Middle East > Bahrain > Bahrain to increase rent at industrial site by 6000%

Bahrain: Bahrain to increase rent at industrial site by 6000%

2013/08/27

Bahraini officials are to increase rents in an industrial area on the island national by as much as 6000 %, in a bid to stem accumulated losses due to rates before being too low.
Bahrain’s Municipalities and Agriculture Affairs Ministry is planning the rate hike at the industrial area in Hidd, the Akhbar Al Khaleej newspaper said.

The ministry before received nominal rent for space from contractors at the site and said it was not enough to cover ongoing losses, officials said.

The new rental levels will come into result at the same time as current leases expire and will help raise revenues for the area to BD2m ($5.28m) a year, up from previous levels of around BD25,000, the ministry said. A total of 51 contractors at the site will be impacted by the decision.

The move comes at a time at the same time as the kingdom is battling anti-government unrest and is eager to maintain its reputation as one of the Gulf’s leading trade and business hubs.

Comments

Related Articles

Bahrain is supported by its strongly positive net international investment position
2014/01/04 Bahrain is supported by its strongly positive net international investment position, which was 83 % of GDP at the end of 2012, Moody's said in its Bahrain Credit Analysis. "Moreover, the current account balance has consistently been in surplus since 2003, and we expect it to remain in surplus in 2013 and 2014," the statement said. Bahrain as well has a relatively high level of GDP per capita and enjoys strong support from its fellow GCC members, it said.
Bahrain's insurance market
2014/01/04 Bahrain's insurance market posted an annual increase during 2012, the Central Bank of Bahrain (CBB) announced. Gross premiums/contributions increased by around nine % over 2011 to register BD239.05 million in the Bahrain insurance market in 2012. A significant part of this increase was attributed to a surge in long-term insurance (life and savings products), registering around 14pc increase in gross premiums/contributions to reach BD60.16m in 2012.
Gulf Air to Resume Flights to Mashhad, Iran
2013/11/12 Gulf Air, the national carrier of the Kingdom of Bahrain, today announced that it will be recommencing flights to Mashhad, in Iran, with four weekly flights starting on the 17th December. As one of the Middle East’s major network carriers, Gulf Air is well-positioned to connect Iran to several key destinations in the Middle East and Europe with excellent connectivity within 3 hours through its efficient hub in Bahrain. Mashhad is the second most populous city in Iran and is the capital of Razavi Khorasan Province. It is located in north east of the country close to the borders of Afghanistan and Turkmenistan. Its people was 2,772,287 at the 2011 people census. It was a major oasis along the ancient Silk Road connecting with Merv in the East.
Bahrain’s transit centres, the seaport and the airport,
2013/08/13 With a flurry of new infrastructure projects, the government is selling Bahrain’s regional connectivity as a key attraction for foreign investors. While the island Kingdom may not compete for east-west traffic with world transit centres like Dubai, Doha and Istanbul, Bahrain is carving out a role as a gateway to the GCC markets. As the Gulf nations continue to prioritise the development of non-oil industries, regional trade links are increasingly critical to investment , and a new airport, seaport and rail system are set to provide solid foundations for next increase. “Optimising Bahrain’s connectivity to the region through leading facilities plays an significant part in our strategy to create sustainable economic increase and high-quality Bahraini jobs for the long term,” Transportation Minister Kamal bin Ahmed told local media in June.
Bahrain's Gulf Air cuts losses by 50% in H1
2013/07/28 Bahrain's Gulf Air said on Saturday that its restructuring strategy was on track next reducing its in general losses by additional than 50 % in the initial half of 2013 compared to the same period last year. The airline said in a statement that this was completed primarily through a 26 % reduction in year-on-year costs across the organisation and bolstered by sound revenue results aided by a Q2 yield increase of over six %. As part of the restructuring plan, Gulf Air said it has cut its total workforce by 25 % year-to-date. Gulf Air said it performed 15 % ahead of its financial target in the initial six months of the year.