All Over for Dubai?

[Lemur]

Read this, got interested. I know a couple of people who have made lots and lots of money by providing services in Dubai (lawyering, engineering, etc.). Is the party really over, and was it built on nothing at all?

People are literally fleeing this place, to date leaving 3000 cars stranded at the airport with keys still in the ignition. And the reason for this is that if you default on your Dubai mortgage, you can end up in a debtors prison.

As the article sums up early on:

Imagine proposing to build Vegas in a place where sex and drugs and rock and roll are an anathema. This is effectively the proposition that created Dubai - it was a stupid idea before the crash, and now it is dangerous.

I'd be interested to hear the Orgahs' opinions.

[Vladimir]

That's a shame to hear as I am really impressed by this little country. I'll read the article. Thanks.

Edit: It's a little...short of details. I respect his opinion?

[Hooahguy]

the NY Times had a lengthy article on this over the weekend. maybe they have it online?

[drone]

the NY Times had a lengthy article on this over the weekend. maybe they have it online?

http://www.nytimes.com/2009/02/12/wo...2dubai.html?em

[Spino]

I find that NYT article a bit confusing. Based upon what I've seen in a few specials and documentaries I was operating under the impression that Dubai did produce oil but not nearly enough for its citizens to enjoy the same crazy chic sheik life as its oil soaked neighbors. I thought Dubai's mammoth efforts to attract foreign tourists and expatriates (as well as the push to make it a major financial center) was a long term strategy to provide some kind of industry & revenue once the oil wells eventually dried up.

Loved this paragraph...

Now, many expatriates here talk about Dubai as though it were a con game all along. Lurid rumors spread quickly: the Palm Jumeira, an artificial island that is one of this city’s trademark developments, is said to be sinking, and when you turn the faucets in the hotels built atop it, only cockroaches come out.

Mmm mmmm! Some protein with your water sir?

No matter, I could care less about the fate of Dubai and all those who tied their futures to it. Que sera sera, such are the risks of capitalism. Had Dubai taken a more conservative approach to expansion then it might be in better shape now that the global economy is in free fall. I guess only time will tell whether all those hotels, office buildings and those ridiculously massive man made peninsulas and islands off the coast were worth the expense. Successful or not Dubai put itself firmly in the Wonders of the Modern World list when it created those coastal monstrosities.

[Odin]

No matter, I could care less about the fate of Dubai and all those who tied their futures to it. Que sera sera, such are the risks of capitalism. Had Dubai taken a more conservative approach to expansion then it might be in better shape now that the global economy is in free fall. I guess only time will tell whether all those hotels, office buildings and those ridiculously massive man made peninsulas and islands off the coast were worth the expense. Successful or not Dubai put itself firmly in the Wonders of the Modern World list when it created those coastal monstrosities.

Years later, on yet another subject Spino basically hits the nail on the head in a concise summary fashion that its hard to anticipate what the rebuttal might be.

[Strike For The South]

Liberal alarmism. Dubai is to big to fail!

[Papewaio]

In short term it ain't good.

Long term? Maybe not rosy, but it could actually work out for them if they do transparently and mercifully squeeze out corruption.

Imagine proposing to build Vegas in a place where sex and drugs and rock and roll are an anathema. This is effectively the proposition that created Dubai - it was a stupid idea before the crash, and now it is dangerous.

As we all know the Mormans are so much into what Vegas stands for.

I think a better comparison would be trying to create Club Med XXXL not Club Med XXX.

PS
Some of the biggest gambling sources/bookies are located in Dubai with regards to such things as cricket and horse racing.

[Reverend Joe]

I have nothing more to say, save that Spino got it. All vices have their own inherent punishment; the insanity that is Dubai is about to learn that in a big way, as far as I can see.

[Strike For The South]

I have nothing more to say.

Fizz stays at my house. Thats the agreement.

[CountArach]

Liberal alarmism. Dubai is to big to fail!

Solution: We must Nationalise Dubai!

[Reverend Joe]

Fizz stays at my house. Thats the agreement.

[Strike For The South]

Just because Im not in the chat doesnt mean you can lure him away!

[Reverend Joe]

Just because Im not in the chat doesnt mean you can lure him away!

Dude, you can have him. I'm really not sure how my roommate would feel about a strange arab man staying in our room.

[Leet Eriksson]

Welcome to the bubble economy of dubai, the sheikhs here have brought this upon themselves.

Its far from over though, there are vested western interests here, though i do hope they drop their over ambitious dreams and start acting like a developing countries, and clean their human rights records.

[rotorgun]

I think I'll just go and take a nice Dubai before I turn in, and wipe it with the Dubai Ports Deal gone bad. Just don't anyone look back when you leave Dubai or you may turn into a pillar of poverty.

[Gregoshi]

Of course it is over for Dubya. He left office last month. Get with the program.

[Proletariat]

So what now, Dubai or not Dubai? This is an investor's nightmare!

[Xiahou]

If only they had sex and drugs, they might have been saved....

[Fragony]

Well at least they made a great effort, the times aren't in their favor. Naturally they go down first. Hope these expats have the decency to pay their debts not classy at all.

[Paradox]

This is definitely something to celebrate here in Abu Dhabi.

Dubai's Demise Day!

[Fragony]

This is definitely something to celebrate here in Abu Dhabi.

Dubai's Demise Day!

Why? Dubai actually tried something instead of the usual arab fatalism, or is it that's why.

[Paradox]

Why? Dubai actually tried something instead of the usual arab fatalism, or is it that's why.

It's because they never know when to stop, don't get me wrong, I go to Dubai almost every weekend but this has gone way too far. The fact is that Dubai was already in a safe spot, and the Sheikh succeeded in making it one of the most prestigious Arab cities.

http://nbcsports.msnbc.com/id/29225263/

Plus, this is ridiculous. Their government is just too *clearly* corrupt that nobody even cares what happens to this city.

[Fragony]

lol yes that's rediculous. You nobility or anything? Who has the money to go to Dubai every weekend that place ain't cheap, especially the booze ;)

[Paradox]

lol yes that's rediculous. You nobility or anything? Who has the money to go to Dubai every weekend that place ain't cheap, especially the booze ;)

For da chics, not teh booze. And I live in the same country, I'd be crazy not to go there occasionally.

[Idaho]

If only they had sex and drugs, they might have been saved....

There are the usual drugs of nicotine and alcohol in abundance.

And as for sex - Dubai is basically one big brothel.

[rory_20_uk]

In the UK the number of unemployed is increasing. The government has to pay their benefits, housing and a myriad of other costs.

In Dubai "thanks for your work. Now piss off".

Sure, the population and economy is shrinking - so is ours! We just have to keep all the unproductive people too.

Short term it's very, very bad. Long term I think it'll rebound.

If it doesn't I'll be trying to go to Quatar come the next "upturn that will last for 1,000 years!" (a phrase used by the next self glorifying Chancellor)

[rasoforos]

You are a bit too quick to write Dubai off...

...As any other services based place, its economy will suffer during a recession.

...As a very fast growing place, a large proportion of projects will be halted during a recession.

...As a place that experienced a population boom its unemployment levels will be high during a recession.


And of course when things bounce up it will dramatically grow. It is a well designed services and transportation hub and I do not see them facing too many problems post-recession.




The only reason that Dubai will inevitably fail and crumble to dust is that you have to walk 25 minutes inside their new airport terminal to get to the Irish pub (only 2 alcohol selling non-fancy-restaurant places in the terminal) and then you gotta pay a gazzillion dirhams for a pint of Guinness...