Dubai’s biggest 2023 project is the re-launch of Palm Jebel Ali, where villas start at Dh18 million
It is anticipated that the Palm Jebel Ali sales relaunch will signal the turning point in this year’s expanding Dubai real estate market. Adding a completely new chapter to the history of Palm Dubai for the decade to come.
According to some real estate companies, the starting price for the Palm Jebel Ali villas, which have built-up areas between 7,000 and 20,000 square feet, will be Dh18 million. When the first villas are issued, there will be a “intense rush” as wealthy investors battle for the greatest spots along the shore.
The extent of this island, where the majority of the initial development has already been finished, will be double that of the Palm Jumeirah and will add 110 kilometers to Dubai’s coastline. On the new Palm, there will also be mid-rise apartment buildings, and their sales should correspond with those of the top villa positions.
Estate agents have recently been talking with their clients about the Palm Jebel Ali options to prevent any delays in their purchase decisions. According to the agents, many purchasers want to “sign on the dotted line right away.”
Earlier this year, Dubai unveiled a new design for the Palm Jebel Ali, which was previously unveiled in the middle of the 2000s. However, the initiative was abandoned in the wake of the 2008 Financial Crisis.
But now, “This is the ideal moment for the Palm 2 to return,” said an estate agent. “Land availability on the Palm Jumeirah is scant, and there are legions of potential investors wanting to own property/plot on the Dubai beachfront.
“Palm Jebel Ali is coming to market at the right time. We know of many investors who are holding back from buying in any other project just because they want to be among the first on the Palm Jebel Ali relaunch.”
According to industry experts, sales at the Palm Jebel Ali will help maintain the momentum in the upscale segment of the Dubai real estate market. There haven’t been many new releases in this region recently because the vast bulk of the accessible lands have already been developed and sold.
Due to the tremendous demand for properties on the Palm Jumeirah, which in recent years has fetched record deals including a Dh600 million sale, the new houses on the second Palm have a built-in premium. That won’t put off any prospective buyers. “Typical Palm buyers are not ones to look at costs – they only want to know what those prices will bring to their homes,” said the CEO of one of the biggest luxury brokerages in the city.
What’s Palm Jumeirah selling at?
According to the statistics website DXBInteract.com, Palm Jumeirah villa purchases have cost an average of Dh25.5 million so far this year. That is a gain in value of nearly 40% from a year ago. The median price per square foot is Dh3,638, which is an increase of over 40% from the previous year. In the approaching weeks, the first Palm will see further project reveals and sales, including the much anticipated one from a second Armani-branded project in Dubai.
Wait and watch
The primary factor that will benefit the Palm Jebel Ali is the severe lack of ultra-luxury villas for sale in Dubai. When Knight Frank mentioned this in a recent market report, investors were forced to decide whether to wait to invest their money or look elsewhere.
“This gap is what the Palm Jebel Ali villa sales will fill,” said an estate agent. “Upsized villas/mansions with ample beachfront in Dubai will continue to be the hottest ticket in the property market.”