Dubai beachfront properties soar in value

18/09/2012 - Dubai Property News Posted by Neil King
Dubai beachfront properties soar in value

Property investors who had the foresight to snap up a beachside property in Dubai a few years ago are now reaping the rewards. New figures released by a local real estate specialist have shown that the value of such buildings has risen by up to 20 per cent in the past 12 months, Emirates 24/7 reports. Elen Manukyan of Better Homes confirmed that the huge demand for coastal properties has forced prices much higher. The Jumeirah Beach Residence (JBR) and Palm Jumeirah have proven to be very popular spots among investors - mainly because of the growing number of tourists who visit each area. Dubai has become a haven for wealthy holidaymakers from all over the world and hotel and apartment owners are able to charge higher room rates as a result. Better Homes added that rent can vary from AED 75,000 (£12,569) for a one-bedroom property in JBR and AED 650,000 for a signature villa on the Palm. Rushi Raj Mehta at Legacy real estate also told the news provider that villas have been performing particularly well in the past year. "Villa prices have increased by 15-20 per cent and have a strong continuous demand. JBR and shoreline apartments on the right side have not seen a hike of more than ten per cent," he remarked. Of course, it is not just the picturesque beachside properties that are in high demand across this part of the UAE. Commercial and residential space in high-rise buildings is also much sought after and a growing number of people from Britain are choosing to take up permanent residency in Dubai. Investors are getting some substantial returns when they eventually put their properties back on the market and a recent study conducted by UBS showed that Dubai is the most expensive city in the Middle East. The organisation also ranked the emirate as the 22nd most expensive place in the world, which reiterates its status as a playground for the rich and famous.