Danube Group Sells Out Shah Rukh Khan-Named Dubai Tower for Rs 5,000 Crore

Economic Times
Economic Times
20h ago • 5 views
Danube Group sold its one million sq ft SHAHRUKHZ commercial tower on Dubai's Sheikh Zayed Road for over Rs 5,000 crore, reflecting strong demand for premium office space.
Danube Group Sells Out Shah Rukh Khan-Named Dubai Tower for Rs 5,000 Crore
A What happened
In a significant development for Dubai's commercial real estate market, Danube Group has announced the complete sale of their premium commercial tower named SHAHRUKHZ by Danube, carrying the name of Bollywood superstar Shah Rukh Khan. The one million square feet project is sited on the iconic Sheikh Zayed Road and has generated revenue bookings exceeding Rs 5,000 crore, well above the initial project cost of Rs 3,500 crore. The tower focuses mainly on Grade A office space, a category in high demand given Dubai's market needs and the influx of multinational companies seeking presence in the emirate. This landmark project, scheduled for completion by 2029, was publicly launched in Mumbai with Shah Rukh Khan present, and the sale event in Dubai attracted around 7,000 attendees including real estate brokers and the actor himself. Danube Properties, a leading real estate developer in Dubai since 2014, indicated this success might pave the way for additional towers carrying Shah Rukh Khan's name. The project financing is being managed through internal accruals and customer advances. The optimistic demand outlook for Dubai's residential and commercial market underpins the group's forecast of property sales worth Rs 22,000 crore for the calendar year, with a significant Indian buyer base.

Key insights

  • 1

    Strong commercial real estate demand: ShaHRukh named tower sold out rapidly, emphasizing Dubai's scarcity of Grade A office space and high multinational interest.

  • 2

    High-value project exceeding estimates: The development generated sales over Rs 5,000 crore, surpassing its estimated total cost of Rs 3,500 crore, signaling strong market confidence.

  • 3

    Potential for future celebrity-branded towers: The success of the project led the developer and Shah Rukh Khan to suggest possible future towers similarly named after the Bollywood actor.

Takeaways

Danube Group's sold-out SHAHRUKHZ tower represents a significant commercial real estate milestone in Dubai, combining celebrity branding with strong market demand and investment potential.

Topics

Business & Markets Real Estate