Dubai waterfront property rates have doubled; will prices drop as Palm Jebel begins to take shape

Dubai waterfront property rates have doubled; will prices drop as Palm Jebel begins to take shape

Dubai's waterfront property prices have witnessed a substantial increase in the past couple of years, led by Palm Jebel Ali, Jumeirah Islands and Bluewater Islands, due to the strong interest high net-worth individuals from across the globe have shown in the emirate's prime residential property markets. The price rise has been more prominent after the pandemic, offering a high return on investment as rates more than doubled across some prime localities. But will the newly-launched Palm Jebel Ali, which will be twice the size of Palm Jumeirah and add 110km to the emirate's waterfront, help bring down waterfront property prices in Dubai? Industry executives say it will take quite some time before waterfront property prices – which have seen notable increases after the pandemic – begin to stabilise or come down. According to Property Monitor data, villa price at Palm Jumeirah, considered a benchmark for waterfront properties, has increased 132 per cent from Dh1,803 per square foot (sqft) in 2020 to Dh4,196 in 2023, a meteoric jump in prices and one that has seen many people cash in on their property assets over the last few years. Similarly, apartment prices on the Palm have grown by 119 per cent since