According to JLL’s The Business of Cities: Demand and Disruption in Global Cities, Abu Dhabi has been ranked as a hybrid city, characterised as both an emerging and new world city.
Emerging global cities have established themselves as centres of finance, business services, and retail. These cities are at the crossroads of serving the domestic market and enjoy strong exposure to the global economy. New World Cities also stand out and have gained a competitive advantage on the global stage because of their innovation capabilities, lifestyle or brand, and influence.
“It’s an interesting time for global real estate investments and capital flow trends as several different factors are at play when it comes to the attraction of cities. Abu Dhabi and Dubai have both capitalised on the ease of doing business within the cities and the governments continue to launch numerous initiatives to stimulate demand and create an attractive investor environment,” says Dana Salbak, Research Director at JLL MENA.
The report reveals that economic fundamentals are no longer a city’s main draw for corporate occupiers and investors but, quality of life, innovation, sustainability, governance, and resilience increasingly factor into location and investment decisions. Cities that adapt to new economic models, such as the innovation economy, experience economy, sharing economy, and circular economy, will enjoy new sources of real estate demand and attract higher cross-border investment.