Branded residences in Dubai are commanding a significant premium, with prices averaging 42% higher than non-branded properties, as institutional investors increasingly target these luxury assets.
Dubai's real estate market is experiencing a major shift as branded residences evolve from a niche segment into a core asset class, attracting institutional investors and setting new price benchmarks. According to the H2 2024 Branded Residences Report by Morgan’s International Realty, this change is particularly noticeable in the luxury market, with branded residences becoming a key driver of real estate activity.
The H2 2024 Branded Residences Report showed that by the end of 2024, branded residence prices in Dubai averaged Dh3,288 per square foot, compared to Dh2,321 per square foot for non-branded units.
Bvlgari, located on Jumeirah Bay Island, is at the pinnacle of this market, which boasts the highest price per square foot at Dh10,668. Other prominent luxury developments follow closely, with Atlantis Resorts priced at Dh9,387, Dorchester Collection at Dh7,539, Baccarat at Dh7,211, and Four Seasons Hotels & Resorts at Dh6,829.
Other high-end properties in the market include Armani (Dh5,736), One & Only Resorts (Dh5,155), Six Senses Hotels & Resorts (Dh4,879), Bugatti (Dh4,682), and The Ritz-Carlton Hotel (Dh4,342), rounding off the top 10 most expensive branded residences in Dubai.
Experts suggested that Dubai has surpassed traditional luxury real estate markets regarding price appreciation, investor interest, and the volume of new projects, solidifying its position as a global leader in branded residences.
According to reports, Dubai remains the most active market for branded residences worldwide, followed by other luxury hotspots such as Miami, New York, Phuket, and London. Sales of branded residences in Dubai surged by 48% in the second half of 2024, reaching 7,628 units compared to 5,153 in the same period in 2023.
The city currently has 132 branded residences, encompassing 43,085 units, including one property that sold for a record-breaking Dh275 million. The highest price per square foot for a branded residence in Dubai reached Dh17,235.
In addition, there are 1,282 ready-branded units valued at Dh6.88 billion, with 6,346 more currently under construction, estimated to be worth Dh24.9 billion.
Dubai's rapid growth in the branded residence market is attributed to pro-investor policies, world-class infrastructure, and its thriving luxury real estate sector. The tax-free economy, long-term residency incentives, and growing international investor demand have helped Dubai outpace traditional luxury real estate hubs and establish itself as the premier global destination for branded residences.
For developers, branded residences offer higher prices, quicker sell-outs, access to elite buyers, and enhanced credibility on the global stage. Buyers benefit from superior design, exceptional service, stronger capital appreciation, better rental returns, and an exclusive, hassle-free lifestyle. Luxury brands' properties present new revenue opportunities and avenues for market expansion.
