Surging Demand and Tight Supply Propel Dubai's Luxury Property Market to New Heights

 

Certainly! Dubai's luxury real estate market has demonstrated remarkable growth, particularly in its prime residential sector, where properties valued over $10 million are attracting considerable interest from international buyers. This influx is fueled by Dubai's reputation as a cosmopolitan hub with strategic policies that enhance its attractiveness to wealthy expatriates and investors.

In detail, during the past year, prime locations such as The Palm Jumeirah, Jumeirah Bay Island, and Emirates Hills witnessed a significant appreciation in property values, with an increase of over 26% in prices. The Palm Jumeirah alone accounted for over a third of the total transactions in the first quarter of the year, reflecting its status as a premier residential area. This surge is part of a broader trend where Dubai’s luxury market has consistently outperformed other global cities, including London and New York.

Knight Frank’s report provides insight into the dynamics driving this market. For instance, the total sales value of luxury homes in the first quarter of this year was $1.73 billion, marking a 6% increase compared to the same period last year. The report emphasizes that despite the rising prices, Dubai remains an economically attractive location for luxury real estate compared to other major cities. Here, $1 million can secure approximately 980 square feet of prime residential space, which is significantly more than what the same amount would buy in cities like New York or London.

The market's robustness is partly due to Dubai’s strategic advantages such as excellent global connectivity, favorable interest rates, and policies encouraging long-term residency. These factors have not only sustained demand but have also led to a tightening in supply. Over the past year, the availability of homes priced above $10 million has decreased by 59%, creating a seller's market with only 864 such homes available citywide.

Despite these favorable conditions, the report also cautions about potential risks that could impact the market. Factors such as a global economic slowdown or escalating regional tensions could influence local economic conditions and, by extension, the real estate market. These could lead to increased oil prices, fueling inflation and higher interest rates, which might dampen the demand for luxury properties.

Looking forward, while the luxury market is expected to grow by a more moderate 5% this year, specific areas like Dubai Hills Estate are emerging as highly desirable neighborhoods. This area is attracting domestic buyers due to its proximity to major business districts, availability of international schools, and abundant green spaces, leading to an 11% price increase over the last 12 months.

The sustained interest in off-plan luxury properties, like those in Palm Jumeirah’s recent high-end developments, also highlights the ongoing appeal of Dubai’s real estate market. This is indicative of the city's ability to continue drawing the global elite, thereby cementing its status as a major destination for luxury real estate investments.

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The Rise of Ready Properties and Shaikhani Group's Pivotal Role in the UAE's Real Estate Resurgence

 

In the first quarter of 2024, the United Arab Emirates (UAE) witnessed a significant shift in real estate dynamics, with a marked increase in the demand for ready properties as more tenants opted for home ownership amid rising rental prices. This trend signifies a departure from the previous year's emphasis on off-plan transactions, highlighting a robust demand for existing projects across Dubai and Abu Dhabi. According to Property Finder, this change is driven by a steady increase in rents over the past three years, propelled by high demand from a growing population. Consequently, UAE residents are increasingly purchasing real estate in Dubai and Abu Dhabi to reduce their monthly expenses and potentially enhance the value of their investments over time. The first quarter of 2024 emerged as a promising growth phase, indicating a diversified demand with positive implications for the future.

The Shaikhani Group, a multi-billion dollar international conglomerate with a strong presence in real estate development among other sectors, is poised to play a significant role in addressing this shifting market demand. With over three decades of experience in real estate development and having delivered over 30,000 units, the group's extensive portfolio and commitment to excellence position it as a key player in catering to the increasing demand for ready properties. The Shaikhani Group's strategy focuses on creating value through high-quality real estate projects, leveraging its extensive experience and market insights to meet the evolving needs of the UAE's real estate market.

The shift towards ready properties is evident in the transaction data. Dubai's existing/ready market recorded nearly 19,600 transactions in the first quarter of 2024, a substantial increase from the previous year. This trend reflects a growing preference among buyers for immediate occupancy options, driven by the rising cost of living and the desire for stable investments. Similarly, Abu Dhabi witnessed a 30% increase in residential transactions for ready properties, underscoring the widespread appeal of owning over renting in the current economic climate. The Shaikhani Group's ongoing and upcoming projects are likely to benefit from this trend, offering potential buyers and investors high-quality, ready-to-move-in properties that align with their preferences for security and value appreciation.

Eight Strategies for Homeowners to Lower Their Mortgage Interest Costs

Purchasing a home is a major financial undertaking, and managing your mortgage effectively can result in significant savings. Utilizing smart strategies can help homeowners manage and reduce their interest payments, enhancing their long-term financial health. It's vital to maintain a comprehensive budget that includes mortgage payments, property taxes, insurance, maintenance, and utilities. Also, having an emergency fund is critical for unexpected expenses like job loss or major repairs. Here are concise strategies for reducing mortgage interest payments:

 

1.    Refinance to a Lower Rate: Consider refinancing to a new mortgage with a lower interest rate. This can lower your monthly payments and save money over the loan's life, though refinancing comes with fees.

2.    Eliminate Mortgage Insurance: If you have sufficient coverage, removing mortgage insurance premiums can lower monthly expenses, allowing more towards principal payments, thereby reducing interest and building equity faster.

3.    Debt Restructuring: Negotiate with creditors to reduce the principal balance or adjust repayment terms, including making lump-sum payments, which can decrease the amount owed and relieve financial strain.

4.    Opt for a Fixed-Rate Mortgage: Switching from an adjustable-rate to a fixed-rate mortgage offers payment stability and protection from future interest rate increases.

5.    Use an Interest Offset Account: Link a savings account to your mortgage to reduce the interest amount, lowering effective interest rates while keeping funds accessible.

6.    Invest Through SIPs: Systematic investment plans can hedge against rising interest rates, offering risk mitigation and consistent savings.

7.    Accelerate Loan Repayment: Incrementally increasing your repayment amount can align loan payments with income growth, allowing more towards the principal and reducing interest over time.

8.    Make Regular Partial Settlements: Paying an additional installment annually as a partial settlement can accelerate debt reduction, foster financial discipline, and leverage compounding benefits, aligning with long-term savings goals.

Sharjah Real Estate Booms: Transactions Hit $844m in February, Shaikhani Group Sets Customer-Centric Benchmark

Sharjah's real estate sector continues to thrive, with transactions totaling AED3.1 billion ($844 million) in February, as reported by the Sharjah Real Estate Registration Department. The month saw 4,458 transactions across various regions, indicating sustained growth and prosperity in the sector. This growth is attributed to the development projects in the emirate, which have attracted local, Arab, and international investments, yielding high returns for investors.

The government's support for the sector, through incentives and facilities for investors and developers, has also been instrumental. Sales transactions accounted for 23.5% of the total, with 355 mortgage transactions totaling AED581.4 million ($158.3 million). The remaining transactions included various types of real estate, such as residential, commercial, industrial, and agricultural lands.

"Muwailih Commercial" area led in both the number of sales transactions (213) and trading volume (AED382 million). Other areas with significant transactions included "Rawdat Al-Qart," "Al-Mazairah," and "Al-Khan." The Central Region saw transactions mostly in "Al-Madina Al-Qasimia," while in Khor Fakkan, "Al-Bardi 4" area topped the list. In Kalba, "Sur Kalba Commercial" area had the highest number of transactions.

Shaikhani Group, known for its customer-centric approach, emphasizes customer satisfaction by prioritizing client needs and preferences. This approach has earned them a reputation for delivering projects that exceed expectations. The group's commitment to transparency, reliability, and open communication ensures a positive experience for all stakeholders.

Innovative and visionary, Shaikhani Group is shaping sustainable and inspiring environments globally. The group's transformative projects redefine standards of quality and luxury in real estate and investment. For more information, visit www.shaikhanigroup.com.

Ahmed Shaikhani Applauds Positive Response to Shaikhani Cultural City at IPS Dubai

 

International Property Show (IPS) Dubai, the Shaikhani Group has expressed immense satisfaction with the public's enthusiastic response to their upcoming project, Shaikhani Cultural City, located in DHA Karachi. The positive feedback received at the event has reinforced the belief that there is a strong interest in the project, which aims to blend cultural richness with modern living.

Mr. Ahmed Shaikhani, a leading figure at the Shaikhani Group, addressed the media, stating, "The response at IPS Dubai has been overwhelming. It is clear that people are genuinely excited about Shaikhani Cultural City. This project is not just about building homes; it's about creating a community that reflects our rich cultural heritage while incorporating all the conveniences of modern living."

He further added, "We are committed to transforming people's dreams into reality through our efforts. Our aim is to create a green and sustainable society that not only benefits the residents but also contributes positively to the environment. With the backing of DHA, investors can rest assured that their investment is secure and that the project will deliver on its promise of higher returns."

The Shaikhani Group's project is set to be a landmark development in Karachi, offering a unique blend of cultural and contemporary living. The group's dedication to environmental sustainability and their commitment to delivering high-quality living standards have set high expectations for the project's success. As the project progresses, it is anticipated that it will attract more attention from both local and international investors, looking to be a part of this innovative and culturally rich community.

 

Embracing the Future: The Vision of DHA City Karachi as a Sustainable Green Smart City
DHA City Karachi is a groundbreaking initiative by the Defence Housing Authority (DHA), aiming to convert over 11,640 acres of land into a premium, diverse real estate development. Designed as a sustainable green smart city, it emphasizes centralized management, inclusivity, and resource sustainability through advanced technology use. Situated 56 kilometers from Karachi, the community is intended to be self-reliant in water and power supply, promoting a sustainable and environmentally friendly lifestyle.

With an estimated construction cost of 1 billion dollars, the project plans to offer a variety of amenities including two theme parks, a hospital, a university, 20 colleges, 40 schools, townhouses, healthcare facilities, educational institutions, a visitor center, a cafe, an amusement park, a clubhouse, and a mosque. DHA City Karachi places a strong emphasis on customer satisfaction in its marketing approach, incorporating modern architectural design and civil engineering services as the core of its land development strategy.

Unlock Global Potential: Prime Investment Opportunities Await Overseas Investors

24-Feb-2024

Shaikhani Cultural City: A Joint Venture with DHA City

In a joint venture with DHA City, the Shaikhani Group is set to develop Shaikhani Cultural City in Sector 14 of DHA City. This ambitious project aims to be an architectural masterpiece and a cultural blend, encapsulating the essence of Pakistani culture, landmarks, and heritage, while also incorporating influences from renowned architectural wonders worldwide.

Shaikhani Cultural City will feature replicas of iconic Pakistani landmarks such as Lahore's Badshahi Mosque, Minar-e-Pakistan, Khyber Pass, Quaid-e-Azam's Ziarat Residency, Mazar-e-Quaid, Kothari Parade, and Frere Hall, as well as beautiful representations of Kashmir, Gilgit, and surrounding areas. The project will also include industrial malls, commercial and residential blocks with international themes such as Spanish, British, and Italian styles, showcasing traditional Pakistani craftsmanship and introducing tourists to the diverse cultural heritage of Pakistan.

The collaboration between DHA City authorities and the Shaikhani Group is a testament to their shared vision of creating a unique architectural venture that not only provides a serene living environment but also promotes cultural awareness and appreciation.

Quantity

• A mixed-use project featuring 125 and 500-yard villas, townhouses, and multicultural apartment buildings.
• Offering 2/3 bedroom apartments with a total of 3000+ apartments and 500+ villas and townhouses.

Value

• Affordable pricing ranging from 70 lac to 90 lac, with flexible payment plans spanning 3 to 5 years.
• The total value of the project is approximately 4.7 billion PKR, with Phase 1 estimated at 2.4 billion PKR and Phase 2 at 2.3 billion PKR.
• The focus is on attracting overseas investors to invest in Pakistan.

DHA City Karachi: A Sustainable Green Smart City

DHA City Karachi is an ambitious project by the Defence Housing Authority (DHA) that aims to transform over 11,640 acres of ordinary land into a high-end, diversified real estate development. Envisioned as a sustainable green smart city, DHA City Karachi focuses on centralized governance, inclusiveness, and sustainability of resources through the use of cutting-edge technologies. Located 56 kilometers from Karachi, the community is planned to be self-sufficient in water and electricity, ensuring a sustainable and eco-friendly living environment.

The project, with an estimated construction cost of 1 billion dollars, is set to include a wide array of facilities such as two theme parks, one hospital, one university, 20 colleges, and 40 schools, along with townhouses, healthcare facilities, educational institutions, a visitors center, a cafe, an amusement park, a clubhouse, and a mosque. Customer satisfaction remains a cardinal factor in DHA City Karachi's marketing strategy, with modern architectural design and civil engineering services embedded at the heart of its land development paradigm.

Shaikhani Group: A Multinational Diversified Business Conglomerate

The Shaikhani Group of Companies, formerly known as Memon Group of Companies, is a multi-billion dollar international business conglomerate with diversified interests in real estate development, trading, manufacturing, and IT sectors. Headquartered in Dubai, the group has a strong market presence across 90 countries in Asia, Africa, Europe, and the Middle East, thanks to a recent major restructuring initiative.

#Shaikhanigroup #ShaikhaniCulturalCity #CulturalHub #Tradition #Explore #DHACity #CityLife #HomeSweetHome

Dubai's real estate market experienced a bumper year in 2023

 

The number of deals recorded in 2023 climbed to 166,400, worth $173 billion

Dubai's real estate market experienced a bumper year in 2023, with transaction numbers soaring to a record high of 166,400 deals valued at $173 billion, according to the latest figures from the Dubai Land Department. The total number of real estate transactions across various market segments reached 1.6 million, marking a nearly 17% increase compared to the previous year. The overall value of these transactions amounted to Dh634 billion ($172.6 billion), showing a 20% growth in deal value and a 36% rise in the number of transactions from 2022.

The emirate witnessed significant growth in new real estate investments, which surged by 55% to almost Dh412 billion, with 157,798 deals involving 113,655 owners. Notably, 71,002 of these investors were new to Dubai's property market, and non-resident investors constituted 42% of the total new investors.

Marwan bin Ghalita, acting director general of the Dubai Land Department, highlighted that these results demonstrate the strength and versatility of Dubai's economic performance, contributing to the emirate's goals under the Dubai Economic Agenda D33. Launched in January last year, D33 aims to double Dubai's economy by 2033 and position it among the top three global cities.

Dubai's property market has rebounded robustly from the pandemic-induced slowdown, supported by government initiatives such as residency permits for retirees and remote workers, and the expansion of the 10-year golden visa program. The residential market recorded its highest quarterly price increase in a decade in the third quarter of last year, driven by strong demand.

The emirate's population growth is also bolstering the real estate market, with 100,240 new residents in 2023, bringing the total population to 3.65 million. Female investors made a significant contribution, with 38,059 women investing Dh90.5 billion through 46,725 transactions. Additionally, Gulf investors were active, with 7,449 investors making 10,441 deals worth Dh30.75 billion.

Dubai's economy continued to expand, with a 3.3% growth in the first nine months of last year, following a 3.2% increase in GDP to Dh223.8 billion in the first half of the year.

Optimizing Mortgage Strategies in the UAE: The Benefits of 1-Year Fixed-Rate Refinancing and Investing in Shaikhani Group Developments

 

In the landscape of Dubai's real estate and mortgage refinancing, the Shaikhani Group emerges as a notable developer with a portfolio of projects that enhance the appeal of securing a mortgage in the UAE. With their focus on delivering high-quality residential and commercial properties, homeowners looking to refinance might find additional benefits by investing in or owning properties developed by the Shaikhani Group.

The group's developments are strategically located in prime areas of Dubai, offering state-of-the-art amenities and facilities that increase property value over time. This aspect is particularly important for homeowners considering a 1-year fixed-rate refinance deal, as owning a property in a high-growth area can offer better financial stability and potential for appreciation. Furthermore, some UAE banks may offer more competitive refinancing terms for properties associated with reputable developers like the Shaikhani Group, recognizing the lower risk and higher value attached to such investments.

Homeowners interested in refinancing and who currently own or are considering purchasing a Shaikhani Group property may find themselves in a favorable position. Not only could they potentially lower their EMIs by securing a fixed-rate deal in the short term, but they also stand to benefit from the long-term appreciation of their property, driven by the developer's commitment to quality and innovation.

As the UAE real estate market continues to adapt to global economic changes, including interest rate fluctuations influenced by the US Federal Reserve, the strategic choice of refinancing while investing in reputable developments offers a twofold advantage. It underscores the importance of selecting properties that will not only serve as a comfortable home or lucrative rental investment but also as a wise financial decision in the context of mortgage management and refinancing strategies.

 

Dubai Real Estate Market Sets New Records in 2023 with the Shaikhani Group at the Helm

 

Dubai's real estate sector has experienced a remarkable surge in 2023, marked by unprecedented highs in both volume and value of sales transactions. The landscape, shaped by various factors, including rising rents and a desire for long-term stability, witnessed average prices surpassing the previous peak set in September 2014. Despite a slight dip in off-plan transactions, the market demonstrated resilience throughout the final quarter.

 

A significant shift towards domestic demand was noted, with end users accounting for an increased share of buyers, rising from 38% to 44%. This trend signals the maturation of the market and bodes well for sustained price stability in the years ahead.

 

One of the driving forces behind this surge has been the Shaikhani Group, a key player in Dubai's real estate scene. Privately held by Mr. Mohammad Abubakar Shaikhani, the group boasts over three decades of experience in property development and asset management. The Shaikhani Group has successfully partnered with a diverse array of real estate developers and stakeholders, identifying, developing, and executing projects that have contributed to the market's evolution.

 

In 2023, Dubai experienced a population increase exceeding 100,000, reinforcing its status as a global destination for citizens seeking a safe haven, unparalleled lifestyle, and a favorable business and tax environment. However, the supply-demand imbalance, with new property handovers relatively unchanged from the previous year, has led to increased pressure on rents. Betterhomes reported a notable 24% increase in average rental prices, with more tenants opting for lease renewals.

 

The luxury real estate market in Dubai, in particular, witnessed an unprecedented year, driven by an influx of millionaires worldwide. The UAE, ranking above the United States and second only to Australia in wealth migration, attracted high-net-worth individuals, surpassing European tax havens in 2023. The success of developments like Palm Jebel Ali and Palm Jumeirah highlighted the enduring popularity of waterfront residences, while branded residences continued to be in demand.

 

Looking ahead to 2024, the Shaikhani Group anticipates a growth in new property handovers, aligning with the continuous influx of expats to Dubai. While a slowdown in the rapid price increases observed since 2019 is expected, there's a forecast for continued growth at more sustainable levels. This reflects the evolving and maturing nature of Dubai's real estate market.

 

the Shaikhani Group stands as a pivotal force in Dubai's real estate success story, embodying a commitment to identifying growth opportunities and contributing to the city's ongoing transformation. As a leader in project ideation and development, the group's diversified portfolio and forward-looking approach position it as a key player in shaping Dubai's real estate landscape in the years to come.

Shaikhani Group: A Visionary Legacy Transforming Dubai's Skyline and Beyond

 

In 2023, Dubai's real estate market witnessed unprecedented success, with 120,742 residential transactions, a 38% YoY increase, and a record-breaking surge in property prices by 18%. Betterhomes' FY2023 report highlighted over half of transactions were off-plan sales.

CEO Richard Wained emphasized 2023's significance, setting new records in volume and value. Dubai Creek Harbour and Palm Jumeirah saw over 30% price increases, surpassing pre-2014 peaks.

Despite higher prices, buyer interest thrived, with Betterhomes reporting a 91% YoY lead increase. Over 100,000 new residents fueled demand, with active foreign buyers, notably Indians and British, alongside others from Egypt, Lebanon, Pakistan, and Turkey.

Luxury real estate transactions (over AED 15 million) doubled from 2022, contributing to rising rents (up 24%). Market conditions pushed occupancy rates to 93-97%.

Analysts foresee new supply arriving post-2025, suggesting further growth for Dubai's property market. Dubai's global appeal remains intact, attracting interest worldwide.

In the dynamic landscape of Dubai's thriving real estate market, the Shaikhani Group, founded by the visionary Abubakar Shaikhani, has played a significant role in shaping the city's skyline. Following the passing of Abubakar Shaikhani, his sons have assumed leadership roles, ensuring the continued success and growth of the company.

With its headquarters in Dubai, the Shaikhani Group manages a diverse portfolio of projects that contribute to the city's reputation as a global investment destination. The Dubai office oversees prestigious developments such as Champions Tower 3, Gardenia Residency, and the Cambridge Business Centre. These projects exemplify the group's commitment to delivering high-quality and innovative real estate solutions in line with Dubai's dynamic market demands.

Simultaneously, the Karachi office of the Shaikhani Group is actively engaged in overseeing projects like The Motorcity and Rabia Enclave, reflecting the group's regional presence and commitment to excellence beyond the borders of Dubai.

As the Shaikhani Group continues to meet and exceed expectations with ongoing projects, they have an exciting pipeline of developments that will be unveiled once these current ventures reach completion. The commitment to excellence, coupled with a forward-thinking approach, positions the Shaikhani Group as a key player in Dubai's real estate sector.

In anticipation of their future endeavors, the group remains dedicated to contributing to the city's growth and solidifying its reputation as a global business and lifestyle hub. The Shaikhani Group's legacy of innovation, coupled with their strategic vision, ensures their continued success in the ever-evolving Dubai real estate market.

 

Exploring the Visionary Realm of Shaikhani Group

 

Introduction: In the dynamic landscape of global business, certain entities stand out for their commitment to excellence, innovation, and a vision that transcends boundaries. One such group making waves in the real estate and investment sectors is the Shaikhani Group. Founded on principles of integrity, quality, and customer satisfaction, the group has become synonymous with pioneering projects that redefine the standards of luxury and sustainability.

History and Founding Principles: Established with a vision to contribute significantly to the development of the real estate sector, Shaikhani Group has evolved into a conglomerate that operates across diverse industries. With roots firmly embedded in Dubai, UAE, the group was founded by Mr. Abubakar Shaikhani, a visionary entrepreneur with a passion for creating spaces that inspire and elevate lifestyles.

Projects and Innovation: At the heart of Shaikhani Group's success lies a portfolio of remarkable projects that span residential, commercial, and mixed-use developments. From iconic skyscrapers to master-planned communities, each project bears the hallmark of the group's commitment to innovation and excellence. By seamlessly blending cutting-edge architectural design with sustainable practices, Shaikhani Group ensures that their developments not only meet the highest standards but also contribute positively to the environment.

One of the distinguishing features of the group is its relentless pursuit of innovation. The use of state-of-the-art technology, smart building solutions, and a focus on energy efficiency underline Shaikhani Group's commitment to creating spaces that are not only aesthetically pleasing but also sustainable for the long term.

Global Reach: While rooted in the vibrant business environment of the UAE, Shaikhani Group has expanded its footprint beyond borders. The group's global presence is marked by a strategic approach to international investments, fostering partnerships, and exploring emerging markets. This global perspective positions Shaikhani Group as a key player in the ever-evolving landscape of real estate and investment.

Customer-Centric Approach: Shaikhani Group places a strong emphasis on customer satisfaction. By prioritizing the needs and preferences of their clients, the group has garnered a reputation for delivering projects that exceed expectations. From concept to completion, Shaikhani Group maintains transparency, reliability, and open communication, ensuring a positive experience for all stakeholders involved.

In the realm of visionary real estate developers, Shaikhani Group stands as a beacon of innovation, integrity, and excellence. With a commitment to shaping sustainable and inspiring environments, the group continues to leave an indelible mark on the global landscape. As Shaikhani Group looks towards the future, it is poised to further redefine the standards of quality and luxury in the real estate and investment sectors. To explore their transformative projects and learn more about their vision, visit their website at www.shaikhanigroup.com.