need to find commercial spaces in which to operate.
THE SURGE IN DEMAND FOR RESIDENTIAL INVESTMENTS
Investing in Dubai has become increasingly attractive over the past few years due to the thawing of diplomatic relations with several countries, including Israel and Qatar; government incentives, including the introduction of new visas; the reduction of ‘Loan-to-value’ for first time buyers; as well as the relaxation of many of the country’s more conservative, cultural laws. Not only has this promoted investment into the country but has also made the city an attractive place to live. It should also be pointed out that as businesses expand into Dubai, families will come with them, necessitating new housing developments.
These new investors have had, and are expected to continue having a primary focus on high-end luxury properties, with properties worth over $10 million accounting for over 7% of all real estate transactions.
This interest in high value, luxury properties was witnessed in 2021 by Betterhomes, the sister company of CRC, whose agent Hannah Pratap, secured the biggest leasing deal in the history of Dubai.
EXPO 2020 has brought a huge number of people to Dubai and in turn, introduced them to its upscale lifestyle, safe environment and the possibility for impressive career growth. Although it was already one of the most popular places to relocate, the past year has seen more people than ever want to make the move to this bustling city and there’s no question as to why.
Expo 2020 Dubai welcomed more than 10 million visitors in the first 3 months and both the educational and entertainment aspect of the event will have inspired many residents, expats and investors to explore new avenues of both life and business.
There’s no doubt that the new development, District 2020, will continue to inspire growth across the city.
So, what will happen next? Will the real estate in Dubai witness a boom after EXPO 2020? Well, in a nutshell, Expo 2020 was just the beginning of Dubai’s new future. This global event was expected to kickstart business development and encourage foreign investment into the country, and I’m sure we will document the positive effects of that as Dubai’s economy continues to thrive through 2022 and beyond.
If you require any assistance on leasing, selling or buying commercial property, get in touch with us today.