Another UAE state has reached a landmark in its own battle for a share of the region’s limelight with a key real estate development. Ras Al Khaimah (RAK) firm Rakeen unveiled the Gateway project over the weekend and began selling land from the plan to property investors and developers.

Based on the Emirates Road close to the new World Trade Centre in RAK, the development is set to be a mixed-use venture and will be one of the biggest of its kind in the state. YES Property Investment is taking on the job of marketing slices of the project’s first phase to investors.

Rakeen board member Wahid Atallah said the whole site will involve 60 million square feet of investment property, including residential towers, across five phases in total.

Rakeen said:

“We have finished the city designs and sketches with distinguished internal streets and roads taking into consideration that all towers and buildings will have magnificent views overlooking the parks and green flat areas, and convenient wide roads for all residents of the city.”

Rakeen is also building Al Marjan Island, the first man-made island project to be developed in the Emirate.

The five-island project is expected to be complete next year and is using surface fill with coarse earth material in the construction process.

A 25 per cent drop in UK house prices still can’t be “ruled out” according to an industry poll. Results of a survey by news site headlineproperty showed many journalists and experts in the sector expect prices to slide further below 2007’s record highs.

Poll participants were asked whether they agreed or disagreed with the idea that UK house prices could fall by as much as 25 per cent from the levels being achieved last August. A total of 68 per cent agreed such a fall was still on the cards over the coming months.

Headlineproperty said:

“Splitting out the figures further, 75 per cent of property journalists said they believed a 25 per cent fall in prices was possible, while 59 per cent of industry professionals also agreed a fall of this magnitude could occur.”

The site also asked those who did not believe there would be a 25 per cent drop what they thought about house prices. Of this group, the average house price forecast for August this year was £182,000 and £182,000 a year later, suggesting there are some property commentators who think the market will soon flatten and begin to recover over the next 12 months.

America’s real estate market was given a leg-up on Monday after the US government revealed it was prepared to shore up the country’s two biggest mortgage finance firms.

Last week the share prices of Freddie Mac and Fannie Mae slumped amid concerns they could struggle to raise capital. But the new government plan means the Federal Reserve would lend money to both firms if necessary while the Treasury could buy shares in the companies.

Both businesses are crucial to the US housing market and the economy in general as they own or guarantee nearly half of all American mortgages. US Treasury secretary Henry Paulson said:

“Today our primary focus is supporting Fannie Mae and Freddie Mac in their current form as they carry out their important mission.

“We appreciate Congress’ important efforts to complete legislation that will help promote confidence in these companies. We are maintaining a dialogue with regulators and with the companies.

“OFHEO (Office of Federal Housing Enterprise Oversight) will continue to work with the companies as they take the steps necessary to allow them to continue to perform their important public mission.”

Richard Syron, chairman of Freddie Mac, said the firm was “heartened” by the move while his Fannie Mae counterpart, Daniel Mudd, declared his company was “grateful” for the measures.

The share prices of both firms climbed sharply following the announcement, which could stave off a total meltdown of US homes market.