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Is there a reason Toronto condo's are only allowed a certain height??

Capslock

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On Burj Khalifa, the economic model is that you make your money on selling accommodation that has views of the Burj Khalifa, as opposed to being 'just some place in the desert'. You don't make your money on the tower itself, you make your money on the wider development and the placemaking value that an iconic structure brings. Emaar are pursuing exactly the same strategy with the Calatrava tower at Dubai Creek. It works, but you need big pockets, the need to do it, and a pretty wide / long-term vision.
 

thettctransitfanatic

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On Burj Khalifa, the economic model is that you make your money on selling accommodation that has views of the Burj Khalifa, as opposed to being 'just some place in the desert'. You don't make your money on the tower itself, you make your money on the wider development and the placemaking value that an iconic structure brings. Emaar are pursuing exactly the same strategy with the Calatrava tower at Dubai Creek. It works, but you need big pockets, the need to do it, and a pretty wide / long-term vision.
So then, how do they make the money for the tower?
 

Admiral Beez

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Capslock

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So then, how do they make the money for the tower?
If you're asking where the money comes from, with Dubai it's the black stuff of course. But there's always money around somewhere, just not much to spend on follies.

Now, if you're talking about how they make money on the tower, well that's my point. They often don't make money on the tower - they make their money on the development as a whole. The tower is a pump primer, a calling card, a branding exercise, instant global publicity... an enabler. If it makes money on top, eventually, then fantastic, but that's just a nice bonus and way down the line.

Without Burj Khalifa, the development around it would be 'the bit round the back of Dubai'. Why buy an apartment or rent an office there? It's not even close to the beach right?

Now with Burj Khalifa, the district becomes one of the centres of Dubai. View of the Burj Khalifa from your terrace...

Same with Dubai Creek - even further out - so Emaar are trying the same placemaking trick with the Calatrava viewing tower.
 

Capslock

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If one is an oil squillionaire, perhaps you do not actually need any profit and being able to say you own the tallest building is enough .......
There's an element of that. They certainly worry less than the west perhaps... but be under no illusions, there are business cases behind what's going on in Dubai, as well as hubris. They need a source of revenue when the oil has run out so the good times don't have to end. The oil is very nearly gone in Dubai, although Abu Dhabi is good for a while yet.
 

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