Dubai, United Arab Emirates: Dubai’s super luxury market is expected to double in the last quarter of this year, according to Metropolitan Premium Properties (MPP), a full-service real estate agency and the flagship property company of the Metropolitan Group.
High net worth individuals, entrepreneurs, institutional investors and family property funds are driving demand for villas north of AED20 million, resulting in a shortage of units available to end users and investors in the market. Over 75% of buyers move to Dubai permanently because they see the city as a safe and stable place.
Dubai continues to attract the super rich with the city expected to attract over 4,000 HNWIs this year alone, an increase of over 208% from 2019 according to a report that tracks trends in private wealth and migration of investments in the world. The war in Europe and Dubai’s position as a safe and secure destination and the government’s business-friendly regulations have contributed to HNWIs and investors relocating or buying second properties at record levels.
Over the past seven months, MPP has sold numerous ultra-luxury properties including Sea Mirror, Jumeirah Bay Island (AED 154M), Six Senses Residences, Palm Jumeirah (AED 82M), They Royal Atlantis Resort & Residences, Palm Jumeirah ( AED 62.9M), BV Residences, Island 2 (AED 50M), Royal Atlantis Resort & Residences, Palm Jumeirah (AED 43M), Elysian Mansions, Tilala Al Gaf (AED 41M), Address Jumeirah Resort & SPA, JBR (AED 40M ) and a full floor of the Building Le Pont, Port de La Mer (42M).
To meet this explosive demand for ultra-luxury properties, Metropolitan Premium Properties has launched a new division, Penthouse.ae, which will exclusively deal with properties above AED 15 million.
Penthouse.ae, while currently only listing properties in Dubai, will also expand to cover properties in Abu Dhabi and have a dedicated team of 25 luxury real estate experts by the end of the year. next year. The new division plans to offer customers a 360-degree full service, ranging from visa support, opening bank accounts, business formation, property management, legal services, and more.
Petri Mannila, Sales Director of Penthouse.ae, said: “A few years ago there would only be a handful of properties above AED 100 million. Last year the most expensive villa sold was around AED 120 million and last month a villa was sold for AED 285 million and we have just listed a luxury villa on the Palm Jumeirah for AED 800 million.
“We are seeing very strong demand for ultra-luxury properties from investors mainly from Russia, CIS and Europe, mainly from Italy, Germany, Poland and the UK, and we are seeing also increased interest from the United States,” Petri said.
“Developers are responding to this demand and adding more luxuries and unique features to their developments to cater to their high profile customer base. Since the beginning of this year, the number of luxury properties from AED 15 million and above has quadrupled and this segment will continue to grow and we expect demand to remain strong in the last quarter of this year and beyond. beyond,” he added.
Properties in Palm Jumeirah and other beachfront locations including Marsa Al Arab, Jumeirah Bay, Pearl Jumeirah, Emirates Hills and Golf Communities are seeing the highest demand, with prices on Palm seeing an increase of more than 50% compared to other parts of the city.
Besides MPP in Dubai, the group also includes Metropolitan Capital Real Estate in Abu Dhabi, Luxury Immobilien GmbH, a real estate agency in Vienna and Metropolitan Consulting FZE, which provides legal services to individuals and businesses in the United Arab Emirates.