Dubai continues to consolidate its position as a leading global destination for real estate investment, with the Palm Jumeirah and Burj Khalifa areas still topping the list of the most expensive locations in terms of average price per square foot for villas and apartments. These locations have become symbols of luxury and smart investment, driven by strong demand from elite investors for luxury real estate.
Both Palm Jumeirah and Burj Khalifa represent some of the world's greatest engineering achievements, and Dubai's bets on the success of these two areas and their potential as investment, tourism, and economic powerhouses have certainly paid off. Today, both sites continue to thrive, fueled by strong demand from local and international investors for all types of real estate in both areas.
According to a report by global research firm ValuStrat for April, the Palm Jumeirah area continues to hold the highest average price per square foot for villas, at AED 7,063, a 41.3% year-on-year increase and a 1.6% month-on-month increase. Meanwhile, the average price of a standard villa in the area rose to AED 35.3 million.
The Burj Khalifa area continues to hold the highest average price per square foot for apartments in Dubai, at AED 3,688 per square foot, a 16.9% increase year-on-year and a 1% increase month-on-month. Meanwhile, the average price of a standard apartment in the area rose to AED 3.4 million.
The report indicated that more apartment complexes are rapidly approaching or exceeding their eleven-year highs, while villa prices have risen by 63%, surpassing their 2014 peak. April 2025 saw the ValuStrat Price Index reach 214.1 points, recording a 1.6% monthly increase and a 25.3% annual increase.
Villa capital values grew by 2% month-on-month, for a year-on-year increase of 29.8%. The strongest annual performers included villas in Jumeirah Islands (41.7%), Palm Jumeirah (41.3%), Emirates Hills (29.6%), Meadows (28.9%), and Mudon (8.9%). On average, freehold villas in Dubai are valued 63% higher than the previous market peak in 2014, and 170% higher than post-pandemic levels.
Apartment prices rose by 1.1% month-on-month, recording an annual growth of 20.9%, with the highest annual capital gains recorded in The Greens (26.5%), Dubailand (24.8%), Palm Jumeirah (24.5%), Town Square (23.7%), The Views (23.6%), International City (13.5%) and Burj Khalifa (16.9%).
Last April witnessed the registration of 31 ready property deals worth more than AED 30 million. April 2025 also saw Emaar top off-plan property sales among developers with a share of 13.4%, followed by Damac (10.8%), Binghatti (7%), Nakheel (4.3%), Sobha (3.9%), and Azizi Developments (3.5%).
For a detailed perspective on the property market, visit: Dubai - VPI Residential Capital Values - May 2025
