Dubai-based luxury real estate developer Binghatti will now be relying on its vertically integrated business strategy to manage growing building and land acquisition expenses in the face of the emirate’s robust housing demand, stated CEO Katralnada Binghatti.
She further stated that the company possesses more control over quality and cost as it runs six factories that produce steel, joinery, and aluminium. She emphasised that “our vertically integrated model is key.”
In a report published in February 2025, cost consultancy Currie and Brown stated that it anticipates a 2–5% increase in average construction costs in the United Arab Emirates (UAE) this year. Land prices in Dubai are increasing, especially in sought-after areas where demand exceeds supply. Binghatti also noted that price rise is balanced by higher sales prices.
“As for land, property values are increasing along with prices. It balances out because we consistently see quarterly appreciation and a premium on Binghatti products,” the CEO stated.
Furthermore, the developer has taken a flexible stance when it comes to purchasing land, as Binghatti clarified, “We plan in three-year cycles and we’re opportunistic with land purchases.”
With 15 million square feet of saleable space spread across 23 ongoing projects, the company has nine more projects in the works. Its land bank has grown by an additional 8.2 million square feet as a result of its recent acquisition of Nad Al Sheba.
The CEO refuted claims that the real estate market in Dubai was cooling, citing record-breaking transaction volumes in the first half of 2025.
The Dubai Land Department (DLD) released data showing that there were 125,538 real estate transactions in the first half of 2024, a 26% increase from the same period in 2024. Transaction values increased by 25%, from AED 345 billion ($94 billion) to AED 431 billion ($117 billion) this year.
“We anticipate that demand will continue to surpass supply,” she stated, noting that in 2024, Binghatti delivered almost 4,000 units, while only 27,000 of the anticipated 45,000 units were delivered.
The developer held the largest market share in the Business Bay area during the first half of 2025, she added, noting that only 27,000 of the 45,000 units that were anticipated were delivered in 2024.
“Demand continues to outpace supply, and we expect this trend to persist,” she said.
According to Binghatti, demand in the emirate is being maintained by policy initiatives like the Golden Visa programme and the recently introduced First-Time Home Buyer Programme by DLD and the Dubai Department of Economy and Tourism (DET).
She claimed that the company’s involvement in the DLD-DET collaborative project is indicative of its dedication to promoting accessible homeownership in Dubai.