A new property in Dubai, XLV Residence, is now on the market for 225 million dirhams ($61.2 million) as the emirate records strong demand for key projects amid a tight supply in the sector.
The seven-bedroom home, within the luxurious Emirates Hills community, has been furnished and decorated in collaboration with luxury brands such as Cavalli, Fendi and Gaggenau.
The architecture and design was carried out by a Dubai-based boutique studio called Qablawi Brooks.
The villa has been described as an entertainment mansion that can accommodate up to 300 people at a time.
It is the most expensive project in Emirates Hills to date and is expected to exceed the selling price of a five-bedroom villa in the area that sold for AED 102.8 million.
“This level of luxury is very rare, especially since it is available directly from the developer, and it is brand new and still under warranty,” said George Al-Hashem, commercial director at Select Group, which developed the property.
“The materials and design elements used in the XLV are unparalleled, even in a luxury market like Dubai.”
He said there were “a few” interested buyers.
The real estate market in Dubai has been hot for several months now, with records set for the largest number of transactions and the most expensive properties.
The market especially attracts high net worth individuals from around the world, as the UAE economy is boosted by the global slowdown caused by the Corona virus.
The country’s non-oil private sector recorded its highest reading of the year in May.
However, while a further 31,000 units are expected to be delivered in the last three quarters of the year, property advisory Core, according to brokers, the National From the lack of real estate available at the higher end of the market.
Consulting firm Knight Frank said the boom in Dubai’s prime residential property market has driven prices up nearly 60 percent in the past 12 months, driven by growing interest from international investors.
Major areas include Palm Jumeirah, Emirates Hills, Jumeirah Bay Island, among others.
“Until the end of 2025, only eight new villas are expected to be built in the prime residential areas of Dubai, which strongly indicates the continued superiority of villas at the top of the market as there is no sign of mitigating the drought of luxury homes,” said Faisal Durrani, Partner. and Head of Middle East Research at Knight Frank, “anytime soon”.
Mark Castelli, chief operating officer of LuxuryProperty.com, said shortfalls in core inventory have been a problem for the past year or so, especially in the face of surging demand.
However, custom built and built homes, which were due to be delivered a few years ago, are now being delivered, providing more availability at the higher end of the market.
“For us as a company, this has proven to be quite a coincidence as in the past two weeks we have successfully completed five transactions worth more than Dh70 million each,” he said.
Allsopp & Allsopp, CEO Louis Allsopp, said Allsopp & Allsopp recorded a 50 percent decline in premium-quality real estate coming to market when comparing May 2022 to May 2021.
He said that while demand was increasing, supply remained stagnant.
“Most super-high-end landlords keep their property unless there is a need to sell it,” he said.
We’ve seen reports lately that real estate prices are still on the rise. Another problem that ultra-high-rise property owners face is the lack of supply in the market. If they were to sell their own property, there might not be property on the market available for them to move into.”
Updated: June 06, 2022, 10:40 AM