By Neha Bhatia
Ritz's sale has 'defied' the market trend, group chairman Rizwan Sajan says
Dubai's Danube Properties announced it has sold off 85 percent of the 452 units at its recently-launched Ritz project.
Danube Properties is a part of Danube Group, a building materials supplier in the GCC.
The $81.6m (AED300m) Ritz project is located in the city's Al Furjan area.
Remarking on the milestone, Rizwan Sajan, chairman of Danube Group, said: “Our experience over the last 1.5 years of project launches strengthened our conviction that if you have the right project at the right location, and offer it to customers at a convenient payment plan, then you can’t go wrong, despite market conditions.
"Our success [with Ritz's sale] is proof that if you have the right product [offering], then there isn’t any shortage of buyers.
"You just need to make the product appealing to them."
Sajan expressed confidence in Dubai's real estate sector, stating the sale of Ritz units has "defied" the market trend.
“The success of Ritz strengthens our firm belief in the long-term sustainability of Dubai’s real estate sector, which is currently the best regulated market in the region," he said.
Ritz comprises 180 studio, 135 one-, and 135 two-bedroom units, the design and architecture works for which have been carried out by Danube's in-house team.
Studio units are priced at $117,078 (AED430,000).
Each unit features a bed which can be tucked into the wall during the day, thus creating a larger living room space.
The bed can also be lowered to transform the accommodation into a bedroom.
The Ritz development also includes retail space and a gym, with an outdoor running track, a swimming pool, tennis and badminton courts, and a basketball area.
Don't be fooled by this success. From word on the street - or sand- I heard:
This is similar to their last launch where they sold out in a day. These were investor deals, heavily discounted , and almost definitely sold to one party who will end up flipping. The developer usually also offer very accommodating payment terms to the lead investor(s) so they can be one step ahead of the next buyers payment structure. In the end they will be pseudo-staff accommodation units stacked to the room with beds.
"There is not a chance that 85% of 452 units were sold to real buyers - especially in a low quality area such as Al Furjan in a market with decreasing demand." Quoted by a broker who should know.....
This comment makes no sense. Why would the developer spend so much money on marketing (there is a billboard on every corner of Dubai) if they sold to a single investor on Day 1.
Besides even if they did, what exactly is your point?
well said Scott! ...could not have said it better!
Getting the private sector to do affordable housing is usually not feasible cause business are in it for a profit and not welfare.
Hence the conflict.
I guess it will take more time and more lessons to be learnt for affordable housing to really happen here