Aldar generates $844m as first two phases of Dubai project sell out on strong demand

Construction on the first phase of the Haven development is due to begin in the second quarter of next year, Aldar said. Photo: Aldar

Aldar Properties, Abu Dhabi’s biggest listed developer, generated Dh3.1 billion ($844 million) from the sale of 786 villas and townhouses as the first two phases of its Dubai residential project sold out on strong demand from buyers.

The developer put 468 units up for sale in the first phase of its Haven by Aldar project, and “due to remarkable demand on launch day”, released the second phase with an additional 318 units, it said in a statement on Wednesday.

Overseas and expatriate resident buyers accounted for 77 per cent of sales, with UAE citizens making up the remaining 23 per cent.

Haven, a wellness-focused development, is the first of three new residential communities to be developed in Dubai as part of a joint venture between Aldar and Dubai Holding.

The final phase, which includes villas, townhouses and apartments, will go up for sale in early 2024, Aldar said.

“Hundreds” of people turned up at the company's sales centres in Dubai and Abu Dhabi for the launch, said Rashed Al Omaira, chief commercial officer at Aldar Development.

The response “confirms our long-held belief that new residential concepts are desired in the emirate by both local and international buyers”, he said.

Dubai's property market has been growing strongly this year as investor demand continues to boom on economic momentum as well as government initiatives such as residency permits for retired and remote workers, and the expansion of the 10-year golden visa programme.

The emirate recorded 116,116 new property transactions in the first nine months of 2023, up 33.8 per cent annually, the Dubai Land Department said this week.

The value of the deals also increased by 36.7 per cent during the period to about Dh429.6 billion amid continuing growth in the emirate's economy.

Dubai’s residential market also recorded its highest quarterly price rise in a decade in the July to September period this year, a report released this month by property consultancy ValuStrat found.

The ValuStrat Price Index covering Dubai’s residential market was up 6.1 per cent on a quarterly basis in the third quarter, with villa and apartment prices rising by 7.6 per cent and 4.8 per cent, respectively, during the period.

Aldar said 51 per cent of all buyers for its new project are under the age of 45, “indicating the desire of younger generations to reside in communities focused on health and wellness”.

Female buyers represented 24 per cent of sales and first-time buyers of an Aldar property accounted for 85 per cent of sales.

Construction of the first phase of the Haven development is due to begin in the second quarter of next year, with handovers expected in the third quarter of 2027, Aldar said.