Contract awarded for Dubai residential tower

22 January 2015

New mixed-use residential development in Jumeriah Village Circle announced

Dubai-based Reef Real Estate has announced that it will develop an $80m residential tower in Dubai’s Jumeirah Village Circle called Reef Residence.

Engineering consultant on the project is National Engineering Bureau with the construction contract awarded to Dubai’s Drake & Skull subsidiary Technical Construction Company.

The development will be a 38-storey tower, built near the Jumeirah Village Circle development, adjacent to the Els Club golf course.

The tower comprises 378 units, a combination of studio, one and two bedroom apartments in addition to seven retail units. Entertainment amenities also include a large leisure deck with outdoor areas, two swimming pools and gym.

The project is will be financed by Abu Dhabi Commercial Bank.

The development comes at a time when Dubai’s real estate market is witnessing stabilised growth. More recently demand for more affordable housing has been driving demand as the regulators impose stricter borrowing conditions for investors.

Reef Real Estate CEO, Ahmed Al-Mansoori said: “The growing demand for good quality affordable residential properties in Dubai is what prompted us to conceptualise Reef Residence.”

Yet, off-plan sales have continued to perform well despite overall transactions falling.

The increase in deposit expectations from the regulators and developers has meant many buyers who might have previously looked at the higher end of the market are being forced to consider options on the lower rungs of the property ladder. And as a result, off-plan units seem to be better value for money.

Follow Hossam Abougabal on Twitter: @MEEDHossam

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