Rents may have boomed in recent months, yet a major Dubai developer has predicted that rents in the city will eventually come down.

"Some 40,000 apartments and villas are being built in Dubai. The Discovery Gardens and the Lost City will be ready in two years time and the Gardens shopping mall will open in a month time. Rents have to come down (because) it is not good for the Dubai economy," says Sultan Ahmed bin Sulayem, Executive Chairman of Ports, Customs and Free Zone Corporation (PCFC), and Chairman of Nakheel.

He adds: "Some say that it is bubble. There is no bubble. (Even if there is a) bubble it is also good. Prices will come down and properties to rent will be cheaper."