Due to the unrelenting demand from end users and tenants who want to own real estate in Dubai, real estate developers are still aggressively launching new projects.
Developers, whether they are new or have a long history of completing projects, are encouraged to keep starting new projects because they think the market will continue to do well shortly.
The demand for real estate in Dubai will continue to be driven by projects like the relocation of Dubai International (DXB), the construction of the new Blue Metro Line, which will serve numerous communities along Sheikh Mohamed bin Zayed Road and Emirates, as well as macroeconomic growth.
The demand for real estate is increasing at an unprecedented rate due to Dubai’s population growth of over 140,000 in the first 11 months of 2024, pushing prices and rents to all-time highs. Additionally, Dubai welcomed over 100,000 new residents last year, including professionals and millionaires.
Over 125,000 residential transactions took place in the nine months ending in September 2024, a more than 36% increase over the same period in 2023. The value of residential sales has also increased, reaching Dh86 billion for off-plan transactions and Dh33 billion for ready-to-move-in transactions.
Developers such as Amwaj Development, Nabni Developments, Acube Developments, Kasco Developments, and Qube Development have launched nearly one or two new projects in Dubai in the last week alone.
About 250,000 homes are currently being built, providing housing for the emirate’s future expansion, according to Betterhomes’ third-quarter 2024 report.
“Like the temperature outside, the market over the summer was hot. A new quarterly record for transactions was set in the third quarter with over 47,300 properties sold. Driven by velocity of developer launches, off-plan sales dominated transactions, equating to 66 per cent, while secondary sales have remained relatively stable over the previous three quarter,” said Richard Waind, CEO of Betterhomes.
Attractive offers
The level of competition in Dubai’s real estate market has increased in recent years due to the entry of numerous new developers. However, as the market develops, developers must also create novel products and services to draw in tenants and buyers.
In the face of increasing competition, developers are offering buyers enticing deals. It is a very alluring offer because some developers, like Nabni Developments, offer 40% payment during the building phase and the remaining 60% upon completion. Many developers offer 80% during construction and 20% upon completion, particularly large developers who sell their properties in a matter of days.
Unique amenities
In order to contribute to a sustainable future, residential developments are being built with an emphasis on energy efficiency and environmental responsibility. Residents will save money in the long run because the buildings are made of sustainable materials that are low maintenance, provide high durability, and lower heat.
With their cutting-edge features and offerings, developers are also aiming to attract new customers.
The first off-plan project with an Emirati flair that combines modern design with Emirati heritage was introduced by Nabni Developments, Dubai’s top Emirati real estate developer.
Avenue Residence 7 by Nabni in Al Furjan is scheduled for completion in the first quarter of 2027 and has an Emirati facade inspired by the dhow boat and Barjeel wind towers. Numerous amenities with an Emirati flair will also be available to residents, such as two immaculate outdoor pools, a majlis/residents lounge, a jogging track, a fully furnished fitness studio, a special kids’ play area, and a calm outdoor Ghaf garden.
“Our latest project meets the growing demand for family-friendly living spaces while expanding our market reach in Dubai. This project reflects our commitment to local culture, innovation, quality, and sustainability, solidifying Nabni’s position as a leader in the real estate sector,” said Khalid Alsuwaidi, chief commercial officer of Nabni Developments.
In a similar vein, developers are putting a lot of emphasis on co-working spaces, home automation systems, and other amenities like gaming rooms, coffee lounges, and wellness centers.
The Cube Residences by Amwaj Development has 54 distinctively designed apartments that are all fully furnished and outfitted with cutting-edge home automation systems.
“The Cube Residences is an amazing project that embodies our commitment to innovative design and advanced technology,” said Emad Saleh, founder and chairman of Amwaj Development.
“Dubai’s real estate market has been growing rapidly over the last few years and we felt it is time for us to capitalise on the growing demand for real estate in the UAE,” said MuradSaleh, CEO of Amwaj Development.
In addition, residents will have access to a variety of amenities on the ground floor, such as a coffee cart lounge, a co-working space, a concierge reception desk, round-the-clock security, and a fitness center, sauna, and showers on the rooftop, as well as a gaming room with billiard tables, arcade games, and other amenities.
To lower import expenses, developers are also emphasizing local manufacturing. Acube Industries, a facility for interior design and manufacturing, was established by Acube Developments.
“This facility not only enhances our capabilities but also opens the door for other developers in the region to benefit from our services. With the latest advancements in specialised machinery and technology, we guarantee precision, speed, and cost-effectiveness, ultimately providing immense value to the UAE’s real estate market,” said Ramjee Iyer, chairman and managing Director of Acube Developments.