Living on the Beach: The Case for Coastal Towers
    Price TrendsMay 9, 20003 min read

    Living on the Beach: The Case for Coastal Towers

    The coast near the Ritz-Carlton and the planned marina is the most likely place for Dubai's first beachfront residential towers. What buyers would want from them.

    Chief Investment Strategist

    Former Goldman Sachs MD with 25 years in global real estate. James has advised sovereign wealth funds and ultra-high-net-worth families on $50B+ in transactions across MENA, Europe, and Asia.

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    South of Jumeirah, along the stretch of coast where the Ritz-Carlton and other resort hotels now stand, the beach is wide and largely undeveloped. With plans for a large marina inland and new business districts nearby, it is one of the most obvious places in Dubai for a new kind of residential development: towers on the beach, offering apartments with sea views and direct access to the sand.

    Why beachfront apartments make sense here

    Beachfront villas are limited and expensive, and the coast cannot accommodate many more. High-rise apartments allow far more people to enjoy the same coastline. For professionals working in the new free zones nearby, an apartment by the sea would combine a short commute with a holiday lifestyle.

    What buyers and tenants would look for

    • Genuine beach access rather than a view across a road or construction site.
    • Amenities such as pools, gyms, shops and cafés at ground level.
    • Parking and traffic planning that can handle thousands of residents.
    • Professional management to keep shared spaces and beachfront well maintained.

    Potential pitfalls

    Dense development along a narrow coastal strip can create problems: traffic congestion, a shortage of parking, crowded beaches and construction disruption that lasts for years. The best projects will plan for these issues from the start, with a pedestrian-friendly promenade and a realistic approach to access.

    A test for international demand

    If developers are allowed to sell such apartments to expatriates and international buyers, beachfront towers could become one of the most popular products in Dubai. They combine the appeal of a holiday home with rental potential from the city's growing professional population.

    Holiday homes versus homes to live in

    A beachfront tower can serve two very different groups: people who live there year-round and people who use their apartment for a few weeks a year and rent it out the rest of the time. Mixing the two works well when management is strong, but it can cause friction if short-term guests come and go constantly or if apartments sit empty for long periods. The most successful resort-style residential districts elsewhere have clear rules on rentals, good security and a management company that takes care of the shared spaces. Buyers should ask how these questions will be handled before committing, since they shape both daily life and long-term value.

    Our view

    Coastal residential development is likely to be a defining feature of Dubai in the coming years. Investors should pay close attention to how such projects are planned, who builds them and on what legal terms they are offered. Quality and access will separate the best from the rest.

    BeachfrontResidential towersCoastal development