A new company that specializes in the development of projects for lease and rental in the GCC, FAYA Investment, was recently launched in Sharjah, with a capital of AED1.5 billion. The company was established with the purpose of investing in the various sectors, including residential, commercial, labor accommodations, leisure and entertainment facilities, and establishing itself so as to meet the accelerated demand on these sectors due to the property boom and the recycling of petrodollars, which have resulted in record levels of economic growth throughout the GCC. The launch of FAYA Investment marks a period in which there is a vast wealth of untapped opportunities in the market, combined with fierce competition among key investment players seeking local and regional investments to fund their ambitious programs in a bid to secure substantial chunks of the market pie. The launch of FAYA investment coincides with a period of record growth across the real estate and construction related sectors in the UAE, with 23.6 percent annual growth since 2001, and development projects with a total value of $225 billion currently in development. According to recent reports, investments in residential and commercial projects are expected to reach AED184 billion by 2010, while the value of the property market in the GCC is set to hit the AED3 trillion mark within the next 25 years. Speaking at the launch of the new company, Sheikh Tariq Bin Faisal Al-Qassimi, chairman of FAYA investments, said: “We have recently launched several investment companies to operate in different sectors." "These companies include ENSHAA, Arzaq, Empire Aviation Group, and Emirates Global Islamic Bank. As relatively new companies, each of these has achieved good results, demonstrating outstanding performance." "We attribute these successes to the fact that each of these companies has been established on solid foundations, based on sound, in-depth feasibility studies and planning, which enable them to leverage existing opportunities, turning them into rewarding ventures.” “Our aim is to invest in different areas in the real estate sector, which offers safe and rewarding investment opportunities." The GCC real estate boom is expected to continue for a long time yet, fueled by the growth of the tourism sector, surplus liquidity and the freehold ownership laws being implemented across the region. All of these activities are part of the non-oil economic initiatives, which have grown steadily, reflecting the GCC's efforts at economic diversification through the establishment of regional financial services markets and tourism destinations, as opposed to relying solely on oil production and reserves for long term economic growth. __
