Dubai Marina and real estate investment go hand-in-hand.
The waterfront locale was at the forefront of the initial gold rush in the early 2000s following the introduction of the foreign ownership decree – and it is still offering high returns to investors to this day.
As one of Dubai’s most mature real estate markets and communities, Dubai Marina attracts a wide range of buyers with a particularly thriving secondary/completed apartment market.
Of course, part of the appeal is the lifestyle the district offers its residents. Dubai Marina retains a status as one of the emirate’s most vibrant and instagram-ready neighbourhoods. The stylish skyscrapers and cobalt-blue waterways house yachts, marinas, hotels, apartments and plenty of entertainment venues and restaurants.
There is no shortage of things to do in Dubai Marina; it’s a sought-after location with a young and affluent expat tenant market making it a prime location for real estate investors seeking high rental returns.
Well connected to the rest of Dubai, Dubai Marina attracts tenants who work closeby in the marina and neighbouring JLT, as well as thriving commercial hubs such as Dubai Media City and even Downtown Dubai. It is so attractive to residents in fact, that it is not unusual for people to live in Dubai Marina and commute to Abu Dhabi each day.
The real estate investor looking to acquire property in Dubai has a stunning choice of over 200 residential towers in Dubai Marina. Many of these buildings are prestigious, part of an iconic skyline known the world over, and most offer spectacular views of the city and waterways that lead to the harbour.
It is not surprising then, that the Dubai Marina stock is predominantly apartments – remember, assets in Dubai tend to fall into one of two categories apartments or villas. That said, there are a very limited number of state-of-the-art podium villas within Dubai Marina too.
Apartments on the market vary all the way from studios, through to 1, 2, 3 and 4-bedroom properties, topping-out at luxurious penthouses, which tend to have 5 or more bedrooms. A standard floor plan would include a spacious living area, fitted high-specification kitchen, and normally at least one en-suite bathroom.
Depending on your budget and apartment complex, other features can include balconies and maid rooms. Although not part of your acquisition, most apartments come with shared access to facilities, which tend to include gyms, impressive swimming pools, undercover parking, a concierge and security.
As alluded to, Dubai Marina is a very popular and very mature property market, certainly relative to the rest of Dubai, and the wider United Arab Emirates. It is favoured both by seasoned investors, indeed even those who have numerous assets in Dubai already, and those looking to acquire their first property.
The median price per sq footage of an apartment in the marina is AED 2,300
The median price per sq footage of a villa in the marina is AED 1,500
There have been over 3,000 apartment sales in the marina this year
There has been an increase in demand for Dubai Marina property of 35% over the past 12 months
The typical property type in Dubai Marina is a 2-bed apartment, which has seen a capital appreciation increase of 13.3% just in the month between June and July 2022
The average transaction price of a Dubai Marina property is AED 2,303,062
Although investors can secure some strong capital gains from assets situated in Dubai Marina, it is also a notable market for rental yields.
As mentioned, Dubai Marina is very popular with thousands of young professionals seeking accommodation. This means that investors see high year-round demand for their rental properties and void periods tend to be very short.
Most investors happily hire expert letting agents to manage their properties for a small fee, knowing that overall returns are high enough to make the small expense worthwhile. Rental income also ensures the investors are generating a more liquid return than capital gains, which, of course, require a sale to generate any return.
Studio – AED 36,999 per annum
1-bed apartment – AED 42,000 per annum
2-bed apartment – AED 61,000 per annum
3-bed apartment – AED 90,000 per annum
4-bed apartment – AED 150,000 per annum
Penthouse apartment – AED 300,000 per annum
Average Gross Yield – 7%
Chestertons Global New Homes can help you with all of this. We have many years of experience sourcing prime Dubai Marina rental property and helping investors get the aid they need to manage their new assets.
We currently have multiple properties for retail all of which are known to be favoured among the young rental population within the Marina.
The outlook for Dubai Marina is akin to much of the forecasts of the wider emirate, albeit it tends to be spoken about in terms of higher resiliency and robustness due to its added maturity.
Transaction values are expected to continue to increase for much of the midterm and any pre-pandemic undervaluing will soon be over. In many respects, it is a good opportunity to purchase Dubai Marina real estate while it is still in the earlier phases of its latest growth cycle.
Subsequently, investor demand for Dubai Marina properties is very high and as there are relatively few off-market properties available this will only heighten as we move forward, potentially pushing prices further.
Is Dubai Marina in a good location?
Yes. Dubai Marina is easily accessible from all parts of Dubai and has a prime location. It’s a short drive along Al Sufouh Road from Interchange 5 on Sheikh Zayed Road, Dubai. It’s hard to miss and is very distinctly a marina with all the trappings of a waterfront lifestyle destination.
It’s about 5 minutes away from other prime destinations such as JBR and JLT and 20 minutes drive or taxi journey from Downtown.
What is there to do in Dubai Marina?
As you’ll own property in what is literally one of the world’s largest, and most carefully planned modern waterfront developments, you’ll find there is plenty to keep you or your tenants entertained.
Dubai Marina stretches over 4.6 million sq m and any space that isn’t a waterway or apartment complex is usually home to some type of luxury store, restaurants, sports or leisure facility.
You’ll also find the marina offers plenty of more practical amenities, meaning you never need to travel far for much. There are various banks, pharmacies, and supermarkets, most of which are situated in impressive and airy malls which have plenty of parking.
Finally, there is also plenty of healthcare provision. You’ll find cutting-edge medical facilities at the Emirates Hospital Dubai, which offers general and emergency services.
Are there good schools in Dubai Marina?
Like most of Dubai, there are plenty of high-class education options, and although marina apartments are usually favoured by single tenants and couples, it is increasingly becoming a family destination.
Schools that are located within a short distance of Dubai Marina include Raffles International School, which is an authorised school for the Cambridge Curriculum and numerous nurseys including Marina Village Nursery, and Willow Nursery Dubai Marina.
At Chestertons, we’ve many years of experience operating in the Dubai property market, helping investors acquire assets that outperform even the strongest growth cycles.
We have multiple properties for retail (including those eligible for the Dubai Golden Visa). If you have questions about investing in property in Dubai, please contact us by clicking below.