Dubai: Investors who missed out booking the first residential launches on Dubai’s much-anticipated Palm Jebel Ali relaunch needn’t worry.
There’s lot more coming - or they can still do it from the secondary market listings that are showing up featuring Palm Jebel Ali homes. At premiums of 10-25 per cent over the launch prices.
That’s right, less than a week after Palm Jebel Ali homes went on sale, a vibrant secondary market is being created around the island-destination. Some of the biggest property portals have received fresh listings of some of the homes booked in recent days. And with a solid mark-up attached.
None of which is surprising, because the Palm Jebel Ali has become the single biggest project launch of the year – and even of the decade, according to industry sources. It’s twice the size of Palm Jumeirah, and based on the revised masterplan, will be Dubai’s new haven for well-heeled investors and with lifestyle offerings to match all expectations.
How are the 'secondary' market prices looking like?
“A 10-25 per cent premium on list prices are what’s being seen on property portals,” said a market source. “That’s on top of launch prices of Dh18 million to Dh25 million for the entry options and then going much higher depending where the property will be on the island.”
Through the listings, sellers are offering the booking reservation form they are holding on the property. For which they had put in 20 per cent as down payment. Given the overall value of the homes, these are quite sizeable amounts being put up front.
Queueing up - and there will be more
On launch day, there were overnight queues as the Dubai property market and its buyers prepared for the blockbuster day.
“There were around 1,500 plus waiting in queues for the release of the 400 odd units on the four fronds,” said Ranjeet Chavan, founder and CEO of Nautilus Real Estate. “Based on what we can see in the floor plans, they are designed to showcase the unparalleled views.
“The Palm Jebel Ali price points are much higher than was expected. Investors were expecting starting price tags of Dh10 million to Dh12 million for 5-bed villas, but find they start from Dh18 million. The Signature Coral villas were expected to be in mid-Dh20 million, but start from Dh36 million. The Tip villas are from Dh70 million, and that was expected.
In the coming weeks, more homes will be released on the second Palm, including apartment buildings. The leading brokerage houses have all been ‘flooded’ with clients wanting to get their names in for the next set.
“The biggest buzz in the Dubai property market right now is the PJA,” said one estate agent. “That’s how it is and this will continue awhile. Other luxury residential launches will have to factor in the demand for Palm Jebel Ali.”
Dubai property slipping into higher gear
That’s good enough for the wider Dubai property market, as it lines up a strong finish to 2023.
“The (Dubai property) market isn't slowing down anytime soon,” said Ainsley Duncombe, founder of Off-Market Listing (OML) Dubai.
These offplan launches are indicative of a market experiencing unprecedented demand. We had requests from seven of our HNWI clients for villas on The Palm, two clients based locally and five clients international.
It’s a narrative that will get into repeat mode as the Palm Jebel Ali sales go into overdrive…