Sheikhs, Lies and Real Estate: The Untold Story of Dubai (30 page)

‘Come!’ shouted a voice from within.

The first thing that struck me was how white
the room was. The walls, carpets and ceilings were all one spotless colour.
There was a white coffee table in the middle of the room sitting on a white
fluffy rug. On the table sat a huge white vase with white orchids. And at the
far end behind a glass desk on a white leather chair sat a small man speaking
on a white phone. He was dressed in a white suit, white t-shirt and sneakers.
His hair was short and spiky, and his sideburns merged seamlessly into his
trimmed goatee. He gave me a thumbs up as I walked into the office, followed by
a ‘sit down’ hand gesture towards the white sofa behind me.

‘Please, sir, what would you like to drink?’
asked the Indian man while I waited.

‘Do you have green tea?’ I asked.

‘No, sir. Only white tea.’

‘Okay, that will be fine.’

Taz hung up and swivelled around to face me. ‘Sorry
about that, brav. Welcome! So Rav tells me you’re the new head of investments
at Milestone. Nice to meet you.’ His voice was high pitched and whiney, and his
inner-city accent made him sound like a gangster from the streets of East
London.

‘Yes, I’m Adam. Rav suggested I come over and
meet you, so thanks very much for taking the time to see me today.’

‘Nah, brav, the pleasure’s all mine. Milestone has
done very well in this market. I have never met Tariq, but his reputation as a
talented businessman is well known.’

‘Thank you, I will pass on your kind words.’ I
looked around the room. ‘So you like white, I see.’

‘Yeah, brav, white symbolizes purity, innit.
White is the colour of calm and peace, you get me? I like to be surrounded by
pure things and that, hence the white.’

I couldn’t help think that his explanation was
profoundly shallow, but I pretended to look interested nonetheless. ‘Very
interesting.’

‘So tell me, how can we do business together?’

‘Well, as you know, Milestone is one of the
biggest names in the industry, so I wanted to explore how we may be able to
partner up on some things that I’m working on.’

‘I’m afraid I’m going to have to stop you
there. I don’t know if anybody has told you, but we follow a strict policy of
not working with any brokers. Frankly, we have enough investors of our own, so
we don’t need the services of an agent, whether that’s Milestone or anybody
else.’

‘I am aware of that, Taz. But I wanted to let
you know that Milestone is now looking to manage capital on behalf of
investors. My responsibility as the head of investments is to create and manage
this new vehicle, and we are looking to build relationships with a few leading
developers to provide us with a strong pipeline of deals.’

Taz listened attentively, rubbing his palms
together as I spoke. ‘So I am assuming you will be managing a large pool of
funds and will be looking to invest in floors, buildings, plots…’

‘Exactly right.’

‘And where will this vehicle be domiciled?’

‘Well, it will be structured as an offshore
vehicle in the Cayman Islands or the British Virgin Islands. We want to maintain
our investors’ confidentiality and protect their interests at all costs.’

Taz’s eyes lit up and he stroked his beard
gently. ‘Interesting. Very interesting.’ He stared at me and smiled. ‘In that
case, I think we can certainly work together. You may have heard that we are
actually launching a new project tonight, and I would like to invite you as my
guest.’ He rummaged through some papers on his desk before handing me an
envelope. I opened it to find two VIP tickets to the launch party.

‘Taz, thank you, but I can’t accept these. We
haven’t even done any business together yet!’

‘Please, I insist.’ He wasn’t giving in. ‘Listen,
I like you. I think you are somebody I can trust. I am a very good judge of
character, you know. I think we can have a long-lasting business relationship.’

‘Well, thank you. That’s very kind.’

‘No worries, brav. But this invitation is on
one condition. That we meet again the day after the party to talk business. I
will have some options I would like you to consider then. Enjoy the party and I
will see you in a couple of days. How does that sound?’

I agreed and left Paradise City’s offices
feeling like I had hit the jackpot. Just this morning, it looked as if I had no
chance of attending the biggest launch in Dubai property history. Now I not
only had guaranteed entry from Sean, but had also scored two VIP tickets from
the CEO of the firm! Tonight was going to be great.

I didn’t want to go alone, so I asked Hani to
join me as a thank-you for all the favours he had done for me recently. He was
over the moon and we agreed to meet at eight. We dressed up in tuxedos and made
our way to the Al Qasr.

As we pulled up at the entrance to the
ballroom, it felt as if we had gone back in time for a Hollywood movie premiere
from the golden era. The dancing beams from giant spotlights illuminated the
sky as dozens of people scrambled to get past the army of security officers to
the barriers and secure their spot for a view of Fernando. There were lines of
super-cars parked close by, among them a beautiful white Aston Martin with white
interiors and wheel rims featuring the unmistakable number plate ‘TAZ 1’. A
long red carpet had been laid out for the invited guests and scores of
paparazzi from the local glossy magazines huddled together, armed with
microphones and camera lenses.

The inside of the ballroom had been transformed
into a dream-like fantasia. Every wall was dotted with hundreds of lights,
creating the surreal effect that the room was floating against the night’s sky.
On the stage a live orchestra played a Tchaikovsky overture as the exclusive guests
poured in and took their seats.

‘Find our seats, buddy. I gotta make a quick
call. I’ll be back shortly,’ said Hani, before disappearing for a while.

‘Sure.’ I grabbed a drink from a passing waiter
and tried to mingle a bit. A circle of older European men near the bar were
discussing the state of the property market as I loitered inconspicuously to
listen in.

‘Gosh, these parties are getting more and more
lavish, I must say.’

‘Yes, but that doesn’t justify prices getting
out of control. Who is seriously going to buy this project at three and a half
thousand dirhams per square foot? It’s preposterous.’

‘You’re right. If they honestly think putting
on a show and feeding me well is going to make me part with my money, they have
another think coming.’

It was clear that the euphoria of previous
property launches was waning and speculation was not the cash cow it once was.
With so much supply now on the market, developers were finding it difficult to
command ludicrously inflated prices. The old game of flipping a newly launched
property for a premium was beginning to disappear, and many investors were even
forced to sell their units at a zero premium, or worse, at a loss. Sellers were
outnumbering buyers, which meant it was much more feasible for an investor to
buy something in a similar location for up to half the price on the secondary
market. A celebrity appearance and a gourmet buffet from a Michelin-starred
chef were a last resort for desperate developers to entice investors into
buying in a market where doing so was becoming increasingly illogical, and
unprofitable.

Hani returned shortly after and we took our
seats at our table moments before dinner was served. But just as I was about to
tuck in to the gorgeous plate of food in front of me, I felt my phone vibrate
inside my trouser pocket.

‘Hello?’ I answered.

‘Hi, it’s Sean.’

‘Sean?’

‘Yes, Sean, from Paradise City. We spoke
yesterday, remember?’

‘Oh, hi Sean.’

‘So is he here?’

‘Who?’

‘Your Lebanese investor. Is he with you?’

I had to think fast. ‘Well, the thing is...’

‘He has his chequebook, right? Because this
building is going to move fast, believe me.’

‘Yes, I’m sure, but Sean...’

‘What table are you at? Wait a minute, I think
I see you, I’m coming over.’

I turned to Hani in desperation. ‘Hani, you
gotta do me a big favour. You have to pretend to be a big Lebanese investor.’

Hani looked baffled. ‘What? What are you
talking about?’

‘Just listen to me. Act like you’re a big-shot
investor who is here to buy. Okay?’ Before he could respond, Sean was standing
behind me.

‘Hi there. Good thing I spotted you!’

‘Hey, Sean, good to meet you,’ I said and shook
his hand.

‘How did you guys get on the VIP table?’ he asked,
scratching his head. ‘I booked you on table seventeen.’

‘Well...’

‘Anyway, that doesn’t matter right now. So this
must be your investor?’

‘Yes. This is my investor. Mr... Bin Laden.’

Sean grabbed Hani’s hand. ‘Hello, Mr Bin Laden!
Thank you so much for coming tonight. I hear you’re very interested in buying
in the Waterfront.’ Hani nodded nervously. ‘That’s fantastic, because this
building has one of the best plots in the entire development.’ Again Hani
nodded, while glancing at me curiously. ‘So do you have any questions about the
development that I can help with?’

I interjected. ‘Sean, I don’t think Mr Bin
Laden is too keen right now to...’

‘No, it’s okay,’ interrupted Hani in a mock
Arabic accent, which almost made me fall off my chair. ‘Sean, as a matter of
fact I do have a couple of questions. What is the price per square foot you are
offering?’

‘We are selling it at two thousand seven
hundred dirhams per square foot, sir.’

‘Don’t you think that is a massive premium to
the market?’ Hani was playing the part to perfection.

‘Not at all, sir. The Waterfront will be the
most exclusive community in Dubai once it is complete and ours is one of the
best sea-facing plots on offer.’

‘Yes, but Sean, here is my issue. I can buy
something in, say, Business Bay today on the secondary market for half the
price of a newly launched project. There is a glut of unsold properties
available that have been flipped a number of times and are now struggling to
find a buyer. It simply makes no sense for me to buy a new launch when I can
pick something up for cheaper. What’s to say that won’t happen in the
Waterfront?’

Sean was stumped. Hani’s question had thrown
him off balance and he didn’t seem to have an answer. ‘We don’t believe
Business Bay can be compared to the Waterfront, and we are certain it will hold
its value.’ It was a poor effort right out of the Dubai property agent’s
handbook.

‘Okay. Well, Sean, why don’t we enjoy our
dinner and we can speak again later in the evening. How does that seem?’

‘Absolutely, Mr Bin Laden. Please, enjoy your dinner.
I’m only a short distance away if you need me.’ Sean winked at me before
disappearing back to his table.

‘Wow, Hani, that was incredible! I didn’t know
you knew anything about real estate!’

‘Buddy, I’m in the fastest-growing market in
the world, most of my friends are property brokers and I’m Lebanese; making
money is in my blood. Besides, I needed a way to get rid of him so we can enjoy
our food in peace,
yaani
.’

As we tucked into our Michelin-starred meal,
the evening’s entertainment was just beginning. The lights went down and the
room fell silent as a small man in a white suit came onto the stage.

‘Ladies and gentleman, good evening. I am Taz,
the CEO of Paradise City,’ he said, staring intensely at the scrap of paper in
his hand. ‘Three years ago, I had a dream to build towers in the desert. I had
a dream to be one of the biggest property developers. I had a dream to bring
people together in harmony and peace. In Dubai, my dream became real!’ There
was a rapturous round of applause. ‘Welcome to the launch of our second
project, the Paradise Tower in the Dubai Waterfront. Tonight is your
opportunity to own your own piece of Paradise!’ Again, a round of applause. ‘We
have an A-list line-up of entertainment, so without further ado, let the
night’s enjoyment begin.’

He left the stage as the spotlights began to
flash and a band appeared with a familiar looking voluptuous Lebanese pop star
called Alina, who began a rendition of her greatest hit, ‘Yalla, oh baby’. 

I rushed to the bathroom before dessert arrived
and bumped into Taz in the lobby.

‘Taz, great speech earlier,’ I said.  

‘Thanks, man. I’m glad you could make it. Are
you enjoying yourself?’

‘Yes, it’s great. The food was excellent and
I’m looking forward to seeing Fernando later, along with everybody else here.’

‘You want to meet him?’ he asked suddenly.

‘Who?’

‘Fernando.’

‘Are you serious?’

‘Sure. Come, I will introduce you.’ Taz put his
arm round my shoulder and led me backstage. In the large green room there he
was, Fernando, the biggest star in the world, smoking a cigarette while his
band members tuned their guitars.

‘He looks a bit busy, Taz. Why don’t we do this
another time?’

‘Don’t be silly. Fernando, my man! This is my
good friend Adam. He wanted to say hi.’

Fernando looked up and gave me a high five. He
was very handsome in the flesh and his ripped torso made me a little jealous. ‘Hey,
Fernando, good to meet you,’ I said nervously. Every teenage girl in the world
would have killed to be in my position right now. 

‘I want you guys to take care of Adam and show
him a good time tonight,’ said Taz, while massaging my shoulders. 

‘Taz, anything you want, buddy. Your friend can
hang out with us as long as he wants,’ replied Fernando. I was speechless.

‘Enjoy the night, gentlemen,’ said Taz.

‘Wait, Taz, aren’t you going to join us?’ I
asked.

‘No, I’m afraid not,’ he smiled. ‘I have
important people to entertain. Have fun. Just remember, you owe me a favour
back.’ With that, he winked and walked away.