New record set for Dubai's most expensive penthouse

Record expected to be broken later this year with Al Habtoor City penthouse
Image: Bvlgari Resorts & Residences for illustrative purposes only.
By Neil Halligan
Mon 15 May 2017 04:03 PM

A new record has been set for Dubai’s most expensive penthouse.

The 14,000 square feet full-floor penthouse at Bvlgari Resorts & Residences on Jumeira Bay was sold for AED 60 million (US$16.3 million) by Luxhabitat this year.

The property, which is part of a 1.7 million sq ft. complex, is currently being developed and is due for completion by the end of 2017. The luxury development includes 100 rooms and suites, 20 residential villas and a marina, as well as a full range of luxury amenities.

Luxury Sales Director, Alexander Von Sayn Wittgenstein, who brokered the deal said, “This penthouse is very special because it has 270 degree views of Downtown Dubai and the sea. It’s the largest penthouse I've ever come across for a branded development in Dubai.”

Branded developments can demand up to a 46% premium in terms of prices per square feet, according to a Luxhabitat analysis in 2015. It was also found that these branded residences have an inelastic price and higher investment returns.

Other branded developments in Dubai that host penthouses include Armani Residences, Kempinski Hotels & Resorts, The Fairmont Palm Residences and Palazzo Versace.

According to Reidin’s historical data, the penthouse is the most expensive penthouse transaction to date, exceeding the price paid for a penthouse on Fairmont the Palm that sold for $11.4m (AED42m) in December 2012.

Al Habtoor City apartment

The record is expected to be broken later this year when the sale is completed on Al Habtoor City’s $55 million penthouse apartment.

Yash Shah, sales director with One Broker Group, the Dubai-based brokerage handling sales at Al Habtoor City, told Arabian Business that they have sold 70 percent of the properties in the project, with most sales due to be completed “within the next couple of months”.

He said the 30,000-sq ft penthouse in Noora Tower, which covers the entire 70th to 73rd floor, has not been sold as yet, but insisted that there is no deadline for its sale.

“It’s for a very different sort of product, for a very select buyer,” Shah told Arabian Business. “When that right person comes along, we will sell it, but not until then.”

Earlier this year, Shah said Al Habtoor would be “cherry picking the buyer”.

Top 5 most expensive penthouses sold

Development Price

(AED)

Price

(AED/sqft)

Size

(sqft)

Date
BVLGARI Resorts & Residences 60,000,000 4,285 14,000 8 Feb 2017
The Fairmont Palm Residences 42,000,000 2,583 16,262 11 Dec 2012
The Fairmont Palm Residences 42,000,000 1,254 33,503 26 Jun 2013
Le Reve Tower 38,000,000 2,648 14,329 9 Apr 2013
Volante 36,000,000 3,332 10,806 21 Mar 2017

 

Source: REIDIN/ Land Department, Luxhabitat Analysis, May 2017

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