If you want to own a floor in Burj Khalifa... here's your chance

US-based online auction website says bids start at Dh19.9 million for 117th floor

The 117th corporate office floor in Burj Khalifa has been put up for auction by a US-based online auction website, with bids starting at Dh19.9 million.

Freedom Realty Exchange, owned and managed by LFC Internet Marketing, a member of the LFC Group in California, said the online auction was being launched by the current owner, believed to be Emaar, and would be accepting bids until June 28.

Bids for the auction will start at Dh19.9 million, with a Dh400,000 deposit required to enter a sealed bid.

The suggested value as of date is Dh60 million of the 1.047 square metre (11,269 square feet) corporate suite floor.

These floors, market sources say, were sold for over Dh100 million at the peak of the property boom.

However, an Emaar Properties spokesperson said: “Burj Khalifa has not listed any such sales.“

The property, according to Freedom Realty Exchange, is being offered “with reserve,” which means that the seller is not obligated to accept the highest bid unless the bid meets or exceeds a predetermined amount (release price).

The release price will, however, not be publicly disclosed and it may or may not be the same price as the property’s minimum bid amount.

"As far as notable real estate auctions, this one tops them all," Bill Lange, the president and chief executive of LFC Group, said in a statement.

"The auction will attract serious buyers who understand that this is an once-in-a-lifetime opportunity to purchase an entire corporate floor in the Burj Khalifa at a price they determine through online bidding," he added.

The buyer shall be responsible to pay a property transfer tax to the Dubai Land Department (DLD) in the amount of two per cent of the gross purchase price of the property.

Final funds required to complete the transaction (closing funds) must be sent by wire transfer to the escrow agent within 48 hours of the escrow agent’s request for payment of such funds.

The auction guideline includes a provision of “last call” — extension of the bid deadline which may be declared at any time during the 24-hour period before and/or after the initial bid deadline.

A DLD official said any company planning to auction property has to get a pre-approval from the Real Estate Regulatory Authority.

The current service charges for corporate suites stand at Dh76.03 per square feet.

The 109, 110 and 111th floor in the world’s tallest tower are all mechanical floors.

Earlier this month, Emirates 24|7 reported that of the 35 properties auctioned last year and amongst the list of properties going under hammer this year, none are from the Burj Khalifa, the world’s tallest tower, or Palm Jumeirah.

“We have not got a single property from Palm Jumeirah or Burj Khalifa to date.

We have got a list of properties that have to be auctioned, but I can confirm that none of them are from these areas,” said Humaid Omran Al Shamsi, Section Head, Auctions Section, DLD, had said.

Nakheel, Dubai-based master developer, had sold its luxury mansions in Jumeirah Islands through private auctions in 2008.

Last year, it sold a six-bedroom Signature villa, located on a 13,000 square feet plot on Palm Jumeirah for Dh28 million through a private auction.

Burj Khalifa houses 900 studio, one, two, three and four bedroom, while the Armani Residences has 144 fully furnished private apartments.

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