Dubai’s Branded Residences: Luxury Demand Soars
Dubai’s real estate market is witnessing an unprecedented surge in demand for branded residences, as high-net-worth individuals (HNWIs) and global investors increasingly seek out luxury properties associated with world-renowned brands. This trend is reshaping the city’s property landscape, with branded residences now commanding record premiums and driving new waves of development.
Branded Residences: A Premium Asset Class
Branded residences are properties developed in partnership with iconic hotel, fashion, or automotive brands, offering buyers not only a prestigious address but also access to high-end services, amenities, and design. In Dubai, these properties have become a status symbol and a preferred choice for discerning buyers who value exclusivity, quality, and seamless management.
Buyers are now willing to pay up to 69% more per square foot for branded residences compared to similar non-branded properties in the same locations. In 2024, the average price for a branded residence in Dubai reached Dh6,500 ($1,770) per square foot, with some ultra-luxury developments, such as Bulgari Lighthouse and Bugatti Residences, starting at Dh64 million and Dh19 million respectively
Record Growth and Market Expansion
The branded residence sector in Dubai has grown at a record pace. Over 13,000 branded units were sold in 2024 alone-a 43% increase from the previous year. The city now boasts more than 132 branded developments and 43,000 units, with projections indicating that this number will more than double in the next five years. In the first half of 2024, branded residences accounted for 7.2% of all property transactions by volume and 12.6% by value in Dubai.
International hotel and luxury brands such as Armani, Bulgari, Bugatti, Dorchester Collection, Four Seasons, and Mercedes-Benz are rapidly expanding their footprint in the emirate. New projects like the Marriott Residences Sheikh Zayed Road and Armani Beach Residence at Palm Jumeirah are among the latest high-profile launches.
What’s Driving the Demand?
Several factors are fueling the boom in branded residences:
Prestige and Brand Identity: Buyers are drawn to the cachet of owning a home managed by a world-class brand, with guaranteed standards of service and design.
Investment Potential: Branded residences have shown resilience during market volatility and often deliver higher capital appreciation and rental yields compared to non-branded properties.
Safety and Security: Dubai’s reputation for safety, political stability, and a luxury lifestyle continues to attract global HNWIs and families looking for second homes or secure investments.
Government Initiatives: Pro-investor policies, long-term residency visas, and a tax-free environment have bolstered international demand.
Limited Supply in Prime Locations: Dubai’s flexible land use and fewer constraints compared to other global cities allow for innovative, high-profile branded projects in sought-after areas like Palm Jumeirah, Jumeirah Bay Island, and Downtown
The Future of Branded Living in Dubai
With more than 4,600 branded units expected to be delivered in the next five years and a steady pipeline of new projects, Dubai is set to maintain its position as the world’s leading market for branded residences. Developers and global brands are responding to sustained demand by launching increasingly ambitious projects, often with bespoke services, personalized design, and integration into global hospitality networks.
As international investors continue to view Dubai as a safe haven for capital and a hub for luxury living, the branded residences sector is expected to see further growth, innovation, and record-setting transactions in the years ahead.
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