How will D33 – the ambitious project of HH Sheikh Mohd. Bin Rashid Al Maktoum Positively Impact the Real estate Sector

by kaizen
by kaizen

Once said by HH Sheikh Mohammed bin Rashid Al Maktoum – ‘if the vision is clear then the objectives can be easily achieved’. This quote indeed stands tall in the context of Dubai. The vision of HH Sheikh Mohammed bin Rashid Al Maktoum to turn Dubai into the world’s best city has led to the accomplishments of huge objectives like – building the first 7 Star hotel – Burj Al Arab, the first man-made Island – Palm Jumeirah, the world’s tallest tower – Burj Khalifa, and the first futuristic museum in the world – ‘The Museum of the Future’. 

Another such vision of HH Sheikh Mohammed which is going to transform Dubai forever is – ‘The Dubai Economic Agenda’ or ‘D33’.

On January 04, 2023, The Dubai Economic Agenda ‘D33’ was launched by HH Sheikh Mohammed bin Rashid Al Maktoum on the occasion of his 17th Accession Day anniversary. D33 is set to propel the long-term growth of all businesses across all sectors and will turn Dubai into the world’s leading destination for global investors and businesses. 

Dubai Economic Agenda or ‘D33’

Dubai Economic Agenda or ‘D33’ is a one-of-its-kind project which focuses heavily on partnerships, investment, technology and digitization, and people empowerment to turn Dubai into a global financial hub. D33 aims to double the size of Dubai’s economy over the next ten years (i.e. between 2023-2033) and consolidate its position among the top three global cities.

Key Objectives

D33 strives to revolutionize every sector in the next decade. It aims to increase Dubai’s foreign trade, Foreign Direct Investment (FDIs), government spending, private sector investments, the value of domestic demand for goods & services, and an annual contribution from digital transformation projects. D33 aims to build Dubai as a digital hub and aims to generate an annual contribution of AED 100 billion from digital transformation projects to Dubai’s economy.

Over the next 10 years (2023-33) Dubai Economic Agenda (D33) aims to Increase Foreign trade from AED 14.2 trillion in the past decade to AED 25.6 trillion for goods and services in the next decade,  Increase FDI from an average of AED 32 billion annually to an average of AED 60 billion annually to reach a total of AED 650 billion by 2033 and increase Government expenditures from AED 512 billion to AED 700 billion. D33 also aims to increase the Private sector investments from AED 790 billion in the past decade to AED 1 trillion in the next decade, and the Value of domestic demand for goods and services from AED 2.2 trillion to AED 3 trillion in the next decade.

D33: Roadmap

The key factor in the success story of Dubai as a leading global destination for businesses and investors is its impeccable ability to design infrastructure and industry development projects to accelerate the pace of its economic growth several-folds. D33 is one of those projects. It will turbocharge Dubai’s holistic development and will empower the emirate in emerging as a global financial hub. D33 includes 100 transformational projects which encompass every major sector. 

The first package of transformational projects for the next decade focussed on doubling the size of Dubai’s foreign trade and adding 400 cities to Dubai’s foreign trade map. It also aims to launch Dubai’s plan for green and sustainable manufacturing. 

To boost industrial development and the job market, D33 has plans to launch a scale-up programme for 30 companies to become global unicorns in new economic sectors and integrate 65,000 young Emiratis into the job market. It also emphasizes on launching the Dubai Traders project to empower the new generation of traders in key sectors.  To accelerate the pace of technological innovation, D33 will focus on launching ‘Sandbox Dubai’ to allow the testing and commercialization of new technologies and make Dubai a major innovation hub.  D33 also emphasizes on developing an SME scale-up programme by identifying 400 high-potential companies and supporting their capacity building to enable them to grow globally.

What does D33 Mean for the Real Estate Sector?

Dubai Economic Agenda (D33) will prove to be a boon for the real estate sector and accelerate its performance several-folds in the next 10 years. Under the plan, the Dubai government plans to invest significantly to develop economic infrastructure to drive trade and investments. This will create more demand for real estate. 

Since the announcement of D33, the real estate sales transactions recorded over a 128.5% YoY increase in January 2023. The latest data shared by the Property Finder, on Dubai’s real estate sector has revealed that in January 2023, the real estate sales transactions crossed 9,800 compared to 5,739 in January 2022. The value of transactions witnessed an outstanding increase, recording over Dhs28bn, an increase beyond 178% compared to the same month last year.

Here are the top ways D33 will positively impact the real estate sector

1. Increased Demand for Office Space

D33 aims to invest significantly in Dubai’s infrastructure which will attract several new corporations from across the globe to start their operations in Dubai. This will create more demand for industrial and office space which is good news for the commercial real estate sector. 

2. Surge in the Demand for Premium Properties

D33 emphasizes attracting foreign investments in the field of technology, entrepreneurship, and innovation. This will lead to an influx of High-net worth Individuals (HNWIs) moving to Dubai for business. According to the Henley Private Wealth Migration Dashboard, the UAE was at the top of the world in attracting High-Net-Worth Individuals (HNWIs) in 2022. The increase in the migration of millionaires and billionaires to Dubai will create more demand for premium properties like – villas or luxury apartments which will drive the sales of premium properties.  

3. More Innovative Projects

 D33’s agenda lays special emphasis on investing in innovative technologies. This will lead to the development of revolutionary and state-of-the-art real estate projects in the coming years such as: smart homes, green buildings, and sustainable communities which will make the real estate sector more attractive for both local and global investors. Innovative projects will also have a profound impact on the resident experience and their quality of life which will lead to higher satisfaction rates and occupancy and more revenues for the property management firms.

4. Foster Competition

More focus on developing innovative real estate will promote competition amongst real estate developers to come up with more unique projects which will make the sector more competitive than ever.   

 D33 agenda will also lead to the development of more mixed residential and commercial projects which most closely matches the requirements of the buyers. D33 also emphasizes on Small and Medium Enterprises scale-up programme by identifying 400 high-potential companies, supporting their capacity building, and supporting them to grow globally. This will create more demand for small yet modern office spaces to attract companies and individuals looking for new opportunities in Dubai based on the (D33) vision. More demand for office space will have a consequential impact on the revenues and business expansion of real estate developers.

The Role of Leadership Support in Employee’s Growth & Career Progression

by kaizen
by kaizen

Author – Marie Jambalos

I am a firm believer in the statement that it is pivotal to surround yourself with people who don’t just ask how you are doing but are part of the reason you are doing so well. I exactly feel the same about Kaizen AMS where my fellow Kaizeners support, motivate, and encourage me to continuously improve in my job every day and contribute significantly in my growth story at this great firm.

Moving to this amazing city of Dubai in 2012 from my home country Philippines was not an easy decision for me. I had a lot of curiosity in my mind about whether I would be able to comprehend the foreign culture, diversity, accommodation, language, company and work culture, etc. However, special thanks to Miss Sara Nwilati – Head of Talent Management & Corporate Services for making this journey much easier for me than I expected. Sara always ensured that I do not feel isolated from my family and had regular conversations with me inside and outside the office. Along with ensuring I get the best training on my work deliverables, she also took utmost care of my well-being. Without a shadow of a doubt, I can say with confidence that at Kaizen AMS relations go beyond the professional level and an employee is always treated like a family member.

Another such example I would like to share is from which I would like to share is from February 2020. At that time I was working as Property Coordinator under the Owners Association division and was responsible for resolving the resident’s queries for a Kaizen-managed community located in International City. Within a few months of me taking that responsibility, the Coronavirus pandemic (Covid-19) hit the world hard. Due to social distancing norms, several positions were either automated, became virtual, or downsized as those particular roles were no longer required. Under these circumstances usually, organizations let the employee go, however thankfully Kaizen AMS is different. It is a firm which treats the employees with utmost respect and dignity and doesn’t make them go due to unfavorable market conditions. Kaizen AMS ensured none of its employees become the victim of circumstances beyond their control and in my eyes, that’s what makes Kaizen AMS an epitome of a truly employee-friendly firm. The leadership moved me to the Unit management team – another thriving department within the firm which is responsible for maintaining healthy occupancy and resident satisfaction at Kaizen-managed communities. In my new role as the UM Property Coordinator, I was responsible for resolving the queries and concerns of the new residents related to rentals and maintenance, property management related issues with their utmost satisfaction and establishing coordination between individual owners and tenants to maintain healthy occupancy at our managed communities. This role provided me with a lot of exposure to the innovative ways to serve the clients and boosted my confidence in addressing the stakeholders’ issues more confidently and effectively.
Post the completion of 2 years in the role, due to my experience in working with the property and leasing teams, I was promoted to the position of Property Marketing Associate under the Marketing Team. This team is managed by a visionary leader Mr. Jatin Babla. In this team, I am responsible for advertisement and promotion of the Kaizen-managed properties, addressing the queries and concerns of the stakeholders, attracting new residents to the property, driving the sales of the new units, taking care of the leasing division, and ensuring healthy occupancy rate. Working under the exemplary leadership of Jatin, I learnt unique ways of marketing and promoting the properties using the internet and social media. Jatin possesses vast experience in Marketing and Brand Management and working with him has enabled me in grasping those techniques to enhance my performance and boost efficiency. Jatin always makes special efforts to learn about my views and challenges and boosts my morale so that I can perform better and try unique ideas for the greater good of the organization. He is very straightforward, provides his guidance and expert views whenever I ask him and shows utmost attention to my well-being, which motivates me to give my 100% performance at work.
Undoubtedly, the Leadership support is the most distinctive aspect of Kaizen AMS’culture. The time invested in me by leaders has turned me into a full-fledged professional who has successfully managed some of the key departments and teams at the firm. This was not possible without the support I got from my leaders and co-workers.

Another beautiful thing about Kaizen AMS culture is its Open Door Policy where every employee is encouraged to suggest ideas or concerns at any point in time. The organizations I have worked with in the past had a culture where strategies were only limited to the top management. Thus, I was always hesitant to share my ideas. However, Kaizen AMS culture is different. Here, leadership always encourages employees from every level to contribute towards the growth of the company and make employees feel they are leaders. This practice not only makes the employees more committed and passionate about the organization but also provides them with invaluable leadership experience.
Kaizen AMS’ leadership also understands the importance of right balance between work and life. Thus, from time to time the organization extended my remote work flexibility which allowed me to work from my home country and spend time with my family and friends. It is indeed one of my favorite parts about working with Kaizen AMS.

Finally, I will say that joining Kaizen AMS has been one of the best decisions I have made. My tenure has been a blend of learning, fun, work-life balance, career progression, and personality development. Here I realized that employees can do miracles if their leaders support them, guide them and offer them the flexibility to think ‘out of the box’.

Kaizen AMS and its communities provide over 22 tons in donations to support people affected by the recent Earthquakes

by kaizen
by kaizen

As part of its humanitarian response to the recent earthquake, Kaizen AMS launched volunteering and donation drives across our 130+ managed communities across Dubai to collect maximum support for those affected, with essential items such as winter wear, blankets, warm clothing, Shoes, Hygiene products, medicines, Non-perishable food items, and First-aid supplies.

“It gives us immense pride to share that we were able to collect over 1500 donation boxes weighing over 22 tons, within the first 10 days, for immediate dispatch to the affected regions.”, shared Mr. Fadi Nwilati, CEO of Kaizen Asset Management Services.

We believe serving humanity is the best way to serve God. To support the people in the affected regions under these difficult circumstances, Kaizen AMS has partnered with the “Bridges of Giving” – UAE Relief campaign of the Emirates Red Crescent Society to maximize the impact of our donations on those in need. We would like to thank the Dubai Land Department (DLD) and Real Estate Regulatory Authority (RERA) for supporting us to raise maximum donations for this noble cause.

Our initiative is licensed by Islamic Affairs and Charitable Activities Department, and we are operating directly in coordination with the authority under the license nos. PRHCE-000743422 & PRHCE-000744394 to ensure the donations reach the neediest.
We express our heartfelt gratitude to our communities who came forward in full support for this initiative, whose donations have made a tremendous impact in bringing aid and comfort to those affected by this tragedy.
Our hearts are full due to the overwhelming response and as a result, we have extended the campaign by a week for those who still wish to donate.
Thank you for your kindness and for being a shining example of the power of community. Your contributions will always be remembered as a symbol of hope during a difficult time.

Understanding Dubai Land Department’s ‘Strategic Plan 2026’

by kaizen
by kaizen

Dubai is well-known for its world-class skyscrapers. Its epic growth in the last two decades has drawn the attention of the biggest global investors and made it the most preferred destination to buy a home or start a business. A city which was known for its iconic deserts till the 90s is today known for its spectacular skyscrapers. Without a shadow of a doubt, Dubai has emerged as an epitome for global city planners to look forward to. 

According to an article titled – ‘The 5 Tallest Cities in the World’ by The World Atlas, Dubai is at the 2nd spot in the list of global cities with the highest number of skyscrapers with 107 skyscrapers over 200 m tall. In terms of the total number of skyscrapers, Dubai has surpassed New York, Hong Kong, Shanghai, and London to emerge as one of the fastest-growing cities in the world. 

A vast amount of credit for this success of Dubai goes to Dubai Land Department (DLD) and its one-of-its-kind and revolutionary leader – His Excellency (HE) Sultan Butti bin Mejren – Director General of Dubai Land Department. Under his visionary & outstanding leadership, the Dubai land department has launched several initiatives like – DubaiRest, Electronic No Objection Certificate (e-NOC) system, the Center for Sustainable Cities, Well-being Certificate, publishing transactional data, digitizing the rent collection process, and the Green List to name a few which has propelled the growth of the real estate sector. These initiatives launched by the Dubai land department have turned Dubai’s real estate sector into the most attractive destination for global investors in terms of quality, cost, and ROI/rental yield. 

Fostering Transparency in Real estate Operations to Drive Investments

The article titled – ‘6 Challenges of Real Estate Investment Overseas’ by Nomad Capitalist some of the key challenges faced by real estate investors across the globe includes – legal challenges, govt. regulations, and technological challenges. Dubai Land Department has always been a frontrunner in overcoming these above challenges by introducing favourable policies to build a conducive environment for real estate investors. 

Dubai Land Department, through its regulatory arm Real Estate Regulatory Authority (RERA), has an advanced e-system called Mollak, which means Owners in Arabic. Mollak regulates jointly-owned properties, and service charges and monitors the payment of service charges in jointly-owned properties in Dubai. It is an online service system that ensures transparency for joint property ownership in real estate. Mollak facilitates Unit owners to pay service charges directly into this portal to avoid any chances of impending conflicts or inconvenience. The primary aim of Mollak is to create transparency in owners’ associations, enable registration of maintenance companies and maintain track of their escrow accounts and service charges.

Dubai Land Department has played an instrumental role in enhancing the real estate investment environment through supportive regulations, developing a digital ecosystem, consolidating various sources of data through partnerships, and raising the capabilities of human resources. One such initiative is Strategic Plan 2026.  

Strategic Plan 2026 by Dubai Land department

In January 2023, DLD launched Strategic Plan 2026 – a new strategic plan and vision which outlines the roadmap for establishing Dubai as one of the world’s best real estate markets through effective governance, innovation, and technology.  According to DLD, the key vision is to strengthen global leadership in real estate investments and become a world leader in real estate investments. This great vision will be accomplished by enabling the real estate sector with seamless real estate services, effective legislation, and integrated data through partnerships, leading digital infrastructure, and empowered human capital. 

Strategic Plan 2026 has five main pillars according to DLD’s Press release which are as follows –

  • The first is a pioneering real estate model, by enhancing the sector’s readiness and sustainability, and ensuring effective governance of the real estate sector. 
  • The second pillar is being a real estate innovation incubator by fostering a globally attractive real estate sector and harnessing technology to enable real estate solutions development. 
  • The third pillar is a data-driven sector, maximizing the added value of sector data and raising awareness, trust, and transparency in the real estate sector. 
  • The fourth pillar is Agile DLD, to cultivate a flourishing digital ecosystem, enhance DLD’s operations and improve corporate governance efficiency, and foster partnerships with public and private sectors. 
  • The fifth pillar is Exceptional Journeys 2.0, through which the focus is on shifting to an employee-first culture, refreshing DLD’s identity and enhancing its position, and moving to a proactive and ‘human’-focused approach.

Initiatives & KPIs

DLD has identified and classified the strategic initiatives based on the ease of application and priority matrix to enable team members in working towards the implementation in the best possible way, in cooperation with various partners and customers, which constitutes an incentive and support for the transformation and transition of DLD from the current situation to the future situation. 

The initiatives are distributed in line with the five pillars to support the strategic plan and provide sustainable and forward-looking solutions to effectively address the opportunities and challenges that these pillars include. 

How DLD will Implement the Strategic Plan 2026?

Strategic Plan 2026 will be implemented in three stages. These are as follows –

  • Quick-gain initiatives: launching quick-gain initiatives to ensure that DLD adapts to the proposed changes
  • Transformation: empowering the real estate sector by providing all necessary support to implement smooth transformation
  • Sustainable Impact: achieving sustainable impact by expanding the scope of influence to reach a global real estate system

Impact of Strategic Plan 2026 on the Real estate Sector

Strategic Plan 2026 emphasizes implementing the latest technologies to develop new real estate solutions and create a data-driven sector to drive investments. It aims to make to improve the readiness, governance, sustainability, and innovation of the real estate sector to make it more competitive on a global scale. 

Strategic Plan 2026 is designed based on 4 fundamental principles – 

1.) Sustainable Impact by directing DLD’s efforts towards achieving evolution and sustainable development in the real estate sector.

2.) Local adaptation by adopting global practices and adapting them to the unique features and needs of the real estate market in Dubai

3.) Global leadership by developing a plan to position Dubai as a role model in the real estate sector

4.) Co-operation & harmonisation by adopting a participatory approach that includes all stakeholders and those concerned with DLD’s plan

Strategic Plan 2026 strives to develop a digital ecosystem to make real estate operations more transparent and improve the efficiency of its corporate governance. This will make it easier for investors to invest in Dubai’s property market which will drive real estate sales and transactions. 

Strategic Plan 2026 will also lead Dubai’s real estate sector towards sustainability and will ensure better results and output. This will have a favourable impact on real estate as well as Dubai’s economic growth & gross domestic product (GDP) and will also support the development and objectives of the related sectors.

A Quick Analysis of the Real estate Sector’s Performance in 2022  

by kaizen
by kaizen

Continuing its monumental growth trajectory, the real estate sector in Dubai witnessed transactions crossing a milestone figure of half a trillion dirhams in 2022 – for the first time ever. According to the Government of Dubai Media Office, the real estate sector witnessed transactions worth a record AED 528 billion in 2022 which is a 76.5% increase from 2021. A total of 122,658 real estate transactions were registered in 2022 which was an increase of 44.7% from 2021. 

In December 2022 alone, over 8000 transactions took place which was a 63% increase from the previous year. Off-plan property sales witnessed an increase of 92.5% while secondary sales saw a 32.4% rise.

Growing Interest of Investors in Buying Property

High ROI and rental value, long-term visa, Expo 2020, District 2020, Masterplan 2040, FIFA World Cup in Qatar, increase in HNW Investors, and other favourable steps have made Dubai’s real estate more attractive than ever for investors. As a result, the sector witnessed 80,216 investors registering 115,183 new real estate investments valued at AED 264.15 billion in 2022. There was an annual growth of 59.5% in volume and 78.4% in value compared to 2021. The number of investors in 2022 also grew 53% compared to the previous year, according to the data released by the Government of Dubai Media Office.

Impact on the Property Prices 

The colossal rise in the demand to buy property in Dubai has significantly outpaced the supply. This has resulted in a surge in property prices as well as rents. According to the latest ‘Dubai Residential Market Snapshot for January 2023’ report by CBRE, during the year until December 2022, the average property prices rose by 9.5%. The prices for Villas increased by 12.8% while Apartment prices rose by 9%. As of December 2022, the average prices for apartments were AED 1,168 per square foot while average prices for villas reached AED 1,385 per square foot. 

Substantial Increase in Rents and Rental Growth

According to the CBRE report, in the year to December 2022, average rents increased by 26.9%. Over this period, average rents for apartments and villas surged by 27.1% and 24.9% respectively. As of December 2022, average annual apartment rents stood at AED 95,168, and average villa rents stood at AED 282,150.

The CBRE report also finds out that the residential rental growth reached an all-time high with apartment and villa rents increasing by 27.1% and 24.9% respectively in 2022. Rising demand for premium properties has been the primary reason for the increase in rent. 

To learn more about the factors responsible for the rising demand for luxury properties in Dubai, read our whitepaper – ‘What’s driving the Demand for Luxury Properties in Dubai?’

Key Performing Areas in 2022

In the apartment segment, the top 5 areas that registered the highest sales rate per square foot include – Jumeirah (AED 2,324) Palm Jumeirah (AED  2,171), Downtown Dubai (AED 2,170), The Old Town (AED 1,750) and Dubai Hills Estate (AED 1,722). 

The average price for an apartment in Dubai in 2022 stood at AED 1,168 per sq. ft.

In the Villa Segment, the top 5 areas that registered the highest sales rate per square foot include – Palm Jumeirah (AED 3,921) Jumeirah (AED  2,270), Emirates Hills (AED 2,268), District One (AED 2,025) and Mohammed Bin Rashid City (AED 1,733).

Outlook for 2023

The outlook of the real estate sector for 2023 looks bright and promising. The increase in global investors will attract more corporations to Dubai which will create more demand for commercial as well as residential real estate and will lead to higher property prices and rents. According to Henley & Partners report titled – ‘Millionaire Migration Trends for 2022’ the UAE was at the pinnacle in attracting the highest- net worth Investors (HNWI) in 2022. This substantial surge in the number of millionaires will increase the demand for property which will result in an increase in both the prices as well as rents. 

According to Mr. Taimur Khan, Head of Research – MENA at CBRE Dubai,  “in the year ahead, we expect that both the average rates of price and rental growth will remain positive, however, we expect the rates to moderate and in certain more nascent communities with strong supply pipelines, to decline.”

Dubai’s real estate sector will reap the benefits of ‘Dubai Economic Agenda ‘D33’ – the ambitious project of HH Sheikh Mohammed Bin Rashid Al Maktoum which aims to double the size of Dubai’s economy by 2033 and increase private sector investments from AED 790 billion in the past decade to AED 1 trillion in the next decade. The ‘D33’ Agenda includes the launch of innovative projects that will help achieve HH Sheikh Mohammed’s vision to make Dubai the world’s best city to live and work in. The value of the total targets set by the Dubai Economic Agenda ‘D33’ is AED32 trillion by 2033. The Agenda will foster sustainable economic growth through innovative approaches.

Kaizen AMS Wins 3 Golds, Including the ‘Property Management Firm of the Year’s at IRECMS 2022 

by kaizen
by kaizen

Kaizen Asset Management Services is happy and proud to announce that our efforts & accomplishments across a vast range of categories have been recognized at the prestigious International Real Estate Community Management Summit (IRECMS) Awards held on the 9th December 2022 at Address Hotel, Dubai Marina. 

IRECMS Awards recognizes UAE-based companies for their unparalleled performance in the field of Community Management, Facilities Management, Property Management, and Real Estate in general. IRECMS Dubai Awards has over 15 categories which were vetted by a Jury and Advisory Council comprising global leaders within Community Management.

From the left – Abdulrahim Al Khayat, Head of Finance, Tariq Arisheh, Director of Sales, Fadi Nwilati, CEO, Mrs.  Joanna  Jankowska – Asset Portfolio Manager, Jatin Babla, Marketing Manager, Anas Gahshan, FM Manager, and Aya Knefad, Manager

Kaizen AMS won the ‘Best Property Management Company of the Year’  for the second year in a row award and was awarded Gold Award for maintaining some of the highest resident satisfaction and occupancy rates while minimizing the operational cost of the community. KAIZEN was the top choice of the jury for the Best Property Management Company of the Year for its efforts in minimizing energy consumption by 30% at its 130+ managed communities across Dubai and reducing carbon emissions by 25%. The vast amount of credit for this goes to KAIZEN’s adoption of greener technologies to protect the environment and minimize energy consumption. 

From the left- Abdulrahim Al Khayat, Head of Finance – Kaizen AMS (first from the left) Alex Voytov COO, Fadi Nwilati, CEO, Tariq Arisheh, Director of Sales Development, Jatin Babla, Marketing Manager receiving the Gold for ‘Most Customer-Centric Company of the Year’

Kaizen AMS is also the winner of ‘Most Customer-Centric Company of the Year’ for the second year in a row for maintaining a 95% resident satisfaction rate across its managed communities along with a 90% occupancy rate.

Kaizen AMS team receiving the Gold for ‘Best Digital Transformation of the Year’

Kaizen also won the award for the ‘Best Digital Transformation of the Year’  for launching a vast range of state-of-the-art digital communication platforms and real-time reporting & solutions to provide real-time responses and solutions to the maintenance & service-related queries & concerns of the 40,000+ residents staying in its managed communities. 

On the occasion, Mr. Fadi Nwilati – the CEO of Kaizen AMS said, “like every time, I would like to give the credit for our success at IRECMS  to our dedicated Kaizeners ‘employees’ who are passionate about our purpose of ‘Creating Memorable Experiences and Communities’. The key ingredients in Kaizen’s recipe for success are – 1.) our passion and robust commitment to serving the stakeholders with professionalism 2.) our ‘tech-enabled approach’ which strengths our commitment towards bringing ‘personalization’ and ‘human touch’ in our communication to ensure their utmost satisfaction and delight with our services and create those unforgettable experiences for them 3.) and our Commitment towards ‘mother nature’ which motivates us to continuously invest in deploying unconventional technologies to minimize energy consumption and carbon emission at our managed communities and support the government in its one-of-its-kind ‘Dubai Carbon Abatement Strategy 2030’ which aims to reduce Dubai’s carbon emissions by 30% by the end of 2030.’

Kaizen team receiving the award for ‘Best Crisis Management Initiative of the Year’

Additionally, Kaizen AMS was also awarded Silver Award in the ‘Best Crisis Management Initiative of the Year’ for taking a vast number of initiatives for restricting the spread of the Covid-19 pandemic across its managed communities. Kaizen showed utmost agility in adapting to newer, innovative ways to continue serving the expectations of its customers, especially in the constrained times of the pandemic crisis. The firm demonstrated utmost resilience in managing survival in tough times while showing empathy for the customers’ unique needs. Kaizen came up with a vast range of virtual initiatives such as: Schanvager Hunt, and Virtual Quiz at its managed communities to keep the residents engaged during the lockdown phase which were later adopted by the honorable government of Dubai and relaunched as a campaign across the city.

Recently, KAIZEN obtained the WELL Health-Safety Rating for 90 properties in its portfolio from the International WELL Building Institute (IWBI) for maintaining for following six health and safety pillars i.e. cleaning and sanitization procedures, emergency preparedness programs, health service resources, air and water quality management, stakeholder engagement, and communication, as well as innovation.

KAIZEN AMS achieves WELL Health-Safety Rating for 90 properties

by kaizen
by kaizen

KAIZEN Asset Management Services, with an asset management portfolio valued at AED18bn, announced at an event held in Dubai that it has obtained the WELL Health-Safety Rating for ninety properties in its portfolio from the International WELL Building Institute (IWBI). 

The WELL Health and Safety rating is an evidence-based, third-party verified rating and one of the most prestigious. All ninety properties in KAIZEN Asset Management’s portfolio were assessed on the basis of the following six health and safety pillars: cleaning and sanitization procedures, emergency preparedness programs, health service resources, air and water quality management, stakeholder engagement and communication, as well as innovation.

KAIZEN monitors air quality inside some of the buildings it manages using IoT sensors to ensure the highest standards of clean air and energy management of chillers. It implements environmental preservation activities through partner service providers, as well as applying standards of using eco-friendly materials for cleaning and sanitation, and pest control.

Fadi Nwilati, CEO of KAIZEN Asset Management, said: “Achieving the WELL Health Safety Rating for our projects is a milestone towards delivering our commitment to customers of having their health and wellbeing at the center of our quality service delivery. We will continue to invest in areas that improve the health and wellness of our residents, which simultaneously also improves the value of the properties for our landlords. KAIZEN continues to lead the industry in environmental, social, and governance standards and will continue to invest further to create happier communities.”

Additionally, in line with the UAE Net Zero by 2050 Strategic Initiative and Dubai Integrated Energy Strategy 2030, and KAIZEN’s ESG strategy, it has consistently invested in driving operations that place people and the planet first. Its investments have been significantly directed to greener technologies to progressively minimize energy consumption and carbon emissions across its entire portfolio of 130+ managed communities.

Mohammed bin Hammad, senior director of the Real Estate Regulatory Relations Department, Real Estate Regulatory Agency (RERA), said: “Our objective is for management companies to commit to such initiatives. Dubai always looks to standards devised by global governing bodies; in a post Covid era we have a responsibility to focus on having health and wellness of residents to be at the highest global standards. This certificate proves our commitment towards the health and well-being of residents in Dubai through living in healthier building and in addition, upgrade the status of the buildings which also will deliver significant value in the rental and sales value of the properties. We thank Kaizen for being one of the first to achieve the WELL international certification for their portfolio, we encourage other management companies to follow this initiative as it will add value to the health and well-being to the city of Dubai. This is in line with Dubai vision to put resident happiness and wellness at the forefront.”

Tekha Selim, Vice President, Global Market Development, Delos

Delos’ Founder & CEO, Paul Scialla, said: “KAIZEN Asset Management is leading by example through its achievement of the WELL Health-Safety Rating, reinforcing its commitment to the health and wellbeing of all of its residents, employees, and guests across its portfolio of buildings. We congratulate KAIZEN Asset Management’s leadership team for ensuring that health & safety are an integral component of their development and building strategy.”

By gaining the WELL Health and Safety Rating, KAIZEN joins the first group of companies in its sector in the UAE to gain this rating and thousands of organizations around the world to advance a movement towards a healthier future, placing people and communities first, prioritizing the health and wellbeing of people across buildings, organizations, and communities.

Analyzing the Performance of Dubai’s Real Estate Sector in Q3,2022

by kaizen
by kaizen

Dubai’s real estate is on a roll. The sector has witnessed another successful quarter despite economic downturns and rising inflation levels globally. A vast amount of credit goes to the positive impact of Expo 2020, the FIFA World Cup, massive investment by the government into the infrastructure, the transformation of Expo city into a hub for businesses and residents, and the revolutionization of Expo village into a world-class & energy sustainable residential community for domestic citizens. All these factors made Dubai’s real estate sector more attractive for investors to invest in and have resulted in a colossal increase in real estate transactions in 2022. 

In the first 9 months of 2022, Dubai’s real estate has surpassed the total number of transactions recorded last year with 71,278 real estate transactions recorded. This is an 18.1% increase compared to 2021 when the real estate sector witnessed 60,347 transactions. This year so far has also been good for the luxury property sector. There has been a substantial rise in the sales of ultra-prime properties and luxury villas which were in the price range of AED 100-300 million. 

Real estate Transactions: Q3, 2022

Dubai’s property market is going through its finest days. The third quarter of 2022 has been one of the best quarters. The data from Dubai Land Department reveals that the real estate sector recorded 25,503 transactions worth AED 69.5 Billion (US $ 18.92 billion) in Q3, 2022. This was over a 17% increase in the value of transactions from Q2, 2022 with the total number of real estate transactions worth AED 59.15 billion. 

The total number of transactions in Q3, 2022 increased by 14% compared to the previous quarter i.e. from 22,504 to 25,496, and by 61% year on year. The sales of off-plan properties increased by 30.9% in Q3, 2023 compared to the previous quarter to reach 11,774. 

Surge in Property Prices in Q3, 2022

Dubai’s property market always remains lucrative for global investors due to its high ROI and several other advantages. This is one of the reasons property prices always show an upward trend. According to #Report: Dubai Real Estate Market Q3 2022 by Morgan’s International Realty, the property prices per sq. increased by 4% in Q3, 2022 compared to the previous quarter. Compared to Q3, 2021, the property prices in Q3, 2022 have increased by 16%. 

The property prices have decreased significantly compared to 2021. Villa and apartment price gains slowed to 24.6% year-on-year and 19.0% y/y respectively. 

Rise in Rents

The average rent for apartments has surpassed the average rent price for villas in Q3 on a y/y basis (22.6% y/y compared to 22.1% y/y). This is predominantly due to a substantial increase in the average rent of three-bedroom apartments which has more than doubled in Q3, 2022 compared to the second quarter. 

FIFA World Cup in Qatar in November this year will attract a vast number of visitors to Dubai which will have a favourable impact on rent prices. Both rents & prices for commercial properties will increase as the demand for business space rises substantially. 

Impact on the Secondary Market 

Secondary market (ready property) transactions were stable as compared to the previous quarter, yet 52% higher than the previous year. Primary market (off-plan) transactions increased by 31% quarter-over-quarter and 74% year-over-year due to an increase in new developments launched by the developers to meet the increased demand from high-end luxury property buyers.

Increase in the Demand for Prime & Super-prime Properties

The demand for prime properties (worth AED 10 Million) and super-prime properties (worth USD 10 Million) have increased exponentially. Transaction volumes for properties valued at AED 10 million or more increased by 9% Q-o-Q and by 34% Y-O-Y. 

Transaction volumes for super-prime properties valued at USD 10 Million (AED 36.5 million) and above registered no change in Q3, 2022 compared to Q2, 2022. However, transaction volume was 88% higher compared to the same period the previous year. 

The number of transactions for properties with a value of AED 100 million (USD 27.3 million) or more increased by 33% from the previous quarter and by 300% from the previous year.

Most Popular Areas

Business Bay, Downtown, and Damac Lagoons remained the most popular areas in terms of the highest number of transactions in Q3, 2022. Palm Jumeirah was at the pinnacle in terms of the largest value of transactions during the quarter prominently due to a surge in the demand for prime & super-prime properties. There were a total of 593 transactions, and their combined worth of AED 5.6 billion. 

Most Expensive Property Sold

The most expensive property sold in Q3, 2022 was an 8-bedroom villa named ‘Casa Del Sole mansion by Alpago Properties Sold for AED 302 million (USD 82.2 million) on Palm Jumeirah on July 05. 

Outlook for Q4, 2022

In Q4, commercial property sales will compete with residential property and their overall performance will improve. This is very evident from the data of Q3, 2022 which suggests that the transactions for office retail surged by 21% quarter over quarter and by 75% year over year. Business Bay remains the top choice of investors to buy a commercial property. 

There has been an increase in the number of new properties with over 31,000 new units added to the industry between Jan-Sep 2022. There has been an emerging trend of an increase in sales of off-plan properties combined with a pronounced slowdown in sales of existing properties. The announcement of the list of new mega projects and master communities is also great news for the real estate sector.

Due to rising inflation & interest rates in the US, the interest rates will also increase in Dubai as The Central Bank of the UAE follows the policy rates from US Federal Reserve given the dirham’s peg to the dollar. This will lead to higher costs of borrowing loans for the developers and will result in an increase in property prices in 2023 & 2024.

How Kaizen AMS Turned me into a ‘Top Performer’ with its Incredible Leadership

by kaizen
by kaizen

Story of our Excellence Officer – Mr. Faisal Shaikh

Time flies!! Today marks my first proud year at Kaizen Asset Management Services. These 365 days working as an ‘Excellence Officer’ at Kaizen have been a blend of learning, fun, persistence, and progression. In my role, I get an opportunity to serve residents from hundreds of nationalities which provides me exposure to working in a truly international environment.

Kaizen is my first employer for which I am working in the Resident Experience role. Prior to this, I was not aware of how things work in the fast-paced real estate and property management sector in the UAE. However, as once said by Rita Wilson, “Be fearless in trying new things, whether they are physical, mental, or emotional since being afraid can challenge you to go to the next level.” This quote has always been my inspiration in trying new things. This is the reason I accepted the offer of joining Kaizen AMS as I wanted to ‘test the water’ and gain valuable experience working for the top property management firm in Dubai – Kaizen Asset Management Services.

Before joining Kaizen, I always had a curiosity about how things work in a multicultural environment. Prior to moving to Dubai, I didn’t have international experience. I worked in India for almost a decade. I firmly believe that joining Kaizen AMS was the most beautiful decision of my life as this great firm introduced me to the multicultural environment and now I really enjoy working with my co-workers from various parts of the globe.

The best part about Kaizen AMS is its people who are very supportive and motivate their fellow workers to achieve the impossible. Here I would like to mention the name of my Line Manager – Mrs. Vidyashree Cawa who has always encouraged and assisted me in overcoming my anxiety and providing me with comprehensive training so that I can perform my job responsibilities with utmost professionalism and efficiency. Being an immigrant herself, Vidyashree understands that a new joiner who moves to Dubai living alone from his/her family can fall prey to anxiety, stress, confusion, and loneliness. Thus, she always makes all possible attempts to overcome these barriers by maintaining touch with all the team members. Vidyashree always maintains transparent communication through Slack and answers the team’s doubts and queries in real-time. Vidyashree hails from Mumbai, India. She is known for her unparalleled team management skills and responsiveness. Vidyashree leads the team, helps the team members grow, and takes full ownership of driving the team’s performance. She is very adaptive to new situations and encourages others to perform at their optimum level. The best part about Vidyashree is that she makes working on complex projects really fun.  I really appreciate her efforts and feel proud to work under her leadership. I am genuinely honored to be led by such a great leader. Vidyashree’s continuous support has empowered me in performing to the best of my abilities and maintaining 100% performance and client satisfaction scores since I joined.

Along with Vidya, another leader who has influenced me a lot is Kaizen AMS’ CEO – Mr. Fadi Nwilati. His incredible leadership, positive attitude, and quality of maintaining a personal touch with all the employees have always motivated me to perform to the best of my abilities. Fadi is a very responsive and kind-hearted gentleman. Leveraging his incredible leadership and people management skills, he resolves any complex issue faced by me in my job in a few minutes. Fadi firmly believes that the ‘best care of clients starts with the best care of employees’. Thus, he lays special emphasis on the well-being of every employee. 

At last, I want to say that Kaizen AMS has empowered me in growing both professionally and personally and in nurturing new and meaningful relationships. The last one year has been a great journey with Kaizen. The benefits that come from working with Kaizen AMS are above and beyond the monetary rewards. I have received more positive feedback and recognition here from my stakeholders than anywhere else in my life. I can say with utmost confidence that Kaizen AMS is among those employers who along with ‘Creating Memorable Experiences’ f for the residents and clients also create memorable experiences for its employees and truly exemplifies its purpose of formation.

The Impact of ‘Dubai Metaverse Strategy’ on the Real Estate Sector

by kaizen
by kaizen

Global technocrats are brainstorming to come up with unconventional ideas to design the Metaverse concept which was coined by Neal Stephenson in 1992. Neil used the term Metaverse in a science-fiction novel however it took almost three decades to turn this fiction into reality. A vast amount of credit for this goes to the tech giants like Facebook and Microsoft for making the Metaverse a household name. The covid-19 pandemic has also triggered the growth of Metaverse as people avoided in-person interactions and the corporate sector and corporates embraced the remote working culture. 

Metaverse is all set to change the way residents interact and work in Dubai. There has been an upsurge in the number of residents who expect their communities to be metaverse-enabled. Responding to the resident’s demand, a vast number of real estate developers are significantly investing in the space. Damac Group is in the process of building digital cities and has joined hands with the data centre firm Edgenex, Swiss luxury jeweller – de Grisogono, and fashion house Roberto Cavalli to launch distinctive virtual homes and digital property as well as digital wearables, and jewellery. Without a shadow of a doubt, Dubai is indeed heading towards the virtual future with Metaverse.

Why is Metaverse Important for the Real estate Sector?

According to the article titled – ‘What Is a Metaverse? And Should You Be Buying In?’ by Gartner, the Metaverse refers to a collective virtual space which is created by the convergence of virtually enhanced physical and digital reality. Metaverse represents a combinatorial innovation, as it requires multiple technologies and trends to function. Contributing tech capabilities include augmented reality (AR), flexible work styles, head-mounted displays (HMDs), an AR cloud, the Internet of Things (IoT), 5G, artificial intelligence (AI), and spatial technologies. 

Metaverse is the next big thing in the real estate sector as it allows users to use avatars to represent themselves, communicate with each other and virtually build out the community. In the metaverse, digital currency is used to view and buy property using digital currency. 

The Role of Metaverse in Enhancing the Resident Experience

Dubai’s real estate sector is setting up new benchmarks in leveraging metaverse for the benefit of the residents. Metaverse has enabled residents in 3-D virtual tours to view the property they are planning to invest in from their homes. Real estate developers are tieing up with the leading property technology or proptech firms to develop hi-tech 3D visualization platforms to enhance residents’ experience and integrate their upcoming launches into this ecosystem. This will allow customers to buy, rent, and sell properties digitally. 3D visualization boosts the buyers’ experience by facilitating them in viewing a vast number of properties from the comfort of their homes and configuring the interior decoration to their liking. Later on, they can also make all the payments related to property purchase payments, utility bills, service charges, etc. digitally through Metaverse. This way, Metaverse is emerging as a one-stop solution to cater to all the requirements of the residents and is elevating overall resident satisfaction across all residential communities in the UAE. In the coming months, Metaverse will also positively impact the commercial real estate sector and will allow tenants in making payments for their rents and utility bills digitally.

 ‘Dubai Metaverse Strategy’ – a Big Push for the Real estate Sector

The UAE is blessed with visionary and committed leadership which always embraces advanced technologies to make the region frontrunner in the race of innovation & development and ‘Dubai’s Metaverse Strategy’ is just one of the best examples. 

Dubai Metaverse Strategy aims to transform Dubai into one of the world’s top 10 metaverse economies as well as a global hub for the metaverse community. The strategy aims to build on Dubai’s achievement of attracting more than 1,000 companies in the fields of blockchain and metaverse and foster innovation, enhance the metaverse’s economic contributions through R & D collaborations, and promote advanced ecosystems utilizing accelerators and incubators which facilitate and attract corporates and projects. Dubai Metaverse Strategy also aims to develop global standards in building safe and secure platforms for users and develop metaverse infrastructure and regulations to accelerate the adoption of these technologies.

Dubai Metaverse Strategy will boost the growth of Metaverse adoption in real estate and will encourage more real estate developers to invest in it. This initiative will also enhance the quality of the projects as the value will be largely dependent on the uniqueness of the project. Dubai Metaverse Strategy encourages the development of a diverse range of advanced innovative Metaverse platforms which will lead to the establishment of a variety of experience centres on virtual lands. These centres will facilitate developers in showcasing their existing and upcoming projects and products and creating promotional activities. Through metaverse, real estate developers will be able to create more awareness among the buyers about how they can leverage metaverse to enhance their experience such as: by scheduling virtual tours, online bookings, land registries, and in getting faster, improved, and 24×7 services using Chatbots. Dubai Metaverse Strategy is also a big push toward enhancing transparency in the real estate sector and ensuring the utmost security for the investment of property buyers.