Dubai’s Booming Real Estate Market: Exclusive Interview with Max Piccinini

Dubai’s Booming Real Estate Market: Exclusive Interview with Max Piccinini

Q: How would you describe the current landscape of Dubai's real estate market?

Dubai’s real estate market has shown remarkable resilience and sustained growth. In 2024 alone, capital values surged by 27.5%, with villa prices increasing by 31.6% and apartment values by 23.6%. This performance reflects strong investor confidence and high demand for premium, well-located properties.

Q: What are the primary challenges currently facing the real estate sector?

A key challenge is the city’s rapid population growth, which has pushed the population to around 3.85 million—of which approximately 87% are expatriates. This surge has amplified the demand for housing and infrastructure. Additionally, the sharp rise in the number of registered vehicles has led to increased traffic congestion, affecting daily commutes and overall quality of life.

Q: What opportunities do you see emerging in the market?

There’s enormous potential in the luxury property segment. Dubai is now a global magnet for high-net-worth individuals, with 6,700 millionaires expected to relocate here in 2024 alone. This trend is driving demand for upscale, high-end residences, prompting the development of nearly 9,000 villas by the end of 2024, with an additional 19,700 already planned for 2025.

Q: How have recent government regulations impacted the real estate landscape?

Recent reforms—such as the introduction of long-term residency visas and legislation permitting 100% foreign ownership of onshore businesses—have significantly strengthened investor confidence. These policies promote long-term investment and reduce reliance on speculative, short-term capital flows.

Q: What is the government’s long-term vision for urban development in Dubai?

The Dubai 2040 Urban Master Plan outlines a vision to grow the population to 5.8 million by 2040 while prioritizing sustainability. Key initiatives include expanding green spaces, developing integrated residential communities, and enhancing public transportation—all aimed at improving livability and future-proofing the city.

Q: How does Dubai compare with other global real estate hubs?

Despite notable price increases, Dubai’s luxury real estate remains relatively affordable compared to global cities like London and New York. Even in prime areas—where prices rose by 20% in 2024—the cost per square foot is still competitive on the international stage.

Q: Where is Dubai in its current valuation cycle?

The market is in a phase of continued price appreciation, reflected in the 27.5% increase in capital values. However, the pace of growth is beginning to level out, indicating a shift toward a more balanced and sustainable market environment.

Q: Is oversupply a concern for the Dubai property market?

Developers are becoming more disciplined, aligning new supply with actual market demand. The creation of the Higher Committee for Real Estate Planning ensures future projects are carefully vetted to maintain equilibrium between supply and demand—helping prevent oversaturation.

Q: What risks are associated with Dubai’s largely expatriate population?

The transient nature of the expat population can lead to volatility in housing demand. However, new policies such as long-term visas are encouraging residents to establish stronger roots in Dubai, which supports greater market stability and longer-term growth.

Q: How does the real estate sector influence employment trends in Dubai?

The real estate market remains a significant driver of job creation, especially in construction and property services. That said, while the economy is expanding, average salaries are expected to remain flat in 2025, which could affect affordability for some buyers and influence housing demand.

Q: What’s your outlook for the future of Dubai’s real estate market?

Dubai’s real estate sector is poised for continued growth, driven by sound economic policy, regulatory support, and a clear vision for sustainable urban development. While challenges remain, the city’s proactive approach and strategic planning position the market for a bright and prosperous future.

Max Piccinini, Founder & CEO of Lionrock Investment Co. 

About the Author
Max Piccinini is the founder of Lionrock Investment Co. L.L.C., a premier real estate investment firm based in Dubai. As a seasoned entrepreneur and investor, Max specializes in acquiring high-performing assets and delivering exceptional returns. His mission is to empower investors through trust, transparency, and smart real estate strategies that build long-term wealth.

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