As Dubai’s market continues to show robust and healthy sales activity I feel it’s time to cast some light on what I believe to be an overlooked and under loved opportunity.
As is true with many asset classes, a successful investment requires identifying common characteristics such as;
- When the overall market sentiment is in your favour,
- When positive fundamentals are ignored by the market and price falls significantly below fair value
- When meaningful price catalysts are due to be announced but again are being largely ignored by investors.
- When the comparable to the project in focus are 2 to 3 times more expensive
The opportunity I am presenting today has all of the above characteristics. Jebal Ali Hills is a Meraas Project consisting of mainly G+1 Villa plots and has many advantages for investors and end users such as;
- Freehold situated on Shk Zayed Road
- Attractive pricing of 100 dhs per sq.ft (very limited supply)
- No holding fees
- No design restrictions
- No build time limits
- 24 mins drive to marina mall
- Infrastructure 100 % completed
- Meaningful price catalysts in the near term.
- Comparables are 2 - 3 x todays price
It will take some time 3 - 9 months for the market to wake up to this investment (however the good news here is that there are no holding costs)
In summary Jebel Ali Hills by Meraas is an opportunity where the market participants have over looked the positive fundamentals in an overall very strong market. This is recipe for strong gains going forward as the market catches up and revalues the opportunity.
Brokers who prefer to push the latest launches and high-ticket price items may have something to do with this current situation however one thing is for sure, the value at the current prices cannot be ignored. Jebal Ali Hills villa plots certainly are something that presents a low-risk investment. Price has bottomed and the time now is for smart investors to begin accumalation. The market price is set by the volume of sellers in a particular price range. There are a few plots at discounted prices and once those are sold the market price will jump up to the asking price set by the next group of sellers. Long term these residential villa plots could be fair value at 2 - 3 x today’s prices once the strong fundamentals have been appreciated once more. If you would like to learn more about the opportunity at Jebal Ali Hills please join me for a coffee at our Marina Plaza branch and our property specialists can walk you through the fine details. Alternatively you can give me a call on +9715 1 999 555 or view the mini site created to share this opportunity with our investors.