Downtown Dubai is one of the most iconic communities in not only Dubai but the world. It’s about as prime real estate as you can get, with some of the largest landmarks in the world, namely the Dubai Mall – the world’s largest mall – and, of course, the Burj Khalifa – the world’s tallest tower. That’s why investors are now flocking to the area to benefit from the uptick in tourism and resurgence of the Dubai property market.
It’s the city center.
It’s effectively Dubai’s city center, with a plethora of skyscrapers, hotels, restaurants, leisure spots, cafes, metro stations, and supermarkets found at every corner. Along with direct access to the city’s major highways Sheikh Zayed Road (which links all seven emirates) and Al Khail Road. Downtown Dubai is also right next to major business hubs like the DIFC and Business Bay.
Not only is Downtown popular with tourists, flocking from all over the world to experience the sights and sounds of the city, but also with UAE residents and citizens. Over the past five years, the population has increased 112% to over 20,000 people in 2020.
It’s one of the most in-demand areas.
According to Bayut’s 2019 Market Report, Downtown Dubai is one of the most in-demand areas in the country, when it comes to property transactions. Since 2015, Downtown Dubai has had over 6,000 off-plan transactions at an average price of AED 2,080 PSF and over 3,000 secondary market transactions at an average price of AED 1,573 PSF.
Its close proximity to significant business and commercial hubs, tourist attractions, easy access to major roads and public transport, have made the areas one of the top 5 most transacted areas in the city – allowing it to maintain a greater price stability than the more developing areas of the city.
Amenity rich properties
Developed by property giant Emaar, Downtown Dubai properties have some of the best build quality properties in the city. The enormous skyscrapers scattered across the area make up Dubai’s iconic skyline and are full of numerous on-site amenities such as large swimming pools, world-class gyms, patios and green spaces.
If you took any property in Dubai and placed it in London, New York or Paris, it would be over ten times the price to purchase or rent as a holiday home. That’s why Downtown Dubai property provides enormous value to investors and tenants, alike.
It’s outperformed the Dubai property market
This is one of the reasons why despite the Dubai property market’s bear market from 2014 to 2020, Downtown Dubai still maintained a higher average square foot price. Today, according to Reidin, when it comes to Dubai’s AED 1,012 PSF average transaction price, Downtown Dubai property commands a premium at AED 1,680 PSF.
Holiday-home owner’s dream
Like we mentioned before, Downtown Dubai is a tourist hotspot. It’s got iconic landmarks like Dubai Mall and the Burj Khalifa. It has numerous restaurants and cafes along the Sheikh Zayed Road highway and Sheikh Muhammad Bin Rashid Boulevard. It’s also at the intersection of “Old” and “New” Dubai, letting tourists experience the sights and sounds of historical areas like the Gold Souk and Dubai Creek, as well as enjoy the hustle and bustle of modern attractions like Dubai Marina and JLT.
That’s why the area is the best place to own a holiday home. Tourists these days want a more authentic experience and are now turning to holiday homes to immerse themselves in the cities they visit. Not only that, they prefer the independence, privacy and homeliness of living in their own apartment rather than in a hotel. That’s why holiday home owners can charge a premium in their daily rates and earn double digit net yields from their Downtown properties.
Investing in properties located at the center of the city, with arguably the highest amenity density in the Gulf, along with views of international landmarks, easy access to major highways and public transport, and world-class quality buildings, is a no-brainer. That’s why at SmartCrowd, we’re always looking for some of the best double-digit yielding properties in the Downtown Dubai area for long-term and short-term rentals as holiday homes. Our investors can hop on the Downtown Dubai property bull market for as low as AED 500 and see their investments grow into multi-bagger winners.