Palm Jumeirah Report
As a Palm Jumeirah Specialist for the past 8 years we have always kept our database of clients informed with all the Palm developments both in terms of Real Estate and general happenings.
This newsletter looks into all the transactions that have happened on 2017 on the Palm Jumeirah.
2016 was a challenging year in terms of pricing as prices declined gradually for the first 3 quarters and hitting a plateau for the 4th quarter.
The number of transactions in 2016 according to Dubai Government stats were as follows.
Apartment Transactions : 435 (76.5%)
Villa Transactions : 83 (14.6%)
Commercial / Land Transaction : 50 (8.8%)
Total 2016 Palm Jumeirah Transactions : 568
Included are the Percentages in terms of the overall transactions, showing that more than three quarters of the transactions were apartment sales.
2017 Analysis
In 2017 so far we have had the following in terms of changes in rental and sales prices:
Change in Sales prices
Last 12 months
Change -0.09%
Last 6 months
Change -0.68%
Last 3 months
Change -0.38%
Last month
Change -0.07%
Change in rental prices
Last 12 months
Change -1.86%
Last 6 months
Change -1.77%
Last 3 months
Change -0.85%
Last month
Change -0.62%
Both of which are showing with price drops that can be seen with both sellers and landlords pricing accordingly to ensure successful rentals and sales.
Both sellers and landlords have had to price aggressively with the introduction of newer developments like the 5 holdings (Formerly Viceroy) and apartments on the crescent.
The Current Gross Investment Yield in Palm Jumeirah Area is :
4.65%
This has been a very steady figure with net returns around the 4% mark, although yields do vary greatly dependent on the developments. With Golden Mile and Shoreline and Marina Residences showing higher yields.
So far in 2017 (08.02.17 until 08.08/17) we have had the following number of transactions:
Total Number of Palm Jumeirah Transactions : 334
Villa transactions accounted for 33 deals, which is 10% of the overall transactions.
Plots accounted for 4 deals in the same period.
With the rest being apartment and miscellaneous transactions.
We will have a full breakdown at the end of the year.
SALES (PMI)
According to the Property Monitor Index (PMI), the average price/sq. ft of a residential property in PALM JUMEIRAH as of July 2017 is:
2,116 AED/sq. ft (Built-up Area)
The quality of life on Palm Jumeirah will improve with the opening of the Nakheel Mall (2017). The mall will have over 300 shops, a Waitrose, a clinic and a number of leisure activities which will allow Palm residents to enjoy life within their community as against driving to ever-crowded nearby developments (like the Marina, Mall of Emirates etc).
The addition of the Golden Mile Galleria has also proved to be very popular with residents and visitors alike.
Yasin Valimulla
Associate Partner
Keller william Realty
050 505 4135
yasin.valimulla@kwdubai.com