Future look at the Dubai 2040 Urban Master Plan, courtesy of Sheikh Mohammed bin Rashid Al Maktoum Twitter
In a recent announcement by His Highness Sheikh Mohamed bin Rashed al Maktoum, the city's ruler, Prime Minister, and Vice President of the UAE laid out a new vision in the Dubai 2040 Urban Master Plan. The move includes an ambitious push in investment opportunities, tourism, city planning, and innovative ways to make Dubai the premier city for work, leisure, and lifestyle. For businesses in the city and those looking at Dubai for their next region of expansion, this plan holds a multitude of opportunities like the city has never experienced before.
Dubai's economic revival and High Net Worth Individuals
Dubai has long since been a hub for High Net Worth Individuals (HNWIs) for its luxurious lifestyle and access to lucrative business and investment opportunities. According to the 2021 Knight Frank Wealth Report, the UAE is forecasted to increased the number of resident millionaires by 10,000 individuals every year leading up to 2025. Included in those 50,000 residents are HNWIs with accumulated assets of more than $30 million.
With this predicted influx of capital into the country, the local Dubai economy stands to benefit from bolstered investments, increased spending, and greater business opportunities. The rejuvenation of Downtown Dubai and Business Bay as the city's financial heart center outlined in Sheikh Mohamed's master plan means that Dubai intends to retain its stronghold as the Middle East hub for business, aiding the region's comeback post-pandemic. In a statement by Mattar Al Tayer, chairman of the Dubai 2040 Urban Master Plan Higher Committee, the city is ready to invest itself:
"[The Dubai 2040 Urban Mast Plan] will also enhance the emirate's investment appeal and attract fresh FDI inflows into all its sectors. Under the plan, the area devoted to economic activities will increase to 168 square kilometres, with a major focus on hi-tech industries."
Doubling-down on Tourism and Nature
For Dubai, the colloquialism work hard, play hard takes on new meaning. Dubai International Airport is the busiest airport globally by international passenger traffic and the city hosts over 500 hotels and resorts beloved by residents and visitors alike. With world-class dining, shopping, entertainment, and megaprojects launching in the upcoming year, the emirate's reputation for leisure seems hard to top, but in true Dubai fashion, the city seeks to break its own records. The master plan outlines a forecasted 138% increase in tourism and hospitality opportunities with an astounding 400% increase in public beaches.
With a genuine passion for nature and conservation, Sheikh Mohamed has also outlined a goal that includes massive green spaces throughout the city. According to the master plan, 60% of Dubai's land will be dedicated to wildlife sanctuaries and natural rural reserves. These efforts will open the city to growing its travel industry segments, including eco-tourism, fostering more jobs and business opportunities catering to earth-friendly living.
Reviving Dubai's real estate market
For several years, Dubai's real estate market has taken a blow partially due to ambitious housing developments that have led to drastic over-supply against the city's modest 3.3 million resident population. The added hit of 2020's pandemic led to a decrease of Dubai's strong expat population, freeing up even more residential properties. While this has been good news for current renters who have enjoyed stark decreases in lease contract amounts, homeowners and real estate investors have borne the brunt of the downturn. Most indicators show signs that the market is already beginning to rebound slowly, but it will likely be years before rates return to previous peak numbers.
Using the 2040 vision as a roadmap, Dubai's leaders are actively working towards a revival of the city's real estate market. Through strategic new initiatives in investor and entrepreneurial visa programs, the forecast for Dubai's population is slated to increase to 5.8 million, nearly double the emirate's current residents, supported by a housing market ready to absorb the influx of new city dwellers. For current homeowners and investors interested in Dubai, capitalizing on real estate investments now will likely lead to big returns in the not-so-far-off future.
In a city that has evolved with unprecedented speed, size, and magnitude on the world's stage, Dubai future is rich with possibility and opportunity. The forefront of Sheikh Mohamed's 2040 Dubai Urban Master Plan is, unsurprisingly, its people - and where there are happy people, businesses and communities thrive.
"Our strategic development plans are focused on creating the best possible environment and infrastructure to enhance the community's happiness and wellbeing and support the fulfilment of the greatest human aspirations for both our citizens and people from around the world. Drawing inspiration from global best practices and adapting them to local needs and requirements, we have created a development model that offers the best possible quality of life and creates the conditions for sustainable prosperity. Our goal is to create a truly inclusive environment that not only meets the needs of Dubai's diverse population, but also inspires them to tap into their creative and innovative capacities and realise their true potential."
- Sheikh Mohamed bin Rashed al Maktoum