RIYADH: Oil-dependent countries in the Gulf Cooperation Council should focus on strengthening sectors such as real estate and tourism to ensure sustainable development, according to a Qatari official.
Speaking at the Real Estate Future Forum in Riyadh on Jan.27, the president of the Real Estate Regulatory Authority-Aqarat, Khaled Al-Obaidli, said that Saudi Arabia’s success in the property sector exemplifies the growth of the entire GCC region in developing a thriving market.
These comments regarding the Kingdom’s expanding property sector come just days after the nation reported a 3.6 percent year-on-year increase in its real estate price index.
Saudi Arabia’s Real Estate General Authority expects the country’s property market to reach $101.62 billion by 2029, with an expected compound annual growth rate of 8 percent from 2024.
“The success of Saudi Arabia in the real estate sector is the success of all GCC countries because we see them as one,” said Al-Obaidli.
He added: “Most of our countries are oil-based economies. It is very important to diversify the resources across sectors like real estate and tourism. We (Qatar) are not just a country that depends only on oil, we are now trying to affirm our presence in sports, and tourism, and we are also developing high-level universities.”
Aligned with its Vision 2030 program, Qatar established the Real Estate Regulatory Authority-Aqarat in 2023 to enhance transparency and clarity of information as well as encourage investment in the country’s property sector.
“The Real Estate Authority in Qatar was created to enhance the sector and we also try to make it more attractive to generate more investments,” said Al-Obaidli.
Regarding the Real Estate Strategy launched by the authority in December, Al-Obaidli said that the initiative has five pillars, with the first one being developing a comprehensive national real estate plan and introducing policies that promote sustainable development.
The second focuses on strengthening Qatar’s regulatory frameworks to support the sector, while the third aims to improve industry standards by enhancing real estate valuation governance.
The fourth pillar focuses on driving digital transformation in the industry, while the fifth aims to boost real estate investment and position Qatar as a global destination for family living.
“Technology is one of the most important tools to develop the real estate sector. Technologies like artificial intelligence and virtual reality can be used to enhance the customer experience. The experience of customers should be easy and seamless,“ said Al-Obaidli.
He added: “In our countries, most of our doors are open. People get inside here without feeling uneasy. This is part of the real estate. If you want to retire, so, you have the regulations, health systems, and service products.”
The Qatari official added that the country now hosts nearly all major international universities, allowing students to pursue higher education without traveling to Western countries.
Al-Obaidli also hinted at the plans to establish an institute of real estate in close cooperation with national universities.
“We are about to establish an institute for real estate in close cooperation with the private sector and some universities. So, it gives you the ability to get engaged in the sector, and you will also get a license specialized in this,” said Al-Obaidli.
He added that people who receive real estate licenses from the institute can pursue part-time jobs in the property sector after completing their day jobs, which could boost the market.
Al-Obaidli further said that both citizens from the GCC nations and foreign countries have sufficient opportunities to own residencies in Qatar.
“The GCC citizens have privileges such as they can own a piece of land up to 3,000 sq. meters for residential and housing purposes in Qatar. Also, they can own their own land for their own entities or establishments for other businesses or factories. There are some regulations where we can increase these privileges for GCC citizens,” said the Qatari official.
He added: “For foreigners, if you have $1 million, you can have a permanent residence and it will also have some features. This can be done through the Real Estate Authority.”
According to the Aqarat website, permanent residency benefits are available for properties valued at $1 million or more, covering areas such as health, education, and investment.
Al-Obaidli further said that Qatar is not just trying to promote its own real estate sector, but it is also trying to accelerate the growth of the industry in other GCC nations.
“We want our countries to be the best, as one of the good destinations for real estate development. Our ambition is to come to a stage that is very much high. We are promoting GCC countries, not just Qatar. We want to be integrated, where opportunities will be ample,” concluded Al-Obaidli.
In November, a report released by Statista projected that the real estate sector in Qatar is expected to grow at a compound annual growth rate of 1.96 percent from 2024 to 2029, reaching a market value of $492.10 billion.
Earlier this month, another report released by Qatar’s Ministry of Justice revealed that the country’s real estate sector recorded sale contracts worth $284.6 million in December.
The ministry data added that 283 real estate transactions were recorded during December, with the number of properties sold recording an increase of 12 percent compared to November.
