Optimizing prefabricated construction techniques in UAE as a solution to shortage of middle-income housing

Abstract

Housing is a major subject in the Middle East and North Africa (MENA) region, JLL, the world’s leading real estate investment and advisory firm, highlights the social and economic impact of a marked shortfall in the required supply of middle-income housing, suggesting that significant efforts are needed to address the current imbalance. For an equal standard and life style in UAE and KSA, the gap of sale and rent prices raises many questions. The middle-income sector of the market represent almost 40 percent of all households in the UAE. Several factors that have contributed to the current shortage of affordable housing, high land values, High capital costs for associated infrastructure development, low adoption of prefabricated construction techniques have contributed to higher construction costs, lower financial returns, making such developments less attractive for developers, limited access to suitable finance for low income families, due to generally immature mortgage markets. Resolving the shortage of middle-income housing requires a concentrated effort involving government agencies, private developers and other stakeholders. This Study will investigate the UAE Housing market to propose solutions for a better progress of the precast sector and focusing on the promotion of sustainable and industrial approaches to construction.