Dubai Real Estate Navigates Towards a Historic Boom
Allsopp & Allsopp predicts a significant surge in Dubai’s real estate market, possibly the largest in a decade.
2 min
Allsopp & Allsopp, a leading property specialist, provided a comprehensive analysis suggesting that Dubai’s real estate market is on the verge of experiencing its most substantial growth in a decade.
The firm analysis reports a notable increase in sales volume in the first quarter of the year, marking a 19.3% rise compared to the same period in 2023. This uptick surpasses the record-breaking sales volumes of Q4 2023, indicating a market that continues to strengthen.
The analysis by Allsopp & Allsopp reveals a significant trend towards affordability in the real estate market. It highlights that 30% of all properties sold were priced under AED1 million ($272,000), with the majority, 80%, being under the AED3 million ($817,000) threshold. This trend underscores a growing preference for more economically priced properties, coinciding with an increase in finance buyers over cash transactions.
Projections for Dubai’s Real Estate Boom
Dubai’s exit from the Financial Action Task Force FATF “grey list” has significantly influenced investment patterns, boosting the city’s appeal as a financially stable and secure destination for global investors and institutions. This enhanced credibility is expected to drive further investment into Dubai’s real estate sector.
The preference for off-plan properties remains dominant, prompting developers to accelerate the launch of new projects. The current pace sees a new project unveiled every 17 hours, a marked increase from the previous rate.
Key Market Findings
- Apartment sales lead the market with a 13% increase from the previous quarter’s record, highlighting the preference for apartment living.
- Prime residential areas, namely Jumeirah Village Circle, Dubai Marina, and Business Bay, remain the most sought-after locations.
- The sales value split shows apartments making up 61.2%, while villas and townhouses account for 38.8% of total sales.
Lewis Allsopp, Chairman of Allsopp & Allsopp, praised the market’s outstanding performance in Q1, highlighting the surge in sales transactions and the shift towards finance buyers. A record-breaking sale of a luxury villa for AED72 million ($20 million) in Al Barari was a highlight, contributing to a 41% increase in villa and townhouse sales.
With Dubai recently being named the most visited city worldwide and over 25,700 expatriates making it their home in the last quarter, the population growth is poised to further boost the real estate market. Allsopp & Allsopp stand by their prediction that Dubai is on the edge of its most significant boom in 10 years, fueled by ongoing investments and the increasing influx of new residents, marking a new era in Dubai’s real estate history.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Americans now think they need at least $1.25 million for retirement, a 20% increase from a year ago, according to a survey by Northwestern Mutual
Dar Global strengthens ongoing relationship with the Trump organization
2 min
Dar Global, an international luxury real estate developer, and The Trump Organization, known for its prestigious properties and iconic developments worldwide, have announced plans for a new project in Jeddah, Saudi Arabia.
This agreement builds on the successful Trump International Oman project within the AIDA development, one of the largest premium mixed-use real estate ventures globally, which has already garnered significant acclaim.
Aimed at the luxury Saudi Arabian market and international investors, this development advances Dar Global’s strategy of capitalizing on opportunities in key Saudi cities. As the international arm of Saudi mega-developer Dar Al Arkan, this project marks Dar Global’s debut in Jeddah and will enhance its real estate portfolio in the country. Listed on the London Stock Exchange, Dar Global currently has US$5.9 billion worth of projects in development across six countries: the UAE, Oman, Qatar, the UK, Spain, and Bosnia.
Ziad El Chaar, CEO of Dar Global, commented: “We are delighted to strengthen our ongoing relationship with The Trump Organization and expand our portfolio by delivering premium properties to redefine Saudi Arabia’s high-growth real estate market. The new agreement in Saudi Arabia will leverage the strengths of both organizations to attract more international investors and vacationers. This collaboration underscores our commitment to grow our footprint by elevating the standards of luxury living in the region.”
Eric Trump, Executive Vice President of The Trump Organization, said: “We are thrilled to expand our footprint in the Middle East and bring the Trump standard of luxury to the region through our long-standing relationship with Dar Global. This collaboration embodies our shared vision of creating landmark developments that exude luxury, quality, and sophistication. Together with Dar Global, we are setting new benchmarks for excellence, aiming to meet the demand for iconic properties in key markets.”
Dar Global PLC is a highly differentiated international real estate business, primarily focusing on developing second homes for internationally mobile customers in desirable locations across the Gulf Cooperation Council (GCC) and Europe, including downtown Dubai, Muscat in Oman, and the Costa del Sol region in Southern Spain.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Americans now think they need at least $1.25 million for retirement, a 20% increase from a year ago, according to a survey by Northwestern Mutual
