With the real estate sector showing an impressive growth in recent years, the focus has now been shifted to bringing effective regulations.
The entire focus of the government and industry body now is to bring in clear and effective regulations in the real estate market, which is key to promote stability in the sector. In line with this objective, the Ministry of Housing is all set to announce a new law to safeguard the interest of both property buyers and developers. The proposed law, which is going to be enacted soon, requires developers to furnish a bank guarantee and open an account into which property buyers can remit their funds. And the property developer can not access the fund until they obtain approvals from authorities concerned.
Another move is to introduce a comprehensive real estate index, which will help to inject a high degree of stability into the market. The National Centre for Statistics and Information (NCSI), in coordination with the Ministry of Housing and Oman Real Estate Association, is working on the proposed real estate price index, which will be available for potential property buyers even through their mobile phones.
Plans are also afoot to set up a dedicated department at the ministry to ensure that the rules and regulations governing the sector are followed by all industry players. The department will closely monitor developments across the industry, besides assisting developers of mix use tourism and residential complexes. The department, which is under formation, will help resolve issues that arise between property developers and their customers.
Since the real estate sector showed an impressive growth in recent years, new measures encompassing regulation, professionalism, training and awareness programmes are of utmost importance. About RO2 billion worth of real estate transactions took place in Omani market in 2013. As of now, the country has a mix of old and new regulations governing the sector and some of these are not effectively implemented. Moreover, there is a multiplicity of government agencies that exercise regulatory authorities over the property market, which has its own limitations and not conducive to the healthy growth of the real estate sector.
To address these issues, Oman Real Estate Association (ORA), the umbrella body of property developers, in a recent high-profile meeting called for establishing a national-level body for regulating the real estate market, especially property developers and brokerage firms. Lack of a centralised agency to regulate the real estate sector is a major hurdle. Such a regulatory body has to ensure that the brokerage firm has proper licence, office, get proper training for carrying out the business.
As the demand for premium housing units has shown a growth in recent years, several real estate developers, including Saraya Bander Jissah, The Wave, Muriya and Alargan have massive development plans in different parts of the country. The integrated tourism complex Saraya Bandar Jissah, which started work recently, offers exclusive homes and two five-star beachfront hotels, as well as recreational and community facilities, on a beach surrounded by the Hajjar Mountains, just east of Muscat. With villas, apartments and hotels, the development is positioned sympathetically amongst 2.2 million square metres of undulating hillsides. The project is being developed by Oman’s tourism development and investment arm, Omran, in partnership with Saraya Oman, a subsidiary of Saraya Holdings, the leading international development company.
The Wave Muscat, has also launched its â€˜Reehan Residences’ precinct comprising 99 villas of five distinctive new designs. It is designed for family living with integrated indoor and outdoor entertainment spaces and offers a unique mix of traditional and contemporary architecture. It includes 31 five-bedroom villas of traditional design, 23 five-bedroom villas of contemporary design and 45 three-bedroom â€˜courtyard’ homes. The plan is to release at least half of the villas within one and a half years. So far, The Wave, Muscat has sold more than 1,600 properties and handed over more than 1,100 properties to residents and investors who are discovering their own new lifestyle of integrated leisure and living in this world class waterfront destination in Muscat.
Another major proposed development is the $2.5 billion Omagine Project, which will transform a wide swath of the waterfront adjoining the airport into one of Muscat’s principal leisure and entertainment hubs. Covering an area of around 1 million square metres overlooking the Sea of Oman, the Omagine Project is proposed to be an integration of cultural, heritage, educational, entertainment and residential components. The main attraction is a theme park featuring seven pearl-shaped buildings, each approximately 60 feet in diameter, associated exhibition buildings, a boardwalk, an open air amphitheatre and stage, open space green areas, a canal and an enclosed harbour and marina area. Around 2,000 residential units will also be developed for sale as part of the development.
After completing the first phase of Tilal complex, which mainly comprises the Muscat Grand Mall, residential apartments and office space, Al Madina Real Estate has started work on the second phase. The project is the largest mixed use development in Oman, combining a central place to live, a large shopping mall offering a host of regional and international brands, professional office space with the latest facilities, hotel apartments and underground parking â€“ all spanning 250,000 square meters. The second phase will include a five-star business hotel with 300 rooms and forty luxury apartments, while in the third phase, plans are afoot to expand the Muscat Grand Mall.
Palm Residence: Delivering better Living
Omani Home Real Estate Company has launched its latest project â€œPalm Residenceâ€, a gated residential village which consists of 80 villas and commercial centre covering more than 25,000 m2 of land at affordable prices
Omani Home Real Estate is a Muscat-based real estate development firm specialised in providing its customers with extensive real estate solutions. Omani Home works hand in hand with its corporate partners as it operates independently within Omani Home Group of Companies.
Omani Home currently executes a number of residential, commercial and retail projects in Muscat of which some will be completed in 2014. The company strives to give its clients the highest quality of service and value for their real estate investments in Oman by being a â€œOne Stop Shop for real estate solutionsâ€.
The company is seeking to keep up with the latest advancements in the field of development to provide the best engineering solutions to ensure optimal utilisation of space, high quality, cost efficiency and on-time delivery.
Omani Home Real Estate development envisages great potential in the sector of affordable housing in the coming years. Accordingly, its mission is to provide unique modern and affordable projects for local community as well as foreigners to capitalise on ownership and investment opportunities in real estate market.
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Omani Home Real Estate Development, a leading realtor in the market launches Phase 1 of Palm Residence in Mabellah North which goes on sale in 2014.
Palm Residence, a gated residential village which consists of 80 villas covering more than 25,000 m2 of land.
Phase 1 consists of 42 villas and a commercial center with facilities including: a supermarket, laundry, ATM, swimming pool, gymnasium and recreation area.
The residential development is conveniently located near Bait Al Baraka Palace Roundabout, just 1 km from the Sultan Qaboos Highway towards the sea. This exclusive location fits the needs of those working in Seeb area and Batinah region.
Managing Director of the group, Mahmood Al Lawati spoke about the project saying â€œPalm Residence has been designed and developed to service a segment of the market which is somewhat neglected. With the Omani youth in mind, Omani Home Real Estate offers affordable housing for first home owners in the middle income bracket to deliver unique modern and affordable housing for the local community. We have formed strategic partnerships to make this possible and to ensure that we pass on all those benefits down to the buyer.
We have successfully executed numerous residential projects in Muscat in the past decade and have accumulated considerable experience and feel about market needs. With a track record of more than 150 residential Villas & apartments delivered in past 5 years alone, we take great pride in our customer satisfaction.
Bank Muscat, the flagship financial services provider in the Sultanate, and Omani Home Real Estate Development have joined hands to facilitate an attractive Baituna home finance for buyers of Palm Residence. Phase 1 goes on sale in 2014 with the expected hand over in the summer of 2016.