Branded residences are becoming increasingly popular in the Middle East, but what are they?
Luxury branded residences are upscale residential properties associated with prestigious brands, often from the hospitality, fashion or automotive industries.
Involving renowned brands adds significant value, attracting HNWIs seeking the highest possible quality and also investment potential.
“The demand for branded residences in the region, particularly in cities like Dubai, is robust and continuously growing.
“According to data from Global Branded Residences, Dubai experienced an impressive 410% growth from 2014 to 2024, indicating a significant shift in preferences towards luxurious, urban living environments.
“This remarkable surge underscores the evolving lifestyle choices of HNWIs, who increasingly seek opulent residences that offer prestige and convenience.
“The interest in opulent living spaces will continue to rise with the integrated services and amenities provided by branded residences aligned with changing lifestyle preferences.”
Diana Nilipovscaia, CEO at MERED, a Dubai-based premium real estate developer
With the Middle East accounts for 10% of the total number of branded residential developments globally, the region’s stake in the luxury real estate market is plain to see.
Forecasts predict a 120% increase in the number of branded residences in the Middle East by 2030.
69% of global HNWI are interested in owning a branded residence in Dubai, up from 59% in 2023, according to global property consultancy, Knight Frank’s second annual 2024 Destination Dubai report.
Knight Frank surveyed 317 HNWI – 217 around the world and 100 GCC-based HNWI expats – to gain an understanding of their attitudes, appetite and aspirations when it comes to investing in real estate in Dubai. Collectively, the HNWI respondents have a net worth of US$ 5.4bn and own 1,149 homes around the world between them.
So as the Middle East continues to evolve as a global hub of luxury and innovation, the demand for branded residences is expected to rise.
This further solidifies the region as the true leader in the luxury real estate market.
