Dubai skyline driving ‘vista-value’ residential premiums
Dubai, March 26, 2014
Demand for 'desirable' vistas and high rise living in Dubai is driving interest from both domestic and international buyers, resulting in a continued effort by developers to position buildings in areas that optimise views of the Gulf or the sweeping skylines that criss-cross the city.
Dubai continues to add to its tremendous skyline with several over 300 m buildings already under construction across the city. These include Damac Residenze (335 m), The Address The Boulevard (370 m), Dream Dubai Marina (432 m), Al Habtoor City Towers (300 m) and Al Attar Tower (342 m).
Most of these will be additions to Downtown Dubai and Dubai Marina skylines, helping to add ‘vista-values’ to those submarkets and offering more options for buyers in search of a home with a view, said a property expert.
"A ‘view’ is very subjective, especially in a place like Dubai, however even in our skyscraper filled city scape, a ‘good view’ comes at a price. The towering 828m Burj Khalifa and the adjoining Dubai Fountain, which are positioned at the heart of Downtown Dubai, are among the city’s most sought after vistas," remarked Faisal Durrani, associate (Residential and International Research) at Cluttons.
This is reflected by capital value premiums of up to 45 per cent of apartments with direct unobstructed views of the Dubai Fountain and the Burj Khalifa within the one square kilometre Downtown Dubai district.
"Further down the coast, residents of apartments along the ‘trunk’ of the Palm Jumeirah can expect to pay premiums at similar levels for ownership of easterly facing properties, which overlook the sea, the Burj Al Arab and the Sheikh Zayed Road and Downtown Dubai skyline in the distance," stated Durrani.
"Within Dubai Marina, buyers of properties in the inner circle of residential skyscrapers that look directly onto the largest man-made marina in the world can expect to pay up to a third more than similar properties overlooking surrounding buildings, without views of the sea, or the marina," he added.
In addition to Dubai’s incredible cloud piercing skyline, the desirability of gated community living with views of open green spaces continues to expand, with a number of thriving inland suburban communities recently witnessing a flurry of bolt on developments, as developers continue to focus on existing communities with proven buyer demand.
“Although less prominent than in high rise living, larger villas overlooking golf courses are often valued as much as a fifth higher than those without views of open green spaces. This is very much the case at Arabian Ranches, which sits some 14 km inland from the coast,” added Durrani.-TradeArabia News Service