By Sarah Townsend
Sophisticated infrastructure, strategic location make city popular, says report
Dubai has ranked 16th in a list of the top 20 most important cities in the world for the ultra-wealthy.
Dubai is the only city in the Middle East included in Knight Frank’s latest City Wealth Index, published as part of the consultancy’s anunal Weath Report this week.
The UAE city ranks ahead of the wealthy Swiss cities of Zurich and Geneva, as well as Mumbai, Miami and Washington DC.
The index ranks cities’ attractiveness to the uber-rich by analysing four measures of current wealth (the current population of UHNWIs in a city); investment (the total amount in US dollars of private investment into real estate in 2016); connectivity (the number of inbound and outbound first and business class flights in 2016), and future wealth (a forecast of each city’s UHNWI population in 2026.
Dana Salbak, associate partner and head of MENA (Middle East and North Africa) research at Knight Frank, said: “Dubai’s strategic geographical location, modern and sophisticated infrastructure and business-friendly regulations make it a popular destination for people to live in, invest and grow their wealth.”
“Looking ahead, and with continued investment into logistics and infrastructure, in particular, Emirates Airline and Dubai International and Al Maktoum International airports, we expect the city to jump up the connectivity rankings.”
Meanwhile, the availability of higher quality investment stock, especially in the commercial and alternative (education and healthcare) sectors, are expected to drive futher investment into the city, Salbak said.
Overall, London ranked top of the index as the most important city for UHNWIs, emerging ahead of New York with top scores for investment and connectivity; while New York led on current and future wealth, Knight Frank said.
Hong Kong ranked third, followed by Shanghai, Los Angeles and Singapore.
Liam Bailey, head of Global Research at Knight Frank said: “The global economic powerhouses of London and New York dominate the rankings due to their well established lead over other cities.
“However looking ahead, future wealth concentrations and investment firepower look set to be dominated by a tussle for supremacy between Asian and North American cities.”