Insights into the Evolving Real Estate Landscape of the GCC Region – A Conversation with CBRE Chairman and CEO Anshuman Magazine

The Real Estate market in the GCC region is experiencing a significant transformation driven by various key trends. Anshuman Magazine, chairman and CEO of CBRE for India, Southeast Asia, Middle East, and Africa, sheds light on the evolving landscape of the real estate sector in the GCC in a recent interview with Gulf Business.

One of the major trends shaping the GCC real estate market is the diversification beyond oil dependency. The region is witnessing a shift towards sectors like logistics, tourism, and technology, leading to a surge in construction and demand for new property types. This diversification is not only driving economic growth but also impacting CBRE’s business operations, with the Middle East expected to be the highest growing area for the company in 2024.

Saudi Arabia and the UAE are emerging as key players in the real estate boom in the region. Under the Vision 2030 program, Saudi Arabia is focusing on developing Riyadh as a major commercial hub, attracting significant real estate activities. The total value of real estate projects in the GCC is estimated at $1.68tn, with Saudi Arabia and the UAE leading the pack.

In the short term, the Saudi real estate market is anticipated to witness continued growth, driven by government investments in infrastructure and key sectors like tourism and logistics. This growth is expected to create increased demand for various property types, including office space, industrial facilities, and hospitality accommodations. In the long term, economic diversification and technological innovations will further shape the market, positioning Saudi Arabia as a potential regional hub.

Cross-border investments are also on the rise in the GCC, particularly between the Middle East, India, and Southeast Asia. The mutual interest between these regions is paving the way for significant future growth and investment opportunities. Additionally, the focus on sustainability and tech adoption is becoming a cornerstone of real estate development in the region, setting a new benchmark globally.

As the region continues to evolve, the interplay between cross-border investments and strategic developments will shape the future of real estate in the GCC and beyond. With continuous investments in infrastructure and technology, the GCC region presents immense opportunities for growth and expansion in the real estate market.