Real Estate in Africa – a good market despite the bad reputation

REAL ESTATE IN AFRICA – A GOOD MARKET DESPITE THE BAD REPUTATION

Friday, 05 Sep 2008

A state-owned United Arab Emirates Property Company called Dubai World has set up an investment branch in Cape Town, South Africa, to focus on acquiring, developing and managing real estate throughout the African continent. So far Dubai World's investments span nine African countries including South Africa, Rwanda, Djibouti, Tanzania, Mozambique, Comoros, Morocco, Benin and Senegal. Connecting with property through such a company makes acquiring property in Morocco to Cape Town a very easy process.

Many of the countries that Dubai World is currently investing in within Africa also offer fabulous wildlife investment opportunities. Countries such as Namibia, South Africa, Zambia, Botswana and Mozambique all have property on offer that offers wildlife resources, offering property investors a unique opportunity to purchase property in Morocco and other African countries with conservation potential. Purchasing accommodation in Morocco to Namibia is suddenly encapsulated within one company offering all of these property investment opportunities to investors worldwide.

Investing in property in African countries is also very affordable for overseas prospectors earning Dollars or Euro's. Purchasing property in Morocco to Cape Town is highly appealing considering the continents recent economic growth. There are 53 countries in Africa with 47 of those within Sub-Saharan Africa. Even though Africa generally gets negative press coverage, according to the World Bank, the rate of economic growth has begun to catch up with those of other developing regions. Sub-Saharan Africa recorded a GDP expansion of 6.7% in 2007. This is due to a raise in oil exports, domestic investment, rising commodities demand, increased productivity and a rise in direct foreign investment as recorded by the IMF (International Monetary Fund).

Doing business in Africa is no longer a daunting prospect and as the previous statistics reveal, investing in property in Morocco, Kenya, Namibia and the rest of Africa has become a lucrative prospect for investors with an eye for real growth potential. Countries inside Africa like Madagascar and Lesotho already have favourable trade agreements with their thriving textile industries. And countries such as Morocco and Zanzibar have excellent spice trade. African countries are stabilising and worth considering for property investment.