Dubai Real Estate Market Review 22-Feb-2024
Below are the latest real estate news and transactions.
Up to 200% price increase: Why Dubai property buyers are now selling homes
Dubai's residential market has shifted to favor sellers, capitalizing on a three-year property price rally that has seen values soar past 2014 peaks, with some properties appreciating by up to 200% since the pandemic. Despite signs of a slowdown and potential plateauing, investors are seizing the opportunity to sell at a profit, particularly in areas with limited supply and high demand. Industry insiders highlight Dubai's appeal due to no capital gains or property taxes, and a growing population that amplifies demand. However, challenges loom in 2024, including high interest rates, decreased affordability, and an increase in housing supply, which may stabilize prices.
Read the full article on Khaleej Times
Nakheel announces new ultra-luxury development Bay Villas in Dubai Islands- B
The new luxury development of waterfront and garden properties offers a range of amenities and unique landscaping for residents to enjoy.
Read the full article on Arabian Business
Abu Dhabi sees MASSIVE increase in real estate transactions as off-plan sales leap 104%
Abu Dhabi saw large increase in real estate transactions as prices remain broadly similar.
Read the full article on Arabian Business
Damac chief sees influx of Chinese investors driving next rally in property market
Hussain Sajwani, chairman of Damac Properties, predicts that Chinese investors will be the next major growth driver for Dubai's luxury property market, highlighting its bright future despite the challenge of limited land supply. Dubai's appeal is boosted by regional and global security, low taxes, and an influx of talent and businessmen post-Covid-19, particularly from Europe and the US. While recent years have seen significant investment from European and Russian nationals, Sajwani anticipates a stronger wave of Chinese investment in the coming years, as China eases its Covid-19 travel restrictions and looks for investment opportunities outside the US and Europe.
Read the full article on Zawya
Tiger Group and a glimpse into Dubai's real estate love affair with extravagant buildings
Tiger Group, renowned for its architectural innovation, plays a pivotal role in defining Dubai's skyline with iconic structures. Founded in 1976 by Eng. Waleed Mohammad Alzoubi, it has evolved from its construction and real estate origins to a diverse conglomerate. The group emphasizes eco-friendly designs and cutting-edge technology in its projects, aiming to marry form with function and luxury. It has completed or is developing 270 projects, totaling 93 million square feet. Recent projects include Red Square Twin Towers, with ongoing developments like Cloud Tower and Seslia Tower, showcasing its commitment to sustainability and luxury in urban development.
Read the full article on Daily Pakistan
Abu Dhabi-Based Eagle Hills Signs $4B Agreement With Bahrain To Establish Real Estate Company
Eagle Hills International, based in Abu Dhabi, and Bahrain have signed a $4 billion agreement to form a new real estate development company, Binaa Al-Bahrain, to support Bahrain's real estate sector and create jobs for Bahraini youth. The partnership, involving Edamah, aims to strengthen Bahrain-UAE relations, enhance local housing, and support Bahrain's economy. Fitch anticipates economic growth in Bahrain, with increased investment boosting wages and consumer spending. The Bahraini real estate market is expected to grow to $84.5 billion by 2024, with a 3.9% annual growth rate until 2028. This initiative reflects strong bilateral ties and shared economic goals.
Read the full article on Forbs Middle East
Bloom Holding launches ‘Seville’, fifth phase of Bloom Living in Abu Dhabi
Bloom Holding has unveiled 'Seville,' the fifth phase of the Bloom Living community in Abu Dhabi, featuring Mediterranean Spanish architecture. Seville, launching in 2024, will include seven-bedroom mansions, three to six-bedroom villas, and two and three-bedroom townhouses with lakeside views and access to premium amenities. Targeting a Q1 2027 completion, it aims to cater to a diverse demographic, promoting multi-generational living. Bloom Holding emphasizes Seville's role in fulfilling the demand for high-quality, integrated community living, offering a valuable investment opportunity in a strategic location near Zayed City and Abu Dhabi International Airport, with purchasing open to all nationalities.
Read the full article on Zawya
Shah Rukh Khan’s Multimillion-Dollar Real Estate Venture in Dubai Shocks Industry
Shah Rukh Khan, a celebrated Bollywood actor, has diversified into real estate in Dubai with the launch of SRK Boulevard in 2012, a luxury beach-facing residential project in the Dana Islands of Ras Al Khaimah. This venture, involving a partnership with the UAE, places Khan among other celebrities with real estate investments. The project features 10 beachfront buildings offering exclusive community living with amenities for marine sports and leisure, designed by Los Angeles architect Tony Ashai. Interiors are styled by Gauri Khan, Shah Rukh’s wife, highlighting the couple's business acumen beyond the film industry.
Read the full article on The Madras Tribune
Dubai Real Estate Transactions as Reported on the 21th of February 2024
The Dubai real estate market saw vigorous activity on the 21st of February 2024, with total transactions reaching AED 2,164,468,757.
Off-Plan Property
Off-plan properties significantly contributed to the market with transactions totaling AED 1,385,951,007, which is approximately 64% of the day's overall transactions. Within this segment:
Flats were the most substantial contributors, with transactions amounting to AED 1,232,330,301, demonstrating strong investor confidence in residential projects still under development.
Villas also showed a solid performance in the off-plan market, contributing AED 129,140,380 to the sales figures.
Hotel Apartments and Rooms, while the smallest category in the off-plan segment, added AED 21,660,326 to the total, indicating a targeted but consistent investment interest.
Ready Property
Ready properties accounted for transactions worth AED 778,517,750, making up approximately 36% of the total daily transactions. The breakdown is as follows:
Ready flats led this sector with AED 417,282,863 in sales, reflecting ongoing demand for units available for immediate occupation.
Villas had a lower yet notable contribution of AED 52,311,641, likely influenced by buyer preference for turnkey homes.
Hotel Apartments and Rooms emerged as a significant component within the ready property market, with transactions amounting to AED 43,269,640, underscoring the attractiveness of investment in Dubai's hospitality sector.
Buildings contributed AED 230,400,000.
Summary
The distribution of transactions on 21st February 2024 highlights the Dubai real estate market's vitality, with off-plan properties dominating over 60% of the market's activity, largely due to flat sales. Ready properties, while less in total value compared to off-plan, reflect a diversified interest across residential and hospitality sectors. The data reflects confidence across the board, with a clear indication of Dubai's robust economic growth and a strong real estate market appealing to both investors and end-users.
Data Source: Dubai Land Department