The luxury segment of the real estate sector is a particularly lucrative niche, attracting discerning individuals looking for their next investment or residential or rental property. According to Mordor Intelligence, the UAE’s luxury real estate market is poised to increase by 8 percent annually from 2024 to 2029. Meanwhile, a report by Knight Frank underscores Dubai as a city that is at the forefront of this growth.
In just the first quarter of this year, the city recorded 105 home sales exceeding $10 million each — a 19 percent increase from the previous year — with the total value reaching $1.73 billion. This represents a 6 percent rise from the same period in 2023.
In this interview, Dmitriy Starovoitov, founder of Almal Real Estate Development, shares key strategies for gaining a footing in the country’s luxury real estate scene. He also talks about major trends in the market and his company’s global expansion.
Almal Real Estate Development has established itself as a leader in the UAE’s luxury real estate market with projects such as Harrisoni La Mer and The Unexpected Al Marjan Island Hotel and Residences. Could you share the key strategies for entering the country’s real estate market, particularly in the luxury segment?
Our approach can be compared to piloting a plane — you need to know your course, altitude and speed.
In real estate, it all comes down to understanding the market, and the most important factor is location, location and location. This has been the foundation of our strategy.
We acknowledge that the UAE real estate market is highly competitive. A few major developers control a large share of the market, and these companies are building entire cities. We decided not to compete with these companies. Instead, our strategy is to carve out a niche in the premium segment, focusing on luxury projects.
The UAE is known for its ambitious projects and rapid urban development. What key trends do you foresee for the country’s real estate and luxury housing market?
Dubai is already a global hub for luxurious living. However, in the future, the focus will shift to the quality of services and infrastructure. People want security, excellent roads, and a reliable support system. Over the past five years, we’ve seen significant improvements in services across the UAE, and I’m confident this trend will continue.
In my opinion, the future of the luxury real estate market will also revolve around providing top-tier services. Clients paying a premium expect a living experience akin to their stay at a five-star hotel. They need more than just safety — they demand flawless service.
Additionally, our strategy goes beyond focusing on first-class service. We emphasize improving the quality of life and the health of people who live in our residences, stay in our hotels or work in our offices.
For example, we recognize that air quality directly impacts people’s health. Today, everyone is concerned about their health, quality of life, and fitness. This is why we are focused on supporting and ensuring these standards. Projects that hit all these will stand out in the market. Clients investing in luxury real estate demand perfection, and those who can provide it will be the market leaders.
What are some advantages of the regulatory environment for real estate development in the UAE?
It’s also important to note that the UAE features an incredibly progressive regulatory environment. Government services are highly efficient and streamlined, which greatly benefits developers. For example, the process of purchasing land or obtaining building permits is transparent and straightforward. The rules regarding land use, construction limits and project approvals are clearly defined, allowing developers to plan and execute projects efficiently.
The escrow system is another crucial element that protects both investors and clients, ensuring the security of funds and timely project delivery. This focus on security applies not only to individuals but also to investors, which is extremely important for us as developers.
The UAE, and particularly Dubai, offers a unique environment where private and institutional investments are well-protected, allowing us to develop projects with confidence.
You have worked on real estate projects not only in the UAE and the Gulf countries but also in Eastern Europe. You are now also targeting global expansion, particularly in Thailand and Indonesia. What excites you the most about these new opportunities, and how do you plan to balance your projects in such diverse and fast-growing markets?
We have worked in Europe for many years, but now my attention has shifted to the East and Asia. When you look at the population of these countries, it becomes clear why we see such potential — half of the world lives in this region. Thailand and Indonesia, emerging markets with flexible regulations, allow projects to be implemented much faster compared to Europe.
For a developer, speed is everything. Fast project approvals and quick returns on investment are key advantages in these markets. While Europe has its strengths, the regulatory environment there can slow down the process. In Asia, we can move much faster, which allows us to create unique, innovative projects. What inspires me most is the opportunity to bring something new to these markets — not just building standard towers but creating projects with unique stories and philosophies. Each of our projects has its own approach and advanced solutions, offering the level of quality and service that meets market demands.
What do you consider your most significant contribution to the real estate industry to date?
I have primarily focused on commercial real estate: hotels, business centers and shopping malls. These are places where people spend a significant portion of their lives, whether for work or leisure. Our goal is to make these spaces as enjoyable as possible. We want people to be happy coming to work in our business centers or feel relaxed and comfortable in our hotels.
Service quality is crucial. From improving the air quality inside the building to enhancing overall comfort — every detail matters. I am most proud of creating spaces where people want to be — places that provide exceptional service and leave a lasting, positive impression.