I hope you’ve had a restful week.
This week, our Director Nick had a fantastic meeting with the representative of SLS Hotel & Residences; the latest Dubai investment product to be added to our ever-growing portfolio.
With the developer amassing an incredible 5100 hotels across the globe, it was impossible for Nick not to be wowed by their latest offering. The SLS Dubai sets a new bar for luxury property investment, implementing a never-before-seen Fractional Ownership scheme for investors to explore.
Now, let’s take a look at all the headlines that caught our attention this week. I always try to summarise the links to save you having to click through.
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Property News This Week
- Dubai Property of the Week: Luxury New-York Style Loft in JBR – This week, the popular UAE news platform The National has given all real estate-lovers something special to get their hearts racing – Its Property of the Week article takes us inside one of the rarest and most desirable Dubai apartments currently on the market, fetching a cool Dh4 million. The 2-bed, 2-bath New York-inspired loft-style apartment is located in the coveted community of Jumeirah Beach Residence, with stunning views of the Dubai Marina. Measuring approximately 2,250 square feet, the decadent two-storey residence features sweeping staircases, generous ceiling heights, bespoke reception rooms such as its impressive library and dining room. The jewel in this magnificent crown property is its master suite, with its very own lounge, immaculate ensuite and walk-in wardrobe.
- Popular Residential Areas Will See More Rent Gains in 2022 – The UAE property expert, Core, has predicted that the recent trend of increasing rental values across Dubai will continue on an upward trajectory well into 2022. Noting Dubai South and Dubailand as being among 2022’s most affordable communities for renting, Core’s analysis points to better-established neighbourhoods such as Business Bay, JLT and Dubai Marina pick up speed as landlords push for higher rents. However, one factor still pushing against this trend is Dubai’s perennial trouble with oversupply. In 2021, 37,000 residential units were put onto the market, and a very modest estimate of at least 36,000 homes is looking probable by end-of-play 2022. This wide availability of residences will drive down renter competition and keep landlords’ price hikes from becoming too ambitious, too soon. While all this activity is an excellent sign of Dubai’s market recovery, its rental market still has a way to go.
- Dubai Property Boom Continues with 36K New Units Due in 2022 – One of Dubai’s most prominent real estate consultancy experts has released its latest annual report for 2021-22. Core’s analysis of this data suggests the impressive and unprecedented V-shaped recovery currently defining the Dubai property market has been facilitated by the lowering of loan-to-value ratios and business resistance, brought on largely by the UAE government’s proactive handling of the pandemic and its introduction of stronger, more positive legislation for companies. When looking back at the 37K residential units that were sold in 2021, Core has confidently projected that a high property transaction volume will be just as likely in 2022 with consistent price increases and the most popular communities persistently outperforming the rest of the market.
- Short-Term Rentals Are Trending in Dubai: What You Need to Know – With over 10,000 currently active holiday rental listings, Dubai’s short-term rental scene is looking very buoyant right about now. Since the understandable difficult slump of 2020, this market niche has made a spectacular comeback across 2021 as the UAE government took firm action to support the economy and bring overseas interest roaring back to life. In a year from December 2020, we can see that occupancy rates for holiday lets spiked by 32%, while the average month-on-month void period dropped to just 6%. In the meantime, property prices have also risen over the past year-and-a-half, though there is still lots of potential here for future growth. Short-term rentals are appealing due to their higher overall income potential. There are other perks to this sector, like the freedom to change guest tariffs to meet demand.
That is all we have for you this week. If you have any comments or questions on this week’s news summary then please feel free to send us an email at [email protected] – if not, see you next week.