Qatar - Real Estate Review Q2 2024

The Qatar real estate market demonstrated resilience in the second quarter of 2024, maintaining stable capital values despite a softening in rental rates. This edition of the ValuStrat Price Index (VPI) highlights a steady residential sector, a notable increase in mortgage activity, and robust growth in tourism and entertainment.

• Citywide residential capital values (VPI) held steady at 96.6 points, remaining unchanged from the previous quarter.
• The apartment index was recorded at 97.3 points, while the villa index stood at 96.4 points, with valuation prices in both categories showing no quarterly variation.
• Mortgage transactions experienced a notable increase despite high interest rates, with the Doha municipality contributing approximately QAR 10 billion to the total mortgage value.
• The hospitality sector achieved significant growth, with tourist arrivals surging 26% year-on-year, contributing to a 38% annual rise in Revenue Per Available Room (RevPAR).
• The commercial sector saw office rents remain stable, whereas street retail and shopping centres in Doha experienced quarterly declines of 5% and 2%, respectively.
• The industrial market recorded a yearly decline of over 5% in median rents for both ambient and climate-controlled storage facilities.

Institutional investors and developers requiring a valuation-anchored baseline to track stable capital values and softening rental yields across Qatar.

Lenders and risk management teams seeking independent, evidence-based metrics on the QAR 10 billion mortgage market surge to accurately underwrite real estate exposure.

Hospitality operators and tourism stakeholders monitoring the 26% surge in visitors and 38% rise in RevPAR to optimise pricing strategies.

Multinational corporations and commercial occupiers evaluating stable office supply and declining retail rents to formulate strategic leasing decisions.

High-net-worth individuals (HNWIs) and active market participants aiming to benchmark capital values and track major government initiatives like the newly unveiled Simaisma entertainment district.

This comprehensive review equips decision-makers with the empirical clarity required to navigate Qatar's transitioning property landscape in Q2 2024.

• Benchmark individual residential and commercial assets against authoritative, countrywide capital and rental value trajectories.
• Understand the precise valuation dynamics between resilient residential capital values and adjusting rental rates.
• Evaluate shifting market liquidity and buyer confidence through detailed analysis of the notable increase in mortgage transactions.
• Support complex pricing, acquisition, commercial leasing, and lending decisions backed by an independent, evidence-led valuation framework.