Jumeirah Islands has emerged as a prime destination for the elite seeking to establish their homes in Dubai. This prestigious area now joins the ranks of other high-end neighborhoods like Emirates Hills, Jumeirah Bay Island, and Palm Jumeirah.
Over the past three years, Jumeirah Islands has accounted for more than 10 percent of all property transactions valued at over Dh10 million, underscoring its ability to retain value and solidifying its status as a top-tier neighborhood, according to global real estate consultancy Knight Frank.
The most expensive property sale in this man-made island cluster was a 4-bedroom, 5,500 square foot home that sold for Dh28 million in December 2023, translating to Dh5,111 per square foot. In the past 12 months alone, 97 homes in Jumeirah Islands changed hands, totaling approximately Dh1 billion in sales.
Dubai’s Market Maturity
Will McKintosh, Regional Partner and Head of Residential for MENA at Knight Frank, emphasized that Dubai has now fully emerged as a mature real estate market. He noted that the increasing number of prime residential neighborhoods signifies this maturity, predicting that areas like Tilal Al Ghaf, Jumeirah Golf Estates, Al Barari, and Blue Waters will soon achieve prime status as well.
Decline in Home Listings
Due to high demand, the number of homes available for sale in Jumeirah Islands has decreased by 28 percent over the past year, leaving 279 homes on the market. This is part of a broader trend, with prime home listings across the city falling by 44 percent to around 4,900 properties, according to Faisal Durrani, Partner and Head of Research for MENA at Knight Frank.
Durrani also highlighted that buyers are not only paying record prices for homes in Jumeirah Islands but are also investing heavily in refurbishing them. This indicates a long-term buy-to-hold or buy-to-live approach that has characterized the market for the past four years.
The ‘Race for Space’
The COVID-19 pandemic triggered a ‘race for space,’ significantly boosting villa prices in Dubai by 17 percent over the last year. This trend has also been evident in Jumeirah Islands. The continuous demand from international buyers for waterfront properties or those with access to parks and green spaces has propelled Jumeirah Islands into the prime category, Durrani explained.
Aspirations of the Wealthy
Shehzad Jamal, Partner for Strategy and Consultancy for MEA at Knight Frank, noted that the aspiration to own a villa in Dubai grows with increasing net worth. Among individuals with a net worth of $2-5 million, 30 percent express a desire to buy a villa in Dubai. This figure rises to 48 percent for those with over $15 million, and to 59 percent among global high net worth individuals with more than $20 million.
Conclusion
Jumeirah Islands has solidified its position as a sought-after location for Dubai’s elite, with its robust property values, high demand, and prime status appeal. As Dubai continues to mature as a global real estate market, areas like Jumeirah Islands will remain at the forefront of luxury living, attracting high net worth individuals from around the world.
