Dubai's renowned property developer DAMAC gets a big business shock

During 2019, the famous private real estate company lost $ 1 million

Dubai (Urdu point latest newspaper - 11 February 2020) DAMAC is one of Dubai's largest private real estate firms. Which has always been on the list of for-profit companies. However, DAMAC Properties has stated that last year, 2019 has been a very bad business year for the company. According to a report, DAMAC suffered a US $ 1 million annual loss during 2019.At the end of 2018, the company's earnings were recorded at $ 31.3 million during which the company's profit was $ 1.7 billion, but the year of 2019 proved to be very bad for the company, as the company's profits declined by 28% during that time. Only $ 1 billion was spent on $ 20 million. DAMAC has given Dubai many wonderful construction projects.The importance of this company can also be gauged from its affiliation with the Trump Organization, which is a US President Donald Trump business entity.According to the report, the huge financial loss to a key business entity like DAMAC has over the past few years been exacerbated by the need to rebuild Dubai's housing market. Due to which Dubai's top officials have recently formed a committee that reviews new real estate projects and approves them only if they are really needed in the market.The Dubai government had taken notice that property prices in Dubai had fallen too high during the last few years after the completion of countless real estate projects. Therefore, the immediate construction of unnecessary real estate projects was banned. In this regard, Hussein Sajwani, chairman of DAMAC Properties, says: "Given the market situation, we have initiated very few projects because the buildings we already have are in great numbers for sale, unless they are booked." However, we do not want to come to new projects.In addition, some projects were in the process of completion, they were also paid attention to. ”Hussein Sajwani, chairman of DAMAC Properties, also said that considering the declining property prices in Dubai, our firm. Currently, it has decided to suspend construction activities for the next two years. In order to restore property prices in the market again and investors' confidence in the Dubai property market.