The Emirate of Ajman has been a massive success story, in terms of achieving sustainable excellence and leadership in various fields, most notably the real estate sector.
His Highness Sheikh Abdul Aziz bin Humaid Al Nuaimi, the Chairman of the Department of Land and Real Estate Regulation, while interacting with International Finance, noted the role of the wise leadership that stands behind this exceptional renaissance thanks to its unlimited support and comprehensive proactive vision that aims to develop all strategic and vital sectors and enhance the global position of the Emirate of Ajman as a prosperous modern city and a strategic hub for business and investment.
He explained that the Department of Land and Real Estate Regulation is keen to build its vision and plans according to innovative methods and visions based on the needs of its clients and addressing all their requirements, in addition to enhancing the culture of creativity and innovation and upgrading the government work system to keep pace with the rapid pace of development witnessed by the Emirate of Ajman, especially in the real estate sector, as it is a basic driver of the wheel of economic growth.
Ajman’s meteoric rise
The Chairman of the Department of Lands and Real Estate Regulation told International Finance that the Emirate of Ajman possesses all the global components and specifications that make it a fertile environment for real estate investment and a safe destination for investors of all categories and needs, due to the promising opportunities and exceptional competitive facilities it provides.
He also stressed that the strategic objectives of the Department of Lands and Real Estate Regulation revolve around improving the investment environment of the region’s property sector and contributing to economic growth by enhancing competitiveness in property registration. The Department’s goal is simple: to empower the real estate sector’s competencies as an important element, so that it can emerge as an effective partner in anticipating the region’s economic future and draw the features of the investment map as per that.
“The Department is doubling its efforts to highlight the tremendous investment components and capabilities that the Emirate possesses, especially in the real estate sector, and promoting promising projects and diverse investment opportunities that Ajman provides to investors,” HH Sheikh Abdul Aziz bin Humaid Al Nuaimi told the International Finance.
As of August 2024, Ajman’s real estate market has continued its upward trend, recording 1468 property transactions in July with a total value of over AED2 billion, a growth of 42.85% year-on-year. The Emirate is witnessing a strong momentum and a remarkable increase in the number and volume of transactions given the diversity of investment opportunities and the attractiveness of the business environment. As per His Excellency Eng. Omar bin Omair Al Muhairi, Director-General of Ajman’s Department of Land and Real Estate Regulation, the volume of transactions during July reached AED1.34 billion, with Al Rashidiya 1 neighbourhood recording the highest sales value of AED80 million.
As per the department, it recorded 280 mortgage transactions totalling AED489 million, with the highest mortgage value of AED75 million recorded in the Ajman Industrial 2 area. The Al Helio 2 area topped the list of most traded neighbourhoods, followed by Al Zaheya and Al Yasmeen, while Emirates City topped the list of most traded major projects, ahead of Ajman One and City Towers.
HH Sheikh Abdul Aziz bin Humaid Al Nuaimi informed the business publication that the Emirate has recorded major successes in various sectors, particularly real estate which is keeping pace with the comprehensive renaissance witnessed by the Emirate thanks to prudent insights of leaders like HH Humaid bin Rashid Al Nuaimi, Member of the Supreme Council, Ruler of Ajman, and HH Sheikh Ammar bin Humaid Al Nuaimi, Crown Prince of Ajman, Director of Executive Council. The strategic brilliance displayed by these personalities is paving an excellent future for the Emirate, apart from consolidating the region’s position as an attractive destination for real estate investment.
Important policy reforms
While talking about Ajman’s real estate success story, HH Sheikh Abdul Aziz bin Humaid Al Nuaimi cited the facilities and success factors provided by the emirate to investors and their projects, and its flexible legislative environment that is investment-friendly. Then there are elements like ease of registration procedures and swiftness completion of transactions, in addition to the advanced modern infrastructures provided by the Emirate.
For example, the Department of Land and Real Estate Regulation has begun a comprehensive building classification project across the Emirate from July 2024. This three-month initiative is assessing the compliance of buildings and real estate facilities with international standards and regulations.
A team of qualified professionals is conducting on-site inspections and assessments as part of the classification process. The department will develop an electronic programme to publish the findings transparently, which will further lay the groundwork for classifying the buildings according to international standards and specifications.
Given the critical role the real estate sector is playing in the Emirate’s economy, with a significant increase in commercial property investments in 2024, the requirement of the classification becomes crucial to uphold the quality of services, apart from assisting investors in making informed decisions when it comes to renting or purchasing properties in Ajman.
In May 2024, the Department of Land and Real Estate Regulation in Ajman completed 169 real estate valuation processes totalling over AED 729.5 million. Director of Real Estate Registration Ahmed Khalfan Al Shamsi highlighted that the valuation encompassed commercial, residential, industrial, and agricultural properties, with commercial properties leading the way at AED 437.2 million, marking a 197% increase from April 2024. Industrial properties followed with a total value of AED 148.45 million.
“The Emirate’s Real Estate Growth reflects the confidence of investors in Ajman as a leading investment destination, enhances the solidity of the Real Estate sector in it, and reflects the success of the strategy of the Land Department and Real Estate Regulation aiming at providing an integrated and distinguished business environment for investors of all categories,” HH Sheikh Abdul Aziz bin Humaid Al Nuaimi commented.
He explained that the Ajman Real Estate Investment Exhibition which was held last February, contributed directly and positively to stimulating the performance of the real estate market and high results of the first half of 2024, pointing out that the exhibition witnessed the conclusion of 336 property transactions with a total value of AED 195.8 Million, which reflects the confidence of investors and the attractiveness of the sector given the huge investment potential and potential possessed by the Emirate, its promising projects, the various opportunities it offers to investors, as well as Ajman’s distinguished and central location between the Emirates, and last but not the least, its flexible laws and legislations which contributes towards attracting investment, in addition to the diversity of models offered in the property market. The residential and commercial projects also provide easy financial access for foreigners to purchase and own properties by up to 100%.
While praising the efforts of his department, HH Sheikh Abdul Aziz bin Humaid Al Nuaimi stressed the need to continue working and concert efforts of everyone in order to preserve the gains achieved so far and improve the performance level to ensure sustainable excellence within the framework of an innovative and integrated work system centred on customer satisfaction and happiness.
He also appreciated the department for obtaining a five-star rating according to the international star system for service classification and winning the Ajman Award for Government Excellence in the category of the best comprehensive experience for government services, stating, “This achievement embodies the vision and ambition of the wise leadership keen to achieve leadership and excellence in various fields and promote and consolidate the culture of creativity and innovation to foresee the future and invest in building the human being for a more prosperous and stable tomorrow.”
HH Sheikh Abdul Aziz bin Humaid Al Nuaimi also pointed out the importance of adopting innovation to achieve breakthroughs supporting the department’s endeavours towards achieving sustainable excellence, and enhancing the levels of satisfaction and happiness of customers, with the need to adopt modern methods in dealing with customers’ feedback, hearing their opinions, and ensuring their effective involvement in improving the level of services, and building a strong and integrated relationship, in line with the Department’s objectives and plans.
On supporting young Emirati competencies and integrating them into the Real Estate field, he said, “As much as we are interested and keen to support investors and entrepreneurs, we attach utmost importance to the human element and believe in the need to invest in our young energies and empower them to be an effective element in our future development plans.”
HH Sheikh Abdul Aziz bin Humaid Al Nuaimi also spoke highly about the “National Broker” initiative, which is eyeing to enhance the performance of the Ajman real estate market, apart from upgrading the brokerage profession by adopting the best practices in this vital field, which the department attaches utmost importance to and strives to develop according to a well-studied scientific methodology that has been carefully developed to ensure high-quality results and outputs that reflect the department’s orientation towards empowering and qualifying Emirati youth, developing their skills and enhancing their culture related to real estate trading laws and procedures followed to practice property-related brokerage activities and supporting these individuals as entrepreneurs and investors, as they have the potential to help UAE in achieving its future economic goals.
HH Sheikh Abdul Aziz bin Humaid Al Nuaimi further stressed that the Land Department and Real Estate Regulation has harnessed all means and ingredients for success for most of its ambitious programmes and purposeful initiatives, which witnessed a turnout that exceeded expectations due to the number of registration applications received, as well as facilitating positive interaction by participants from different community and age groups.
He also pointed out that Emirati women also benefited from this initiative and had the opportunity to enter the real estate market and prove their efficiency and ability to contribute to the renaissance of this sector, stressing that the wise leadership succeeded in providing a supportive and encouraging environment for women and made them an active element in the process of renaissance and development and was keen to empower them and encourage them to shine and succeed in various fields and disciplines.
While stating that senior citizens received exceptional attention and treatment from the department for their special and important position in the UAE society, HH Sheikh Abdul Aziz bin Humaid Al Nuaimi noted that the achievements and successes registered so far will not be completed without ensuring the satisfaction and happiness of all customer segments, in line with the directives of the wise leadership of providing all the care and facilities they deserve, providing all facilities and simplifying the procedures for obtaining government services to ensure a better experience and enhance their comfort and happiness, and especially their quality of life.
He continued, “The initiative “Natanalak” is one of the most important initiatives launched by the Department, as it comes within an integrated package of services directed to the customers of the Department of various segments and the diversity of their requirements, the initiative has received a welcome and approval among senior citizens, which we saw during field tours and visits to those concerned at their residence, where these visits were a favourable opportunity to meet them and get to know their needs closely and write down their ideas and visions about the future of services, mechanisms and ways they prefer to complete their transactions.”
The chairman also expressed his happiness that the department obtained the classification of leadership in the field of maturity of institutional resilience, according to the assessment of the International Organisation for Institutional Resilience “ICOR,” dubbing it as the fruit of the directives issued by the wise leadership, while emphasising the excellence of the department and its continuation of the growth march in various aspects, especially strategic leadership, while setting the ability to respond and adapting to changes as a crucial success recipe.
The department has succeeded so far in applying the thumb rules of the global maturity model for institutional resilience, as it was able to strengthen its organisational infrastructure and proved its full readiness to manage risks effectively and innovatively, stressing the department’s keenness to develop its operations and raise the efficiency of institutional performance under the highest international standards and in line with the accelerated pace of the real estate sector in the Emirate of Ajman.
Future of Ajman’s real estate sector
Meanwhile, the Ajman administration has contracted the consultancy JLL to come up with a strategy to help make the emirate’s property market a highly competitive one. JLL, which has a longstanding presence in the UAE, will also help with creating new ways by which the region’s real estate can be both operationally successful and sustainable.
This is part of the emirate’s broader push to bring in more investments into its economy, particularly on the real estate side.
“The results of the study will contribute to drawing a roadmap for the future of Ajman’s real estate sector,” said a statement from the government’s Department of Economic Development.
“JLL’s research, expected to be completed by the end of the first half of this year, will provide a diagnostic vision of Ajman’s capabilities, and result in setting a development road map for the future of this pivotal sector,” said Saeed Humood Saeed, Director of the Ajman Competitiveness Office at the Department of Economic Development.
The JLL plan will also focus on the chances for Ajman to top its hospitality sector by way of new investments.
“We are committed to developing the potential of the tourism sector by enhancing competitiveness and creating innovative investment opportunities,” said Mahmoud Khalil Al Hashimi, Director-General of Ajman Tourism Development Department, as he continued, “We believe this partnership (with JLL) will contribute significantly to building a system that enhances the attractiveness of Ajman as a distinguished investment destination on the international scene.”