AGP Executive Report

Urban Development & Investment: Oman’s OPZA/SEZAD held an investment meeting for the “Duqm Waterfront” project at Urban October 2026, outlining a phased coastal mix of residential, hospitality, commercial and entertainment uses to boost Duqm’s appeal for residence and tourism. Housing Policy & Regulation: Egypt’s central bank amended rules so banks can offer commercial registry and real-estate registry notarisation services at designated branches, aiming to speed up related transactions. City Management: Amman launched a two-day crackdown on illegal valet parking, shutting 30 sites, detaining unlicensed operators and seizing reservation equipment. Tourism Real Estate: Zanzibar’s Infinity Developments acquired the heritage Beit Al Salaam Hotel in Stone Town, planning renovations and appointing a Dubai-based design firm to preserve historic character while upgrading facilities. Regional Security & Land Pressure: Türkiye condemned Israel’s renewed excavation along the “Sufa 53” line in Syria’s Quneitra, warning against new faits accomplis and calling for withdrawal from occupied territory. Market Context: Saudi Aramco’s CEO said global oil stockpiles are “scarily thin” amid the US-Iran conflict, adding pressure to energy costs that can ripple into construction and housing affordability.

Iraq Economic Support: Iraqi PM Ali Al-Zaidi ordered five measures worth at least $2.67B, including 1T dinars redirected to real estate and housing, plus liquidity for banks and payments to contractors and farmers. Syria-Israel Works: Syria condemned Israel’s “Sufa 53” excavation and fortification along the Quneitra separation line, calling it a breach of the 1974 disengagement deal and urging international action. Iraq Construction Leadership: Lafarge Iraq appointed Tarek Sharobime as new CEO, replacing Medhat Ismail, as the firm highlights sustainability and circular construction. Iran Currency Pressure: Iran’s rial hit a new record low near 2.688 million per dollar as sanctions and oil-export limits bite, with the central bank planning up to $2B in support. Middle East Housing Policy Signals: Kuwait charities expanded humanitarian outreach across Africa and the Middle East, while regional housing and infrastructure themes kept surfacing across coverage. Energy Infrastructure Watch: Seatrium and Karpowership advanced LNG-to-power FSRU conversions with the award of LNGT Akdeniz after LNGT Türkiye delivery.

Kenya Infrastructure & Connectivity: Kenya Ports Authority is pushing ahead with a Sh3bn Likoni ferry passenger terminal to cut congestion and modernise the Likoni crossing that serves 500,000 passengers and 6,000 vehicles daily. West Bank Land & Housing Pressure: Israeli raids, arrests, restrictions, land razing and home demolitions continue across the West Bank and occupied Al-Quds, with olive harvest season adding fresh pressure on rural livelihoods. Regional Transport & Real Assets: Kazakhstan, Uzbekistan and the UAE signed an MoU to study a new railway corridor linking Central Asia to Pakistan’s seaports via Afghanistan—an infrastructure play that could reshape logistics and investment flows. Saudi Mega-Projects: Saudi Arabia is reportedly scaling back and delaying the Neom World Cup stadium plan, signalling caution around ultra-ambitious real estate and sports developments. Construction Materials & Efficiency: Saint-Gobain says it will invest ₹11,000 crore in India over five years and is scouting acquisitions to expand insulation and construction chemicals—aimed at energy-efficient building demand. Israel Real Estate Spotlight: A new coastal Herzliya Pituach residential phase markets apartments minutes from the sea, highlighting how prime locations keep attracting buyers despite regional volatility. Energy Costs That Hit Housing: With diesel and borrowing costs under strain, higher rates are again flagged as a headwind for housing affordability and real estate demand.

Housing & Affordability: Egypt’s Finance Ministry says its mobile property tax app has registered about 2.5 million real estate units, with 1.8 million user accounts, as the government pushes digital filing and extended declarations through December (with discounts for residential and early pay). Construction Contracts: Iraq’s ORA Iraq (linked to Egypt’s ORA Developers) signed Phase One construction of the Ali Al-Wardi Residential City (“City of Roses / Madinat al-Ward”) with CRC Dorra, with Naguib Sawiris attending. Regional Housing Initiatives: Kuwait’s Public Authority for Housing Welfare showcased its social housing and smart-city roadmap at Gulf Housing Week in Bahrain, highlighting integrated community planning and future residential-city standards. Market Signals: A GCC housing initiatives push aims to build sustainable communities, while Kuwait also advanced nurses’ housing tender steps via CAPT. Macro Backdrop: Iran’s rial hit a new low despite a reported $2bn central bank intervention, underscoring cost pressures that can spill into housing and construction.

Hospitality & Tourism: UAE winter demand is showing early recovery signals, with STR-linked estimates pointing to ~70% (Marriott) and ~65% (Hilton) higher available room revenues in Q4 2026, while Dubai is set to add about 9,300 hotel rooms by 2028. Urban Development & Governance: Turkey detained the acting mayor of Ataşehir (and 12 others) in a bribery probe tied to zoning and occupancy permits—another reminder that local approvals can make or break construction timelines. Land & Housing Rights: Iraq’s Nineveh Plains construction restrictions are being eased after a PMF-blocked protest, with the provincial council’s earlier permit decision upheld by the Federal Supreme Court—though landowners still report delays. Geopolitics & Infrastructure: G7 nations agreed to release 100 million barrels of oil and diesel via the IEA, including a major diesel release in the first 20 days, aiming to cool fuel costs that ripple into construction and housing affordability. Real Estate Finance: Saudi Arabia’s construction activity continues expanding, with Al Rajhi Capital citing resilient demand and a supportive macro outlook for 2027.

West Bank Water Access: An Israeli barrier project near Ras al-Ahmar in the Jordan Valley is restricting movement and cutting off water and basic services for a Palestinian community, with livestock reportedly facing dehydration and hunger. Lebanon Property Despite War: Beirut’s apartment market is still seeing new luxury construction and rising prices in relatively “safer” areas, as buyers and the remaining middle class look for stability amid ongoing economic strain. UAE–Syria Finance Links: The UAE and Syria central banks agreed to deepen co-operation on payment systems, monetary policy, cash management and financial tech—aimed at rebuilding Syria’s financial infrastructure as sanctions ease. Construction & Industry in the Region: ALIF Holding broke ground on Phase I of Umm Al Quwain’s industrial park, while Scatec started work on Egypt’s 900 MW Shadwan wind project—both signals of continued infrastructure-led growth. Real Estate Capital Flows: Real estate capital inflows reportedly more than doubled to $9.5bn in Q3 2026, pointing to renewed investor appetite.

Mortgage & affordability pressure: Freddie Mac data shows U.S. 30-year fixed mortgage rates jumped to 7.28% (Oct 1), the highest in nearly three years, adding fresh strain to already tight housing demand. Energy-cost spillover: With the U.S.-Israel-Iran war pushing up fuel prices, the G7 agreed to release 100m barrels of oil, starting with “substantial” diesel, as Washington pressures Europe to tap reserves—an issue that can quickly feed into construction and household costs. Middle East real-estate adjacent demand: Abu Dhabi-Dubai’s 80km corridor is pulling in multibillion-dirham projects, including Aldar–Arada’s Dh15bn development and other cross-border plans that could reshape regional housing supply. Regional stability risk: Ethiopia, Eritrea and Egypt’s diplomatic breakdown escalates around the Horn of Africa, a reminder that cross-border tensions can disrupt investment flows and logistics that real estate depends on. Housing policy debate (UK): Green leader Zack Polanski renewed calls for a three-year rent-rise cap, keeping affordability front and center for renters.

GCC Housing: Bahrain hosted the 4th Gulf Housing Week and honoured winners of the 7th GCC Housing Award, spotlighting cross-border housing solutions and new ideas from governments, private firms and youth. Real Estate Finance & Policy: Turkey delayed a mandatory secure payment system for property sales until Dec. 1, a move that could affect how quickly transactions close. Project Pipeline (Iraq): UNOPS awarded a contract to rehabilitate 42 category III housing units in Sinjar District, Ninewa, worth $531,610. Middle East Infrastructure (Egypt): Egypt’s $4bn plan to add 40m passengers to Cairo’s existing airport capacity underlines ongoing transport-led growth. Sanctions & Costs (Iran): The US expanded sanctions under “Operation Economic Outcast,” targeting Iran’s auto and rail sectors—an approach that could ripple into logistics and construction inputs. Market Backdrop (Gulf/Global): Mubadala led MENA sovereign wealth activity with $26.2bn deployed in the first nine months of 2026, reinforcing investor appetite for large-scale assets.

Armenia Construction & Materials: Armenia will lift a temporary ban on cement imports from third countries, citing domestic supply strain and higher costs/tighter delivery times; Iran remains the main cement supplier, after shortages and border queues hit the market. Middle East Reconstruction & Building Supply: Lebanon’s reconstruction push is drawing Chinese firms to Project Lebanon 2026 in Beirut, with interest in expandable housing and construction materials—especially for residential needs in Beirut and southern Lebanon. GCC Real Estate & Markets: Abu Dhabi stocks ended September higher and the real estate sector led, supported by a sharp ARAM Group jump, even as GCC peers slid on conflict, oil prices, and rate expectations. Bahrain Mixed-Use Development: Naseej appointed Sanad Engineering and DG Jones for Amwaj Avenue, a 125,000-sqm mixed-use waterfront project in Muharraq. UAE Ultra-Luxury Residences: Mubadala and TARAF partnered with Kerzner to launch One&Only Private Residences on Al Maryah Island, expanding the destination’s residential and lifestyle offering. Energy Costs Hitting Housing Economics: US diesel and mortgage rates are rising amid Middle East-linked fuel shocks and bond sell-offs, a reminder that financing and construction affordability can tighten quickly.

West Bank Settlement Sanctions: Six U.S. House Democrats unveiled the “Stop the Settlements Act,” aiming to sanction those involved in building or expanding Israeli settlements and outposts and to block imports of goods made there—an escalation that could ripple into regional trade and property-linked supply chains. Saudi Vision 2030 Update: Saudi Arabia says it has hit 93% of Vision 2030 targets, with momentum in non-oil exports, private-sector growth and digital government—signals that can support long-term demand for housing, infrastructure and commercial real estate. UAE Hospitality Expansion: Ascott outlined a plan to open 16 new properties across the Middle East, Africa and Türkiye by 2028, while Legacy Hotels and Meliá also pushed GCC growth at Arabian Travel Market, pointing to continued investment in hotels and serviced apartments. Saudi Real Estate/Finance Angle: RAK ICC is repositioning as a private-wealth and cross-border structuring hub, reflecting how tax and “substance” are shaping where families and advisers park assets. Construction & Energy Links: Kenya broke ground on a $16bn Lamu petrochemical/refining project with power co-generation, underlining how major energy builds can drive industrial land demand and logistics development across East Africa.

Armenia–Iran Nuclear Cooperation: Rosatom CEO Alexey Likhachev thanked Armenia for helping evacuate specialists from Iran this spring, saying Bushehr units 2 and 3 are ramping up again and new sites are being explored—an energy-security signal that can shape regional infrastructure planning. Yerevan Construction Safety: A crane collapse during dismantling work in Yerevan killed three people, including two Iranian nationals, with authorities launching criminal proceedings—another reminder that construction risk management matters for the Middle East’s growing build pipeline. Azerbaijan–Iran Power Links: Talks in Tehran covered boosting electricity imports from Azerbaijan for winter, plus joint hydro projects and solar investment opportunities in Nakhchivan—supporting cross-border grid and generation expansion. Morocco Housing & Governance: King Mohammed VI appointed Fatima Ezzahra El Mansouri as Morocco’s first female prime minister, with her background in urban planning and housing—likely to influence the country’s next phase of development ahead of the 2030 World Cup. Gaza Impact on Property: Israeli strikes across Gaza killed at least six Palestinians and continued large-scale demolitions, worsening displacement pressures that directly affect housing demand and reconstruction needs. Libya Resort Asset Ruling: A Paris court allowed Kuwait’s Al-Kharafi to seize assets from Libya’s National Oil Corporation over a cancelled $130m tourist resort—highlighting how legal outcomes can reshape land and development risk.

UK Housing & Mortgages: Bank of England data shows mortgage approvals in the UK fell to a 32-month low in August, with the effective rate on new loans rising to 4.60% as the Iran-linked energy shock keeps borrowing costs high. Saudi Energy Supply Chain: Saudi Steel Pipe won a SAR73m contract to supply steel pipes for Aramco, underlining continued investment in oil-and-gas infrastructure. Caspian Gas Expansion: TotalEnergies, SOCAR and XRG took final investment decision on full-field development of Azerbaijan’s Absheron gas project, targeting higher gas and condensate output from 2029. Bahrain Construction Tech: Almoayyed Contracting Group and Daikin opened a Daikin Experience Center in Bahrain, aimed at boosting HVAC know-how for local contractors and developers. West Bank Land & Settlements: A UN official warned Israel issued an order seizing Area A land for settlement infrastructure near Qabatiya, raising concerns for a contiguous Palestinian state. Israel-UK Diplomatic Pressure: The UK’s foreign secretary Ed Miliband is set to push for tougher Labour policy on Israel at the party conference, following UNGA remarks. Construction Costs Watch: Rider Levett Bucknall reported construction cost inflation rising to 1.28% in Q3 2026, pointing to a two-speed market with stronger non-residential activity.

Iraq Construction: Mosul has started work on a nine-storey specialist burns hospital, planned as the city’s largest burns facility, with two basements and seven floors, funded by local donations and backed by Nineveh’s health and provincial bodies. Gaza Housing & Civilian Impact: Israeli strikes across Gaza killed and injured residents, with reports of attacks on shelters for displaced people and hospital disruptions, underscoring how conflict is reshaping living conditions and healthcare access. Gulf Wealth & Capital Markets: At the Hubbis Middle East Private Capital Forum, speakers focused on how AI is changing wealth management decision-making and how Gulf family offices are “institutionalising” governance for next-generation investing. Settlement Politics & Real Estate Risk: The US reiterated opposition to Israeli West Bank annexation, warning that destabilising moves could derail a Gaza peace plan—an issue that directly affects land, development approvals and investor confidence. Private Real Estate Finance (Nigeria): Mixta Africa shareholders approved a dividend and highlighted continued delivery of affordable homes with mortgage financing support, pointing to ongoing demand for homeownership products.

Palestinian Politics & Land Use: The Palestinian Central Elections Commission received nomination applications from seven lists for the November Legislative Council vote, after Abbas extended the filing window to 18 days (through Oct 13) while keeping the Nov 28 polling date—an early signal of how political competition may shape future housing and settlement policy. UK–Israel Economic Pressure: UK Foreign Secretary Ed Miliband called Israeli actions in Gaza and the West Bank “a stain on the conscience of the world,” and said Labour will ban imports from illegal settlements and disrupt supply lines tied to British finance, construction and services. Saudi Workforce Housing: Rela, a Saudi workforce accommodation startup, secured investment from Yazeed Al Rajhi & Brothers Holding to expand its managed housing network across Saudi Arabia, linking property owners with corporate accommodation demand. Dubai Capital Markets: China Securities obtained a DIFC licence to open a regional office, reinforcing Dubai’s role as a gateway between Chinese and Middle East capital flows. Lebanon–Hezbollah Social Impact: A report on Hezbollah’s Nasrallah commemoration suggests the group is losing political ground in Lebanon, with knock-on effects for stability and local development planning. Real Estate Finance Watch: Kuwait faces tighter land rules reshaping its real estate market, adding another constraint for developers and buyers.

Residential Land Rules in Kuwait: Kuwait is tightening vacant-land requirements, pushing owners to develop rather than hold idle plots—cooling speculative activity and reshaping the private residential market. Urban Development in Kuwait: Jahra Governorate is prioritizing road upgrades, new residential areas like Mutlaa City, and faster delivery of public services through tighter monitoring and complaint follow-up. Iraq Housing Push: Iraq’s National Investment Commission has signed investment licences for 60,000 residential plots in Karbala under a wider plan to deliver one million serviced plots across provinces. Israel–West Bank Housing Politics: Israel’s finance minister is demanding an E1 settlement tender proceed before the Knesset election, after a legal adviser postponed the bidding deadline—keeping settlement expansion tied to election timing. US Embassy Construction in Jerusalem: The US says it will soon break ground on a permanent embassy complex in Jerusalem after securing the Allenby Compound site, signaling long-term infrastructure investment in the city. Azerbaijan Investment Forum: Azerbaijan’s AIIF in Baku secured $10.8bn in investment contracts, with emphasis on non-oil sectors like renewables, logistics, manufacturing, and digital tech.

Infrastructure & Finance: Doha will host the AIIB’s 11th Board of Governors meeting, kicking off the bank’s second decade with talks on sustainable infrastructure, climate funding, digital public infrastructure, private capital and cross-border connectivity. Housing & Policy: Qatar announced winners of its inaugural Qatar Private Sector Nationalisation Award 2026, signaling continued push to expand local participation in the private sector—an indirect lever for jobs and demand that can shape housing markets. Regional Trade & Connectivity: With Hormuz trade disrupted, Iran is leaning on the Caspian route, though falling water levels and port limits constrain cargo volumes. Construction & Local Development: Oman reported local content in road projects exceeding OMR200mn in H1 2026, with average local content above 60%, reinforcing local contractor participation. Real Estate Flashpoint: Israel’s attorney general postponed the E1 settlement tender deadline by a month to move it past election day, keeping a major West Bank housing plan in limbo. Energy Costs & Affordability: Australia’s expected RBA rate hike to 4.6% would lift mortgage rates and pressure housing affordability, while higher energy costs are adding to household strain.