Thursday, February 4, 2021

How some Dubai villa prices are back on the rise after years of decline

ValuStrat says Arabian Ranches, The Lakes, Palm Jumeirah and Jumeirah Islands register rare increases in values



Villa prices in some parts of Dubai showed signs of recovery, coupled with record registered home sales transactions in November, according to new research.

Arabian Ranches, The Lakes, Palm Jumeirah, and Jumeirah Islands were among the communities that registered small increases in prices last month.

Real estate consultants ValuStrat said the overall Dubai property market displayed monthly stability, with an average fall in values of just 0.2 percent compared to October, the lowest rate of decline in three years.

Annually, the valuation-based index is 13.8 percent lower than last year, ValuStrat said, adding that on a citywide level, capital values of residential homes are yet to stabilise, as the broader downward trend continued, albeit, at a much slower pace. However, this month saw positive exceptions in some established villa developments. November registered a 14.4 percent monthly gain in transactions of cash-based sales, as existing ready homes saw an increase of 22.3 percent.

It added that, annually, transactions for off-plan homes dropped 51.5 percent, but ready homes improved 18.1 percent.

Some locations monitored by the VPI saw capital values decline by 0.9 percent monthly, examples of which were apartments in Dubai Sports City, Jumeirah Beach Residence and The Greens.

However, given the high demand due to record low prices per square foot, villas demonstrated higher resilience when compared to apartments.

Most villa freehold locations saw prices stabilise this month, and, in some areas, registered minor increases in capital values. Examples included Arabian Ranches, The Lakes, Palm Jumeirah, and Jumeirah Islands.

ValuStrat's research also showed that 59 percent of November cash-based sales transactions volume was towards ready homes, as off-plan sales have slowed due to limited project launches.

Properties developed by Emaar, Nakheel, Damac, Nshama and MAF topped the sales charts overall.

Top off-plan locations transacted during November were in Jumeirah Village, Tilal Al Ghaf, Business Bay and Downtown Dubai.

Most transacted ready homes were located in Dubai Marina, Jumeirah Village, Business Bay, Palm Jumeirah and Town Square.

Figures released by Seven Tides revealed that more than 63 nationalities invested a total of $125.5 million in Seven Palm last year, with Russian, British and French investors the top three in terms of sales volume.

“The pandemic has made end users re-evaluate their lifestyles. After the lockdown, residents started considering an upgrade to larger properties with spacious exteriors and leisure facilities on their doorstep,” said Bin Sulayem.

Seven Palm comprises Seven Palm Hotel Apartments and Seven Palm Residences - two towers connected by one of the biggest rooftop infinity pools in the region.

Prices at Seven Palm range from AED649,888 to AED3,388,888 and construction work is now over 57 percent complete.

“The coronavirus has also made developers and brokers adapt their business models, turning to technology to overcome the social restrictions, so that investors could still make an informed decision from distance, with sales support on-hand in real time,” added Bin Sulayem.

At Seven Tides’ Golf Views Seven City project in JLT, of the 195 nationalities that invested a combined total of $26.5 million in the project last year, 25 percent were French while 12 percent were Italian, 11 percent were Russians with 6 percent of sales were attributed to Indian nationals.

The development, which includes 2,617 residential apartments as well as 150,000 sq ft of retail space, a hotel and restaurants, is said to be Dubai’s second largest single-structured building in terms of built-up area next to Burj Khalifa, at 3,500,000 sq ft.Valued at over AED1 billion, the project is due for handover in Q2 2023.

Shaikhani Group said, this coming year would be the simplest year for the Dubai. it'll be a boom for each industry. Moreover, they're trying their best to extend the productivity of theirs projects so it'll fork over by the top of this year….

Shaikhani Group explained, Dubai is understood by doing things on right time,they come up with those ideas where people think‟s it's impossible , while ago Dubai was a desert, now nobody can say this was a desert. People like to visit Dubai for holidays, because all facilities are there including security which may be a basic necessity of life.

Dubai is one the simplest city to measure where everything is out there on the doorstep, this is often why Shaikhani Group invested their money, and that they do have different projects which are successfully in process. Shaikhani group tries to seek out the simplest deals with good luxuries therefore the customer can enjoy all the luxuries at full Shaikhani group already handover few projects in Dubai worth of many dirhams, they always achieve their target on time which shows the positive sign of their progress. Soon they're going to handover gardenia residency which is found in Jumeirah village circle, it's been expected they're going to handover this project by the top of 2021 or even earlier depends on the working conditions and environment

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