DAMAC says Dubai projects stayed on track despite supply chain pressure

Dubai: DAMAC Properties said its construction pipeline has avoided any major hit from recent supply chain pressure, helped by the UAE’s port and logistics response, as the developer topped out its Dh243 million Harbour Lights tower in Dubai Maritime City on Tuesday.

Mohammed Tahaineh, Chief Project Officer at DAMAC Properties, told Gulf News that developers had to manage their suppliers and transport plans more closely, but available routes through Khor Fakkan and Fujairah helped keep projects moving.

“People are saying there are supply constraints, but I think in the UAE, and especially in Dubai, the government has made a lot of effort to make sure there are no disruptions in the supply chain,” he said. “They opened Khor Fakkan and Fujairah, so it is then a matter of how developers manage between themselves and their suppliers.”

The disruption did not translate into project delays for DAMAC. Tahaineh said the company initially expected some pressure, but did not feel a major impact across its developments.

“If Khor Fakkan and Fujairah are open, then it is a matter of transportation from Fujairah to Dubai,” he said. “The authorities are always supporting us. Honestly, we did not feel any major impact. Maybe at the beginning we thought it could happen, but we did not feel it, and it did not affect any of our projects.”

Harbour Lights reaches topping out stage

The comments came as DAMAC completed the superstructure of Harbour Lights, a 52-storey waterfront tower in Dubai Maritime City. The project, which the developer says is the tallest tower in Maritime City, has now moved into internal and external finishing works ahead of a planned 2027 handover.

The ceremony marked the final concrete pour on the roof floor slab, with substructure works already complete.

Harbour Lights will have 294 apartments, five podium levels, retail space and amenity floors on level 52. The tower will also feature an infinity pool, a gym, steam and sauna facilities, with views of the Arabian Gulf and Dubai coastline.

Dubai pricing still competitive

Tahaineh said buyer appetite for luxury homes in Dubai remains strong, supported by pricing that still compares favourably with other global cities.

“Dubai’s market is always attractive, and all of us know that,” he said. “If I compare the selling rates for luxury real estate in Dubai with Europe, New York or other developed cities, Dubai is always lower, especially when you compare luxury.”

Dubai developers are also offering a higher level of product quality for the price paid, he added.

“The level of quality and the products that Dubai and Dubai developers are offering are much higher, while prices are lower, in my view,” he said. “I believe the attraction for luxury products will remain strong, and it will become stronger.”

Waterfront demand

Harbour Lights is designed around coastal living, with resort-style amenities and access to key business and leisure destinations, including La Mer Beach, Dubai Creek, Burj Khalifa and Dubai Mall.

Its position in Dubai Maritime City is one of the main selling points, with the tower rising about 200 metres above ground level.

“The units are luxury, and as you can see, the view is in one of the best waterfront destinations in the country, Dubai Maritime City,” Tahaineh explained. “To my understanding, where we are now is currently the tallest building under construction in Dubai Maritime City. We are now around 200 metres above ground level.”

He said luxury mixed-use projects will continue to find buyers in Dubai because demand is still focused on prime locations, quality and views.

“There is a customer for every product, but in my opinion, Dubai is now known for luxury,” he said. “Everyone is looking for luxury products. I believe luxury products will always be attractive to investors, customers and tenants, and the market will remain strong and become stronger.”

Buyers still taking handovers

Tahaineh said Dubai’s real estate market continues to see buying and handover activity, despite concerns raised around supply chains and sentiment.

“Dubai is always attractive, and the real estate sector is strong, in my opinion,” he said. “We do not have problems, and I believe what people are saying here and there is not completely true. As a developer, we did not face it.”

DAMAC started handing over units at its Lagoons project at the beginning of this year and has completed about 5,500 to 6,000 completion certificates so far.

“People are buying, people are moving,” Tahaineh said. “All our customers are waiting for us to hand over their units. Because of the huge number, our policy is that customers must receive their units with the quality they are expecting.”

Harbour Lights will now move through the finishing stage before its scheduled 2027 handover, adding another luxury waterfront tower to Dubai Maritime City’s residential pipeline.