Dubai’s luxury housing demand is fueled by an influx of expats, high-net-worth individuals and lifestyle amenities, according to Samer Ambar, CEO of Reef Luxury Developments.
An additional element is the rise of remote work, which has led to a demand for larger living spaces that offer both comfort and functionality, he told Zawya Projects.
“The ongoing development of infrastructure and tourism also enhances the appeal of luxury living in Dubai,” he noted.
Reef Developments has sought to differentiate itself by introducing the concept of temperature-controlled sunken balconies for its maiden project – REEF 1000 featuring 125 units, located in the Dubai Land Residential Complex. The 175 million UAE dirhams ($48 million) project is anticipated to be completed by the fourth quarter of 2026.
Ambar explained that traditional balconies often go unused for several months due to the challenging climate in the UAE.
“The inspiration behind our totally unique temperature-controlled sunken balconies stems from the need to create usable outdoor spaces that can be enjoyed year-round.”
Last month, the company had announced that it intends to announce projects worth around AED 5 billion ($1.4 billion) offering 5,000 residential units in three months. By December 2025, the portfolio would be increased to 30 projects valued at approximately AED14 billion ($3.8 billion).
Ambar emphasised that the company has acquired a substantial land bank for the initial projects.
“While land acquisition costs have seen an increase due to rising demand, we have strategically positioned ourselves to secure prime locations that will yield long-term value,” he said.
The Reef Luxury Developments CEO said the focus is on emerging neighbourhoods with strong growth potential such as Dubai Land Residential Complex (DLRC), International Media Production City (IMPZ), Dubai Sport City and Al Furjan.
“These locations were chosen due to their accessibility, advanced infrastructure, and the demand for luxury living spaces that cater to both families and young professionals,” he explained.
He said Community and lifestyle are central to the company’s development philosophy.
“We believe that luxury living extends beyond the individual unit to encompass the overall living experience. Therefore, we design our projects with communal spaces, recreational facilities, and lifestyle amenities that foster a sense of community among residents. This approach not only enhances the quality of life but also increases the attractiveness of our properties to potential buyers and investors.”
Excerpts from the interview
What are Reef’s plans for further innovation beyond the sunken balcony technology? Are there any other unique features or amenities we can expect in future developments?
Beyond the sunken balconies, we are committed to create integrated communities and communal spaces designed for social interaction. We are exploring additional features such as green roofs, solar energy solutions, and advanced water conservation systems to further enhance the living experience and sustainability of our developments.
Could you elaborate on the company’s previous collaborations with major developers?
Previous collaborations involved working with renowned developers on large-scale residential and commercial projects. Key lessons include the importance of quality control, understanding market demands, and the value of innovative design. We are applying these insights to ensure that our projects not only meet but exceed the expectations of our future residents.
Who is your primary target market, and how do you plan to cater to both end-users and investors?
Our primary target market includes both local and international buyers, particularly young professionals and families seeking modern, luxurious living spaces. We plan to cater to end-users by offering thoughtfully designed units with community amenities that enhance their lifestyle. For investors, we are developing a limited product which will create high demand as we are the sole patent holders of the climate controlled sunken balconies, our projects are also located in areas that delivers high rental returns of 6 to 9 percent and capital appreciation exceeding 20 percent.
What role does sustainability play in Reef’s development strategy? How do you plan to balance luxury with eco-friendly practices?
Sustainability is integral to our development strategy. We aim to incorporate eco-friendly materials, energy-efficient systems, and sustainable landscaping in all our projects. By using innovative design techniques and technologies, we can maintain luxury while minimising environmental impact. Our goal is to create luxurious spaces that are also sustainable, ensuring that residents enjoy high-quality living without compromising on eco-friendly practices.
How does Reef ensure high ROI for buyers?
Reef ensures high ROI for buyers through strategic location selection, innovative design, and a focus on community amenities that enhance property value. We also offer flexible payment plans and partnerships with financial institutions, to make investments more accessible and attractive to buyers.
How does Reef plan to stay competitive in Dubai’s rapidly evolving real estate market, particularly with new players entering the scene?
Reef has created a new segment in the market by bringing one of its kind innovations in the work that will reshape the real estate industry and keep us ahead of any competitor. We will continue focusing on innovation, quality, and customer experience, prioritising sustainability and new solutions by continuously investing on in-house Research & Development.
Are you seeing an increase in construction costs in the UAE?
Yes, we have observed an increase in construction costs in the UAE due to various factors, including rising material prices and labour shortages due to the high demand in Dubai’s property market. However, we are committed to managing these costs effectively through strategic sourcing and efficient project management practices. By optimising our supply chain and leveraging technology, we aim to minimise the impact of these rising costs on our projects while maintaining the quality and luxury standards that our buyers expect.
What innovative technologies is Reef incorporating into its developments to enhance the living experience?
Reef is committed to integrating technologies and sustainable solutions into our developments. This includes features such as smart thermostats, energy-efficient lighting, and advanced security systems. Additionally, we are exploring the use of building management systems that optimise energy consumption and enhance residents’ comfort. By embracing technology, we aim to create a seamless and modern living experience that appeals to tech-savvy buyers.
What are your future plans for expansion in the Dubai real estate market?
Our plans include expanding our portfolio by exploring new locations within Dubai that align with market demand and growth potential. We are also looking to diversify our offerings by developing mixed-use projects that combine residential, commercial, and retail spaces. This strategy will allow us to tap into different segments of the market and provide comprehensive living solutions that cater to the evolving needs of residents.
(Reporting by SA Kader; Editing by Anoop Menon)
(anoop.menon@lseg.com)
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