A Clear City Walk Pricing Strategy

 

On average, the price per square foot at City Walk Dubai is an average of AED 1,900 sq.ft. With limited exceptions of some excellent units that can reach up to 2500 DHS per sqft. However, using the price per square foot formula to calculate the cost of residential units at City Walk can be problematic, especially for a first time home-buyer or investor. Lets understand why.

Citywalk

From a pricing standpoint at a macro level, City Walk is divided into two main complete phases:
 

  • The First Phase consists of “blocks” that are facing the Boulevard:

Building 1,2A,2B,3A,3B,4A,4B,5,6A,6B,7,8,9,10A,10B,11A,11B,12,13A,13B,14,15,16. It is important to note however that in some cases a single block can be comprised of two buildings: one directly on the boulevard and the other one back to back.

  • The Second Phase extends from the end of the boulevard “being the opposite end of the City Walk Mall” to Al Albaany the main road behind Mazaya Center.

Naturally the apartments located on the main boulevard are more expensive than the apartments located in phase two. Thus separating these phases is crucial. Taking each phase separately, lets take a look at the factors that primarily impact the price per square foot for each phase.
 

PHASE ONE - City walk apartments (in order of impact):

  1. Location: Mainly defined by the building’s proximity to the City Walk mall. It is considered a significant advantage to be located adjacent to the mall. The further away you travel from the mall, the lower prices become.
     
  2. View: The effect of the "View" can push prices up massively; 25% more if we compare the least attractive view to the most attractive view in a single building. To give you a generic guideline on this important price parameter, read below:

    - Community view (facing another building): Approximately 5% higher

    - Swimming Pool view: 5% higher than community view approximately

    - Sky line and Burj Khalifa / Dubai Arena / Jumeirah View / Park view
     (up and coming): 10% higher than community view approximately

    - Boulevard view: Approximately 20% to 25% higher than community view
     
  3.  Floor number: In general, with the exception of the first floor which has the advantage of having direct access to the pool area in some buildings, each floor you increase comes with a premium of 1% to 2%.
     
  4. Layout: With a wide range of layouts on offer at City Walk, the more attractive the layout of apartment, the higher price becomes per sqft.

Other Factors that influence the pricing strategy:

Wherever you choose to invest in Dubai, buyers will pay the full price per square foot on balcony size. In some cases however, a buyer may find properties boasting exceptionally low prices. At City Walk, deals can be found as low as AED 1650 DHS per sqft. marketed as “amazing deals” these apartments have extra large balconies that account for 30% plus of the total size of the apartment. Therefore, the average price per sqft has been significantly lowered. It is worth mentioning that whenever you find radically reduced prices per sqft, the total price of the apartment is often, if not always, higher than similar unit types in the market.
 

PHASE TWO – City Walk Apartments (in order of impact):

For Phase Two, all of the aforementioned factors that impact the price of units in Phase one also apply for Phase Two, with the exception of units with a view of the boulevard. Generally speaking, apartments in Phase Two are on average 7% to 10% lower in value than apartments in Phase One.

The above can indeed be considered as a general guideline to the pricing strategy of the City Walk Project. 

More tips:

For SALES:

  • Best buildings for sales in term of location: Building 1, 2a, 2b and 8
  • Best buildings interim of layout: Building 6a, 6b, 11a and 11b
  • Best Buildings in term of value for money: Building 14 and 22


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