In Dubai, a rare car license plate has been sold to a wealthy bidder for a world-record price of 55 million dirhams ($15 million), surpassing a record set over a decade ago in the United Arab Emirates.
During a charity auction, plate number P 7 was sold by Emirates Auction LLC on Saturday. The plate appears to have the number 7 alone with the letter P off to the side. The company stated that the proceeds from the auction will be donated to the 1 Billion Meals Endowment, a global food aid initiative launched by Dubai ruler Sheikh Mohammed bin Rashid.
Auctioning off vanity license plates has become a trend in the UAE among the ultra-rich to flaunt their status and wealth. Proceeds from these auctions go to charity. The most recent auction has broken the previous record set in 2008 when local businessman Saeed Abdul Ghaffar Khouri paid 52.2 million dirhams for a plate bearing the number 1 in Abu Dhabi.
The person who won the auction over the weekend has not been revealed yet. Vanity plates have also been sold at exorbitant prices beyond the Middle East, with a single-letter “R” plate selling for HK$25.5 million ($3.2 million) in Hong Kong earlier this year.
Dubai has been a favored destination for the ultra-wealthy to showcase their riches and enjoy tax-free living for a long time. Despite concerns about economic recession in some parts of the world, the emirate’s economy is still going strong, with its neighbors and most significant clients benefiting from high oil prices. The real estate market has also been buoyed by an influx of wealth.
Lower sales tax rates in Dubai have made it possible for even moderately-paid expats to afford expensive cars. However, the recent Covid-era boom has driven up rents, leaving middle-class residents feeling the squeeze. Nonetheless, the emirate’s economy remains strong and buoyed by an influx of wealth, with high oil prices benefiting its neighbors and most important customers, making it a safe haven for the mega-wealthy to flaunt their wealth and live a tax-free lifestyle.
In 2016, businessman Balvinder Singh Sahni, who is also known as Abu Sabah, bought the plate D 5 for 33 million dirhams. He described Dubai as a city of gold, big people, and nice people who all want to showcase their status.
Sahni recounted an incident where he was denied entry to the luxurious Burj Al Arab hotel in 2006 due to his license plate having too many numbers. He was informed that he needed a two-digit number plate or a reservation to enter. “Having a single-digit number plate was always my dream,” he stated. “When I had the opportunity, and they informed me that the proceeds were going to charity, I went all-in.” As someone who loves numbers, Sahni believed that the D 5 plate was perfect as his favorite number is nine, and adding D (the fourth letter of the alphabet) to five results in nine.
There has been no immediate response from Guinness World Records upon request for comment regarding the recent record-breaking sale of the car license plate. The sold plate, P 7, can be transferred to any vehicle registered in the emirate of Dubai, regardless of whether it is a supercar or not.
