Rental property in Dubai 'falling in price'

New figures reveal that the cost of renting retail property in Dubai has fallen over the last few months, which may appeal to people looking to set up a business in the emirate.

Statistics released by EU-27 Retail Rent Index and conducted by CB Richard Ellis show that the average commercial rent fell by 11 per cent in the first quarter of 2007, with nearby Abu Dhabi also experiencing a 3.5 per cent drop.

Nick Axford, head of research in Europe for CB Richard Ellis, said this may give retailers many more options, which puts them in a good bargaining position.

"Most retail property markets are experiencing reduced demand from retailers and an increase in the number of vacant units, which is in turn affecting rents," he explained in the report.

In other news, Damac Properties recently announced that the first six months of the year has seen numerous homes sold to owners and plans for more developments have been formulated.