Tej Kohli

ABU DHABI, United Arab Emirates, November 20, 2009 -- In what has been the most promising news-to-date - under the currentrecession-hit times - Abu Dhabi is seeing a steady flow of business ownersand investors making their foray into the emirate's real estate market.

Mr. Tej Kohli the Ozone Holding group founder, says, "Now is the perfectmoment to invest in Abu Dhabi. There are definite signs of growth in terms ofproperty prices and real estate investments, as can be seen in the fourthquarter of 2009; while the year 2010 is slated to be a year of stability,with new direction for the real estate sector."

While the recession wreaked havoc elsewhere, it gave Abu Dhabi theadvantage of incorporating its real estate governance and statutoryframeworks, while also preserving evenness in the demand and supply strata ofthe market. Mr. Kohli holds great appreciation of Abu Dhabi's dedicationtowards assertively pursuing extensive infrastructure projects, in spite ofthe global economic slowdown. This, he believes, are important steps taken bythe authorities to bolster international attraction and awareness on AbuDhabi.

With the recent injection of much needed funds in its banks throughcapital notes the UAE government has helped bolster confidence in itsinvestors and consumers alike. "It is an excellent move by the Abu DhabiGovernment to reassess its support to Abu Dhabi banks; these funds willcertainly boost the financial sector and more importantly, build morale amonginvestors," Kohli elaborates.

For the economy, the funds along with the confidence boost may helprelease credit origination, by being channelized to specific infrastructureprojects whose completion would have been jeopardized by financing troubles.

Kohli further states, "Acts such as these strongly support the emirate'sbanking economy; to endure untoward impacts of domestic and global calamityand be in a more dependable position than most other territorial peers. Byensuring that Abu Dhabi's financial establishments are well-benefitted, themove is destined to fortify the banking sector - a 'sine qua non' forrestituting lost confidence and for firmly establishing economic activitythrough the support of credit expansion."

The recent announcement on residency visas is yet another shot in the armthat will jumpstart market appreciation and long-term market stability inDubai and the UAE, especially in the property division.

Mr. Kohli, however, is of the opinion that the market as a whole shouldhave a blend of both low return/low risk affordable housing and highreturn/high risk niche sectors in the long run. He says, "It is imperativethat developers centre upon sustainable living accommodations in a morepanoptic view to keep development and cash revenue streams running evenduring future downspins. Niche segments need to be focused upon, as theemirate will always produce opportunities to serve the niche segment in aprogressive economic rundown."

As an investor with a long term perspective, Kohli is of the opinion thatthe reason why the Abu Dhabi property sector has been able to endure thedownturn relatively well in the first half of 2009, was due to the fewernumber of speculators in the market, coupled with high demand for rentablespace in Abu Dhabi in general.

According to research reports on the emirate's property sector, a 15 - 52per cent correction of property prices in Abu Dhabi after almost two years ofrapid increase has forced out short-term speculators. The speculators who haddriven the market to its euphoric heights have largely been flushed out,while inflated prices are touching realistic levels. This is a confidencebooster for both investors and local buyers.

Kohli affirms, "Buyers with a longer term view and staying power arehopefully going to help stage the restoration of this very lucrative market.The stage is set for a strong comeback in the Abu Dhabi RE market somewhereby mid 2010."

While real estate is on the ascension, Abu Dhabi is also busyconsolidating its status as a budding pivot of the developing Arab spaceindustry. This fact will be made more prominent when an acclaimedinternational team of experts and principal decision makers assemble in theUAE capital for next month's Global Space Technology Forum, hailing AbuDhabi's liberal role in this regional development.