Meraas unveils first residential towers in Dubai Design District

Design Quarter at d3 will feature 558 units that will be ready by 2027

Meraas will introduce the first phase of Design Quarter at d3 with 558 units across three towers. Photo: Meraas

Dubai real estate developer Meraas has unveiled Design Quarter at Dubai Design District (d3), the first residential community within the creative hub, as the emirate’s property market surges to new highs after the pandemic-induced slowdown.

Meraas will introduce the first phase of Design Quarter at d3 with 558 units across three towers, the developer said in a statement on Thursday.

The construction is scheduled to begin this year and is expected to be completed in May 2027.

“Developing the first residential offering at Dubai Design District aligns with our vision to design spaces in places for people to experience and love life, as we introduce, for the first time ever, the concept of creative living for a community,” said Khalid Al Malik, chief executive of the government-owned Dubai Holding Real Estate.

The company was created through the consolidation of Dubai Properties and Meraas as well as two other entities — North25 and Ejadah.

Dubai’s property market made a strong recovery from the coronavirus pandemic as the emirate’s economy rebounded on higher oil prices and government policies, including changes to visa rules to attract more investment.

Last year, the value of property deals in the emirate reached a new high of Dh528 billion ($143.7 billion), up 76.5 per cent annually, while the number of transactions, at 122,658, rose 44.7 per cent annually.

Dubai’s real estate market is resilient despite mounting global macroeconomic pressures, including rising interest rates, inflation and the devaluation of emerging market currencies, S&P Global Ratings said in a report this month.

Emirates NBD estimates Dubai’s full-year growth for 2022 at 5 per cent and projects the emirate’s gross domestic product (GDP) to grow by 3.5 per cent in 2023.

Design Quarter at d3 will offer one, two, and three-bedroom lofts, duplexes and penthouses with views of the Burj Khalifa and Dubai Water Canal, according to Meraas, the developer of projects such as City Walk and Bluewaters Island.

The project will include amenities such as a double-level infinity pool, gym, gardens with jogging tracks, tennis courts and basketball courts, according to the statement.

D3, a member of Tecom Group, is home to creative brands, designers, studios and entrepreneurs.

It also hosts events and experiences, including the Dubai Design Week, Dubai Fashion Week and Sole DXB, to promote the region’s design scene and strengthen Dubai’s creative economy.

The project houses fashion and lifestyle boutiques, art galleries, studios, and restaurants and cafes.

Parent company Tecom Group raised Dh1.7 billion from its initial public offering on the Dubai Financial Market in June last year.

The company, which started trading in July, said it would remain focused on developing new and existing assets.

In December, it began the construction of an office project, the second phase of the Innovation Hub, with a total investment of Dh442 million.

Dubai’s property developers are expected to record positive cash flow in 2023 for the fourth consecutive year on the back of healthy pre-sales and favourable payment terms, the S&P report showed.

Real estate developers in the emirate will benefit from residual cash collections of about 20 per cent to 30 per cent of the total on handover, rather than the post-handover payment plans that were more prevalent a few years ago, according to the report.

Dubai developers' revenue growth will mainly come from new and recent sales, according to the rating agency.