Overview
- Consultants say family offices are delaying moves or trimming positions, with some Dubai-based clients drafting contingency plans and a Hong Kong adviser arranging a $300,000 private evacuation flight via Oman.
- Market stress has intensified, with Dubai’s main index dropping 4.7% on reopening and a sector gauge for real estate sliding about 20% over five sessions.
- Security incidents and travel disruption have shaken confidence, including a drone-linked fire near the US consulate, reports of a downed drone causing a fire near the Burj Al Arab, an explosion at Fairmont The Palm, and thousands of flights canceled as carriers restart cautiously.
- The stakes are high given the UAE’s role as a booking center, with about $700 billion in overseas assets and Dubai-based family offices overseeing more than $1.2 trillion, according to cited estimates.
- Property activity shows a caution shift: Indian buyers—who account for roughly 20% to 22% of foreign transactions—are taking a wait‑and‑watch stance, some mid‑market sellers are accepting discounts, and major developer Aldar says operations continue uninterrupted.