Shining the spotlight on Dubai Marina

10/04/2015 - Hotel Industry News
Shining the spotlight on Dubai Marina

It's difficult to imagine that just ten years ago development of Dubai Marina had barely begun. Today it's a bustling metropolis and home to some of the emirate's most impressive architecture, a lively neighbourhood and a vibrant nightlife.

Since its completion, this district has become a favourite among both residents and tourists. With new restaurants, bars and shops popping up every month, there's plenty to keep everyone entertained and happy.

Its waterfront views, pace of life and location work together to attract tenants and visitors and it has never been a more popular place to live, work and play, making it one of the best locations to invest in Dubai property.

Why is Dubai Marina so popular?

One of the biggest draws for both investors and tenants when it comes to this district is the the scenery and attractive waterfront views. Last year, a report from Knight Frank suggested that Dubai Marina's real estate would continue to be popular among expats, tourists and investors for years to come.

Renan Bourdeau, deputy chief executive of propertyfinder.ae, said that the area - where the highest demand for hotel facilities in the emirate exists - has come a long way from its beginnings and continues to be a firm favourite with many different groups.

He added: "Dubai Marina has been at the top of our rankings for over two years now - no small feat in a city like Dubai where new developments are being launched every other week.

"The community is where everything is at - business centres, beaches, entertainment, gorgeous views, stylish pads and hip nightlife."

Dubai Marina is able to offer residents and tourists the opportunity to relax and unwind, while still allowing them to enjoy a taste of the cosmopolitan lifestyle. The district has something for everyone, including solo and business travellers, as well as families and those that already live in the emirate.

Property prices

Cost of real estate in Dubai Marina continues to be healthy, due to the area's never-wavering popularity among different groups of people. According to research from chartered surveyor and property consultant firm Cluttons, prices have risen by 28 per cent over the course of the last five years, with values now standing at around AED1,670 (£309.50) per sq ft of space.

The company also noted that additions to the district such as The Beach, a new mall and entertainment venue, and the completed Dubai Tram project have proved to be major attractions for residents and tourists, helping to boost prices in the area.

Lucy Bush, head of residential sales and leasing at Cluttons, explained that owner-occupiers have been snapping up property at Dubai Marina as it provides them with all the benefits of beachside living, while not requiring them to compromise on quality and their lifestyle. Investors have also been drawn to the district's real estate as they can enjoy rental yields of between six and eight per cent.

Faisal Durrani, international research and business development manager for the firm, explained: "Prices have continued to hold or rise in the well-established areas such as Dubai Marina and JBR [Jumeirah Beach Residence], supported by completed infrastructure and community facilities.

"With this rate of return it's not surprising that Dubai featured second among nine global investment locations in our most recent International Private Capital Survey by Cluttons, just beaten by London to the number one spot."

Capitalising on demand 

The level of quality on offer in Dubai Marina's property is unrivalled, with many developers eager to build top-notch commercial and residential real estate to tap into demand and capitalise on the area's continued popularity.

This means there is a wealth of choices when it comes to choosing where to invest your money in the district.

"We always put a lot of careful thought into selecting the locations for our properties, but with Dubai Marina, it was an easy choice," commented Rob Burns, chief operating officer of The First Group, which is building two new luxury hotels in the area.

The first development - Wyndham Dubai Marina - is nearing completion and is already proving to be popular among investors and you could be one of these.