The selling of a three-level penthouse property in the “Bulgari Lighthouse” on Jumeira Bay Island for Dh410 million was the first of many super-luxury home purchases in Dubai in 2023 to break records. According to data from DXBInteract.com, the contract for the nine-bedroom unit with a size of around 39,000 square feet was filed on February 1.
The massive transactions, however, didn’t stop there. Another unit on Jumeira Bay island sold for Dh112 million (13,785 square feet) on February 1 as well. On January 30, a home in the same area was sold for Dh67 million.
The Dh410 million purchase considerably tops the Dh163 million record for a Dubai penthouse set in August of last year at Atlantis The Royal Residences on Palm Jumeirah.
According to DXBInteract.com, a few Jumeira Bay-based agreements actually contributed to more than Dh2 billion in sales between January 12 and February 1. Yes, one place in Dubai is keying in that number.
Of course, there were high-profile property sales on the Palm last year, with asking prices of Dh600 million and slightly more than Dh302 million.
What these deals – and elsewhere in Dubai’s super-prime spots – reinforce is that there is no slowing down in demand for such homes. “Even during the slowest of times Dubai property market went through between 2015-late and 2020, there were still luxury home sales with prices that literally set the bar high,” said a consultant.
“Demand for luxury homes in Dubai did not peak in 2022 – there’s still a lot of space that’s in play. The Dh410 million and the Dh112 million deals attest to that. These are prized assets for their new owners.
“Demand for luxury – be it homes, cars, jewelry – do not fit neatly into the yearly cycles. So, if anyone believes that 2023 will be slow for Dubai’s super-luxury real estate, they are wrong. Deals are happening – and they are the big ticket ones.”
Grab all that attention
The Dh410 million sale would certainly draw notice, not least because it would establish a new record for penthouse prices in Dubai. More pricey penthouses are being listed, whether privately or publicly, and some have already attracted numerous interested purchasers.
According to industry sources, more than a few penthouse sales worth more than Dh200 million are anticipated to be offered before summer.
Protection of capital
Apart from the numerous benefits these properties offer, what important to foreign investors is the stability the UAE market provides. “In 2022, that was the most important issue for global investors – stability and security for what they are putting in,” said an analyst. “This theme of stability will continue to resonate for Dubai in 2023.
“There are still deals being finalized for luxury homes in Dubai, some of these are from new investors. The global visibility of Dubai and UAE in these two years is still bright.”