Real estate sales in Kuwait dipped in January and February 2010 following a marked surge in late 2009, according to a recent specialized report.
A total of 400 property transactions involving housing, commercial and investment sectors were clinched in the twoـmonth period, down 34 percent, indicated the monthly report, released by a Kuwaiti economic consulting company.
Thus, the local real estate market was back to its midـ2009 levels, the report said, ruling out that the fall could be due to weak market constituents.
The value of property sales largely dwindled away to 120 million Kuwaiti dinars in the reporting period, down 40 percent over late last year”s figure, it showed.
In relation to the size or value of transactions, the report indicated a mixed performance in diverse real estate sectors, including a fixed or improved performance in the housing and investment sectors, but abysmal performance of the commercial sector.
Regarding the housing sector, 280 deals were hammered out in January, down 40 percent over late last year, while sales of the investment sector remained unchanged, reaching 102 deals in number, the report said.
However, it predicted a boom in the prices of investment real estate later this year, ending up the ramifications of a serious blow that occurred in 2008 and early 2009 as a result of the fallout of the global financial crisis on the Kuwaiti national economy.
In other news, the Gulf Investment Corporation (GIC) announced here Sunday the opening of the international Gulf factory for producing pipes, at a total cost of 112.6 million Kuwaiti dinars.
GIC”s Chief Executive Officer and General Manager Hisham Abdulrazzaq AlـRazzuqi told the press that the factory would have a production capacity of 250,000 tons annually, adding that such project was part of the GIC”s support of local Gulf Cooperation Council (GCC) projects.
The factory would be production of carbonـsteel pipes through fifth generation pipe manufacturing methods, said the official who added that two Omani companies had also invested in the establishment of the factory.
He added that the factory would be covering the local and GCC needs of such pipes.
Gulf Investment Corporation (GIC) is a leading financial institution offering a comprehensive range of financial services to promote private enterprise and support economic growth in the Gulf Cooperation Council (GCC) region.