The main reason for the increase in prices is the rise in sales volume. In 2022, the emirate of Dubai witnessed a substantial 75% growth in registered sales, in comparison to the previous year. In 2022, sales volumes in Dubai reached AED 261B (USD 71B), which showed a 75% increase from AED 149B (USD 40.5B) in the previous year. Despite projections of a 50% rise in the cost of prime real estate compared to 2021, luxury property in Dubai remains more affordable than anywhere else in the world.
According to projections, the sustainable property sector also will grow in the emirate. To support this trend, Sheikh Mohammed bin Rashid Al Maktoum, the Vice President, Prime Minister of the UAE, and Ruler of Dubai, recently highlighted the importance of sustainability and approved 78 environmental initiatives and projects. The announcement was made before the 28th Conference of Parties (COP28). This year, the annual gathering, focused on climate change and its impact across various sectors, will take place between November and December.
Companies in the UAE and Saudi Arabia made a lot of effort to adopt sustainability practices, and 43% already adhere to the ISO 14001 – Environmental Management System standard. About 45% of firms are striving to achieve compliance within the next year.