Billion-dollar real estate project launched in Qatar

DOHA - Qatar has launched a US$5.5 billion ($8.16 billion) residential and commercial real estate project to attract Qatari and foreign investors to the booming property market.

The Lusail Development Project, launched last week, is a 35sq km development north of Doha. It is to house some 200,000 people in 25,000 residential units by 2010.

"We are creating a product and destination for people of all nationalities and cultures to enjoy and benefit from," said Nasser al-Ansari, chief executive of state-run Qatari Diar Real Estate which leads the project.

"Our goal is to create a master plan for the country."

He said foreigners could acquire property at Lusail on a 99-year lease. Some units may be sold as freehold.

Diar's Lusail will consist of golf courses, business and office districts, an entertainment centre and a marina with an additional 80 plots of land. The marina plots will include high-rise residential and commercial towers.

Lusail is the latest in a slew of huge real estate projects launched throughout the Gulf region, as governments try to diversify their energy-based economies.

High energy prices have created a domestic economic boom in Qatar, home to some 800,000 people. Its economy has catapulted itself to one of the fastest growing in the Gulf Arab region. "This is just the beginning. We have many more projects coming, in and outside of Qatar."

- REUTERS