Dubai’s Palm Jebel Ali Set for 2026 Launch with 700 Homes Already Sold

Wednesday, 11 September 2024

High Demand for Dubai’s Palm Jebel Ali: A Closer Look

Analysts are buzzing about the strong buyer interest in Dubai’s Palm Jebel Ali, with approximately 700 villas sold out from the latest master development launch. Here’s a breakdown of the latest developments:

• Major Milestone:
  • Nakheel has awarded a significant AED 810 million ($220 million) contract for completing marine works.
  • The construction of a key freeway, linking the artificial island to Sheikh Zayed Road, is also underway.
• Project Overview:
  • The Palm Jebel Ali, roughly three times the size of the Palm Jumeirah, features 16 fronds and multiple islands.
  • Villas are priced between AED 20 million and AED 50 million ($5.4 million to $13.6 million).
• Investor Insights:
  • According to Matthew Green, head of research MENA at Global Commercial Real Estate Services, the project has attracted a diverse mix of wealthy European and Asian investors.
  • Jason Hayes, chairman of LuxuryProperty.com, highlights the high interest driven by Dubai’s attractive per-square-foot investment value. Buyers hail from Kuwait, Saudi Arabia, France, Germany, India, China, and Pakistan.
• Development Accelerates:
  • Following the announcement of the revised master plan by Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, the project aims to span 13.4 km, with 16 fronds and 91 km of coastline, aligning with Dubai 2040 Urban Master Plan goals.
  • Early launches, including Coral and Beach units, have seen strong sales due to their luxury and diverse architectural styles.
• Market Trends:
  • Dubai’s luxury home market has rebounded strongly post-coronavirus, with sales of $10 million-plus properties reaching a record $7.6 billion in 2023, surpassing New York and London.
  • Prices at Palm Jebel Ali have risen 3 to 5 percent quarter-on-quarter, from AED 2,578 per square foot to AED 2,794 by the end of the second quarter of 2024.
• Construction Updates:
  • Jan De Nul Dredging, a Belgian marine construction firm, has been contracted for essential works including dredging and land reclamation.
  • The marine construction at Palm Jebel Ali is expected to be completed in just over two years.
• Global Appeal:
  • Faisal Durrani, partner and head of Middle East research at Knight Frank, notes that the opportunity to purchase beachfront homes in such a high-profile development naturally attracts significant attention from international buyers.
• Luxury Sales Insights:
  • In the first half of the year, Dubai saw 190 sales of homes over $10 million. The Palm Jumeirah led with 60 deals, while Palm Jebel Ali followed with 14 sales.

This robust interest and ongoing development underscore Palm Jebel Ali’s prominence in Dubai’s real estate landscape, marking it as a key destination for luxury property investments.