Barwa Real Estate Group eyes 12,000 residential units
Barwa Real Estate Group ‘is committed to provide reasonable rent rates’ even as it plans to complete 12,000 residential units by 2020, Group CEO Salman Mohamed Al Muhannadi told Gulf Times.
Barwa, which has an existing 4,000 residential units, is aiming for the expansion as part of the group’s new QR15bn business plan (2016-2020), unveiled last year.
“Most of our projects will be on housing, focusing on mid and high-mid residential segments. This year, they include Dara in Lusail, Barwa Village, which will be an extension of the existing Barwa Village, and hopefully, Barwa Doha. Most of our units will be available in 2017,” Al Muhannadi said.
For the Barwa Doha project, Al Muhannadi said the group ‘intends to complete’ all 1,970 apartments ‘most likely by early 2018.’
On providing ‘reasonable rent rates,’ Al Muhannadi emphasised: ‘We cannot reveal the levels of rent we’re anticipating but we feel that it’s part of our national duty to maintain a reasonable level of rent.’
‘Reasonable house rental is our priority right now, and hopefully, we’re going to give the market with prices that’ll be perceived as a ‘reasonable rent rate’. Most of our units now are considered to have the most reasonable rates in the market,’ he stressed.
Asked if Barwa will implement ‘reasonable rent rates’ in new and upcoming projects, Al Muhannadi said: ‘That’s the intention and this is the challenge we’re facing right now. And in order for us to maintain such rents, we’ve to work very hard in the design and the cost of construction without jeopardising the quality.’
He added: “The balance of cost, quality, and time is very challenging, especially in a market like Qatar. We’re working hard in order for the whole team to have a major change in mindset. We’ve even changed completely the style of our procurement process, and we’re very tough when it comes to procurement.
“At the same time, while being tough with contractors, we’re trying to be, as much as possible, transparent and clear with contractors because most of them are willing to give reasonable pricing, yet, as long as we’re providing them with a very good level of clarity and consistency.”
Citing research from external consultants, internal expertise, and published data, Al Muhannadi said Barwa has decided to focus on the residential segment.
“We did a thorough research last year and concluded that we’re going to focus on the mid and high-mid residential segment because the gap there is very obvious. And most likely, it’ll continue to increase,” he said.
Courtesy: gulf-times.com
