How was the company’s performance last year?
Despite the competitive and challenging market, we achieved over $1 billion in real estate sales in 2021 amid the strong economic recovery of the United Arab Emirates and demand from investors. This growth reflects our commitment to the timely delivery of high-quality and uniquely designed projects, and the continued expansion of our offerings at the Sobha Hartland development in Mohammed bin Rashid Al Maktoum City, Dubai.
The UAE real estate market (including developers) had a good year and did well in the first quarter of 2022. How is the company benefiting from this market rally?
This year, we are targeting $1.6 billion in sales – a 50 per cent increase over 2021 – as the country’s economy continues to recover after the easing of restrictions caused by Covid-19 in the UAE and around the world. As the UAE government was able to quickly face the challenges brought by the pandemic, high net worth investors and individuals from around the world are showing interest in investing their money in quality and luxury projects in the country.
Sobha strongly believes that with new government initiatives that further boost investor confidence, this momentum will continue. This year, we expect to deliver more than 2,000 units to our customers – from the UAE, GCC, India, Russia, China, UK and Africa – at the Sobha Hartland development. This brings the total number of units delivered to 3000 units. The Heartland Project is expected to be fully capped by 2026.
Read: Dubai’s residential property market sees record growth in Q1 2022: CBRE
Give us your view of the real estate market for the rest of the year.
The luxury real estate market in Dubai is expected to boom during 2022, with increased demand from high net worth investors from all over the world, especially after Expo 2020. We will see more high-end buildings and projects coming. The market will benefit from the influx of wealthy foreign investors, including investors from Ukraine and Russia.
Sobha has a range of properties ready for delivery this year, with a greater focus on our selection of luxury villas and townhouses.
How do you integrate sustainability into your projects?
Although quality and luxury are the cornerstones of our brand philosophy, we are very passionate about ensuring the sustainability of our homes. About 30 percent of Sobha Hartland, which accounts for 2.4 million square feet of total land, includes dedicated green cover with more than 300 species of trees and plants, reducing the project’s carbon footprint. Our vision is to ensure a sustainable lifestyle through low energy use, eco-friendly products and fixtures, to create a safe and clean environment for future generations.
For example, we are taking advantage of the abundance of natural light for the UAE through double-height windows. These windows let in more sunlight, reducing electricity consumption and making every room appear larger. Also, the skylight in the ceiling of the master bedroom in the villas brings additional lighting to the interior space.
We have also made sure that we use only the most energy efficient and long lasting lighting fixtures available on the market. Thermal, acoustically insulated double-glazed windows and rockwool insulated walls act as a climate control and result in a reduction of more than 60 percent in solar heat gain. Sobha Realty has a safe, energy-efficient and energy-efficient solar heating system while recycling stations are located in the community and recycling bins are provided outside every home.
What other trends do you see affecting your business?
Over the next five years, technological innovation and sustainability will be key factors in the real estate market in the UAE. The demand for smart homes has seen a huge rise in the past two years. In the future, smart technology will help developers better plan, develop and manage projects. Developers will be responsible for not only providing green spaces but will need to venture into sustainable building materials and furniture.
Advanced technology has been making its way into the real estate industry and we believe it can help raise the odds when it comes to luxury and the ultimate home. Therefore, we are constantly upgrading to the latest software available, such as BIM 360, for design and coordination purposes. For example, our villas at Garden Houses come equipped with the latest home automation systems for lighting, blinds and air conditioning. To showcase our products, innovative technologies are constantly being explored, tried and tested. To name a few, we offer wireless home automation, electric vehicle charging stations, single drain systems, leak-proof private plumbing fixtures, and more.
Tell us about your upcoming projects in the UAE and/or other countries.
Currently, our plans include continuing to focus on the UAE, especially Dubai. Over the next decade, we will continue to grow our large land bank in the emirate and develop the high-quality homes that buyers are looking for.
