Real estate investors will get three-year multiple entry visas

Foreigners investing in UAE real estate will get a three-year multiple entry visit visa, according to a Cabinet decision Tuesday.

 The Cabinet also increased the capital of Emirates Petroleum Corporation, or Emarat, by 50 per cent to Dh9 billion, allowing the retailer to obtain more bank loans.

The decision comes against the backdrop of fuel shortages hounding residents across the northern emirates.

At the meeting, chaired by His Highness Shaikh Mohammad Bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai, the Cabinet also allocated Dh1.3 billion from the 2011 budget for the Zayed Housing Programme and approved an additional Dh540 million to be added to the federal budget.

Dh105 million of this amount will be given to the Ministry of Health and Dh150 million will be used to finance federal universities and help them increase their student capacity.

Analysts have hailed the decision to increase the duration of the entry visas for foreigners investing in UAE property from six months to three years.

Many analysts see the decision as a shot in the arm for the UAE’s real estate industry.

Craig Plumb, Director of Reseach at Jones Lang Lasalle, told Gulf News: “It is a very good decision because it clarifies the vague areas to real estate investors.”

Sultan Butti Bin Mej-ren, Director-General of the Dubai Land Department, said that the decision would have a major impact on the real estate market.

“I expect a 20 per cent increase in the demand to buy property in the UAE. However, it will not lead to a rise in real estate prices,” he said.

“This is the right decision at the right time,” he added.