Words by: Lisa Amnegard
Dubai has surpassed traditional real estate powerhouses New York, Miami, and London to become the world’s most coveted market for branded residences, according to a new Savills report.
The desert metropolis has witnessed an unprecedented boom in this ultra-luxury sector, with a staggering 120-plus branded developments launched in 2024 alone – a sharp increase from 69 projects in 2022.
According to Savills, this project growth would add more than 4,600 units by the end of 2029, including the highest concentrations of branded residential residences worldwide. These aren’t just ordinary luxury homes, but rather lifestyle statements backed by some of the world’s most prestigious brands.
The concept has caught the attention of luxury fashion houses, automobile manufacturers and lifestyle brands, who are increasingly venturing into real estate to meet growing demand.
Whether a Mercedes-Bez backed property or by a five-star hotel, high-net-worth individuals are willing to pay premiums up to 69 percent above their non-branded counterparts– often drawn to the exclusive amenities and status symbol appeal these branded residences provide.
Why demand is growing
Dubai’s branded residences have become particularly popular among the ultra-wealthy as these buyers tend to gravitate to luxury brands they trust. For many, branded residences in Dubai represent the pinnacle of luxury living, blending world-class design with prestigious hospitality and lifestyle brands.
“As a global hub for high-net-worth individuals, Dubai offers some of the most exclusive branded residences, catering to those seeking unparalleled quality, exceptional amenities, and a unique investment opportunity” Loai Al Fakir, CEO, Provident Estate explains, adding “from iconic beachfront properties to ultra-modern cityscapes, these residences not only provide luxurious living but also hold strong appeal for international investors due to their premium value and long-term returns in the region’s thriving real estate market”.
According to Knight Frank’s latest survey, 94 percent of individuals worth over $15 million are actively pursuing these prestigious properties.
“the feeling of ‘owning a part of a hotel’ while having full access to hotel amenities in your own private environment”, Lars Jung-Larsen Partner for Branded Luxury Advisory at Knight Frank MENA explains. He notes a growing trend toward non-hospitality brands entering the market, allowing residents to “live the brand 24/7” through designer interiors, exclusive amenities, and members-only benefits.
The investment potential is equally compelling. Year on year, the total value invested in branded residences has seen a 25 percent increase compared to the previous year, further underscoring the robust performance and growing appeal.
According to Knight Frank’s data, more than a third of high-net-worth investors expect property values of branded to climb between 5-10 percent in the first year alone, with this confidence peaking among those worth $10-15 million. For the ultra-wealthy, world-class services and amenities have become the primary attraction, with 75 percent citing this as their key motivation.
This combination of luxury living and investment potential is particularly appealing to global investors, with 17 percent ready to spend over $5,000 per square foot – a figure that rises to 23 percent for those worth more than $20 million.
This premium pricing reflects buyers’ confidence in branded properties, where higher costs are justified by guaranteed quality, service, and prestige.
The trending hotspots
Dubai’s waterfront locations are emerging as the crown jewels of the branded residence market, with beachfront properties commanding the highest premiums. According to Elias Hannoush, Managing Director at Morgan’s International Realty the beachfront developments in Umm Suqeim, Jumeirah Beach Residence, and Pearl Jumeirah are setting new benchmarks in luxury living. He notes that the combination of prestigious brands and prime coastal locations creates an irresistible draw for ultra-wealthy buyers seeking exclusive waterfront lifestyles.
Beyond the beach, three key districts dominate Dubai’s branded residence scene: Palm Jumeirah, Downtown Dubai, and Business Bay. These hotspots offer a potent mix of prestigious addresses and world-class amenities, attracting both established and emerging luxury brands.
However, the branded premium softens in Dubai’s villa communities. Areas such as Dubai Hills, Jumeirah Golf Estates, and Arabian Ranches, while luxurious, see a less pronounced impact from branding, with premiums remaining below 10 percent. This suggests that the added value of a brand name holds less sway in these family-oriented suburban settings compared to the high-stakes waterfront market.
