Originally Posted by
blackmamba
There needs to be a distinction between attaining the property and paying for the development of the property. Attaining the property is, without a doubt, a simple task as Sheikh Mo owns Dubai anyways. However, developing the property is a completely different story. Development requires an infusion of capital that Dubai is struggling to attain.
He has two choices - he can sell the prime properties of downtown Dubai to wealthy investors and make a handsome profit and move the EK crew member housing to the outskirts of Dubai that border Sharjah OR he can build luxury apartments for all of EK's crew at his own expense. I think its a no brainer that Dubai's officials would choose the former approach.
Of course, EK's crew has the choice of finding their own place to rent and EK will reimburse them but rent in Dubai is outrageous and filled with narrow advertising stipulations (i.e. you need to be a Muslim...etc.) that will make it very difficult for EK's very diverse crew to get any form of housing at all.
Not really, development loans in the region have become easier to come by, and banks around the GCC area at the moment don't mind pumping cash into companies with Govt's being a stake holder (Emaar for example). And lets not forget that selling MAJOR developments is not something HH Sheikh Mohammed is known for. I think the general view, at the moment, is its more prestigious to be hanging on to that asset (Hence the bigger/flashier/newer craze in the area) Plus, I think its the renaming of the Burj still hurts. Cash wise, its there. Dubai's issue was repayment of debt on "failed projects", Emaar is still developing the downtown area, Jumeirah is still building/buying properties world-wide, Meydan area expanding and being developed.
Being Muslim to rent? Thats a new one for me I know a lot of westerners in Dubai who rent and I'm 200% sure they are not muslim.
EK is also in the process of opening up new communities for families, I think there is a new "community" where people are moving in to now. (If I recall its Layan). As well as Millenium Tower which is mostly housing single pilots at the moment.
I think the major issue for EK is what you mentioned, crew with the "right standards" may be hard to come by at short notice/rapid expansion, so dropping the bar would seem to be the only option for the time being, and sometimes you really do see the standard has dropped. (The Italian F attendant on my EK 003 flight last year, I haven't forgotten you
!)