Dubai: Waterfront properties command up to 30% annual return, say experts

Waterfront projects can offer up to 30 per cent return annually to property buyers as a flurry of new projects have been launched to cater to the shortage of new units in these areas, say property brokers and developers.

Dubai Islands has definitely been one of the hottest and most sought-after spots in the emirate’s red-hot real estate market, along with Maritime City and Palm Jebel Ali.

Manpreet Kaur, CEO and founder of Kirpa Properties, said the two locations that are buzzing at the moment in the emirate are the Dubai Islands and Dubai South.

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“These two locations are hot cake at the moment. For any investor who invests in these locations, there is no no-brainer. If you look at any island or waterfront property in Dubai, prices have appreciated between 100 per cent and 1,500 per cent. Average capital appreciation in waterfront properties is around 20-30 per cent annually. If the construction period is three to four years, you’re expecting 70 per cent to 100 per cent appreciation, depending on where your plot is, how close it is to the water,” Kaur said, adding that these two projects cater to affordable and luxury segments of the investor base while Palm Jebel Ali is targeted at the ultra-luxury segment.

Dounia Fadi, Managing Director at eXp Realty Dubai, said there are various waterfront hotspots, such as Dubai Islands, Palm Jebel Ali, and Maritime City, that have proven to be a great magnet for investment. “We have seen that some people have accumulated up to 70 per cent or more and others around 30 per cent return on investment (RoI), depending on the time of entry,” said Fadi.

Maintaining growth momentum

Kaur and Fadi were speaking on the sidelines of the panel discussion and masterclass hosted by AYS Developers, which held a Guinness World Record for the Largest Real Estate Training in the World in May.

Dr Salwa Arfoui, CEO and Co-Founder of Women of Vision and Regional Director at Next Level Real Estate Dubai; Marc Walters, Managing Director at Allsopp & Allsopp, and Mariam AlQubaisi, CEO and Founder of Real al Qubaisi Properties, also attended the panel discussion and discussed the real estate market dynamics of 2025 in comparison to 2024, Dubai’s 2040 vision, Dubai Islands and Jumeirah Village Circle (JVC) growth trajectory, investment opportunities and women in real estate business in Dubai.

From left: Sonia Waters, Dr Salwa Arfoui, Dounia Fadi, Marc Walters, Mariam AlQubaisi and Manpreet Kaur. Photo by AYS Developers

Yulia Loshchukhina, CEO of AYS Developers, emphasised that the UAE offers an exceptional environment for female professionals.

“The UAE is an incredibly pleasant and efficient country to work in as a woman. From government authorities to private vendors, the level of support, cooperation, and proactiveness we experience makes the development process seamless and well-structured. It’s a place where ambition is met with opportunity,” said Loshchukhina.

Dr Salwa Arfoui, CEO and co-founder of Women of Vision and Regional Director at Next Level Real Estate Dubai, said the Dubai is a diverse market and diversity creates excellence.

What developers say

Samer Ambar, co-founder and CEO of Reef Luxury Developments, said Dubai Islands is growing significantly and will continue to expand over the next one to two years because it will offer high capital appreciation and rental yields.

“We launched a project in this area because it has a strong growth potential. We see 20-30 per cent price and rental appreciation,” Ambar said during the launch of its first project, Reef 997. It aims to launch more projects on the Dubai Islands, as it has a good landbank.

Samer Ambar

“There are a lot of hot places and Dubai Islands is one of them. Dubailand and Al Furjan have strong potential too,” he added.

Rahul Chaudhary, Managing Director and CEO of CG Corp Global and CG Hospitality Holdings, sees the Dubai Islands is coming up as fast as Palm Jumeirah. “Dubai Islands has taken a lot of traction in terms of attracting investment. Also, we see the market is focusing on the new airport side as well,” he said.

Rahul Chaudhary

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