Dubai Real Estate Market Report — October, 2023

Dubai Real Estate Market Report – October 2023

Dubai's property market ended October 2023 at record strength, as 12,179 transactions valued at AED 39.68 billion traded hands across all property types. Zooming in on the apartment, villa and commercial segments that form the market's core, activity hit 11,773 deals (a 40% rise year on year) worth AED 30.97 billion (up 42%) — an unusual month where both dealflow and capital committed reached fresh peaks.

The median price spanning all categories came in at AED 1,486/sqft, and the growth was widespread rather than concentrated: apartments contributed most of the volume, whereas villas and commercial properties recorded the sharpest gains in value.

Headline figures

Year-on-year performance by category

Apartments powered the growth. The segment recorded 9,411 sales — 2,865 above the prior year and the highest October volume in the 10-year series — pushing volume up 44% and value up 28% to AED 17.71 billion. Prices, though, went the opposite way: the median softened to AED 1,584/sqft (down 5%) and the median ticket dropped 13% to AED 1,211,000. That per-square-foot level nonetheless sits 33% over the 2014 base, so this looks like a year of intense activity at cooler pricing rather than any pullback.

Villas ran the reverse pricing narrative. Deals climbed 16% to 1,930, likewise the highest October volume in the 10-year series, yet the rise in value was far greater — up 60% to AED 12.48 billion. In this case prices led the way: the median hit AED 1,199/sqft, up 32% year on year and the highest October price per square foot in the 10-year series, now 70% above 2014. The median villa ticket advanced 22% to AED 3,114,000.

Commercial was the tiniest segment yet expanded quickest from its modest starting point. Its 432 deals more than doubled in volume, up 107%, as value surged 195% to AED 782.86 million. It notched both a record October volume and a record October price per square foot, the latter at AED 1,280/sqft (up 42%), with the median ticket climbing 46% to AED 1,231,889.

Every category, including plots and buildings

Outside the apartment, villa and commercial base, land contributed heavily to the headline figure: 403 plot deals traded for AED 8.51 billion at a median of AED 385/sqft and a median ticket of AED 5,319,417. Three building sales tacked on another AED 200.11 million. These plot and building numbers sit within the all-category headline and shouldn't be merged into the segment figures above.

Primary versus resale

Developer sales set the pace. The primary market captured 60% of volume and 65% of value — 7,071 deals worth AED 20.03 billion — with resale making up the other 40% of deals and 35% of value, namely 4,702 transactions worth AED 10.94 billion. Resale's smaller value share versus its volume share indicates secondary trades leaning toward cheaper price points than off-plan.

Where the activity was

Capital gravitated to the waterfront and a few dense neighbourhoods. Palm Jebel Ali topped all areas by value at AED 4.12 billion, ahead of Marsa Dubai (AED 3.13 billion) and Al Merkadh (AED 2.78 billion), with Palm Jumeirah and Downtown Dubai completing the top five. On raw count, Al Merkadh was the most active with 1,877 transactions, trailed by Al Barsha South Fourth at 1,509 and Marsa Dubai at 810.

Rental market

The leasing market flipped the sales picture on its head: contract counts tumbled while rents climbed everywhere. New apartment leases fell 43.19% to 12,991, though the median new-lease rent rose 25% to AED 60,000; renewals were a softer echo of the same, off 29.89% in count but up 6.74% in rent to AED 50,000. Villa new-lease rents leapt 25.86% to AED 165,000, and new commercial rents grew 12.69% to AED 100,000 — the pattern of thinner volumes yet firmer pricing recurred across every segment.

Supply

The delivery pipeline remained in expansion mode. Developers launched 9,186 units across 33 projects while completing 6,362 units from 23 projects — a launch-to-delivery ratio of 1.4 and a net 2,824 more units launched than delivered, signalling a still-growing pool of future supply.

Launched

• Nadine Residences 2 – Jabal Ali First (London Gate), 102 units
• Skyhills Residences - 1 – Al Barsha South 2 (The Cayan Group), 1,809 units
• Le Parc Homes Ii – Al Barsha South Fourth (Kbw), 13 units
• Alicante Villas – Al Hebiah Fourth (Dubai Sports City), 14 units
• Hillside Residences 2 - F – Jabal Ali First (Wasl), 280 units
• Elitz 3 By Danube - 2 – Al Barsha South Fourth (Danube), 692 units
• The Valley - Alana – Al Yufrah 1 (Emaar), 322 units
• Vela By Omniyat – Business Bay (Omniyat), 39 units
• Estella 2 – Al Hebiah Fourth (Dubai Sports City), 5 units
• Damac Casa – Al Safouh Second (Damac), 409 units
• Binghatti Tulip – Al Barsha South Fourth (Binghatti), 279 units
• Azizi Venice 4-Podium – Dubai South (Azizi), 389 units
• Park Lane ? Townhouses – Hadaeq Sheikh Mohammed Bin Rashid (Emaar), 854 units
• Sapphire 32 By Dar Alkarama – Palm Jumeirah (Parshwa Holdings), 343 units
• Weybridge Gardens – Wadi Al Safa 5 (Leos), 187 units
• The Haven Garden – Al Barsha South Fourth (Metrical), 199 units
• V1ter Residence – Al Barsha South Fourth (Object One), 176 units
• Serenity Mansions – Al Hebiah Fourth (Majid Al Futtaim), 109 units
• Nadine Residences – Jabal Ali First (London Gate), 102 units
• Pearl House Ii By Imtiaz – Al Barsha South Fourth (Imtiaz), 202 units
• Aark Residences – Wadi Al Safa 5 (Aark Developers), 100 units
• Olivia Residences – Dubai Investment Park First (Karma Realty), 231 units
• Maya Residences 5 – Al Barsha South Fifth (London Gate), 59 units
• Central Park Plaza Tower B – Al Wasl (Meraas), 212 units
• Luxor Tower By Imtiaz – Al Barsha South Fourth (Imtiaz), 361 units
• Nautica Two – Madinat Dubai Almelaheyah (Select Group), 328 units
• Beach Residences Dubai Islands - Beach Houses – Dubai Islands (Nakheel), 334 units
• Bayline – Madinat Dubai Almelaheyah (Emaar), 151 units
• Samana Portofino – Me'Aisem First (Samana), 226 units
• Azizi Venice 3 -B – Dubai South (Azizi), 354 units
• Hillside Residences 1 - D – Jabal Ali First (Wasl), 235 units
• Riviera Chalet – Al Barsha South Fourth (Riviera Developments), 57 units
• The Rings - 2 – Jumeirah Second (Pmr Property), 13 units

Delivered

• The Eugene Townhouses – Wadi Al Safa 3 (Tanmiyat), 47 units
• Mohammed Bin Rashid Al Maktoum City-District One, Phase Iii, Residences 12 – Al Merkadh (Meydan), 315 units
• Cherrywoods – Al Yelayiss 1 (Meraas), 378 units
• Azizi Riviera 19 – Al Merkadh (Azizi), 208 units
• Azizi Riviera 21 – Al Merkadh (Azizi), 158 units
• Samana Golf Avenue – Al Hebiah Second (Samana), 232 units
• Marina Star – Marsa Dubai (Marina Star), 256 units
• Sur La Mer – Jumeirah First (Meraas), 113 units
• Azizi Riviera 23 – Al Merkadh (Azizi), 250 units
• Binghatti Crescent – Al Barsha South Fourth (Binghatti), 170 units
• Jewelz Residence – Al Barsha South 3 (Danube), 463 units
• Aykon City (2) -Tower C – Business Bay (Damac), 1,001 units
• La Rosa 1 – Wadi Al Safa 5 (Dubai Properties), 13 units
• Equiti Apartments – Warsan Fourth (Bnh), 136 units
• Sobha Hartland Villas Phase Iii – Al Merkadh (Sobha), 55 units
• Azizi Riviera 25 – Al Merkadh (Azizi), 277 units
• Sobha Hartland Waves Grande – Al Merkadh (Sobha), 466 units
• Socio Tower 2 – Hadaeq Sheikh Mohammed Bin Rashid (Emaar), 337 units
• Azizi Riviera 20 – Al Merkadh (Azizi), 251 units
• Creek Edge Tower 2 – Dubai Creek Harbour (Emaar), 571 units
• Prive Residence – Hadaeq Sheikh Mohammed Bin Rashid (Ginco), 231 units
• La Rosa Phase 2 – Wadi Al Safa 5 (Dubai Properties), 276 units
• Azizi Riviera 22 – Al Merkadh (Azizi), 158 units

Most expensive sales

Top apartment sales

1. AED 200,000,000 – One Za'Abeel Tower, Zaabeel First
2. AED 25,000,000 – Balqis Residence - Garden Villas, Palm Jumeirah
3. AED 23,483,000 – Cavalli Couture - Tower 1, Al Wasl
4. AED 21,500,000 – One Za'Abeel The Residences, Zaabeel First
5. AED 16,088,888 – Bayview Tower 1, Marsa Dubai

Top villa sales

1. AED 120,000,000 – Palm Jumeirah
2. AED 100,000,000 – Al Hebiah Fourth
3. AED 95,000,000 – Emirates Living
4. AED 65,920,000 – Ghadeer Al Tair
5. AED 65,000,000 – Hadaeq Sheikh Mohammed Bin Rashid

Notes on methodology

Scope. Headline totals and the category table span every property category in the data, Plot and Building included. The primary/resale breakdown, top-area rankings and the year-on-year series cover Apartment, Villa and Commercial alone, so those numbers are intentionally smaller than the headline and shouldn't be summed across sections.

Rounding. Headline totals are the authoritative rounded figures. Category-level breakdowns are rounded on their own and may not add up precisely to the headline.

Definitions. Price figures are medians rather than averages. Year-on-year sets the period against the matching period a year before. All values in AED; areas in square feet.