By Ghulam Haider
Dubai, with a population of 3.3 million, is a world of superlatives. From Burj Khalifa, the world’s tallest building, to the blooming archipelago full of villas, townhouses and apartments of Palm Jumeirah, one of the largest artificial islands around, to Dubai Marina, the largest man-made marina in the world, to the most exclusive neighborhoods offering Riveria-style living has become synonymous with the signature lifestyle Dubai offers.
Billing to its reputation, the Dubai property market continues to attract high-net-worth individuals (HNWIs) and foreign investors with its ultra-luxury properties. Three of the world’s most expensive properties sold in 2022 were located in Dubai, according to the real estate insights.
These three villas were located in Palm Jumeirah, which continues to be the preferred choice of the ultra-rich investors and HNWIs in Dubai. It accounted for 30 per cent of the total real estate transactions in the luxury market segment (Dirham 20 million and above) in 2022.
Besides Palm Jumeirah, Jumeirah Beach Residence and Emirates Hills are other notable areas for ultra-luxury properties in Dubai. Tilal Al Ghaf has also emerged as one of the most demanded communities this year for prime properties in Dubai.
Dubai-a Prominent Real Estate Sector Player
With its stunning architecture, world-class amenities, and tax-friendly policies, Dubai has become an attractive destination for high-net-worth individuals and investors from around the world and has emerged as one of the most prominent players in the global luxury property market.
The latest data from DXB Interact’s January Dubai Real Estate Market Overview confirms this trend, revealing that sales volumes in the luxury property market were up 70 per cent while villa prices in January 2023 were up 34.9 per cent compared to the previous year.
The growth of Dubai’s luxury property market is fuelled by a combination of factors. One of the most important drivers is the government’s pro-business policies and initiatives, which have created a favourable investment climate for both local and foreign investors. Dubai’s tax-free environment, coupled with its robust infrastructure and excellent quality of life, make it a particularly attractive destination for high-net-worth individuals and their families.
The prices of ultra-luxury property are set to increase further in 2023. Supported by the rising demand from HNWIs, end-users, and foreign investors, the prime property sector, and the Dubai property market, on the whole, is set to cruise. The emirate’s economic growth is also contributing to the success of its real estate as it presents itself as a safe option for investors.
Most expensive properties sold in 2023
The highest deal for luxury apartments was closed in Bulgari Lighthouse, Dubai, Island 2 for Dirham 410 million. The development recorded another transaction for a luxury apartment costing Dirham 119 million.
It was followed by Aire Dubai, Al Wasl (Dirham 119 million), One Canal, Dubai Water Canal (Dirham 73 million), and Aire Dubai, Al Wasl (Dirham 62 million).
The iconic destination Palm Jumeirah has recorded two transactions for luxury villas valuing Dirham 125 million and Dirham 183 million to date. Other areas where luxury properties were sold include Tilal Al Ghaf (Dirham 90.1 million), and Emirates Living (Dirham 70 million and Dirham 45 million).