Dubai is poised to surpass real estate market powerhouses New York and Miami as the global capital of branded residences, with the number of such schemes set to double in the next decade, according to UAE property developer ARADA.
The emirate’s position in the global market for branded residences is gaining momentum, with the total number of completed schemes expected to surge from 51 to 106 by the end of 2029, according to ARADA’s research team.
This projected growth would add approximately 34,000 new units to the market, cementing Dubai’s position as a global leader in this luxury real estate segment.
“Dubai, which is always at the forefront of all innovation, used to be the third or fourth city by branded residence scheme. And now, with the next decade, the number of schemes is set to double,” Rosa Piro, Senior Business Development Director at ARADA, told Arabian Business.
The rapid expansion of branded residences in Dubai reflects a broader shift in the luxury real estate market. Traditionally dominated by hospitality brands, the sector is witnessing increased diversification.
“You also will see a more varied diversification on the typologies of brands,” Piro explained. “Generally, most branded residences are hospitality-focused, so with Marriott Group or Hilton Group, but you will have more and more interior design or fashion and luxury [brands] such as Armani, as well as entertainment.”
Arada’s research indicates that while current supply in Dubai shows a 70/30 split between hospitality and non-hospitality brands, this ratio is expected to shift to 55/45 by 2029 to include more brands in fashion, lifestyle, film, jewellery, design studios, and celebrity.
Fashion-inspired luxury residences
The company itself is at the forefront of this trend, having recently launched the Armani Beach Residences on Palm Jumeirah in partnership with the renowned fashion house.
“It’s the highest-selling product in Palm Jumeirah and is a very different type of product compared to what you would see in Palm generally,” Piro noted.
The project, featuring only 53 apartments, promotes “subtle luxury” and was personally overseen by Giorgio Armani, she added.
ARADA’s expansion plans extend beyond Dubai. The company is actively exploring opportunities in Saudi Arabia, with announcements expected soon. Additionally, Arada is eyeing potential projects in Australia and Europe, with Italy and the UK mentioned as markets of interest.
ARADA’s strategy focuses on branded residences
The developer’s growth strategy aligns with broader market trends. ARADA currently ranks 14th in Dubai in terms of branded residence units (approximately 500) and is tied for 10th in the number of schemes. With several high-profile projects in the pipeline, including developments in Dubai Harbour and the International Financial Centre (IFC), ARADA is poised to strengthen its market position.
The branded residences boom is not limited to Dubai. The developer has also introduced the concept to Sharjah, launching partnerships with EMAAR Hospitality for Vida Residences, Rove Home, and Anantara Residences. These projects have seen strong demand, with Piro noting that the Anantara project achieved “the highest rates in Sharjah, 2500 per square foot, which for Sharjah, is incredible.”
As the branded residences market evolves, developers are increasingly focusing on waterfront properties. Piro explained the rationale: “Whenever we look at holding value of apartments, holding value of properties, having water views, especially in a place like the UAE, where it helps create a sense of calm and tranquillity. These projects are very much preferred by our client base.”
The buyer profile for these luxury properties is diverse, with a mix of end-users and investors. ARADA’s data shows that UAE nationals make up 36 percent of buyers, followed by Saudi Arabians at 10 percent, with the remaining share spread across various nationalities including Egypt, the UK, Russia, and more.
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