Property Overview
A 1-bedroom hotel apartment in The 8 on the west crescent of Palm Jumeirah at AED 1,650,000 for 875 sqft, equalling AED 1,886 per sqft. Fully furnished with partial sea view and private beach access. Ready property (completed approximately 2019). The hotel is currently operated by IHG under the Vignette Collection brand.
Property Highlights
- Type: 1-bedroom hotel apartment
- Size: 875 sqft
- Asking price: AED 1,650,000
- Rate: AED 1,886 per sqft
- View: Partial sea view
- Furnishing: Fully furnished
- Private beach: Yes
- Hotel operator: IHG Vignette Collection
- Status: Ready
Agent Claim: 50% Below OP
The agent claims the price is approximately 50% below the original purchase price. No exact OP figure is stated. Analysis of the claim:
- The 2014 launch price for The 8 was approximately AED 1,700,000 for entry-level units (Metropolitan). At AED 1,650,000, the asking price is roughly at the original launch price, not 50% below it.
- Recent DLD 1BR transactions show prices of AED 2,500,000 to AED 3,300,000. If the seller purchased at a later date or at market peak, an OP of approximately AED 3,300,000 would make the 50% claim approximately correct.
- The claim is unverified without knowing the actual SPA price and purchase date.
Pricing Context: Red Flag
The asking price of AED 1,650,000 is significantly below all recent DLD 1BR transactions at The 8:
- Jul 2026: AED 2,500,000 for 846 sqft hotel apartment (AED 2,953 per sqft)
- Mar 2026: AED 3,300,000 for 921 sqft apartment (AED 3,585 per sqft)
- Feb 2026: AED 3,296,000 for 855 sqft hotel apartment (AED 3,854 per sqft)
- Feb 2026: AED 3,244,500 for 845 sqft hotel apartment (AED 3,839 per sqft)
At AED 1,886 per sqft, the asking price is 34% below the lowest recent comp (AED 2,953 per sqft) and roughly 50% below the February 2026 transactions. This level of discount is unusual and warrants investigation. Buyers should check for encumbrances, outstanding service charges, operator restrictions or other undisclosed issues that may explain the steep discount.
Rental Context
A recent 1BR rental transaction at The 8 showed AED 260,000 per year (August 2026, 24-month lease). At the asking price of AED 1,650,000, this implies a gross yield of 15.8%, which is exceptionally high for Palm Jumeirah (average 4.5% to 6.5%). This further underscores that the asking price is well below market norms.
Hotel Apartment Considerations
Hotel apartments differ from standard apartments in several ways:
- Service charges are typically higher (estimated AED 18 to 30 per sqft per year for Palm Jumeirah hotel apartments). For 875 sqft, this could be AED 15,750 to AED 26,250 annually.
- There may be operator obligations (rental pooling, usage restrictions, or mandatory hotel management fees).
- The Kenzo Maison furnishings were part of the original specification.
- DLD classifies these as Hotel Apartment, distinct from standard apartments.
About The 8
The 8 is an 8-storey mixed-use development on the west crescent of Palm Jumeirah by IFA Hotels and Resorts (Kuwait-listed, established 1995). The project comprises approximately 300 units: 57 residential Mansio apartments and 110 hotel apartment keys. Total project value at launch was AED 1 billion. The building was launched in March 2014, targeted for 2016 completion, and was completed around 2019.
Hotel Brand History
The hotel component has changed operators multiple times: Delano Dubai (Morgans Hotel Group, 2015), House of Originals (Accor, opened late 2021), Morgan's Originals (Ennismore-Accor merger) and currently Th8 Palm Dubai Beach Resort, Vignette Collection (IHG Hotels and Resorts, from August 2023). The current ownership entity is Aqarat (Kuwaiti).
Private Beach
The 8 has its own private beach as part of the resort amenities. This is specific to The 8 development, not a general Palm Jumeirah amenity. The resort also features an infinity pool, gymnasium, spa, restaurant, beach club, concierge service and valet parking.
Verification Notes
The asking price, size, partial sea view, furnished status and private beach access are from the agent brief. No exact OP figure is stated (the agent says approximately 50% below OP). The 875 sqft is consistent with published 1BR sizes (DLD records show 845 to 921 sqft for 1BR units). The asking price is 34% to 50% below recent DLD transactions, which is unusual. Buyers should conduct thorough due diligence on encumbrances, service charge arrears, operator obligations and the reason for the steep discount.
