Berkshire Hathaway – Gulf Properties confirmed that the luxury real estate market in Dubai continues its rising momentum, as it has recorded exceptional performance since the beginning of this year, thanks to its continuous rise in revenues, attractive resale value, and its market performance that exceeds its traditional counterparts, which made it the ideal choice for investors. Rich people and wealthy people.
Phil Sheridan, CEO of the company, said in statements to Al Bayan: The luxury real estate market continues to rise, especially with the high demand for the luxury residential real estate category, thanks to its modern architecture and the distinctive lifestyle it provides to its residents, as these high-end properties contribute Which was built in cooperation with famous real estate development companies to redefine the features of luxury and luxurious living by providing amenities, security, and valuable returns on investment.
He added that luxury real estate in Dubai is witnessing a significant increase in demand, driven by economic and demographic factors, as the city, thanks to its strategic location and distinctive lifestyle, attracts many investors and high-net-worth individuals.
He continued: In addition, Dubai is establishing itself as an attractive and profitable real estate investment destination for foreign investors, as it offers valuable returns on investment compared to leading luxury real estate markets such as London, Paris, New York and Toronto. These trends have led to an increase in the percentage of properties sold whose value exceeds $10 million. Across Dubai, the city recorded one of the fastest growth rates in this category globally in 2024.
Sheridan said that luxury residences represent a unique sector within the real estate market, and these properties embody a luxurious lifestyle and values, providing residents with a distinctive and unique living experience.
He added: Over the years, the concept of luxury residences, which has its origins in branded hotels, has evolved and today has expanded to include a variety of luxury brands of fashion houses and giant companies such as “Armani Residences,” “Bulgari Resort and Residences,” and “Bulgari Resort and Residences.” Bentley Home, Aston Martin Residences, Woodland Residences bearing the Lamborghini brand, Cavalli Tower, Bugatti Residence, and others. In fact, Dubai has the highest concentration of luxury branded properties in Europe, Middle East and Africa region, surpassing London.
Sheridan said that the collaboration between developers and luxury brands represents a symbiotic relationship that benefits both parties. While developers benefit from the brand’s reputation and loyal customer base to enhance the appeal of their properties, brands extend their influence into the real estate sector, providing their customers with an immersive experience. However, this collaboration requires careful planning and seamless execution to integrate the brand identity into the property’s design and services. He said that branded residences available in the market have their own unique features and offerings, including high-end amenities, private swimming pools, state-of-the-art gyms, concierge services, and advanced security and safety systems. Incorporating the brand identity into the property’s design and services adds an element of exclusivity and distinction, making these residences very attractive, with the potential to achieve high returns on investment upon resale.
Market analysis indicates that branded residences often outperform unbranded residences in terms of market performance and resale value, as the association of a property with a luxury brand enhances its appeal and gives investors confidence in the quality and exclusivity of the residence. Studies show that branded residences, thanks to high demand and limited supply, are constantly increasing in value, making them a good investment option for the wealthy. In 2022, branded properties accounted for $6.2 billion of total real estate sales in Dubai.
He added: Overall, the future of branded residences in Dubai looks promising, with trends indicating continued growth, innovation and prosperity in this sector. Developers are looking to explore new horizons to collaborate with a variety of luxury brands, ranging from fashion houses and automotive companies to technology and luxury companies. These partnerships are expected to bring new and unique offerings to the market, meeting the aspirations of investors in the luxury real estate sector.
He pointed out that as this trend continues to evolve, branded residences are expected to play a major role in shaping the future of luxury living in Dubai, enhancing the city’s position as a global leader in the real estate sector. In light of this promising future, branded residences are likely to remain a hot topic in Dubai’s dynamic real estate landscape.