RIU REAL ESTATE MARKET REPORT 2020: A change in fortunes expected
By, Roshan Madawela, CEO, Research Intelligence Unit (RIU)
Velocity of the luxury market apartment sales remained subdued due to the sluggish economic
conditions that prevailed for much of 2019. Additionally, three factors contrived to further stifle the
market. Firstly, the terror incident that shocked the world on Easter Sunday led to a complete loss of
confidence in the country and resulted in an immediate slump in tourism and all related segments of
the real estate industry. Secondly, uncertainty regarding the imposition of VAT on apartments turned
many potential investors away from the property market. Thirdly, the November Presidential elections
that further intensified the ‘wait and see’ sentiments in the market, added to the overall slowdown in
sales velocity.
Whilst t...