A magnificent beachfront parcel on the Dubai Water Canal in Business Bay was recently sold for a record-breaking Dh362 million, indicating that the market is still incredibly liquid and that Dubai’s real estate market is continuing to establish new records.
One of Business Bay’s few genuine canal-front properties, the corner plot is situated on the Dubai Water Canal and provides a prime location for a mixed-use development and upscale shops.
With quick access to Sheikh Zayed Road and Al Khail Road, it opens directly onto the canal boardwalk for convenient walking and bicycling. In the future, proposed stations within about 500 meters on the Gold Line, Express Line, and Zabeel Track will improve connectivity even more.
Due to strong investor demand and well-planned urban development, Dubai’s Business Bay is still one of the most sought-after real estate sites in the city. Recent market data indicates that the average price of a land plot in Business Bay has increased from Dh1,800 to Dh2,100 per square foot, representing an annual increase of almost 16.7%. This increase shows that people are becoming more optimistic about the area’s long-term worth, particularly for commercial and mixed-use developments.
Driven | Forbes Global Properties mediated the deal between Mukarrib Holdings, the plot’s seller, and the buyer.
“Dubai’s residential and development land markets continue to show depth and pace. We’re seeing steady absorption, disciplined supply, and a clear premium for the best locations, especially on the waterfront, with no signs of slowing,” said Abdullah Alajaji, Founder & CEO of Driven | Forbes Global Properties.
With waterfront properties being extremely uncommon, developers continue to face a limited supply of prime plots. Due to its strong off-plan activity, Business Bay continues to be one of Dubai’s best-selling communities. For a property of this size and visibility, the record-breaking Dh362 million land price can be explained by the combination of limited availability and persistent demand.
The typical price per square foot in business is currently about Dh2,434, up 7.3% year over year, according to data from DXBInteract. This year, 10,682 transactions were registered, representing a 19.4% increase from the previous year.
The district’s central location, close proximity to Downtown Dubai, and expanding portfolio of upscale residential and commercial projects are what make it so appealing.
“Between the buildable area, height, and location, there’s real room to design something special,” said Lina Allaoa, Associate Partner at Driven | Forbes Global Properties, who acted as an advisor to Mukarrib Holdings.
“It’s the kind of waterfront living that international buyers and brands consistently ask for: high quality, easy to enjoy, and well connected,” added Kianoush Darban, Associate Partner at Driven | Forbes Global Properties.
Analysts predict that Dubai’s economy will continue to grow, attract more foreign investment, and work to establish itself as a major international economic hub. With ongoing improvements to the coastline and infrastructure, Business Bay is well-positioned to continue being a key component of Dubai’s real estate development narrative.