Armani will partner with master-developer Arada, which has its headquarters in Sharjah, to launch the supra-luxury brand’s second project in Dubai in the summer.
The new project on the Palm ‘will be the biggest launch of the summer’, said an estate agent. “The developer has not formally released the prices, but there have already been multiple enquiries. This is a project with pricing that will reflect the Armani branding markup, the Palm premium, and the Dubai property’s attraction for the rich, whether in the UAE, the Gulf or from anywhere in the world.”
Market sources are speculating that the Armani project will only have a limited number of residences, likely to be between 100-300 units. “On a project like this, the developer would certainly have already confirmed a certain percentage of sales based on their existing client list or contacts,” said the agent.
The average transaction price for Palm properties sold year to date is approximately Dh3.8 million, according to the portal DXBInteract.com. The cost is Dh2,738 per square foot, or on a per-square-foot basis. Over 20% has been added to both values since one year ago.
Other options exist for palm-focused shoppers than Armani. With the ‘Como’ tower, Nakheel is resuming launch operations. a $75-story building with a Dh21 million entry price.
According to industry sources, developers are expediting their plans, particularly for high-end projects. The Land Department said on Friday that a Dh150 million transaction at the Burj Khalifa had taken place, continuing the Dubai real estate market’s recent streak of strong performance. Naturally, there was the now-commonly expensive deal for a Palm residence, for Dh60 million.
Head to the Canal
Several developers are moving forward with their debuts, including Damac, which this week added to its ‘de Grisogono’ collection of towers in Dubai, while Armani-Arada fine-tunes its launch and sales strategy. The “Canal Crown” gets its name from its proximity to the Dubai Canal, and like the previous four de Grisogono-branded projects, it places a strong emphasis on lifestyle components, a hint of greenery, and even the “ocean.”
Sample this for instance – ‘Residents will get the opportunity to enjoy aqua exercises and swim VR (virtual reality), giving them the opportunity to enjoy the magical depths of the ocean,” Damac says in a statement. “The tower will feature a garden level offering a unique planet-inspired theme.”
Definitely not another plain-vanilla high-rise.
Emphasis is on the ‘now’
Between now and high summer, developers are giving buyers every opportunity to go for off-plan. “Developers don’t want to miss out on even a moment to launch and have a confirmed buyer,” said an agent. “There’s still significant interest in Dubai real estate investments from overseas, and right now, no one sees a summer slowdown happening.
“It explains why the off-plan launch pipeline is so busy these days, and in fact, has picked up speed too.
“There are always concerns over how the global economy will shape up in the second half, and what that means for property investments. One is starting to hear a lot about growth forecasts being revised down again, markets turning shaky, etc. And there’s always the geopolitics.
“Apart from the luxury, Dubai developers are offering a straight proposition to buyers – secure investments.”
More towers on the way
Based on what was reported in the past after they just purchased a premium piece of land on Sheikh Zayed Road, Azizi Developments is another developer who is raising anticipation before a big show in an effort to impress investors.
However, this week saw a high-profile statement from another developer, Al Habtoor, who confirmed plans for a very tall residential tower. (This area will be widely observed because Binghatti also plans to construct the tallest all-residential tower in the world.)
And there are the new releases too
As part of its “Keturah Resort,” MAG begins selling items at The Ritz-Carlton Residences on the Creekside. The launch comes after the development’s super-premium penthouses and other units had comparatively strong take-up rates. Seven towers and twelve houses will eventually house 177 residences as part of the Ritz-Carlton project.
The ‘Sobha Reserve’ in Dubailand is also in the pre-launch phase, with starting pricing for the 4- and 5-bedroom homes starting at $2 million. Whether it is on Sheikh Zayed Road, in JLT, or right now in Dubailand, Sobha Realty has a very active off-plan launch programme.
“The other big announcement would come when Majid Al Futtaim Properties launches the second of its two islands within Tilal Al Ghaf,” said the estate agent. “So far, they only have released the limited collection on the ‘Lanai’ and which have proved to a big draw.”