According to Knight Frank, the branded residential market in Dubai is continuing to grow. In fact, branded residential developments accounted for 61% of Dubai's off-plan appartment sales in 2022. Strong developer and buyer demand is fueling this growth. The luxury lifestyle and stability is what makes these development attractive. These types of developments have also become iconic within Dubai's residential property market.
INCREASING INTEREST IN LUXURY BRANDED RESIDENCES FROM INTERNATIONAL BUYERS
The branded residential industry has grown in Dubai over the last few years. This growth in demand is owing to the influx of new branded residential operators. This is helping meet international investor demand for luxury homes in Dubai. According to Dean Foley, Associate Partner - Residential Project Sales & Marketing, buyers deisire developments with high level services and amenities. They are also looking for stability and security. This is what the leading, well-known brands that manage the residences offer.
MARRIOTT INTERNATIONAL'S BRANDED RESIDENCES EXPANSION
Marriott International, for example, has three branded residences in Dubai, including Bvlgari, St. Regis, and W. Also, Marriott recently launched eight new branded residences in Dubai. These new branded residences include The Ritz-Carlton, St. Regis, and Marriott, with more to come.
The growth of Marriott's branded residences portfolio is due to the demand for the company's established brands. But also due to the demand for the comapant's global portfolio of 225+ projects too. This is according to Jaidev Menezes, Regional Vice President of Mixed-Use Development (EMEA) at Marriott International. The company continues seeing high demand for standalone branded residences in the UAE. But it is also witnessing strong demand for mixed-use or co-located projects too.
THE IMPORTANCE OF LOCATION: BUSINESS BAY AND THE DUBAI PROPERTY MARKET
According to Faisal Durrani, Partner - Head of Middle East Research at Knight Frank, Business Bay has been one of Dubai's top performing apartment submarkets. This market has had a 25% increase in average transaction prices over the past two years. This outnumbered the 9% price increase in Dubai Marina over the last two years. The strong transportation insfrature in Business Bay has causes its higher price increases. This is because it provides easy access to the city's primary commercial zones.
Business Bay is also 35% less expensive than Downtown. So Business Bay is attracting new branded residential operators such as the Ritz Carlton, and Mama Shelter.
Last year, Dubai was the fourth busiest ultra-prime market. According to Knight Frank's research, the city is only behind New York, Los Angeles, and London, with 219 property sales valued at more than $10 million.
THE APPEAL OF LUXURY BRANDED RESIDENCIES IN DUBAI
The exclusivity of having a home bearing the name of a high-end company are what make branded houses so appealing. These properties offer a selection of services and amenities that cater to the requirements of its occupants. Branded residences also provide a luxury experience that conventional residential properties cannot match. This included aspects like private dining and concierge services.
OVERVIEW OF BRANDED RESIDENCIES IN DUBAI
Branded homes not only provide a superior standard of living but also a strong investment opportunity. These homes are also built with quality and high design standards in mind. Yet they are located in desirable areas too. Due to this, they are very sought after by investors looking for a reliable and profitable investment.
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