Dubai Marina, one of Dubai’s most iconic neighborhoods, offers a lifestyle that blends urban sophistication with waterfront tranquility. Whether you’re considering living here or investing, this post will guide you through the history, lifestyle, advantages, and disadvantages of Dubai Marina.

A Brief History of Dubai Marina

Dubai Marina was envisioned in the early 2000s as part of Dubai’s ambitious plan to create world-class residential and commercial hubs. Developed by Emaar Properties, it is a man-made canal city stretching over 3 kilometers along the Arabian Gulf shoreline. The area boasts over 200 high-rise buildings, including luxury apartments, hotels, and commercial spaces, making it one of the most sought-after neighborhoods in Dubai.

The Marina Walk, a vibrant promenade filled with restaurants and retail outlets, and the Dubai Marina Yacht Club have become landmarks that define this community’s unique character. Let’s not forget Dubai Marina Mall, located in the heart of Dubai Marina, it’s a short walk from most buildings.

Pros of Living in Dubai Marina

Dubai Marina is strategically located near Sheikh Zayed Road, providing easy access to major business hubs like Dubai Media City, Internet City, and Jumeirah Lake Towers. It’s also just a short drive from popular attractions like Palm Jumeirah and Mall of the Emirates.

2. Waterfront Living

Living by the water has its charm, and Dubai Marina offers stunning views of the marina and the Persian Gulf. The canal’s serene waters add to the neighborhood’s allure, creating a peaceful atmosphere amid urban life.

3. Amenities and Lifestyle

• Dining and Shopping: Dubai Marina is home to an array of high-end restaurants, cafes, and shopping outlets, including Marina Mall.
• Fitness and Recreation: Gyms, spas, and outdoor activities like jogging or cycling along the Marina Walk are abundant.
• Proximity to Beaches: Residents can easily access JBR Beach and other pristine shoreline spots.

4. Public Transport Accessibility

The neighborhood is well-served by public transport, including the Dubai Metro and the Dubai Tram, making it convenient for residents without cars.

5. Diverse Community

Dubai Marina attracts expats and locals alike, creating a vibrant and cosmopolitan community. It’s ideal for singles, couples, and families.

Cons of Living in Dubai Marina

1. Traffic Congestion

While the location is excellent, Dubai Marina is known for its traffic, especially during peak hours. Navigating its narrow roads can be challenging.

2. Higher Cost of Living

The luxury lifestyle comes with a price. Rent and property prices in Dubai Marina are among the highest in Dubai, and dining or entertainment in the area can be costly.

3. Noise Levels

The bustling nightlife and constant activity in the area can lead to higher noise levels, particularly if you live near the main roads or entertainment hubs.

4. Limited Green Spaces

While Dubai Marina offers waterfront views and promenade walks, it lacks extensive green parks compared to other neighborhoods like Emirates Living or Arabian Ranches.

Lifestyle in Dubai Marina

Dubai Marina’s lifestyle is a blend of luxury and convenience. Whether it’s dining at a Michelin-star restaurant, taking a sunset cruise, or attending vibrant events, there’s always something to do. The neighborhood’s cosmopolitan vibe appeals to professionals and families seeking a dynamic yet comfortable environment.

Conclusion

Dubai Marina stands out as a premier destination for those seeking a blend of urban convenience and waterfront luxury. Its strategic location, vibrant lifestyle, and world-class amenities make it a top choice for residents and investors alike. However, potential downsides like traffic and cost should be carefully considered.

If you’re planning to move to Dubai Marina or invest in property, understanding its unique features will help you make an informed decision.

Foreigners can purchase property in Dubai’s designated freehold areas. The process involves legal requirements, fees, and potential residency visas. Consult official sources for detailed guidelines.

Dubai’s real estate market has long attracted foreign investors due to its strategic location, modern infrastructure, and investor-friendly policies. If you’re a non-resident considering purchasing property in Dubai, it’s essential to understand the legal requirements and procedures involved.

Eligibility for Foreign Ownership

Foreigners, whether residing in Dubai or abroad, are permitted to purchase property within designated freehold areas. These zones, established by Regulation No. 3 of 2006, allow non-UAE nationals to own property outright. The Dubai Land Department (DLD) issues title deeds to foreign owners, ensuring legal recognition of ownership.

Types of Properties Available

Foreign investors can choose from various property types, including:

• Completed Properties: Ready for immediate occupancy or rental.
• Off-Plan Properties: Under construction, often offered at competitive prices.

Legal Requirements and Documentation

To proceed with a property purchase, ensure you have the following:

1. Identification: A valid passport is required. While a UAE ID is used for identification, non-resident foreigners can proceed with just their passport.
2. No Objection Certificate (NOC): For properties in freehold areas, obtain an e-NOC from the developer via the Dubai REST App.
3. Proof of Funds: Evidence of financial capability to complete the purchase.
4. Sale Agreement: A contract outlining the terms between buyer and seller.
5. Mortgage Pre-Approval: If financing the purchase, secure pre-approval from a bank.

Property Registration Process

Once you’ve selected a property and agreed on terms:

1. Sign the Sale Agreement: Both parties formalize the agreement.
2. Obtain the NOC: The seller secures this from the developer, confirming no outstanding obligations.
3. Transfer Ownership at DLD: Both parties visit a DLD office or an authorized center to transfer ownership. The buyer pays the required fees, and the title deed is issued in their name.

Fees and Costs

Be prepared for additional expenses:

• DLD Registration Fee: Typically 4% of the property’s purchase price.
• Administrative Fees: Approximately AED 5,000, varying based on the property’s value.
• Mortgage Registration Fee: If applicable, 0.25% of the loan amount.

Financing Options for Non-Residents

Several banks in Dubai offer mortgage services to non-residents. While terms vary, common requirements include:

• Down Payment: Generally 20-25% of the property’s value.
• Proof of Income: Demonstrating the ability to repay the loan.
• Age Limit: Usually between 21 and 65 years at the loan’s maturity.

Residency Visas Linked to Property Investment

Investing in Dubai real estate can also provide residency benefits:

• 3-Year Investor Visa: Available for properties valued at AED 750,000 or more.
• 5-Year Investor Visa: For properties worth AED 2 million or more. u.ae
• 10-Year Golden Visa: For investments of AED 2 million and above, with additional criteria.

Key Considerations

• Due Diligence: Verify the developer’s reputation and the property’s legal status.
• Legal Assistance: Engage a lawyer specializing in UAE real estate to navigate the process.
• Inheritance Planning: Consider drafting a will to ensure your property’s succession aligns with your wishes.

Conclusion

Purchasing property in Dubai as a foreigner is a structured process with clear guidelines. By understanding the legal requirements and engaging with reputable professionals, you can make informed decisions and capitalize on Dubai’s dynamic real estate market.

The United Arab Emirates (UAE) has undergone a remarkable transformation over the past two decades. The country’s legal landscape has evolved significantly, reflecting its commitment to modernization, economic growth, and social progress. Since 2004, the UAE has introduced a series of reforms aimed at aligning with global standards and positioning itself as a hub for international business and tourism. Below, we explore some of the most significant legal changes that have shaped the UAE, drawing insights from highly reputable sources.

Economic Reforms: Attracting Global Investment

The UAE’s economic policies have been pivotal in transforming the country into a global business hub. One of the most notable changes came in 2020 with the introduction of a law allowing 100% foreign ownership of onshore companies in many sectors. Previously, foreign investors were required to partner with a local sponsor who held a majority stake in the business. This reform, covered by Reuters, aims to boost foreign direct investment (FDI) and diversify the economy beyond oil. (Reuters, 2020)

In addition to ownership reforms, the UAE has introduced a corporate tax, set at 9%, marking a significant shift in its tax-free policy. This move aligns the UAE with international tax standards and ensures compliance with the global minimum tax requirements, set to take effect in 2025 for large multinationals. This change has been extensively reported by The National News (The National News, 2023).

Labor Law Reforms: Modernizing the Workforce

The UAE has also overhauled its labor laws to create a more flexible and inclusive work environment. In 2022, the country introduced new laws that recognize part-time, temporary, and flexible work arrangements. These reforms aim to attract global talent and provide workers with greater flexibility. As highlighted by Gulf News, the labor law reforms also enhance employee rights by introducing anti-discrimination provisions and streamlining end-of-service benefits (Gulf News, 2022).

Another critical change involves the introduction of an alternative end-of-service benefits scheme. Employers can now contribute to licensed investment funds on behalf of employees, protecting their savings from inflation and financial instability. This initiative, discussed by The Khaleej Times, is expected to improve employee satisfaction and retention. (Khaleej Times, 2023)

Social Reforms: Reflecting a Changing Society

To attract tourists and expatriates, the UAE has embraced significant social reforms. In 2020, the country decriminalized alcohol consumption and allowed unmarried couples to live together, breaking away from its traditionally conservative stance. These changes reflect the UAE’s efforts to modernize its social policies and appeal to a more diverse population, as reported by The Associated Press. (The Associated Press, 2020)

The country has also reformed its personal and family laws to better serve its multicultural population. Amendments have been made to laws governing divorce, inheritance, and custody, allowing expatriates to follow the laws of their home countries in specific cases. These reforms are particularly relevant in a country where expatriates comprise a significant portion of the population. Academic studies have highlighted the impact of these reforms on improving the UAE’s attractiveness as a destination for global professionals.

Judicial Reforms: Enhancing Legal Transparency

The UAE has made significant strides in improving its judicial system to align with international best practices. The establishment of the Dubai International Financial Centre (DIFC) Courts in 2006 marked a significant development. These courts operate under an independent common law system and provide an English-language platform for resolving civil and commercial disputes. This initiative, covered by The Financial Times, underscores the UAE’s commitment to providing a business-friendly legal environment. (Financial Times, 2006)

Additionally, the introduction of federal data protection laws in 2021 reflects the UAE’s focus on cybersecurity and privacy. These laws are closely modeled on the European General Data Protection Regulation (GDPR) and aim to protect personal data while ensuring businesses’ compliance with international standards.

Environmental and Sustainability Laws: A Green Focus

Recognizing the global shift towards sustainability, the UAE has also introduced laws aimed at reducing carbon emissions and promoting renewable energy. The UAE Energy Strategy 2050, launched in 2017, targets a 50% clean energy mix and a 70% reduction in carbon emissions. Laws supporting the use of electric vehicles and renewable energy projects have further emphasized the country’s commitment to sustainability.

Conclusion: A Dynamic Legal Landscape

The UAE’s legal reforms since 2004 illustrate its commitment to adapting to global standards and fostering an environment conducive to economic growth, social progress, and sustainability. From allowing full foreign ownership to modernizing labor laws and embracing social freedoms, these changes position the UAE as a forward-thinking nation ready to meet the challenges of the 21st century.

Property buyers in the UAE who opt for a mortgage, should take term insurance, an industry executive has said. This provides an additional layer of security to the lender and the borrower’s family, the executive added.

As demand for off-plan property in Dubai and the UAE has been growing exponentially, the number of term life insurance buyers is also on the rise.

In November, Dubai’s property market recorded 12,543 transactions, an 18 per cent increase from the same period last year, with total sales value reaching Dh30.5 billion. Off-plan sales continued to dominate the market, accounting for 60 per cent of all Dubai sales transactions, a 35 per cent increase year-on-year with a total value of Dh15.8 billion.

Ayman Youssef, managing director of Coldwell Banker, said mortgage lenders often require life insurance because it serves as a safety net to ensure that the loan can be repaid if the borrower passes away.

“Life insurance provides a payout that can cover the outstanding mortgage balance, reducing the risk of financial loss for the lender. It ensures that your loved ones aren’t burdened with repaying the mortgage or facing the risk of losing the home. For high-value mortgages, life insurance adds a new layer of security for both the lender and the borrower’s family,” said Youssef.

Both expatriates and Emirati property buyers must have term life insurance when opting for a mortgage from a bank.

“Some policies, like mortgage protection insurance, are specifically designed for this purpose, but you can often use any term life insurance policy to meet the requirement,” he added.

However, term life insurance is not required by developers.

In addition, lenders in some countries or with certain types of mortgages may require borrowers to have life insurance as a loan condition.

Demand on the rise

With the rise in property sales and mortgages, Avinash Babur, founder and CEO of Insurancemarket.ae, said individuals purchasing property are often required to have a term life insurance policy linked to the mortgage. “This segment has contributed significantly to the growing uptake of term life insurance, as it ensures financial protection for lenders and borrowers alike. This trend is particularly prominent among expatriates seeking to secure their families’ future while investing in property,” said Babur.

He added that the primary buyers of term insurance in the UAE are individuals and families.

Off-plan properties have long been seen as lucrative real estate investment opportunities, particularly in a dynamic market like Dubai. With more affordable pricing and flexible payment plans, investors can secure properties at a lower cost compared to completed developments, offering the potential for significant returns.

However, not all off-plan projects are delivered on time, and in rare cases, some may face significant delays or even cancellation. To address these concerns and protect investors, the Dubai government has implemented a set of rules and regulations aimed at managing unfinished or cancelled off-plan projects, ensuring greater transparency and accountability in the market.

Here’s a quick overview of what it means when a project is marked as ‘cancelled’ or ‘under cancellation’ by the authorities in Dubai, along with the associated refund procedures:

In Dubai’s real estate sector, the terms ‘cancelled’ and ‘under cancellation’ refer to the status of property developments as determined by Dubai Land Department (DLD) and the Real Estate Regulatory Agency (Rera).

Cancelled projects

“A project is officially deemed ‘cancelled’ when Rera issues a final, reasoned decision to terminate it. This determination typically arises from significant delays, insolvency, or failure to meet regulatory standards. Once a project is cancelled, the Special Tribunal for Liquidation of Cancelled Real Property Projects in Dubai oversees the liquidation process and the settlement of related rights,” said Nikhat Sardar Khan, head of the corporate, DIFC Litigation, and Arbitration Department at Hilal & Associates Advocates & Legal Consultants.

Decree No. (33) of 2020 restructured the special committee responsible for unfinished and cancelled real estate projects, renaming it the “Special Tribunal for Liquidation of Cancelled Real Property Projects in Dubai and Settlement of Related Rights” (Article 2(b) of Decree No. (33) of 2020.

Under Cancellation

Explaining the law, Nikhat said, “The designation ‘under cancellation’ refers to projects that are in the process of being reviewed by Rera for potential cancellation. During this phase, Rera assesses factors such as project progress, financial stability of the developer, and compliance with regulatory requirements. A project remains ‘under cancellation’ until Rera reaches a final decision to either proceed with cancellation or allow the developer to continue.”

The legal procedures for handling cancelled real estate projects in Dubai are primarily governed by the following laws and decrees:

This decree restructured the special committee responsible for unfinished and cancelled real estate projects. It renamed the committee to the Special Tribunal for Liquidation of Cancelled Real Property Projects in Dubai and Settlement of Related Rights. The decree also outlines the powers of this committee in liquidating cancelled projects and settling related rights.

This law amended previous regulations concerning the Interim Real Property Register in Dubai. It specifies the procedures for developers to refund payments to purchasers when a project is cancelled by the Rera.

This law governs the Guarantee Accounts of Real Estate Development in Dubai. It mandates that developers must return all amounts received from purchasers when a project is cancelled by a final decision issued by Rera, as per the procedures and provisions set forth in this law.

Dubai Law No. 13 of 2008, as amended by Law No. 19 of 2020, specifies that if a real estate project is cancelled by virtue of a final grounded decision issued by Rera, the developer must refund amounts received from purchasers in accordance with the procedures set out in the law. The refund obligations of developers under various circumstances are detailed in Article 11 of Dubai Law No. 13 of 2008, as amended, and include the following scenarios:

1. Completion between 60% and 80%:

The remaining amount must be refunded to the purchaser:

2. Completion less than 60%:

The balance must be refunded to the purchaser:

3. No work commenced or project cancelled:

The developer must return all amounts received from purchasers.

— Refunds must be processed in accordance with the procedures and provisions of Law No. 8 of 2007.

— If no work has commenced or the project is cancelled, Article 15 of Dubai Law No. 8 of 2007 prioritises refunding purchasers using funds in the guarantee account. The guarantee account trustee, a DLD-authorised financial institution, manages this process by coordinating with the DLD to ensure compliance. Purchasers are refunded from the guarantee account, which is legally protected and dedicated solely to the project. The DLD supervises and approves the refund process to safeguard purchasers’ rights.

Refund steps for cancelled projects

To obtain a refund for an unfinished or cancelled real estate project in Dubai, the process outlined in Dubai is as follows:

File a grievance: The purchaser should file a grievance with the Judicial Committee for Unfinished and Cancelled Real Estate Projects. This grievance should detail the issues with the real estate project and the request for a refund.

Judicial committee review: The judicial committee will review the grievance and the committee has the competence to hear and decide upon grievances filed by purchasers.

Submission of reports: Rera will submit a detailed report on the unfinished or cancelled real estate project to the judicial committee. This report will include data on the project’s current status, proposed solutions, and measures taken by the agency (Article 9).

Decision by the judicial committee: The judicial committee will examine the grievance and the report from Rera. They will issue the necessary decisions regarding the grievance, which may include ordering the return of amounts deposited in the escrow account or paid to the real estate developer (Article 7).

Implementation of decision: The decisions, orders, and judgements issued by the judicial committee are final and must be implemented through the court in Dubai Courts (Article 11).

Refund process: If the judicial committee orders a refund, the real estate project escrow account trustee or the real estate developer will be directed to return the amounts to the buyer. The judgements, orders and decisions issued by the judicial committee shall be final and may not be contested by any of the ordinary methods of appeal.

By following these steps, a property investor can seek a refund for an unfinished or cancelled real estate project in Dubai.

Buyers in Dubai’s real estate market are afforded significant legal protections under laws such as Law No. 8 of 2007 and Law No. 13 of 2008, as amended by Law No. 19 of 2020.

These laws prioritise the rights of purchasers, ensuring that refunds are processed transparently and funds in guarantee accounts are safeguarded for their benefit.

While delays in resolution may arise, the legal framework is designed to ensure fairness and accountability, providing purchasers with a clear path to reclaiming their investments in the event of project cancellations.

Purchasers can also initiate legal action, including filing a lawsuit or grievance. This provision grants the Special Tribunal for Liquidation of Cancelled Real Property Projects the authority to hear grievances filed by purchasers against developers in cases where a project is cancelled.

The tribunal has the competence to determine purchasers’ rights, oversee liquidation processes, and enforce refunds or compensation in accordance with the laws governing cancelled real estate projects.

The real estate industry, a cornerstone of global economies, has undergone a significant transformation over centuries. From traditional brick-and-mortar practices to the digital age of PropTech, this sector has continuously adapted to technological advancements. Let’s delve into a historical journey to understand this evolution.

The Pre-Digital Era: A Foundation Laid

Before the dawn of the 20th century, real estate transactions were primarily conducted through physical inspections, paper-based documentation, and in-person negotiations. Real estate agents played a pivotal role in connecting buyers and sellers, relying on their local knowledge and networks. However, this traditional approach was often time-consuming, opaque, and prone to errors.

The 20th Century: The Dawn of Digitization

The mid-20th century marked a turning point with the introduction of computers and databases. Multiple Listing Services (MLS) emerged, digitizing property listings and streamlining the process for real estate agents. This innovation significantly improved efficiency and accessibility to property information.

As the 20th century progressed, the internet revolutionized the real estate landscape. Online property portals like Zillow and Realtor.com emerged, connecting buyers and sellers globally. Virtual tours and 3D models became commonplace, allowing potential buyers to explore properties remotely.

The 21st Century: The PropTech Era

The 21st century witnessed the birth of PropTech, a term coined to describe the intersection of property and technology. This era brought forth a wave of innovative startups focused on various aspects of real estate, including property management, investment, and financing.

Key PropTech Innovations:

• Blockchain and Smart Contracts: Blockchain technology, with its decentralized and secure nature, has the potential to revolutionize real estate transactions. Smart contracts, self-executing contracts with the terms of the agreement directly written into code, offer increased transparency, efficiency, and security.
• Artificial Intelligence (AI) and Machine Learning: AI-powered tools analyze vast amounts of real estate data, providing valuable insights for decision-making. These tools can predict market trends, identify investment opportunities, and optimize property portfolios.
• Internet of Things (IoT): Smart homes and buildings equipped with IoT devices offer remote control, energy efficiency, and enhanced security.
• Augmented Reality (AR) and Virtual Reality (VR): AR and VR technologies create immersive experiences for property viewing and design visualization.

Real-World Applications:

• Property Management: PropTech solutions streamline property management tasks, such as tenant screening, lease management, and maintenance scheduling.
• Real Estate Investment: AI-powered tools analyze market trends and identify promising investment opportunities, helping investors make informed decisions.
• Commercial Real Estate: PropTech solutions optimize property management, tenant experience, and asset valuation.

The Future of Real Estate: A Tech-Driven Landscape

The future of real estate is undoubtedly intertwined with technology. As technology continues to evolve, we can expect further innovations that will transform the way we buy, sell, and manage property. Some of the emerging trends include:

• Data Analytics and Predictive Modeling: Advanced data analytics techniques will provide deeper insights into market trends, consumer behavior, and property valuations.
• Sustainable Real Estate: PropTech solutions will promote sustainable practices, such as energy-efficient buildings and green building certifications.
• AI-Powered Personalization: AI algorithms will tailor property recommendations and marketing strategies to individual preferences.

By embracing technology and innovation, the real estate industry is poised to become more efficient, transparent, and sustainable. The future of real estate is bright, and PropTech will undoubtedly play a pivotal role in shaping its trajectory.

Dubai Marina is more than just a neighborhood; it’s a lifestyle. Known for its sleek skyscrapers, bustling waterfront, and luxurious amenities, this iconic district is often hailed as one of Dubai’s most desirable places to live. But does it live up to the hype? Let’s explore the lifestyle, amenities, housing options, and pros and cons to help you decide.

The Lifestyle: Vibrant and Cosmopolitan

Living in Dubai Marina means immersing yourself in a lively, cosmopolitan environment. The district offers:

• Marina Walk: A 7-kilometer promenade lined with cafes, restaurants, and boutique shops, perfect for a morning jog or a leisurely evening stroll.
• Dubai Marina Mall: A shopping and entertainment hub featuring over 130 outlets, from high-street fashion to gourmet dining.
• Beach Proximity: JBR Beach is just a short walk away, offering water sports, dining, and weekend relaxation.
• Thriving Nightlife: Home to some of the city’s most popular lounges and nightclubs, such as Pier 7 and Barasti.

Amenities: Everything You Need

Dubai Marina is packed with world-class amenities:

• Transportation: With two metro stations, a tram network, and plenty of taxis, commuting is a breeze.
• Fitness and Wellness: Gyms, spas, and wellness centers are abundant, including high-end options like The Retreat Palm.
• Yachting and Cruises: The marina’s waters host yacht rentals and cruises, perfect for sunset trips or weekend getaways.

Housing Options: From Cozy Studios to Lavish Penthouses

Dubai Marina’s real estate caters to a wide range of preferences and budgets:

• Studios: Ideal for singles or young professionals, with rents starting at AED 60,000 annually (Property Finder).
• One- and Two-Bedroom Apartments: Popular among couples and small families, priced between AED 1.5M to AED 3M for sale.
• Luxury Penthouses and Villas: Offering panoramic views and high-end finishes, these options can cost upwards of AED 10M (Bayut).

Market Trends: Renting vs. Buying

Dubai Marina’s rental and sales market remains one of the most sought after:

• Rental Trends: Apartments in premium buildings like Marina Gate and Cayan Tower command higher rents, but affordable options like Marina Diamonds are available.
• Investment ROI: Investors can expect ROIs of up to 7% for one-bedroom apartments, making it a lucrative market.

Is It Worth the Hype?

For those seeking a luxurious lifestyle in a vibrant, waterfront community, Dubai Marina is hard to beat. With its mix of convenience, amenities, and investment potential, it continues to attract residents and investors alike. However, potential downsides.

Aggregate wealth for UAE billionaires rose by 39.5% to $138.7 billion in 2024.

A surge in global billionaire emigration has benefited the UAE, which has
rapidly become one of the chosen countries in the great wealth transfer,
according to UBS.

Within the Middle East and Africa region, UAE billionaires’ aggregate
wealth rose by 39.5% to $138.7 billion, with the number of billionaires
growing to 18 in 2024, the Swiss banks said in a report.

Alongside a 17% jump in wealth held by the world’s billionaires, EMEA’s
billionaire wealth has also grown by 17% to $3.7 trillion, with the number
of billionaires increasing by 70 to 728.

According to Benjamin Cavalli, Head of Strategic Clients at UBS Global
Wealth Management, in total, billionaires accounting for more than
$400 billion have emigrated in four years, with the MEA region attracting
the most billionaire capital.

This wealth transfer has also been reflected in a growth in private family
offices in the UAE.

Egyptian tycoon Nassef Sawiris moved his family office to Abu Dhabi last
December.

This was followed by multiple reports stating that Africa’s richest man,
Nigerian billionaire Aliko Dangote, is reportedly setting up a family office in
Dubai.

“We are seeing sophisticated family offices in Asia and Europe looking to
set up in the UAE for greater growth opportunities, ” said Cavalli. “There is
quite a natural and dynamic creation of wealth in the country in numerous
different areas and this key for investors who are looking beyond their
turf where they initially created wealth. Innovation is an absolute key, and the
UAE is at the centre of this.”

“Over the past year, the total number of billionaires had risen to 2,682 from 2,544 a year earlier, and their worth to $14 trillion from $12 trillion. With the
billionaire population now ageing, they are looking beyond their borders as
their families grow. Our study has shown that ease of legal structures,
which supports a transfer of wealth, coupled with healthcare and education,
have benefited countries such as the UAE, US and Switzerland, which have
seen an influx of billionaires over the past decade,” Cavalli said.

According to UBS data, billionaires are relocating more frequently, with 176
having moved country since 2020.

Dubai’s recent crown as the ‘global leader in branded residences’ is also accompanied by high occupancy level in luxury hotel rooms as the Gulf city welcomes high net-worth individuals that are looking to take advantage of a booming real estate market as well as developed infrastructure.

“The hospitality sector in Dubai has 151,000 hotel rooms in Dubai today with an occupancy level in the high 70s which is one of the highest in the world,” Faisal Durrani Partner, Head of Research, MENA at Knight Frank, the global real estate consultancy, told Business Recorder in a recent interview.

“This is possibly why we are seeing possibly the reactivation and development of offshore island projects such as Palm Jebel Ali, which are expected to have 80 hotel resorts, each, when completed.”

Why Dubai’s current real estate boom is here to stay

In a recent report by Savills Global Residential Development Consultancy earlier this month, it was stated that global hotspots such as Dubai, Miami and Phuket have the largest number of branded residences when it comes to sun-and-sea resort destinations, making up 14% of the market share among resorts.

“On a more focused level, Dubai retains its place as the most active market internationally for branded residences and it is followed by hotspots in Miami, New York, Phuket and London,” the report stated.

But its prominence for luxury and branded residences hasn’t come in a vacuum.

Dubai’s luxury real estate sector has already been booming, and is also taking along the hospitality sector.

Dubai currently boasts branded residences across different spheres with names like Bulgari, Armani, Cavalli, with more planned by luxury automakers such as Mercedes Benz, Bugatti as well.

Currently, there are 740 completed branded residences worldwide, with a further 790 anticipated by 2031 across 100 countries, according to Savills.

Dubai alone has nearly 140 projects, including completed and projected, demonstrating the city’s ability to attract global brands and deliver developments that cater to a diverse international clientele.

These projects range from hotel-branded residences offering five-star amenities to non-hotel collaborations with renowned designers, catering to luxury buyers and investors alike.

A veritable lifestyle choice, branded residences represent a relatively easy way to access the ‘Dubai Life’ and are accompanied by access to world-class facilities, amenities and property management, usually courtesy of an adjoining luxury hotel, according to Knight Frank.

Knight Frank’s Destination Dubai report earlier this year found in a survey of global HNWI, that 49% of those with a personal net worth in excess of $20 million (UHNWI) would like to make a real estate investment in the UAE in 2024.

Of them, 69% are keen to secure a branded residence in the glitzy gulf.

The likelihood of acquiring a branded residential property in Dubai is highest amongst global HNWI survey respondents (83%), when compared to GCC-based HNWI expats (46%). Among HNWI respondents, East Asians (91%) have the strongest desire to own a branded residential property in Dubai, revealed Knight Frank.

The current real estate trend, which has been defined by analysts as not a mere “bubble”, is also dictating trends in the hospitality sector. In the last year alone, the 5-star hotel industry saw a whopping 111.8% growth, according to Cavendish Maxwell.

Dubai has already hosted over 9 million tourists in H1 this year, putting it on track to surpass numbers of 2023.

According to Rico Picenoni, Head of Savills Global Residential Development Consultancy, the branded residences concept is diversifying and entering new geographies.

“Over the next five years, we anticipate the entry of 60 new brands into the market, expanding into regions such as Romania and Tanzania. The Middle East, and particularly Dubai, remains at the forefront of this growth, reflecting how the sector continues to evolve and adapt to the demands of a discerning global clientele.”

Andrew Cummings, Head of Residential Agency, Middle East, added, “Dubai’s position as the global leader in branded residences is no surprise. The city offers an unmatched combination of luxurious amenities, innovative architecture, and high-quality services, all of which resonate strongly with both end-users and investors. With nearly 140 branded residences projects, the emirate sets a global benchmark for how these developments can integrate seamlessly into a vibrant and fast-growing city.”

Global footprint

Dubai is also on track to becoming fourth largest financial center globally, behind London, New York and Singapore, crucially overtaking Hong Kong, according to Knight Frank data. Besides its real estate and financial sectors, tourism has already been on a steady rise since the world opened up after the pandemic.

Last year, Dubai was the third-most visited city in 2023 with 17.2 million arrivals in 2023, behind London at 18.8 million visitors and Istanbul, which welcomed 20.2 million tourists according to Euromonitor and the Government of Dubai.

Dubai’s favourable tax regime, ease of doing business, and evolving visa restrictions regarding its coveted Golden Visa, have also made it an expat haven and has drawn much foreign investment over the years. This is not quite unlike from the tiny French principality of Monaco, whose legendary tax-free regime has been attracting the global rich for decades to reside and park wealth.

While growth is strong at the moment, beyond 2031, Asia-Pacific markets such as Vietnam, Thailand, and China are expected to challenge North America’s dominance in the branded residences sector, according to Savills.

However, Dubai’s consistent performance and its strategic appeal to both investors and global brands are expected to secure its leadership in the branded residences market for years to come.