By Staff Reporter
Dubai’s Branded Residences Surpass Traditional Luxury Markets in Price, Demand, and Investment
Dubai’s real estate sector is experiencing a remarkable transformation, with branded residences now leading the charge in luxury property investment.
The emirate has outpaced traditional luxury markets, setting new standards in price appreciation, investor interest, and project volume. A recent report by Morgan’s International Realty reveals that branded residences in Dubai command an average premium of 42% over non-branded properties, attracting both high-net-worth individuals and institutional investors alike.
Elias Hannoush, CEO of Morgan’s International Realty, commented on the shift:
“Dubai’s real estate market is undergoing a fundamental shift. Branded residences are no longer a niche segment — they have become a core asset class, attracting institutional investors and setting new price benchmarks.”
According to the data, by the end of 2024, branded residences in Dubai had an average price of Dh3,288 per square foot, compared to Dh2,321 per square foot for non-branded units. At the top of the luxury market is Bvlgari on Jumeirah Bay Island, commanding the highest price at Dh10,668 per square foot. Other luxury developments, including Atlantis Resorts (Dh9,387), Dorchester Collection (Dh7,539), and Baccarat (Dh7,211), follow closely behind in terms of pricing.
Dubai’s branded residence market continues to thrive, with sales of branded units surging 48% in the second half of 2024, reaching 7,628 transactions compared to 5,153 in the same period the previous year. The city now boasts 132 branded residences, consisting of 43,085 units, including one record-breaking sale for Dh275 million. The highest price per square foot for a branded residence hit Dh17,235.
In terms of future development, Dubai is home to 1,282 ready-branded units valued at Dh6.88 billion, with an additional 6,346 units currently under construction, valued at Dh24.9 billion. As the market continues to expand, Dubai remains the most active market globally for branded residences, ahead of international hotspots such as Miami, New York, Phuket, and London, according to Savills.
Hannoush attributes Dubai’s success to a combination of pro-investor policies, world-class infrastructure, and a thriving luxury real estate market. “A tax-free economy, long-term residency incentives, and rising demand from international investors have driven rapid expansion, surpassing traditional luxury hubs and solidifying Dubai’s position as the premier destination for branded residences,” he said.
Branded residences offer a unique value proposition for all parties involved. For developers, these properties provide higher prices, faster sell-outs, access to elite buyers, and enhanced credibility. Buyers enjoy superior design, exceptional service, better capital appreciation, and a lifestyle of exclusivity. For the luxury brands themselves, these residences represent new revenue opportunities and an expanded market presence.
With its robust growth and continued demand, Dubai is firmly establishing itself as the global leader in branded residences, offering unmatched value for investors, developers, and buyers alike.
News Source: Khaleej Times
