(Source: Reuters)

Property developer Capitala, a joint venture of Abu Dhabi’s Mubadala and Singapore’s (CATL.SI), said on Tuesday it was holding off on new projects and would offer more lower-end housing.

 “We will defer any new launch until sentiment returns to the market,” Peter Wilding, Deputy CEO, told Reuters on the sidelines of a property exhibition in Abu Dhabi, where Capitala is based.

 “Demand is still there, but there is no positive sentiment at the investor level and occupier level. People are waiting and watching, but we are confident of the future because of the demand curves,” Wilding said, adding the Abu Dhabi market was faring better than others in the region during the downturn.

Wilding said the local market was oversupplied with high-end residential properties.

“There is far too much high-end products, and there is stronger demand for more affordable housing products,” he said. “There is a requirement to diversify our product offering.”

Read Stanley Carvalho’s full article “UAE developer Capitala says deferring new projects” in Reuters (April 21, 2009).

Developments featured in this article

More Like This

Facebook Chatter