Strength of demand goes beyond individual high value deals as developers record 244 off plan residential sales averaging AED14 million in July
Dubai, UAE, Aug 12: Dubai’s luxury residential sector is becoming an increasingly important indicator of investor confidence, with a market report today showing that buyers continued to make multi-million-dirham commitments throughout July.
Developers recorded 244 off-plan residential sales above AED5 million last month, with a combined value of AED3.42 billion. The transactions ranged from the AED5-10 million bracket through to the AED50-100 million range, showing that demand extends across a broad spectrum of the luxury market.
An analysis by Dubai luxury developer Keturah reveals there were 151 off-plan apartment sales amounting AED2.3 billion in July, while 93 villa transactions generated AED1.1 billion. The average value across last month’s residential off-plan deals was AED14 million.
While the AED5-10 million bracket accounted for the largest number of apartment transactions, with 81 sales worth AED552.6 million, a significant proportion of the total value came in the higher price brackets.
Data from DXBinteract shows there were 41 sales between AED10 million and AED20 million worth AED593.6 million, while a further 24 transactions between AED20 million and AED50 million generated AED708.5 million.
“Dubai’s luxury market is demonstrating a depth of demand that goes beyond individual high-value transactions,” said Talal M. Al Gaddah, CEO and Founder of the Keturah luxury brand.
“Investors are continuing to commit substantial capital to Dubai residential property because they see that the city’s long-term fundamentals, international appeal and investment proposition remains strong.”
Keturah currently has two luxury communities under development in Dubai: Keturah Reserve, the AED5.7 billion bio-living community in Mohammed Bin Rashid City’s District 7, and the Ritz-Carlton Residences at Keturah Resort on the shores of Dubai Creek, adjacent to the Ras Al Khor Wildlife Sanctuary.
Off plan apartment sales by developers last month included four transactions in the AED50-100 million bracket at an average value of AED69.9 million, as well as one of AED166 million.
Villa demand showed a similar pattern, with 60 transactions in the AED5-10 million amounting to AED387.4 million, while 22 sales between AED10 million and AED20 million generated AED317.2 million. Ten further villa transactions in the AED20-50 million range were worth AED334.1 million, while another villa sold for AED 72.7M.
The latest figures add to a sustained trend. Over the past three months, Dubai developers have recorded 942 off-plan residential sales above AED5 million with a combined value of AED12.11 billion, at an average of AED12.9 million per property.
The luxury residential segment is also supported by demand for completed homes. In July, Dubai developers recorded a further 43 ready property transactions above AED5 million worth AED552.8 million, at an average value of AED12.9 million.
