Rent prices are expected to witness a surge during the Qatar 2022 World Cup as demand increases.
A local real estate report anticipates housing unit rents to rise at different rates during the first half of next year as over one million people are expected to arrive in Qatar for the FIFA World Cup 2022.
A weekly report by Qatar-based Al-Asmakh Real Estate Development Company, issued on Saturday, highlighted that the real estate sector in the Gulf state will continue to be the highest spending among all sectors during the next year.
The state’s general budget has allocated 74 billion riyals ($20.3 billion) for major projects out of the total budget expenditures, as the country proceeds with public projects in accordance with its set plans and strategies.
The priority in spending goes to infrastructure projects, the development of citizens’ lands, and public services development projects including roads, bridges and a comprehensive sewage network .
Read also: World Cup host Qatar sees 5% rise in expenditure for 2022 fiscal budget
The report noted that a number of real estate projects have reached completion, particularly in Lusail City, which has an area of about 1.8 million square meters.
It pointed out that the positive growth rates were achieved in the construction of real estate projects during the fourth quarter of 2021, compared to the same period last year.
The Supreme Committee for Delivery and Legacy and the Qatari Ministry of Labour signed a memorandum of understanding last March, under which it was agreed the two would collaborate in helping provide accommodation for fans and visitors to the country during the World Cup 2022.
The approval in the first phase included over 150 different properties in buildings, towers and residential complexes (complete and undivided) and fully furnished units, providing about 15,000 rooms.
The rental value of the units is determined according to the established government housing prices, while the rental period for real estate will continue for at least five years, which is the period of contracts concluded with real estate owners.
The aim of the contracts is to benefit from the rental properties during the World Cup, and then utilize them to house employees through the government housing program.
In the company’s weekly report, Rashid Al-Kaabi, the general manager of Utopia Real Estate, said that the third week of the current month witnessed a relative return to activity with an increase in trading values by 94% compared to the previous week.
It added that the rise in prices will be accompanied by an increase in demand for one-bedroom and two-bedroom apartments during the first half of 2022.
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