The war in the Middle East tests Dubai's island dream
Struggling luxury real estate projects in the emirate's man-made archipelago reflect the strains being felt across the property sector in general.
The Heart of Europe, a $6 billion tourist complex in Dubai's World Islands, is facing challenges due to the crisis in the Middle East. The project's promoter, Josef Kleindienst, has laid off staff and is dealing with lawsuits from investors and former employees. The complex, which was inspired by the French Riviera, has seen a significant drop in international visitors and a rise in diesel prices.
Despite this, Kleindienst aims to reach 80% occupancy in the coming weeks, driven by local tourism, and plans to open five hotels by 2027. The project's delays and cost overruns have caused tensions with workers and buyers.
Written by urgent.news from Expansion ES's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
