< PreviousCO-BRANDED COLLECTIONS MAY 202430 Left: Interiors of Etoile by Elie Saab Right: Front view of the villa by Elie Saab; An aerial view of Diriyah THE EVOLUTION OF BRANDED RESIDENCES MARKET IN SAUDI ARABIA In Saudi Arabia, the branded residences market has witnessed a signifi cant evolution in recent years, presenting lucrative investment opportunities. According to our 2023 Saudi Report, 69% of Saudi households aspire to own a branded residential property, indicating a substantial untapped market. This trend is further bolstered by the inclusion of branded residential stock in various gigaprojects across the Kingdom. The growing population of high-net- worth individuals (HNWIs) in Saudi Arabia is a key driver of demand for branded residences. Between 2022 and 2024, the number of HNWIs in the Kingdom increased from 122,784 to 134,539, according to our 2023 Wealth Report. The introduction of the Premium Residency Visa scheme has attracted international investors to the Kingdom’s real estate market, particularly in holy cities such as Makkah and Madinah. Recent developments, such as the launch of Ritz Carlton and Corinthia branded residences within the Diriyah project, highlight the Kingdom’s strategic shift towards premium residential off erings. These initiatives refl ect the increasing alignment of gigaprojects with the preferences of affl uent investors seeking branded properties. 92% OF WEALTHY MUSLIMS SEEK BRANDED RESIDENCES IN SAUDI’S HOLY CITIES The appeal of branded residences in Saudi’s holy cities extends beyond local demand, attracting attention from global wealthy Muslims. According to our report, Destination Saudi 2024, 92% of global wealthy Muslims are seeking branded residences in Saudi’s holy cities, driven by factors such as expected high yield and investment potential, building maintenance and management, and service provision and physical amenities. The introduction of the Premium Residency Visa scheme has further incentivised investment in branded residences, as affl uent individuals seek to secure residency privileges through property ownership”CO-BRANDED COLLECTIONS MAY 202431CO-BRANDED COLLECTIONS MAY 202432 The introduction of the Premium Residency Visa scheme has further incentivised investment in branded residences, as affl uent individuals seek to secure residency privileges through property ownership. This trend underscores the growing international interest in Saudi Arabia’s real estate market, particularly in locations with religious signifi cance. WHAT DO BUYERS LOOK FOR? Buyers of branded residences prioritise factors such as quality, exclusivity, and investment security. They seek assurance that their investments are well-maintained and managed within a regulated environment. Associating a property with a reputable brand not only enhances its prestige, but also ensures access to premium amenities, and professional management services. OPPORTUNITIES AND CHALLENGES Navigating the world of branded residential properties has been tricky due to misunderstandings about what they off er. Branded residences, typically associated with luxury hotels, provide residents with access to hotel amenities like housekeeping and room service. Operating and maintaining branded residences in Saudi Arabia pose signifi cant challenges, despite the growing number of HNWIs in the region. Saudi Arabia has witnessed remarkable growth in its population of ultra-high-net-worth individuals (UHNWIs), with a staggering CO-BRANDED COLLECTIONS MAY 202433 227% increase over the past fi ve years, marking the fastest growth rate globally. In 2020 alone, 617 new UHNWIs were added, bringing the total count to 7,020. Over the period from 2020 to 2025, the HNWI population in the country is projected to rise by 20%, reaching 287,115 individuals. Saudi Arabia’s population of UHNWIs, with assets exceeding $30 million, rose by 17% in 2022. This number is expected to continue growing, with a projected 10.4% increase by 2024. Expats are also showing a strong interest in owning branded residences, especially millennials and high earners. Many are ready to buy within the next few years, indicating a signifi cant demand. Developers have a great opportunity to meet this demand by introducing more branded residential options. They could consider off ering shared ownership or collaborating with banks to off er mortgages, as many expats are willing to spend up to $400,000 (SAR 1.5 million). Luxury vacation spots, like the Red Sea Project, are already incorporating branded residences into their plans. ON A CONCLUDING NOTE Branded residences represent a lucrative investment opportunity in Saudi Arabia’s evolving real estate market. With the backing of supportive government initiatives, a growing population of high- net-worth individuals, and increasing international interest, branded residences are set to thrive in the Kingdom’s luxury property segment. By capitalising on the allure of renowned brands and delivering premium living experiences, developers can unlock the full potential of branded residences in Saudi Arabia. Left: Mohamad Rabih Itani, Residential Sales and Marketing Projects, Knight Frank KSA; Ritz- Carlton Residences in Diriyah Right: Under a starry sky at AlUla; A heritage hallwayCO-BRANDED COLLECTIONS 34MAY 2024 WIND OF CHANGE ICONIC Tower is deeply rooted in a desire to craft a landmark that embodies design excellence and building innovation ICONIC Towers, a groundbreaking project bringing together the visionary design of Pininfarina and the exceptional quality of MERED will soon grace the skyline of Dubai Internet City, standing tall at 286.4 metres. With 311 ultra-luxury apartments and top-notch amenities, it will redefi ne living standards in the city. Moreover, it will not be just any other branded residence, it will set the benchmark for high-end, high-rise developments in Dubai, both in aesthetics and scale. In an exclusive chat with CW Property Middle East, Diana Nilipovscaia, CEO of MERED, shares fascinating insights on how ICONIC Towers, the fi rst branded residences scheme by Pininfarina, will change the way we buy homes and live in the Middle East. ICONIC Tower is the fi rst branded residence project by Pininfarina in the Middle East. What motivated this collaboration, and what are your goals for this project? MERED believes in working together with partners and leveraging each other’s strengths to achieve better results. We wanted to make a strong impression in the Dubai real estate market and bring something valuable to our project. That’s why we partnered with the legendary Italian brand, Pininfarina, known for its Right: A balcony view of Dubai Images supplied by: MERED Interview by Shehzin Shaikh design and architecture expertise, to work on our new residential development, the ICONIC Tower. With its illustrious 90-year legacy, Pininfarina brings profound expertise in creating designs that transcend time. Known for their association with elite car brands such as Ferrari and Alfa Romeo, Pininfarina’s venture into architecture has been marked by innovative, award-winning projects across the globe. Their dedication to elegance and timeless design principles make them the ideal partner for the ICONIC Tower. Pininfarina and MERED both come from a background of catering to the high- end lifestyle sector, sharing values that resonate with their unique identities. This partnership allowed Pininfarina not just to showcase its distinct design fl air but also to achieve its goal of making a mark in the Middle Eastern residential market with a reliable partner like MERED. It has also opened doors to a region with a growing appetite for branded residential projects, thus broadening both companies’ brand recognition, and business reach. How will Pininfarina’s expertise and design philosophy be integrated into the development of the ICONIC Tower? The design philosophy behind the ICONIC Tower is inspired by the natural elements CO-BRANDED COLLECTIONS 35MAY 2024 CO-BRANDED COLLECTIONS 35MAY 2024CO-BRANDED COLLECTIONS 36MAY 2024 of Dubai and its unique geographical context. The building’s conception was infl uenced by the wind—a theme that plays a dual role in the tower’s design narrative. The tower is envisioned as a masterpiece sculpted by the wind, refl ecting a seamless blend of natural forces with architectural fi nesse. This is evident in the tower’s two main façades: the seaside façade is soft and smooth reminiscent of sea breezes and waves, while the cityside façade embodies the dynamic energy of Dubai’s urban landscape, echoing the shapes of the hinterland sand dunes. In keeping with Pininfarina’s heritage, automotive-inspired details are woven into the tower’s design, adding a layer of dynamism and elegance. The use of double-glazed insulated units in the curtain wall system is a testament to the meticulous attention to detail, focusing on thermal insulation without compromising the clarity of the amazing views and light transmission. The strategic placement of balcony dividers and the integration of glass balustrades not only enhance the building’s aesthetic but also incorporate functional elements discreetly by concealing the tower services network. Moreover, the façade of the ICONIC Tower features Glass Fiber Reinforced Concrete (GFRC) cladding, meticulously analysed to align with the overall design vision. This choice adds a dynamic and luxurious touch to the exterior, supported by steel frames that blend seamlessly with the architectural theme. Each element, from the concealed tower services within balcony dividers to the modular GFRC panels, is carefully considered to ensure harmony with the original design concept. What features and amenities can potential buyers expect from this prestigious development? Residents can expect an enriching living experience, with access to a private lounge and dining area, a state-of-the-art gym, an exclusive cinema, and an infi nity pool boasting stunning sea views. Additional luxuries include outdoor terraces, a jacuzzi, a sauna, and an innovative ice spa, ensuring a lifestyle of comfort and indulgence. The tower is centrally located in the Emirate, MERED has collaborated with Mirage, a strategic consultancy with a track record of iconic projects such as the Address Grand Creek Hotel and Bluewaters Island” 36MAY 2024CO-BRANDED COLLECTIONS 37MAY 2024 Left: Diana Nilipovscaia, CEO, MERED; Exterior of the project Right: A rooftop pool with the city view with attractions like Palm Jumeirah and Dubai Marina a short distance away. With 423 parking spaces, including climate-controlled vehicle boxes, residents are ensured that even in Dubai’s high summer temperatures, their cars are taken care of. Adhering to the Al-Safat Green Building Regulation and Dubai Building Code, ICONIC Tower emphasises ecological sustainability, optimising natural light and energy effi ciency, further solidifying its status as a symbol of modern, sustainable ultra-luxury living. The pinnacle of luxury is the penthouse at the top, off ering breathtaking city and sea views. The building fl oor plans and glazing will be optimised to maximise natural daylight, and the main external entrance will feature a door design to prevent the loss of conditioned air, ensuring energy effi ciency throughout the building. Beyond the ICONIC Tower, what are MERED’s long-term aspirations and strategies? MERED is actively expanding its footprint in the region and beyond, continuously surveying new construction sites and we are planning to announce our new project soon. Our strategic approach involves announcing a new project annually, leveraging the international experience of our expert team and esteemed partners. This strategy is designed to introduce new standards in development quality, innovative concepts, styles, and superior material fi nishes. By collaborating with international leaders and incorporating the latest practices and technologies, we aim to signifi cantly elevate the quality of real estate development in the Emirates. CO-BRANDED COLLECTIONS 38MAY 2024 AT ITS FINEST CO-BRANDED COLLECTIONS Words by Shehzin Shaikh Nobu Residences stands as a beacon of extravagance, innovation, and strategic collaboration 38MAY 2024CO-BRANDED COLLECTIONS 39MAY 2024 Nobu Hospitality has partnered with Aldar Properties to introduce the fi rst Nobu-branded residences in the Middle East, and the second globally, signalling their expansion in the region, and it has been gaining all the right kind of attention since its launch in 2022. Aldar recently sold the most expensive apartment in Abu Dhabi for $37 million (AED 137 million) at Nobu Residences on Saadiyat Island, setting a record price per square metre of over $26,143 (AED 96,000). This sale highlights a strong demand for luxury living in the UAE capital, with another sky villa selling for $35 million (AED 130 million) at the same development. Commenting on the record transaction, Talal Al Dhiyebi, Group Chief Executive Offi cer at Aldar, mentions, “This milestone transaction at Nobu Residences not only sets a new benchmark for residential property in Abu Dhabi but also underscores the maturity of the real estate market. Year on year, we are seeing healthy increases in both, the volume and value of homes purchased, driven by supportive government policies and initiatives that have increased the attractiveness of Abu Dhabi as a place where people want to live, and see real investment opportunities. We expect this trend to continue as we bring some of the UAE’s most luxurious lifestyle concepts to life on Saadiyat Island and across Abu Dhabi’s prime locations.” MAY 2024 Left: An aerial view of Nobu Residences Right: The grand lobby lounge Images supplied by: Aldar PropertiesNext >