Properties in Dubai - Central News Hub

Dubai luxury home sales mark 19 percent increase

Dubai’s luxury home market sees a 19 percent increase in sales, with Palm Jumeirah leading in both sales volume and total value, while Dubai Hills Estate emerges as a rising hotspot for luxury home buyers…reports Asian Lite News

According to the latest analysis from global property consultant Knight Frank, one hundred and five homes priced in excess of US$10 million were sold in Dubai during the first three months of the year. This marks a 19 percent increase compared to Q1 2023.

Faisal Durrani, Partner – Head of Research, MENA, explained, “The level of deal activity in Dubai continues to strengthen, particularly at the top end of the market, where the near constant stream of international high-net-worth-individuals vying for the city’s most expensive homes persists.

“The laser-like focus of the global wealthy on Dubai is best reflected in the rapid deterioration in the volume of $10 million+ homes for sale, which has fallen by 59 percent across the city over the last 12 months to just 864 homes.”

The total value of luxury homes sold during Q1 stands at $1.73 billion, up six percent from Q1 2023. This builds on Dubai’s emergence as the world’s busiest $10 million+ homes market.

Knight Frank says that last year, Dubai recorded 431 home sales above $10 million, nearly 80 percent higher than the next nearest contender—London (240). New York (211) rounded off the world’s top three most active luxury home markets in 2023.

Palm Jumeirah registered deals worth $628 million, and dominated the luxury homes market during Q1, accounting for 36.3 percent of sales by total value. Jumeirah Bay Island (11.1 percent) and Dubai Hills Estate (seven percent) followed in second and third place, respectively.

While Palm Jumeirah (39) also led the pack in terms of the total number of luxury homes sold, Palm Jebel Ali (ten) and Business Bay (seven) registered more high-end home sales than Jumeirah Bay Island or Dubai Hills Estate.

According to Knight Frank, other markets, away from the headline-grabbing Palm Jumeirah, Jumeirah Bay Island, and Emirates Hills, are fast rising in prominence among luxury home buyers, with Dubai Hills Estate, for instance, standing out as a market to watch.
Will McKintosh, Regional Partner and Head of Prime Residential, MENA, said, “Dubai Hills Estate has quietly for some time been rising up the ranks as not only one of Dubai’s most sought-after markets for domestic buyers, but now luxury home buyers are increasingly active here too.

“The relative proximity to both Downtown and New Dubai, combined with access to an international school, excellent neighbourhood facilities and amenities, and, of course, its abundance of green space, is quickly making Dubai Hills Estate one of Dubai’s most desirable neighbourhoods. Prices have unsurprisingly responded to the growing demand to live here and have risen by almost 11 percent in the last 12 months, while the number of homes available for sale has fallen by 75 percent to just over 1,000 units this past March.”
Knight Frank has previously found in its Destination Dubai 2023 report that access to parks and green space ranks as the most important consideration amongst global HNWI when considering an investment in the emirate.

According to Knight Frank, Dubai’s prime residential market, which includes Palm Jumeirah, Jumeirah Bay Island, and Emirates Hills, has also experienced a surge in performance.

Durrani concluded, “After growing by 16.3 percent in 2023, following an extraordinary 44.4 percent increase during 2022, Dubai’s prime residential market has grown by 26.3 percent over the last 12 months, easily making it one of, if not the fastest growing prime residential market globally. While these startling growth rates are phenomenal, it does not take away from the fact that Dubai’s luxury homes market still remains one of the most affordable in the world.

“Indeed, $1 million secures some 980 square feet of prime residential space in Dubai, compared to just 366 square feet in New York, 355 square feet in London, or 172 square feet in Monaco.”

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Danube Unveils Skyz Tower

The Dh475 million Skyz Tower will be a second home asset for investors… reports Asian Lite News

Dubai headquartered Danube Properties’ unveiled their latest project, the Dh475 million Skyz at the Cityscape Global exhibition at the Expo 2020.

Rizwan Sajan, Founder and Chairman of Danube Group, says the project provides an ideal investment opportunity for investors who want to benefit from the current low price and a higher premium in two years’ time when prices appreciate to a high level.

Property prices in Dubai could grow by 20 percent in two years, offering a 5 to 10 percent annual return on investment. In the last 6 months the property prices have gone up by 20 to 30 percent in many areas.

Danube Unveils Dh475 million Skyz Tower

The company expects greater investor interest in the new project, which will be the focus of its marketing and sales campaign at the Cityscape Global exhibition.

With prices starting from Dh399,000 for a studio, Dh599,000 for a one-bedroom apartment and Dh799,000 for a two-bedroom flat, buyers can expect to receive the keys after paying half of the amount through a 1 percent monthly payment scheme – meaning they can start earning rents after paying only 50 percent of the property.

“The Skyz Tower is an ideal property for end-users and investors who want a 2^nd home in Dubai as prices of properties have started to appreciate due to higher investor demand,” added Mr Sajan.

“Buyers of the properties can expect to benefit from 20 percent premium if they sell the property after two years when we will hand over the building to the buyers. This translates to a straight 15 percent annual profit – making it a very high return on investment.”

Skyz will be developed at an 67,837.39 square feet plot of land at Arjan, close to the Miracle Garden with easy access to Mohammed Bin Zayed Highway. The tower overlooks Miracle Garden, Arabian Ranches and Motor city communities.

The concept was to create a new residential destination that celebrates Mediterranean living by maximising usable outdoor space through balconies, terraces, gardens, parks, and plazas. The tower is designed to allow maximum views and light into the scheme and creates a series of ‘external gardens’ distributed around the building linked by an informal route with an outdoor pool and recreation area at various levels

Residential property prices in Dubai increased 4.4 per cent on average in the first eight months of the year, registering the highest annual growth since February 2015, according to real estate consultancy CB Richard Ellis (CBRE). Average apartment prices increased 2.5 per cent and average villa prices increased 17.9 per cent, CBRE said in its third quarter market report recently.

“But those shy away from investing – might miss the boat. Think of those who bought properties last year when the prices and market sentiment was the lowest in the middle of the pandemic – and made a killing by selling them at 30-40 percent premium earlier this year – a solid return in just six months,” said Mr Sajan.

“I urge the investors not to miss the boat this time. It is a golden opportunity – as property price now are still 36 percent lower than the previous peak of 2014. So, prices are still low and attractive. You may not make the same profit if you buy later.”

Average home prices are rising at the fastest pace since February 2015, with transaction volumes surging nearly 77 percent in August from a year earlier — up over 56 percent when compared with the same period in 2019, before the pandemic hit, according to CBRE.

“The demand for new supplies and the demand for new homes will continue to rise. Therefore, it is the perfect time to buy a new home – to benefit from the surge in prices – in order to make good money either through re-sale or rent – that is expected to rise from 2023 onwards,” said Mr Sajan.

Danube Properties recently launched Skyz Tower, a Mediterranean-themed high-rise residential tower with elegantly-designed apartments, retail outlets and recreational facilities with a development value exceeding Dh475 million.

The project will be developed at the Arjan master-planned community in Dubai, close to the Miracle Gardens, opposite to Motor City, Dubai Hills Estates and Dubai Hills Estate Mall with the easiest access to Mohammed Bin Zayed highway. The affordable homes come with Danube Properties’ trend-setting 1 percent payment plan that helps middle income tenants and end-users to easily acquire their dream homes.

The launch of the new residential tower comes a few days after land transaction value exceeded Dh100 billion mark in less than 9 months this year – as announced by Dubai Land Department – fuelled by strong investor interest in Dubai’s real estate.

Danube Unveils Dh475 million Skyz Tower

Danube Properties has recently delivered Bayz and Miraclz, while its largest project Lawnz is currently being completed for delivery will take the number of delivered units to 4,281 with sales value exceeding Dh3.5 billion by the end of this year. This will help to reinforce Danube Properties’ reputation as one of the most successful developers in the UAE with the highest launch-to-delivery ratio.

Danube Properties, part of the Danube Group, made its foray into the real estate market in June 2014, by launching the Dh500 million 171 townhouses at Al Furjan. Since then, it continued to expand its development portfolio by launching Glitz Residence I, II, III, Starz, Glamz, Miraclz, Resortz, Bayz, Jewelz, Elz, Lawnz, Wavez, Olivz and Skyz projects.

The company currently has a development portfolio of 7,002 units, with a combined value exceeding Dh4.98 billion. It has so far delivered about 2,155 units, with a combined sales value of Dh2.1 billion – or nearly half of its portfolio value.

Danube Unveils Dh475 million Skyz Tower