Consolidations of properties and mergers between developers have made the sector a rapidly changing, complex one for investors. Some developers are encouraging investors to gather their purchases in one or two towers, then cancelling the rest of the buildings, or merging with other developers to pool resources.

This has happened in Marmooka City in Ajman, ACI’s developments in Dubai Waterfront, and with Damac and Hydra Properties on Reem Island, among others. For many investors, it is largely a question of trusting the developer.

In the case of off-plan projects that have been put on hold by large master developers such as Emaar or Nakheel, investors are allowed on a case-by-case basis to cancel their contract and consolidate, or transfer their credit to other investors’ properties.

Investors take great leap of faith - The National Newspaper