The National Bank of Kuwait has just released figures covering the growth in the properties for sale Kuwait sector for the first seven months of 2005.

Though they showed a seasonal slowdown in June and July the overall average price per unit trend is up between 4 and 37% depending on the sector when compared to 2004’s figures for the same period.

This news is very positive and the entire real estate sector in Kuwait has recently been further boosted by the news that the Government have entered into an ambitious twenty year plan to grow and promote the tourism sector in the country.  Furthermore the property sector has also benefited from the announcement of the new Direct Foreign Capital Investment Law which is set to revolutionise certain sectors including real estate. 

All these facts show that the already healthy real estate market in Kuwait may be about to boom.

This increase of positive energy in Kuwait’s property market could not have come at a better time because a number of the main Kuwaiti real estate developers are showcasing brand new residential and commercial projects at this year’s Cityscape 2005 event which takes place between the 17th and the 19th of September at Dubai’s International Exhibition Centre. 

With all the positive and seemingly sustainable news coming from the general real estate sector in Kuwait, this year’s exhibitors are likely to find themselves inundated with interest from both local and overseas investment property buyers.

Among those exhibiting at Cityscape, local Kuwaiti developers CRC will be presenting three new commercial projects; The Dome, The Symphony and the Kuwait Trade Centre, and Al Mazaya Real Estate will be unveiling their mixed commercial and residential developments in both Kuwait and Dubai.

Many of the developers have predicted increased foreign interest in the property market in Kuwait throughout the proposed twenty year tourism development phase and beyond.  The Government of Kuwait have entered into a 3.3 billion US dollar project with the backing and assistance of the World Tourism Organisation and the UN Development Programme to develop 20 hotels together with extensive tourism facilities and amenities and to significantly increase the numbers of visitors who come to Kuwait each year.

The private sector are being invited to invest in the ambitious plans which will allow local companies and individuals to directly benefit financially from the ongoing increase in tourism numbers which will help shore up the Kuwait economy for the foreseeable future.  And an increase in visitor numbers will likely directly influence the housing market as demand for residential and holiday units in Kuwait will grow.

The aforementioned Kuwait Direct Foreign Capital Investment Law should help to make the entire investment market in Kuwait far more efficient and also allow for 100% direct foreign ownership in certain sectors which will probably include real estate.

As you can see, the news from the Kuwaiti property sector is already strong and the recent economic and developmental updates all point to a sustained and prolonged period of growth.