Ontario Tower -Business Bay - RosehomesInvestment

[DAYFox]

Hi at all

I just wanted to know if someone else has also invested in that project? Here the details:

Project: Ontario Tower
Region: BusinessBay
Developer: RosehomesInvestment / Dubai Continental Group of Companies
Webseite: rosehomes.ae
rosehomes.ae/ontario

The developer is quite new and they have one additional project in Sharjah. Construction in BusinessBay is well underway. I bought an Office as well as a 2Bed Residential Unit in there both on 14th floor.
The location of the tower is exellent i would say; right at the entrance of business bay and a metro station shall be there too. What do you say about this project? And what do you say is currently the minimum sqfeet price a developer has to charge for residential and office units in order to cover costs at least? Last but not least: What do you think will be the minimum sqfeet rent per year i can expect to charge upon completion in businessbay for first office unit and second residential unit?
Waiting for your replies!

Thanks in advance!

 

[DAYFox]

No one?

And what do you say is currently the minimum sqfeet price a developer has to charge for residential and office units in order to cover costs at least? Last but not least: What do you think will be the minimum sqfeet rent per year i can expect to charge upon completion in businessbay for first office unit and second residential unit?
Waiting for your replies!

 

[DAYFox]

by all that agents flying around here in the forum, I honestly expected some more replies

Anyone invested in that project?
At the Beginning of that month I have been to the site personally and construction seems to be well underway! Actually it will be one of the first 30 Towers completed in BusinessBay... Do you think resale upon completion will be easy? Or would you rather suggest to rent it out?

Thanks in advance! Hoping for some (more) replies

 

[DAYFox]

Still hopeing that someone can give me some answers Anyone came across with that development?

I just got an construction update: Tower is now 4 stories above ground and they told me that all concrete work shall be done in June 2008. I guess completion will be end of 2009 at the latest whereas they say June 2009.

 

[luv2xlr8]

Ontario Towers

Still hopeing that someone can give me some answers Anyone came across with that development?

I just got an construction update: Tower is now 4 stories above ground and they told me that all concrete work shall be done in June 2008. I guess completion will be end of 2009 at the latest whereas they say June 2009.

Hi Day Fox,

Ive actually picked up two 1 bedroom aprtments. Word going around is that rents will be sky high in that area as it will be the downtown (i.e central london, westmineter etc..) Area in Dubai. Selling shouldnt be a problem.

Initially I would opt to rent out. One bedrooms are a lot easier to rent out too.

 

[Roshan]

Hi at all

I just wanted to know if someone else has also invested in that project? Here the details:

Project: Ontario Tower
Region: BusinessBay
Developer: RosehomesInvestment / Dubai Continental Group of Companies
Webseite: rosehomes.ae
rosehomes.ae/ontario

The developer is quite new and they have one additional project in Sharjah. Construction in BusinessBay is well underway. I bought an Office as well as a 2Bed Residential Unit in there both on 14th floor.
The location of the tower is exellent i would say; right at the entrance of business bay and a metro station shall be there too. What do you say about this project? And what do you say is currently the minimum sqfeet price a developer has to charge for residential and office units in order to cover costs at least? Last but not least: What do you think will be the minimum sqfeet rent per year i can expect to charge upon completion in businessbay for first office unit and second residential unit?
Waiting for your replies!

Thanks in advance!

Day Fox,

Hi, was out of town and just got back.

All the developers in this market are new until they deliver the first project. At this point it's difficult to distinguish between good and bad, the grain & the chaff.

Any body paying less than Dhs 1800 psf is bound to make money in Business Bay when equating to the rentals of Dhs 250 psf.

Ontario tower occupies an important place and should do well. I hope the entrances for office and residential sections are seperate. I have seen instances where kids play in the lobby area, not a good sight for a prestigous tower. This is purely my opinion and I could be dead wrong.

The residential should do better than the commercial. You would be looking at Managers occupying the residential inviting a premium. A nice deal to stay and work in the same building.

The projected rents for Business Bay are between Dhs 200 to Dhs 250. Might be higher due to the proximity to the Metro.

Regarding the minimum the developer has to charge for covering costs is not known. Probably a 30 to 50% profit would justify the trouble taken.

My sincere advise is you are sitting on a gold mine, keep it and look forward to early retirement.

Regards

Roshan

 

[Demoniise]

hi,

When did you buy into this project dayfox

 

[DAYFox]

hi,

When did you buy into this project dayfox

In 2006 already! Click the following links for current status of construction (March 2008)

Very Good progress, tower is rising fast now! And as Roshan also said, location is excellent!
Iam happy that I have invested into that project even though Dollar weakness is reducing profits ...

 

[Demoniise]

hi

Do these guys have anything for sale?

 

[DAYFox]

Do these guys have anything for sale?

All sold out since end of 2006 -only resale! Last time I checked commercial was around 2000AED per sqfet and Residential was 1800AED. Relatively cheap when you compare what other developers are charging (2500-3500) and again, i have to point out to the location, which is fantastic (right at the entrance, close too metro)! My guess is that prices on completion will be around 2500AED which from my point of view is fair for that area! Rent I am not too sure about it, but 250AED per sqfet seems reasonable and not too much for me!
What do you think Roshan?

 

[DAYFox]

End of March

June 2007

August 2007

Oktober 2007

January 2008

 

[luv2xlr8]

Nice Pics

Pics look great. Lets hope its ready by end of 2009. I doubt it though.

Got mines Sept 2006 .

Resale price stands at 1.3M to 1.4M and source tells me it will increase. Not sure what the rents like but outlook is quiet good so far.

Location definately a big +

Thanks DayFox

 

[Roshan]

All sold out since end of 2006 -only resale! Last time I checked commercial was around 2000AED per sqfet and Residential was 1800AED. Relatively cheap when you compare what other developers are charging (2500-3500) and again, i have to point out to the location, which is fantastic (right at the entrance, close too metro)! My guess is that prices on completion will be around 2500AED which from my point of view is fair for that area! Rent I am not too sure about it, but 250AED per sqfet seems reasonable and not too much for me!
What do you think Roshan?

Anything close to the main roads will get occupied first. Don't forget that the buildings inside will get ready but the infra structure will take some time.

Dhs 200 will be a safe guesstimate. Anything above that is a bonus.

I have assumed Dhs 150 psf rent for my books in Business Bay which is again on the conservative side.

Regards

Roshan

 

[LaCasta]

Could I get some contact information for this property? I am looking to make an investment in BB very soon.

 

[DAYFox]

Could I get some contact information for this property? I am looking to make an investment in BB very soon.

I will sent you a pm tomorrow or the day after.

 

[LaCasta]

Anything close to the main roads will get occupied first. Don't forget that the buildings inside will get ready but the infra structure will take some time.

Dhs 200 will be a safe guesstimate. Anything above that is a bonus.

I have assumed Dhs 150 psf rent for my books in Business Bay which is again on the conservative side.

Regards

Roshan

I remember reading that rent for office space would be much higher than that for BB

 

[DAYFox]

I remember reading that rent for office space would be much higher than that for BB

You are right, i heard the same. Even some people told me it will be around 300-400AED but the truth is, that nobody realy knows, therefore you are safe calculating with 200AED... What do you think?

 

[LaCasta]

You are right, i heard the same. Even some people told me it will be around 300-400AED but the truth is, that nobody realy knows, therefore you are safe calculating with 200AED... What do you think?

Yes, that may have been the prediction when Business Bay is in full swing and many companies have moved in. They predicted that rents would be from 500 -600 since there will be a shortage of office space for some time to come and then a correction when the supply catches up and the prices going down to 300.

If you are signing a lease when the first companies are starting to move in, then maybe 200 is a safe bet

I am sure there are some people here who know more than me though

 

[Roshan]

Yes, that may have been the prediction when Business Bay is in full swing and many companies have moved in. They predicted that rents would be from 500 -600 since there will be a shortage of office space for some time to come and then a correction when the supply catches up and the prices going down to 300.

If you are signing a lease when the first companies are starting to move in, then maybe 200 is a safe bet

I am sure there are some people here who know more than me though

When I said Dhs 150 to 200 psf, it was on the extremely conservative side.

Dhs 500 to 600 is very high, but if what you say is true, I should be laughing to the bank.

Don't forget there will be corrections when all the units come into the market. Such situations should call one to be conservative.

Always take the pessemestic figure when calculating and if it's higher, then it's a bonus.

Regards

Roshan

 

[DAYFox]

I will keep you updated and will post new construction pics as soon as i get some...
By the way Roshan, where would you invest in BusinessBay right now? If you check alineah.com prices have gone up again this week:

Dubai Property, Villas, Real Estate and Appartments