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Dubai’s luxury land market is witnessing a fresh wave of record-breaking deals, with Palm Jebel Ali emerging as a serious challenger to Jumeira Bay Island, the long-standing benchmark for high-value plots. Recent data indicates that 2025 could set a new tone for competition between the emirate’s most exclusive waterfront locations.
According to Engel & Völkers, Jumeira Bay Island retained its dominance in the first half of the year, holding the top three slots for the most expensive residential land transactions. The highest was a Dh182 million sale for a 25,441 square foot plot, underscoring its continued reputation as Dubai’s priciest enclave. Buyers in the ultra-luxury segment continue to see the man-made island, shaped like a seahorse, as a rarefied destination with tightly controlled supply.
Yet Palm Jebel Ali is beginning to reshape the conversation. Plots on the island, relaunched in 2023 after more than a decade of dormancy, have quickly drawn investor attention. Engel & Völkers reported two transactions in the second quarter valued at Dh116.16 million for 29,457 square feet and Dh115.2 million for 29,450 square feet, placing them among the top five deals of the year so far.
The numbers reflect a shift in investor appetite. While Jumeira Bay Island remains a trophy asset for the world’s wealthiest buyers, Palm Jebel Ali offers scale and a renewed sense of ambition. The 13.4 square kilometre development is envisioned as a community of luxury villas, resorts, and high-end retail, giving it both exclusivity and scope for expansion.
In Palm Jumeirah, Dubai’s most established artificial island, the market has also been active. A plot measuring 90,037 square feet sold earlier this year for Dh365 million. Plans are underway for five ultra-luxury beachfront homes on the site, according to Daniel Hadi, chief executive of Engel & Völkers Middle East. The sale highlights how older prime districts continue to command top-tier pricing even as newer projects attract attention.
Analysts suggest the surge in high-value land transactions is tied to broader dynamics in Dubai’s property market. The emirate continues to attract wealthy individuals relocating from Europe, Asia, and the United States, seeking both tax advantages and lifestyle benefits. The Golden Visa program, introduced for investors meeting certain thresholds, has only added to demand by offering residency security.
The competition between Palm Jebel Ali and Jumeira Bay Island is also seen as part of a larger story: Dubai’s ability to reinvent its waterfront real estate. Jumeira Bay has long symbolized scarcity, with only a limited number of plots available and most buyers commissioning bespoke homes. Palm Jebel Ali, in contrast, represents a new chapter, offering larger parcels at values that, while high, still present perceived growth potential for investors.
For developers, these transactions underline the resilience of Dubai’s luxury property segment. Even as global markets contend with inflation and fluctuating interest rates, demand for trophy assets in the emirate has proven robust. Market watchers note that Dubai’s regulatory framework, alongside its infrastructure and international connectivity, continues to make it a magnet for global wealth.
The question for the months ahead is whether Palm Jebel Ali can consistently rival Jumeira Bay’s prestige. For now, the numbers suggest it is moving in that direction. Two of the top five transactions of 2025 took place on Palm Jebel Ali, a striking development for an island whose revival is still in its early phases.
Jumeira Bay Island, however, shows no signs of losing its crown. With prices per square foot remaining among the highest in the region, it continues to attract buyers seeking unmatched exclusivity. A recent Dh182 million sale translates to more than Dh7,000 per square foot, levels that place it in the same league as global luxury enclaves in London, New York, and Hong Kong.
Industry observers point out that Dubai now offers three distinct choices for ultra-luxury land buyers: the scarcity of Jumeira Bay, the legacy of Palm Jumeirah, and the scale of Palm Jebel Ali. Together, these locations highlight the diversification of the emirate’s high-end real estate, each catering to slightly different investor profiles.
For now, the momentum is clear. With more deals expected in the coming months and developers preparing for the final quarter of the year, Palm Jebel Ali and Jumeira Bay plot sales are setting the tone for a market that remains firmly on the radar of global investors.
The top deal was Dh182 million for a 25,441 square foot plot.
Yes, Palm Jebel Ali recorded transactions over Dh115 million, placing two deals among Dubai’s top five.
The project, revived in 2023, is now attracting major land investors and reshaping Dubai’s luxury market.
Palm Jumeirah saw a Dh365 million land deal, one of the year’s largest, showing its continued appeal.
Dubai’s investor-friendly policies, Golden Visas, and tax benefits are sustaining high-net-worth demand.
