The drop in the number of homes available for sale indicates that homeowners are holding on to their homes longer, indicating a longer-term residency mindset.
The total number of deals at Burj Khalifa increased by 22 percent to 117 during 2023, totaling more than Dh1 billion. The world’s tallest tower beat the rest of the city in average price by more than 17 percent last year.
According to data released by property consultancy Knight Frank to mark the 14th anniversary of the world’s tallest building, Burj Khalifa saw the total number of homes available for sale decline by 52 per cent last year, reflecting the growing number of long-term investors and the true end. users.
The tower accounted for 7 per cent of all sales in the centre, which amounted to Dh14.6 billion last year.
Burj Khalifa was inaugurated on January 4, 2010, coinciding with the fourth anniversary of the Accession Day of His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice President of the United Arab Emirates and Ruler of Dubai. At 828 meters (2,716.5 feet), the 200-plus-story Burj Khalifa has 160 habitable levels, the most of any building in the world.
Faisal Durrani, Partner and Head of Middle East Mena Research at Knight FrankHe said a 52 percent drop in the number of homes available for sale in the tower underscores that homeowners are deciding to hold on to their homes longer, with inventory levels falling sharply, indicating a longer-term residency mentality. term.
“Unsurprisingly, this behavior has helped sustain price growth in the tower, with the most expensive home sold this year trading 140 percent higher than in 2022.”
As a result of the extraordinary level of demand for property in Dubai, average prices across the city have increased by 38 percent since March 2021. In contrast, prices at the Burj Khalifa have increased by 55.4 percent over the same period.
Frankish Knight revealed that the most expensive residential unit was sold for Dh15 million. The four-bedroom apartment was sold for Dh3,339 per square foot. The highest cost per square foot was Dh4,852 per square foot in 2023, 20 per cent higher than the most expensive sale in 2022 of Dh4,044 per square foot.
The highest unit purchased at Burj Khalifa was on the 105th floor and was sold for Dh10 million.
“Dubai’s emergence as a second home hub and its crowning as the world’s most active $10 million-plus housing market has fueled a relentless wave of international buyers, many of whom have been targeting the most expensive homes. of the emirate in the city’s most attractive neighborhoods”,
During 2023, around 45 branded residential units were sold, the most expensive at Dh33 million and measuring 8,822 square feet.
14 year performance
Since opening 14 years ago, the Burj has accounted for Dh9.8 billion in home sales, or 8 per cent of the value of all sales in the center since 2010. It has recorded 1,756 transactions in the last 14 years.
Will McKintosh, Regional Partner and Mena Residential Director at Knight Franksaid that Downtown Dubai is located at the heart of the city’s most desirable submarkets and is the most sought-after location for residential real estate in Dubai by international high net worth individuals.
“Now that the main core of the city encompasses the centre, Business Bay and the wider DIFC, we are seeing developers moving to capitalize on the high level of housing demand in this area. Branded residential operators are clustering in Business Bay, offering unique homes, under the management of brands new to the region, which is helping to cement Dubai’s status as the city with the highest concentration of branded residential operators. ”
News Source: Khaleej Times