Exclusive data from Primal Alliance reveals a market in transition, from speculative trading to long-term ‘Sanctuary Living.’ Plus, the one undervalued district investors are missing.
Dubai: For years, the Dubai property market was defined purely by velocity: buy off-plan, wait for the hype, and flip. While the off-plan market remains a robust and high-performing sector for investors, a significant evolution is underway. According to new proprietary data from Primal Alliance Real Estate, the market is expanding its scope balancing investment velocity with long-term longevity Market built on velocity, not longevity.
In a shift that signals the maturation of Dubai’s luxury sector, we are no longer watching a “trader’s market.” We are witnessing the rise of the “Forever Home.”
The 58% Tipping Point
The numbers tell a stark story of stabilization. In 2024, end-users (people buying to live, not sell) accounted for roughly 42% of luxury transactions. Today, Vasilii, CEO of Primal Alliance, reveals that figure has climbed to nearly 58%.
“This shift reflects longer residency commitments, supported by the Golden Visa and strong employment growth,” says Oxenciuc.
This isn’t just a statistical blip; it’s a lifestyle overhaul. As families put down roots, the demand for “compact luxury” is fading. Primal Alliance reports a 32% spike in demand for 3- and 4-bedroom units. The modern buyer isn’t looking for a shoebox in the sky; they are looking for “livability”, walkability, integrated amenities, and space to breathe.
Sustainability: The Wallet vs. The World
For years, “Green Building” was a marketing buzzword, a ‘nice-to-have’ stamped on a brochure. Today, it is a financial non-negotiable.
“Around 55-60% of buyers now prefer greener communities with parks and smart energy-saving systems,” notes Oxenciuc.
But the driver here isn’t just environmental altruism; it’s economics. With energy-efficient villas reducing yearly utility bills by 20-30%, sustainability has moved from an “optional feature” to essential financial planning for long-term residents.
The “Silent Alpha”: Why Smart Money is Betting on DLRC
If the prime areas (Palm Jumeirah, Downtown) are now end-user strongholds, where should the investor look for growth?
According to Primal Alliance’s market scan, the “sleeping giant” is the Dubai Land Residence Complex (DLRC).
While the market chases headlines in established zones, DLRC remains structurally undervalued, trading at a 25-35% price discount compared to neighbors like DIFC, MBR City, and Dubai Silicon Oasis.
The Smart Money has already spotted this arbitrage. Transaction volumes in DLRC have surged over 40% year-on-year, driven by young professionals seeking larger spaces at accessible entry points.
With direct strategic connectivity to Academic City and the Tech Park (Silicon Oasis), DLRC is following the classic “gentrification curve.”
The Verdict for 2025
The data is clear: The Dubai market isn’t slowing down; it’s settling down. The frantic energy of the post-COVID boom has been replaced by the steady, compounding growth of a mature metropolis.
For the investor, the strategy is no longer about speed. It’s about spotting the structural gaps, like DLRC and understanding that in 2025, the tenant isn’t just passing through. They are here to stay.
