Armani homes defy Dubai property slump

Tuesday, October 26, 2010

Armani homes defy Dubai property slump

The value of Armani-branded homes in the Burj Khalifa, Dubai, remain steady, despite the fact that the price of other apartments in the world's tallest tower have plummeted by up to 70 per cent since the Dubai property market crashed two years ago.

Colliers International report that average sale prices for apartments in the tower's 144 luxury Armani Residences are valued at AED4-5,000 (£695-£870) per square foot, almost double the AED2,800 (£485) per sq ft commanded by the other 900 apartments in the enormous skyscraper.

Apartments in the tower were valued at around AED 11,000 (£1,900) per sq ft during the height of the Dubai property market in 2008.

Over 90 per cent of the apartments in the world's tallest tower have now been sold, according to Emaar, the developer behind the development.

Catherine Clarke, head of residential valuations at Colliers International, said she believed the fall in property prices was due to savvier negotiating by purchasers, rather than distressed sales.

“There are people with money in the high-end. They are not necessarily distressed sales but what [buyers] are doing is negotiating very well and they are bringing down the prices,” she said.

The Armani-branded apartments, unlike the other homes in the tower, include Armani designed furnishings, which has proved popular with buyers.


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