Investment · Downtown Dubai

How to Calculate ROI on a Downtown Dubai Property

A working method for calculating true return on a Downtown Dubai purchase, with the numbers filled in.

Price per sqft

AED 3,100 per sqft

1-bed rent

AED 140,000/yr

Gross yield

6–7%

Short-let occupancy

82%

The formula

Net yield = (annual income − service charge − management − insurance − void allowance) ÷ (purchase price + 4% DLD + 2% agency). For Downtown Dubai that starts from AED 140,000 income against a AED 2,418,000 purchase, or AED 240,937 if hosted short-term.

Add appreciation

Total return is yield plus capital growth. Downtown Dubai has tracked Dubai's broader appreciation cycle; model a conservative 4–7% a year over a five-year hold and stress-test at zero.

Downtown Dubai at a glance

Downtown Dubai is the Burj Khalifa and Dubai Mall district with the highest tourist footfall in the UAE. Buying sits at AED 3,100 per sqft — roughly AED 2,418,000 for a standard one-bedroom — while long-term tenants pay about AED 140,000 a year. Hosted as a licensed holiday home, the same unit averages AED 805 a night at 82% occupancy, around AED 240,937 gross. Owners on our managed programme average AED 332,492 — a 38% uplift.

Frequently asked questions

What ROI is realistic in Downtown Dubai?

6–7% gross on long-term rent, higher on managed short-let, plus capital appreciation over the hold.

Is there a tool for this?

Yes — our off-plan ROI calculator models price, payment plan and holding period in seconds.