One of Dubai's real estate brokerages has announced that it will absorb the newly implemented 5 per cent VAT on the commission of all real estate deals done at a particular building City Walk for a limited period from February 15 to March 15.
Fäm Properties will cover the VAT costs on the commission of all units sold and leased in Building 18B in City Walk. Additionally, fäm Properties will bear the costs of the 4 per cent Dubai Land Department registration fees for Building 18B for the limited time period.
Emaar Properties made $1.8 billion in profit and close to $5 billion in sales in 2017, the chairman of Dubai's largest listed developer said ahead of its full year results.
The developer of the more than 160-storey Burj Khalifa, the world's tallest tower, made $1.43 billion in 2016 and reported $3.92 billion in Dubai property sales.
"We've been growing about 20 to 25 percent on an annual basis," Chairman Mohamed Alabbar said late on Wednesday at a conference in Abu Dhabi. Emaar, in which the Dubai government owns a minority stake, reported double digit quarterly sales growth in each of the first three quarters of 2017.
Alabbar said that a lot of infrastructure was still required in markets Emaar is operating in, including Saudi Arabia, the UAE, Turkey, and Egypt, and that he looking at the market positively. However, he also said that he was worried about 2019. "We had a good time for too long," Alabbar said, without elaborating.