Palm Jumeirah prices to fall 20% - Think Tank

Posted by: Ali Thursday, 8 July 2010 12:14 PM[UAE] - UAE

I think Don's last 2 lines of comment are the golden words for the future of Dubai real estate. "The constant surplus of newer development getting delivered will drive the older properties down even if they are on Palm Jumeirah."

Posted by: Don Monday, 31 May 2010 11:30 AM[UAE] - UAE

I have been looking to purchase an apartment at the palm of a unit a stone throw away from the sea. The latest offer was for AED772 p/sfqt (a large unit). Working in the property industry I see many signs that by year end it will lower to around AED635 p/sqft. This is the same news I get from those in the industry, which would represent a further reduction of 18%. Long term we should target for AED600 as reasonable value for the quality that is offered in Dubai. Many people will hold onto their units as Dubai is still for many a holiday home destination, but for those letting go, this is what they need to get ready for. The constant surplus of newer development getting delivered will drive the older properties down even if they are on Palm Jumeirah.

Posted by: A A Tuesday, 25 May 2010 9:59 AM[UAE]

I think the comments are open to a lot of debate and questioning. Anyhow, back to the Palm Jumeirah. Most of the owners of appartments and villas on the palm are either end users or long term investors. The only properties in Dubai that seem to retain their value are either on the Palm on Burj Dubai. There may be a few desperate sales here and there, but there is no sign of any panic as many people are commenting. I've been doing a lot of research and hunting around on the Palm and i've formed my conclusion based on this. As far as the experts are concerned, it was the experts who sent prices sky rocketing on the Palm with sales on the Trump Tower, etc among the highest in Dubai and villa prices on both the palms to Infiniti. I personally think that the Palm will retain its value simply because of its unique location and its value proposition as a holiday resort in the Middle East. If you beg to differ, i would welcome your views and comments.

Posted by: Paul King Monday, 24 May 2010 9:46 PM[UAE] - UAE

Palm Jumeirah always was and always will be an unsustainable project. I liken it to living on the side of a volcano. Decades of calmness might pass and all will seem rosy in the garden. But then.....BANG! Whatever the values are now or next year, ultimately the Palm properties are a consumerable!

Posted by: ik Monday, 24 May 2010 1:26 PM[UAE]

Jobs & Population growth in Dubai will define the future of real estate, alongwith the revival of Tamweel & Amlak. Dubai had the highest population growth in the world in 2007/8 but 2009 saw ZERO population growth so a city with the highest population growth rate in the world down to zero growth within a year speaks volumes. Only when this imbalance is corrected will normaly return to the real estate market (a stable market henceforth & not an unsustainable volatile market)