Top Expo Organizes Two Real Estate Exhibitions during 2010

Al-Qadoumi: The Year 2010 will be better for Real Estate Sector in view of capital markets recession and limitedness of offered real estate projects

Top Expo Group announced its 2010 real estate exhibitions schedule that will be organized at International Fair Grounds in Meshrf in collaboration with Kuwait International Fair Co. It is decided to organize Real Estate & Investment Exhibition during the period 12 -16 April in Hall 6 and Kuwait International Property Show "KIPS 2010" during the period 11 -15 October in Hall 8.

Waleed Al-Qadoumi, Group Managing Director, said that the Group during the last years has used to organize these two exhibitions which realized great success, not only at Kuwait level, but also GCC states and a number of Arab and foreign countries as proven by large volume of participations in these exhibitions by such countries.

Al-Qadoumi, added that the Group adopted a distinct policy and methodology in development of exhibitions industry in Kuwait, in particular real estate exhibitions. The Group is always characterized by its strong exhibitions and attraction of a large number of serious visitors and wide segment of investors. In addition, the Group carries out hugest advertising and publicity campaign about its exhibitions that exalted over its peers in Kuwait and various GCC states.

Al-Qadoumi reviewed status of real estate exhibitions during the current year saying: the year 2009 witnessed a unique situation in real estate exhibition segment which was considerably affected by repercussions of global financial crisis and its adverse reflections on real estate sector in a number of world countries in addition to impacts on many real estate companies due to such crisis. The year 2009 witnessed a significant regression in volume of participation in exhibitions. Main causes for such regression include the drawbacks that encountered many real estate companies and developers leading to halt of a great number of projects undertaken by such companies in addition to facing certain financial problems. Al-Qadoumi added that 2009 has witnessed a state of exit from the market by many companies, particularly those that could not endure the crisis and announced cancellation or suspension of their projects. Furthermore, several companies preferred to wait and stay away from the market in a step for rearrangement of their situation and proceed with the next stage with new visions and projects.

Al-Qadoumi added that advantages of real estate financial crisis is screening the real estate market through exit by speculators and shield companies from the market, which contributed during the surge years to dumping the real estate market with huge amount of projects in addition to maximizing prices. However, what we witnessed during this stage is return of prices to sound and reasonable logic with demand for properties either due to a real need or a desire for medium and long term investment contrary to the situation which was predominant during mutation time when all parties were seeking high profit within as short period as possible.

Al-Qadoumi indicated that the company exhibitions during 2009 revealed for companies many issues of concern for the buyer or the investor. This will drive these companies to reconsider what they will display during the next year which will more satisfy the needs of middle and limited-income classes in addition to securing distinct opportunities for key investors.

Al-Qadoumi stated that the year 2009 has witnessed a significant slowdown in real estate trading activity. Sale and purchase transactions were concluded at their minimum limits. He added that the last November has witnessed an unexpected state in trading movement which real estate companies noticed by realizing a good percentage of sales through participation in Kuwait International Property Show. This provided hopes that the next year will have better conditions as the buying clientele and investors began to get ride of the passive psychological state which they have passed through since the outset of the crisis. The clients stated to attain real recovery though proceeding to the exhibition and purchasing from different offered projects in several countries. Many people are now convinced that the worst phase of the crisis has elapsed and that the prices have reached their minimum and will not decline any more; rather the real estate process in a number of countries began to increase than their levels at the crisis beginning.

Al-Qadoumi added that a large number of the company exhibition visitors interested in local real estate sector always raise a question about lack of real housing opportunities in Kuwait and absence of housing projects that were offered in the past by real estate companies which satisfied needs of several categories of citizens and contributed towards treatment of housing problem. This is a renewed invitation to such companies which migrated from Kuwait to execute housing projects in a number of GCC and Arab countries for undertaking their role and renew their contributions to execution of housing projects in Kuwait. It is also a call to concerned authorities for necessary provision of facilities to such companies and gives them a chance to offer their services and projects to a wide segment of citizens. Such facilities primarily include securing land and appropriate locations and cancellation of Laws No. 8 & 9 of 2008 which had adverse results on real estate sector in Kuwait. Al-Qadoumi also requested banks and financing institutions to allow for providing facilities and loans to the real estate sector which will play a significant role in enhancing opportunities for real estate growth and trading over the coming period.

On the other hand, Al-Qadoumi considers that 2010 will offer a better condition for real estate sector in view of capital markets recession and limitedness of offered real estate projects indicating that demand for properties, particularly income generating property, will witness a state of high attraction for various segments of investors.

Al-Qadoumi said that as the Group is keen on gains realized by it over the last years and its excellence in exhibition industry, it will strive to maintain such excellence and leadership during the coming years. In conclusion of his statement, Al-Qadoumi addressed invitation to real estate companies to participate in this distinct real estate event indicating that exhibitions are an important and primary means for corporate display and marketing.