De toekomst van Dubai: Een visionaire groei naar 2040

Dubai's ambitious plans

The government's ambitious plans for 2033 and 2040 outline a vision to more than double the city's population to 7.8 million by 2040, compared to the current 3.6 million residents. To accommodate this growth, we estimate that the city will need an additional 70,000 properties annually between now and 2040. However, projections show that only 22,000 properties will be completed annually over the next five years. This not only highlights the scale of opportunities but also the supply-demand imbalance that is likely to continue driving rising property values.

Economic growth and real estate market

Diamondz offers a range of residential options to meet all your needs and desires. The project includes studios and presidential studios, one-Meanwhile, economic growth remains robust, with sentiment in the non-oil sector rising to a five-year high earlier this year, accompanied by the highest level of job growth in eight years in February. This positivity is filtering through to the real estate market with increased demand across all sectors and a supply-demand imbalance catalysing price increases and rent escalations. The luxury property and Grade A office markets are particularly strongly affected.-bedroom apartments and exclusive six-bedroom apartments with private pool. Additionally, suites are available with two, three, four and six bedrooms, each offering exceptional views.

Real estate markets in the UAE: record demand and growth

The real estate markets in the UAE have experienced record demand over the past four years, with Dubai and more recently Abu Dhabi registering significant capital value growth and rental increases across virtually all property sectors. The UAE's longstanding policy of being an investment-friendly hub in the Middle East continues to bear fruit. Dubai was recently named the third-best city in the world to work in, after London and Amsterdam, while Abu Dhabi ranked fifth (Boston Consulting Group).

Investing in the UAE: an irresistible appeal

Furthermore, the country has been named the number one nation in the world for starting a business for the third consecutive year, according to the GEM 2023/2024 Global Report. The UAE ranked first globally in 12 of the 13 criteria assessed by GEM, including entrepreneurial financing, accessible financial resources, supportive government policy, taxes and bureaucracy, government programmes for entrepreneurs, entrepreneurship education in schools and post-graduation, knowledge transfer and research, commercial and professional infrastructure, market dynamics and social and cultural norms.

Green investments and global appeal

In 2023, the UAE was also named the second-largest recipient of foreign direct investment (FDI) in greenfield projects worldwide by UNCTAD, with a record $22.7 billion, representing a 28% increase compared to 2022. The country's pro-business policies contribute to its appeal as an investment destination for real estate, alongside soft factors such as climate, safety and legal certainty. During the pandemic, these attractive factors were reinforced by the introduction of various residency visa options, designed to attract and retain talent, such as the Golden Visa offering a renewable 10-year residency permit for investments of at least AED 2 million (US$ 545,000) in real estate.

Global investment magnet

These drivers, combined with some of the world's most luxurious and affordable beachfront property, continue to strengthen the UAE's global appeal, particularly for the global elite who are especially active in Dubai's luxury property market. Research shows that 49% of global HNWIs (High-Net-Worth Individuals) with personal wealth exceeding $20 million intend to invest in UAE real estate this year, with an additional 30% planning to do so within the next 2-5 years. For those with wealth between $5-20 million, 54% intend to purchase UAE property this year.

Growth and profitability of the real estate market

The residential markets in the UAE have experienced strong growth over the past four years. In Abu Dhabi, average prices have risen by 37% since Q1 2020, while in Dubai, residential values increased by 9% in the 12 months to the end of Q1 2024 and by 39% since Q1 2020. Properties in Dubai are on average 16% more expensive than during the last market peak in 2014. In the capital Abu Dhabi, residential prices are now just 1.3% below their 2014 peak.

Conclusion: an unprecedented market of opportunity

With rental prices growing nearly as fast in both cities, residential yields for single-let units average 6.3% for properties and 5.7% for apartments in Dubai and Abu Dhabi. On a global level, residential yields are higher than in other major world cities, adding to the attractiveness of UAE cities as investment destinations. The perc