Villa Development Management Agreement - 5 Bed Villa
Project Investment Breakdown
Property Acquisition
Purchase price of AED 11,500,000 plus costs of AED 809,780 for transfer, agency, and registration fees.
Renovation Costs
Complete renovation and fit-out
totalling AED 1,700,000 to
transform the property. Professional development management ensures quality execution
Management Fee
Development management fee of 3% on total project costs, equaling AED 420,293.
Sale Performance
Complete project cost – AED 14,430,073, fully funded by the investor. This includes acquisition, rehabilitation, purchase costs, and the development management fee.
Investor Returns
Post-renovation valuation – AED
17,000,000, generating a gross profit of AED 2,569,927 and demonstrating strong market positioning.
Profit Distribution & Partnership Value
Investor Share
AED 2,184,438 profit share, delivering approximately 15.1% ROI on invested capital.
Concept Jumeirah Share
AED 385,489 profit share, aligned with development performance and success.
Key Takeaway
This case study demonstrates the upside potential of the Development Management Agreement structure. The investor achieved a strong 15.1% ROI with full capital funding of AED 14,430,073. Concept Jumeirah earned AED 805,782 through transparent fee and profit-sharing mechanisms, reinforcing equitable alignment between investor capital and developer performance in Dubai's luxury real estate market. Our success is tied to your returns - incentivising us to enhance capital value and control costs at every stage.