Property rents in Abu Dhabi are continuously declining, erupting waves of fear among developers especially for those whose buildings are all set to complete. The capital saw 14 per cent decline in apartment rents while Grade-A office space rent also declined an average of 28 per cent according to an observation of the property consultancy Jones Lang Lasalle.

However, customers and some businessmen are the innocent beneficiaries of decline in property prices as the scenario provides them opportunities to shift in new buildings without shelling extra money. The report says, "While developers have scaled back many projects since the market correction at the end of 2008, the additional supply entering the market is generating an oversupply situation for most asset prices."

At a time when a large number of homes and offices are ready for delivery, further fall in rents can not be ruled out. Jones Lang Lasalle said that the ongoing trend in the rental market may push the vacancy rate well above 10 per cent, from its current rate of 8.4 per cent.

Jones Lang Lasalle further told that lower and middle-income residents still want affordable homes despite steep decline in property rates.