Luxury properties sustained a strong demand this year as investors reposed trust in Dubai's growing real estate sector as another high-value penthouse at the Palm Jumeirah looks set to attract Dh250 million.

"The super-luxury property on the Palm Jumeirah will cost Dh250 million," according to the developer Alpago Properties, who recently sold a new mansion on the Palm for Dh302.5 million surpassing the previous record of Dh280 million.

Each unit comprising of 9,000 and 19,000 square feet will be costing between Dh95 million and Dh250 million. The most expensive unit receives two floors, while the other nine will each have one.

"Prices have been set for the 10 units that make up the project’s 11 stories by Alpago Properties. Sales won’t begin until the project is finished, which is anticipated in 2024," the developer said.

Frond G, which has more signature villas than all of Palm Jumeirah combined, is popularly known as 'Billionaires Row'. It is is home to the most expensive villa ever sold in Dubai by Alpago Properties.

Recent media reports said that the Indian industrialist Mukesh Ambani, one of the world’s richest people, bought a Palm Jumeirah villa for approximately $80 million (Dh293 million) for his son Anant.

Prathyusha Gurrapu, head of Research and Advisory at real estate consultancy Core, said the prime and ultra-prime residential market has been relatively resilient compared to the affordable and mid-market segment during 2014-2020.

"We have observed a marked increase in demand for prime residential properties since fourth quarter of 2020. In fact, 2021 saw the highest secondary market transactions above Dh10 million in the last decade, with Palm Jumeirah accounting for nearly 35 per cent of these transactions," Gurrapu told Khaleej Times recently.

Prime residential values in Dubai, which encompasses the neighbourhoods of the Palm Jumeirah, Emirates Hills and Jumeirah Bay Island have risen by 88.8 per cent in the last 12 months, according to global property consultant Knight Frank.

“Prime residential values in Dubai continue to strengthen, growing by 29 per cent in third quarter alone, fuelled by a persistent deluge of UHNWI individuals who are zeroing in on Dubai’s premier districts, in search of second homes,"Faisal Durrani, Partner – Head of Middle East Research, said.

Of Dubai’s three Prime residential districts, the Palm Jumeirah, with an average transacted price of Dh3,054psf, remains the most affordable, relative to Emirates Hills (Dh5,220psf) and Jumeirah Bay Island (Dh6,345psf).

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