Dubious Dubai Redefines Long-Term Parking
timesonline: Abandoned SUV
They have a parking problem in Dubai: people are abandoning cars by the thousands at the airport as they leave. Evidently careers based on real estate and investing are in tatters and the expats are abandoning mortgages and car leases in droves. They are often leaving the keys in the ignition, the ownership on the dash and letters of apology as they skip town- under sharia law you don't get a lecture or a bad credit rating for bad debts, you go to jail.
Sonia Verma of The TimesOnline describes the scene:
When the market collapsed and the emirate's once-booming economy started to slow down, many expatriates were left owning several homes and unable to pay the mortgages without credit.
"There were a lot of people living the high life, investing in real estate and a lifestyle they couldn't afford," one senior banker said.
Estimates are that the population of Dubai will drop by eight percent and property values will drop by sixty percent.
This isn't TreeHugger Schadenfreude, nobody is happy watching the misfortunes of others, whether is is the Dubai expat, the unemployed master of the Universe or the laid off auto worker. But you didn't have to be John Maynard Keynes to see this one coming.
More on Dubious Dubai in TreeHugger:
Dubious Dubai Hits Pause Button
Dubious Dubai: Eco-Bling on the Anara Tower
Chill Out on Dubious Dubai's First Refrigerated Beach
Dubai Jumps the Shark