Industry News & Insights

08 May 2025

Dubai’s Branded Residences Market Booms: Demand Soars, Prices Surge

Dubai’s Branded Residences Market Booms: Demand Soars, Prices Surge

Dubai's branded residences sector is experiencing unprecedented growth, solidifying the city's position as a global leader in luxury real estate associated with renowned international brands.

Market Expansion and Premium Pricing

In 2024, Dubai witnessed a 43% increase in sales of branded residential units compared to the previous year, with over 13,000 units sold. The total number of branded residences in the city now exceeds 132 developments, encompassing more than 43,000 units. This number is projected to more than double within the next five years. Notably, buyers are willing to pay up to 69% more per square foot for branded residences compared to non-branded properties in the same locations, reflecting the premium associated with brand affiliation.

Drivers of Demand

The surge in demand is primarily driven by high-net-worth individuals (HNWIs) seeking a combination of stability, exclusivity, and investment returns. Dubai's stable business and political environment, coupled with its luxury lifestyle attractions, make it an attractive destination for the ultra-rich. The city's flexibility in land use and fewer constraints compared to major European capitals further enhance its appeal for luxury-branded residences.

Global Appeal and Investor Interest

International investors from regions such as Russia, China, India, and Europe are increasingly drawn to Dubai's tax-free environment, lifestyle offerings, and political stability. The city's status as a safe haven, combined with flexible residency options, has made it a magnet for affluent individuals seeking both investment opportunities and a high-quality lifestyle. Brand association plays a crucial role in purchasing decisions, with buyers associating trust, quality, and exclusivity with established hospitality names like Four Seasons, Atlantis the Royal, and Bulgari.

Diverse Offerings and Future Outlook

Branded residences in Dubai cater to both investors and end-users, offering second homes, secure assets, or unparalleled upscale lifestyles. The sector's resilience during market volatility has reinforced buyer confidence. Personalization is increasingly in demand, with each residence embodying the brand's core values and offering bespoke services. Currently, 51 branded residences are operational in Dubai, with an additional 70 expected by 2028. Developers and brands are expanding partnerships to meet sustained demand, and new sectors, including fashion, automotive, and wellness, are entering the branded residences market.

Looking ahead, the future of branded residences in Dubai appears promising, with continued growth and diversification expected to meet the evolving preferences of a discerning global clientele.

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