Dubai property market sees ‘healthy’ off-plan deals balance in Q1
Dubai property market sees ‘healthy’ off-plan deals balance in Q1: Thirteen Dubai commercial property deals worth more than AED100 million ($27 million) each were reported during the first four months of 2019, according to new research.
Property Finder, the UAE-based real estate portal, said there were a total of 37 commercial real estate transactions priced above AED50 million which mostly involved schools, hospitals and land plots acquired by master developers.
Emaar purchased Arabian Ranches 3 land plots for a cumulative AED325 million in February while there were also five hotel transactions involving Emaar worth AED1.7 billion in April as it sold the Address Dubai Mall, Address Boulevard, Address Dubai Marina, Vida Downtownand Manzil Downtown to Abu Dhabi National Hotels.
Property Finder said the first quarter of 2019 continued to see a balance between off-plan and secondary market transactions in Dubai as a total of 9,317 transactions worth AED21.2 billion were registered.
“This balance denotes the market stabilising and is a sign of a mature real estate market, dominated by both investors and end-users,” the report said.
“Market activity is not slowing down and we have seen many signs of maturity over the last year. Construction is in full swing across many projects, new areas are coming to fruition and units are being completed. We are also seeing a healthy number of transactions in both off-plan and secondary markets,” said Lynnette Abad, director of Research and Data, Property Finder.
She said the emirate witnessed a marginal 0.65 percent annual increase in the volume of transactions in Q1 while the overall value of deals clinched in the same period rose by 7.9 percent compared to Q1 2018.
In terms of volume, both off-plan (4,967) and secondary market (4,350) deals had an almost equal split. In value terms, secondary market deals accounted for AED13.3 billion while off-plan transactions netted AED7.8 billion.
Communities like Dubai Hills Estate, Downtown and Business Bay witnessed the top off-plan transactions in Q1 while Business Bay, International City, Dubai Marina and Palm Jumeirah accounted for the top secondary transactions in Dubai.
In the off-plan market, the top sold villa/townhouse communities were Emaar South in Dubai South, Arabian Ranches 2 and Dubai Hills Estate and the top sold off-plan villa/townhouse projects were the Expo Golf Villas in Dubai South and Camelia and Reem sub-communities in Arabian Ranches 2.
In the secondary market, end-users purchased most villas/townhouses in communities such as Emirates Living (Springs, Lakes and Meadows), Arabian Ranches and Al Furjan, according to Property Finder data.
In the off-plan market, the top sold apartment communities were Dubai Hills Estate, Downtown and Business Bay while the top sold apartment projects were Emaar Beachfront, Seven City – JVT and Socio at Dubai Hills Estate.
In the secondary market, end-users purchased most apartments in established communities such as Dubai Marina, Palm Jumeirah and International City.
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