Imagine having access to a private golf course nestled among residential towers in the heart of Dubai’s vibrant Business Bay. Or relaxing on an artificial beach within a residential development at Dubai Science Park.
This vision of integrated luxury living is exactly what Muhammad BinGhatti, chairman of Binghatti Holding, seeks to bring to life. And with iconic properties like Binghatti Pearls — which was previously acknowledged by the Dubai Culture and Arts Authority as one of the city’s best architectural marvels — Binghatti has consistently pushed the boundaries of innovation.
This very ethos is what sets Binghatti apart from its competitors. In a market as dynamic as Dubai’s, standing out is indeed essential for long-term success.
A report from Engel & Völkers shows that luxury real estate transactions (those worth over AED10 million) constantly increased from H1 2019 to H1 2024. In the first half of this year, the transactions totaled 2,913, marking a 47 percent increase from the same period in 2023.
Binghatti has a unique advantage in this thriving market. In this special feature, Muhammad BinGhatti delves into the company’s commitment to creating lifestyle-centric projects. He talks about their journey so far, what has worked for them, and how they plan to continue building their legacy in Dubai’s ever-competitive real estate landscape.
Could you elaborate more on your latest development, Binghatti Skyrise in Business Bay? How unique is this project, and what kind of feedback are you expecting?
Binghatti Skyrise is designed as more than just a residential building — it is a lifestyle destination that brings resort-like luxury to the heart of the city, providing residents with an experience that mirrors five-star hotel living daily. Strategically located in Business Bay, Binghatti Skyrise offers 3,333 units, including studios, one-, two-, and three-bedroom apartments, along with exclusive retail spaces. Our aim was to create a community that caters to the needs of urban professionals and high-net-worth individuals who are in search of an elevated lifestyle.
What sets Binghatti Skyrise apart from other developments is its array of over 15 high-end amenities. Residents enjoy access to features like a private golf course, a dedicated water park, wellness centers, and numerous leisure spaces, effectively making it a self-sustained community. Built on one of Business Bay’s final off-plan plots, its proximity to Downtown Dubai and convenient access to Sheikh Zayed Road further enhance its appeal. The development’s design also embodies Binghatti’s signature architectural style, ensuring it stands as a recognizable landmark in one of Dubai’s prime locations.
The response from the market has been overwhelmingly positive. Within 24 hours of launch, 50 percent of the units were sold. It’s an impressive achievement that underscores the market’s confidence in our vision and our commitment to delivering projects that resonate with modern buyers and investors. We anticipate that the strong interest will continue as more people recognize Binghatti Skyrise as a symbol of luxury, quality, and lifestyle innovation.
Binghatti Holding’s recent $300 million sukuk issuance marks a significant milestone as the first USD-denominated real estate benchmark sukuk from MENA in 2024. Could you share your insights on the strategic considerations behind this issuance and how it shapes Binghatti Holding’s position in international markets?
The $300 million sukuk issuance is indeed a landmark achievement for Binghatti Holding. It reflects our commitment to diversifying our funding sources and opening new avenues for growth.
This issuance is part of our strategic focus on leveraging Sharia-compliant financing solutions that align with our values and appeal to a broader investor base. The sukuk attracted substantial interest, with 20 percent demand coming from international investors. Meanwhile, 80 percent are from regional investors, underscoring the growing global interest in Dubai’s real estate market and Binghatti’s financial stability.
Following the success of this issuance, we conducted a $200 million tap issuance a few months later, which was even more successful. The percentage of demand from international investors doubled to 40 percent, with regional investors comprising the remaining 60 percent. This surge in international demand highlights the global market’s confidence in the UAE’s economic outlook and in Binghatti Holding’s strategic growth.
The oversubscription rates — 210 percent for the initial issuance and an impressive 420 percent for the subsequent issuance — further validate the confidence that global investors have in Binghatti’s financial stability, vision, and performance. This success positions Binghatti favorably within the international financial landscape. It allows us to further our growth ambitions and enhance our global presence while reinforcing our commitment to innovation in the real estate sector.
With an impressive portfolio of over AED40 billion, what key factors do you believe have driven the company’s growth and positioned it among the leaders in Dubai’s competitive real estate market?
Binghatti’s growth and leadership in the market are the results of a carefully crafted, multi-phased approach.
Our initial growth phase was focused on establishing a distinctive brand identity. This phase involved creating a recognizable architectural DNA — a visual identity that sets Binghatti properties apart. This strong brand presence has been instrumental in our success, as it created an immediate association between our projects and quality, design excellence, and luxury.
The second phase centered around enhancing our product quality. We heavily invested in building a top-tier quality assurance and control team, upskilling our project management and design teams, and focusing on creating a superior product. Our projects began to reflect the very best in quality, innovation, and attention to detail. By prioritizing these elements, we have not only met but exceeded the expectations of our clients, which has helped us build a loyal client base and a strong reputation in the market.
In the third phase, we scaled our portfolio and expanded our brand internationally. This phase involved strategic project selections in prime areas like Business Bay and Downtown Dubai, where demand for high-end properties is consistently high. Additionally, we partnered with renowned brands like Bugatti, Mercedes-Benz, and Jacob & Co. to further elevate our projects. These collaborations bring added value, offering unique lifestyle elements that resonate with a discerning clientele.
Together, these phases have positioned Binghatti as a leader in luxury real estate, where our commitment to excellence, design, and strategic growth sets us apart.
Your partnerships with iconic luxury brands, such as Bugatti, Mercedes-Benz, and Jacob & Co., are truly pioneering. What inspired these collaborations, and how do these associations enhance Binghatti’s appeal to high-net-worth individuals?
Our partnerships with Bugatti, Mercedes-Benz, and Jacob & Co. stem from our desire to create properties that offer a sense of exclusivity and refinement.
Just as one feels a unique sense of pride when acquiring a luxury car or an exclusive piece of art, we wanted Binghatti properties to evoke similar emotions. These collaborations allow us to blend the essence of these esteemed brands with our architectural vision, creating a fusion of art, luxury, and functionality.
These partnerships enable us to attract high-net-worth individuals who are not merely looking for a residence but a lifestyle that reflects their aspirations and sense of identity. By integrating globally recognized luxury brands into our developments, we elevate the living experience, making it unique and desirable to individuals who value exclusivity and sophistication.
Aligning with such reputable brands has allowed Binghatti to cement its position as a leading choice for discerning buyers seeking high-end real estate investments.
What criteria do you consider when selecting global luxury brands for branded real estate projects, and how do you ensure alignment between the brand’s identity and Binghatti’s vision?
Our approach to brand partnerships is selective and intentional. We prioritize brands that bring something genuinely unique to the table and align with our vision of luxury and innovation. The alignment between the brand’s identity and Binghatti’s philosophy is paramount; we look for brands that share our commitment to quality, craftsmanship, and an avant-garde approach to design.
Once a partnership is established, we work closely with our brand partners to ensure their identity is seamlessly incorporated into the architecture and design of the project. This collaboration goes beyond co-branding; it is a true co-creation where the end result is a product that embodies the values of both Binghatti and the partner brand. By taking this approach, we ensure that the final product not only meets but exceeds the expectations of our clients, providing them with an authentic and immersive luxury experience.
Looking ahead, outside of the current projects in the pipeline, what direction do you see growth for Binghatti, and how do you feel the business will fit into Dubai’s real estate landscape in the years to come?
Our vision for the future is to grow our project portfolio to over AED100 billion within the next 18 months — a bold yet achievable target given our track record and strategic planning. Moving forward, we plan to focus on creating landmark developments that offer sustainable value, functionality, and innovation. The real estate market in Dubai is evolving, with an increasing demand for properties that seamlessly integrate luxury and functionality, and Binghatti is well-positioned to meet this demand.
Additionally, we are prioritizing the enhancement of our after-sales services, focusing on customer retention and satisfaction. By nurturing long-term relationships, we aim to transform our existing clients into brand ambassadors. Our concierge team, for example, offers complimentary services such as interior design, leasing, and resale assistance. This comprehensive approach enables us to support clients throughout their journey, providing them with a truly integrated experience beyond just property management.
Our commitment to delivering developments that align with Dubai’s vision for growth, sustainability, and excellence ensures that Binghatti will remain a key player in shaping the future of Dubai’s luxury real estate landscape.
Could you share an overview of Binghatti’s current construction projects and what guides the location selection? What sets Binghatti’s projects apart in the market?
Binghatti currently has a range of projects under construction in highly desirable locations across Dubai, including Business Bay, Jumeirah Village Circle, and Downtown Dubai.
Our selection process is meticulous; we focus on locations with high demand, solid rental yields, and proximity to key lifestyle and business hubs. For example, Business Bay offers accessibility to commercial centers and is a sought-after location for both residents and investors. Recently, we have also expanded into new areas like Palm Jumeirah, Dubai Sports City, and Dubai Production City.
What differentiates Binghatti’s projects is our emphasis on creating lifestyle-centric communities. Our projects feature exclusive amenities, including wellness centers, recreational facilities, and branded luxury offerings. For instance, Binghatti Hills boasts an artificial beach, while Binghatti Skyrise includes a private golf course. This approach allows us to offer residents a living experience that enriches their daily lives.
By creating “hyper-properties” that go beyond conventional residential spaces, we have carved a unique niche in Dubai’s competitive real estate market.
What is your perspective on the current state of the UAE real estate market, and how do you see it evolving in the near future?
The UAE real estate market, especially in Dubai, is experiencing a strong upswing. Factors such as robust economic fundamentals, investor-friendly policies, and the influx of high-net-worth individuals to Dubai have driven a robust demand for luxury properties. The branded residences segment is particularly thriving as international buyers seek exclusive, high-quality properties in prime locations.
The growth we have witnessed since 2021 has been remarkable, and we expect this upward trend to continue sustainably. Dubai’s growing population, coupled with significant government investment in infrastructure, has created a favorable environment for the real estate market. High-net-worth individuals are increasingly relocating to Dubai, attracted by the city’s safety, zero income tax benefits, and luxurious lifestyle, further driving demand.
Dubai remains an attractive real estate market on a global scale, with prices per square foot significantly lower than those in cities like Miami, Singapore, and London. This pricing advantage offers substantial growth potential, making Dubai a lucrative market for both local and international investors.
Looking ahead, we foresee sustained demand for premium real estate, especially in central locations like Business Bay and Downtown Dubai. Binghatti will continue to align with Dubai’s vision, contributing to its reputation as a global luxury real estate hub.