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Chris Matthews

By Chris Matthews

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Dubai developer Nakheel has unveiled plans for a sprawling residential community called Palm Springs, sharing its name with California's famous desert resort city.

The proposed development would accommodate almost 50,000 residents across 3.8 million square meters, with villas, townhouses, apartments, landscaped parks and leisure facilities.

Nakheel, part of Dubai Holding Real Estate, is also behind waterfront developments including Palm Jumeirah and Palm Jebel Ali.

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Palm Springs, California, is known for its midcentury modern architecture, palm-lined streets, golf courses and swimming pools set against a dramatic desert mountain backdrop.

Dubai has unveiled plans to build its own Palm Springs and create a sprawling new development promising luxury homes, swimming pools and landscaped parks.

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Dubai's Palm Springs would be built beside Palm Jebel Ali, an artificial island development that stalled for more than a decade following the 2008 financial crisis.

Unlike California's Palm Springs, which developed into a resort destination over decades, Dubai's namesake remains at the planning stage, with no announced construction timetable, completion date or overall cost.

Nakheel announced the plans on November 10, outlining a community of 15 neighborhoods with parks, schools and sports facilities.

The announcement follows decades of ambitious development in Dubai, including projects that were delayed, redesigned or suspended after the global financial crisis.

What Would Dubai's Palm Springs Look Like?

Nakheel plans to build Palm Springs in southern Dubai, beside Palm Jebel Ali, with links to Sheikh Zayed Road and Al Maktoum International Airport.

The proposed development includes two schools, a hospital, six mosques, a country club, a sports club and retail facilities.

There would also be approximately 593,000 square meters of open space, including parks and landscaped gardens, with more than 35 kilometers of walking, jogging and cycling routes.

The development shares its name with California's Palm Springs, although Nakheel has not said whether the American city inspired the project or whether it intends to reproduce its distinctive architecture.

Unlike the original Palm Springs, which grew into a resort destination over the course of the 20th century, Dubai's version would be a purpose-built residential community.

Nakheel says the community will incorporate energy-efficient infrastructure, water-management systems and climate-responsive landscaping intended to reduce its environmental impact.

The development has received LEED for Communities Platinum Precertification, a preliminary sustainability assessment based on its proposed planning and environmental measures.

However, precertification does not establish how much energy or water the community will actually consume once occupied. Nakheel has not published detailed projections in its announcement.

Khalid Al Malik, chief executive of Dubai Holding Real Estate, said: "Palm Springs reflects our long-term confidence in southern Dubai and its role in the city's future."

He said the company wanted to bring homes and supporting infrastructure together from the outset.

Dubai's History of Stalled Megaprojects

The neighboring Palm Jebel Ali project illustrates the difficulties that have affected some of Dubai's largest developments.

Launched in 2002, Palm Jebel Ali was conceived as an enormous artificial island development featuring luxury homes, marinas and entertainment attractions.

But the development stalled during the 2008 financial crisis and Dubai's subsequent property crash.

Although much of the land had been reclaimed from the sea, the planned homes and amenities were not completed.

Hundreds of buyers who had invested in properties were left waiting for answers.

In 2014, The National reported that an estimated 400 to 450 investors had made down payments on homes that had not been built.

A midcentury modern home in the Las Palmas neighborhood of Palm Springs, California.

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In 2018, Nakheel's then-chief executive, Sanjay Manchanda, said there were no immediate plans to resume construction.

Palm Jebel Ali was relaunched in 2023 with a revised masterplan, more than two decades after its original announcement.

Construction is now progressing. In April 2026, Nakheel awarded contracts worth more than $950 million for 544 villas, with completion of those homes targeted for late 2028.

Palm Deira, another enormous artificial island proposed by Nakheel, was never completed in its original form. The project was subsequently redesigned and is now being developed as Dubai Islands.

Dubai Waterfront, another vast coastal development, stalled after the financial crisis. Nakheel subsequently announced plans to restart work on parts of the scheme.

Dubai has also completed major developments, including Palm Jumeirah and the Burj Khalifa, but the history of these other projects demonstrates that ambitious masterplans can face lengthy delays and substantial changes.

When Could Dubai's Palm Springs Be Built?

The Palm Springs announcement comes amid continued investment in southern Dubai, including the expansion of Al Maktoum International Airport.

Construction has also resumed at neighboring Palm Jebel Ali, suggesting the wider area is attracting renewed investment.

Nakheel has not disclosed the project's estimated cost, construction timetable or proposed opening dates for its schools, hospital and leisure facilities.

Whether Palm Springs develops according to Nakheel's plans remains to be seen. Neighboring Palm Jebel Ali illustrates both the scale of Dubai's development ambitions and the lengthy delays some projects have faced.

Newsweek’s reporters and editors used Martyn, our AI assistant, to produce this story. Learn more about Martyn here.

Contact Newsweek editors on this story: Henry Holloway and Rhian Morgan.

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