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Arabs in search of a mecca for investment
Reasons for Arab investment in Spain
There are various reasons why Arab businessmen and citizens in general have historically invested in Spain, and with the current conditions, there is greater attraction to the country. Ignacio Acosta Sorge, real estate consultant summarizes the following reasons:
Low prices after the housing crisis
After the purchase of real estate reached record highs in 2007, in 2008 it bottomed with the economic crisis, which led to a fall in prices of 30 to 40%, in some extreme cases even 50%. These low prices changed the trend from 2014 when the most important cities like Madrid and Barcelona, started their recovery. Therefore, the Arab real estate investors have seen their great opportunity in this market, which have focused on the purchase of residential, office and commercial buildings in order to diversify their investments into other industries. To this must be added the strength that has the Dirham against the euro and the dollar that makes it much easier transaction. While traditional investment locations in the Middle East, like London or Paris are suffering from the high prices that limit the ability to enter these markets, Spain offers lower barriers to entry for investors seeking investment opportunities.