Monday, September 22, 2025

RE Oversupply

 


The true Risk is not the Oversupply, but the inadequate urban Alignment, with transportation, civic services and traffic. These are already troublesome, more supply will inevitably make worse, and would denounce the commercial feasibility.


Is JVC at Risk of Oversupply? Let's Break It Down.

Over the next 2 years, JVC is expected to see around 30,000 new residential units handed over. To put this in perspective, that's about 80% more than its current supply, which is around 40,000 units today.

Across Dubai, around 180,000 units are expected to be delivered during the same period.

Now let’s look at population growth:
- Dubai’s population is growing by approx. 200,000 people every year.
- By the end of 2026, the population is estimated to reach 4.2 million.
- JVC currently houses around 80,000 residents, which is about 2% of Dubai’s population.

Let’s assume that by 2026, JVC grows to house 3% of Dubai's total population, that would be about 112,000 residents.

But here’s the concern:
The total supply in JVC by then (70,000 units in total) will have the capacity to house approx. 144,000 residents.

That creates a clear risk of oversupply, unless demand in JVC increases significantly beyond current trends.

What does this mean for you?
If you're investing or planning to invest in JVC, it's important to stay informed. While the community remains popular and continues to grow, the upcoming supply may outpace demand in the short to medium term.

As always, real estate is a long-term game. Location, quality, developer reputation, and project positioning will make all the difference in navigating this wave.

Stay wise. Stay informed.

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