Page 56 - SOBHA REALTY PR REPORT NOVEMBER 2023

PNC Menon, chairman of prime property developer Sobha Group, said the data is not
surprising as Dubai remains one of the most sought-after destinations for the world’s
super-rich, thanks to the city’s overarching appeal as a safe and splendid melting pot of
diverse nationalities and cultures.

“The remarkable growth of Dubai’s property sector could be attributed to factors like

economic stability, consistent innovation, infrastructure development, and a
cosmopolitan lifestyle. The outlook for the city’s realty sector is very bright as Dubai will
continue to witness a steady surge in population over the years,” said Menon.

“Demand for luxury homes in Dubai remains resilient and supply continues to stubbornly

lag demand. The total number of $10 million home sales in Dubai for the first nine
months of the year has hit 277, a record high with three months of the year still left to
run. This builds on Dubai’s emergence as the world’s busiest $ 10 million+ sales market
during H1, ranking ahead of New York (125), Hong Kong (109), and London (99),” said
Faisal Durrani, partner–head of Research, Middle East & Africa.

“Super-prime activity has come off the 2021 peak, but our latest results confirm a
market still seeing activity above pre-pandemic levels. Higher debt costs will continue to
weigh on the sector – but a lack of fresh new-build project launches in key markets like
London and New York will impact on sales in 2024,” said Liam Bailey, Knight Frank’s
global head of research.

The report said residential sales in many of the world’s mainstream markets are down
by 20 per cent to 30 per cent year-on-year. This weakness is mainly due to the surge in
finance costs over the past year, which has had a dramatic impact on affordability and
market accessibility. “While not immune from slowing activity, our latest data confirms

that global super-prime markets have been more resilient, with sales in our 12 markets
falling only 2.4 per cent in Q3 this year against the same period in 2022 – with 362 sales
set again 371 respectively.”

Annualised data shows a similar picture with sales in the 12 months to September down
by 4.1 per cent compared to the full-year 2022 results. The total value of super-prime

sales – at $31.7 billion over the most recent 12-month period, has fallen from the 2021

https://www.khaleejtimes.com/business/dubai-bucks-global-dip-in-super-prime-house-sales-tops-
ranking