Dubai South
Located 15 minutes from Palm Jebel Ali, you will find the Dubai South development area. This area will be a mix of high-rise, low-rise and business. This area will be attractive for workers and for migrants and their families.
General information
Dubai South, once known as Dubai World Central, is an ambitious urban development project in Dubai. It is designed as an integrated city with different zones for living, working, commerce and logistics. The location was strategically chosen, close to Al Maktoum International Airport, which is on its way to becoming the world's largest airport.
The development of Dubai South is an ongoing process, characterized by a steady growth of residential and commercial communities. These communities offer modern facilities, green spaces and recreational amenities, providing a high-quality lifestyle to residents.
One of the prominent features of Dubai South is its focus on business districts, including Dubai Aviation City and Dubai Logistics City. These serve as key hubs for aviation-related activities and logistics operations and contribute to Dubai's position as a global trade and transportation center.
A major milestone for Dubai South was Expo 2020, held at the Expo grounds that have now been transformed into District 2020. This not only attracted global attention but also helped further develop the area as a center of innovation and collaboration.
As for future plans, Dubai South remains focused on growth and expansion. This includes Al Maktoum Airport, where there are ambitious plans to expand and improve it, making it a major hub for international aviation.
Currently, apart from Expo 2020, there is not much to do in Dubai South, which is why we think real estate prices in this region are now far too high. The life of Dubai so far takes place between the Dubai Marina and Downtown Dubai, here Dubai South is far outside.
ROI and capital appreciation
Returns and appreciation in Dubai South will not be as good as previously expected. This is due to the area's unfavorable location relative to Downtown Dubai and the Dubai Marina and the already overpriced new development projects. For example, prices are already comparable to development areas such as JVC, JVT and Arjan, while there is really little to do in Dubai South at the moment. The villas, townhouses, 2 and 3 bedroom apartments are going to generate the best ROIs in this area. It is recommended that the properties are long-term rentals. The 2-bedroom apartments are sold from €400,000 and the villas from €800,000.
Off-plan
New construction in this region will experience an increase in value of around 20% during the construction phase, which is often 3 years. Net rental returns on the initial investment will be between 3% and 5%. After completion, the increase in value in this region will be around 5% per year.
Ready built
Existing construction in this region will experience an increase in value around 5% per year.