Emaar Development profit rises 74% to $1.8bn in 2023

Emaar Development

Emaar Development, a wholly owned subsidiary of Dubai’s Emaar Properties, reported that net profit surged 74 percent year on year to AED6.6 billion ($1.8 billion) last year, propelled by 27 new project launches across Dubai.

Property sales increased 22 percent year on year to AED37.4 billion. The developer’s sales backlog stands at AED57.1 billion, which will be recognised as revenue in the coming years.

Emaar Development in 2023 delivered more than 12,000 residential units across various master plans, including Dubai Hills Estate, Dubai Creek Harbour, Downtown Dubai, Emaar Beachfront, Arabian Ranches, Emaar South, Dubai Marina and The Valley. 

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As of December 2023, the company delivered more than 70,000 residential units, with an additional 25,500 units under development in the Emirate.

“Emaar’s consistent performance in enhancing sales and profitability reflects our strategic focus on developing premier residential properties, retail, hospitality, and entertainment environments,” said Mohamed Alabbar, founder of Emaar.

“Our robust project pipeline and keen market insights ensure we remain on a path of sustained growth and success,” he said.

According to official Dubai Land Department data, the emirate recorded 166,400 real estate transactions, valued at a total of AED634 billion ($172.61 billion), in 2023.

Real estate investments grew 55 percent year on year to AED412 billion, propelled by 113,655 investors, including 71,002 new entrants, marking a 20 percent rise year on year.

Experts told AGBI this week that Dubai’s real estate market is running “a bit hot”, but it is not heading towards a bubble or another catastrophic crash.

Residential sales prices in the emirate increased 20 percent in 2023, while city-wide rents grew 9 percent, the latest research from Cushman & Wakefield Core shows.