ROI analysis of apartment in Binghatti Gate: DLD data and real deals


1. Definition of the area and data structure

Actual location: According to DLD data, the Binghatti Gate building is located in the Al Barsha South Fourth area and is part of the Jumeirah Village Circle master project. This is confirmed by the actual transaction records for this building.

Structure and volume of data: For Binghatti Gate, 262 sale transactions (for Flat-type apartments) have been recorded on the market over recent years. There are no lease contracts for this building in the DLD database, so analysis of rental rates and yields is only possible at the area level (Al Barsha South Fourth).

ROI analysis of apartment in Binghatti Gate: DLD data and real deals Continental Club Property LLC


2. Transaction and sale price dynamics for Binghatti Gate

Number of transactions: The bulk of transactions for Binghatti Gate took place in Q2 2021 (initial market launch — 90 deals). Subsequently, sales volume stabilised at 5–20 deals per quarter, which confirms ongoing resale demand and supports liquidity.

Average price per m² dynamics (prices are for apartments only):
— 2021: launch prices were in the 7,000–7,700 AED/m² range and were volatile;
— 2022: a short-term dip (down to 5,500 AED/m² in Q2), followed by growth back to 7,300–8,300 AED/m²;
— 2023: a pronounced recovery trend, with the average price rising from 8,300 to 9,900 AED/m²;
— 2024 (last 12 months): the average level is in the 9,100–10,100 AED/m² range. Over the last 12 months, the average sale price according to DLD is 9,566 AED/m² (31 transactions).

ROI analysis of apartment in Binghatti Gate: DLD data and real deals Continental Club Property LLC


3. Price dynamics in the Al Barsha South Fourth area

At the area level, the dynamics are more pronounced due to the large number of transactions (20,000+ per year).
Typical price per m²:
— 2020–2021: 7,300–8,500 AED/m² range,
— 2022: rapid increase to 9,300–9,700 AED/m²,
— 2023: steady growth, prices exceeded 12,000 AED/m² in Q3–Q4,
— 2024: current average level — 13,000–13,500 AED/m².
Over the last 12 months, the average price in the area is 15,031 AED/m². This is almost 57% higher than the current average for Binghatti Gate, confirming that this building trades at a substantial discount to the area average; this is partly due to its positioning, year of completion and specific features of the complex.


4. Rent: structure and dynamics in the area

No lease contracts for Binghatti Gate are recorded in DLD contracts — the level of analysis shifts to the wider area.

The volume of lease contracts in Al Barsha South Fourth is very high (27,041 contracts over the last 12 months), which confirms excellent liquidity and strong demand for rental housing.

Average rental rate per m² dynamics (annual, all apartment types):
— 2020–2021: the average rate remained in the 520–660 AED/m² range;
— 2022: moderate growth to 670 AED/m² by year-end;
— 2023: acceleration, with the rate reaching 812 AED/m² by Q4;
— 2024: continued confident growth: in the last full quarter — 967 AED/m².
Over the last 12 months, the average effective rental rate (for all contracts, area-weighted) amounted to 1,038 AED/m².


5. Yield and fair price assessment

Comparison of price and rent over 12 months:
— Average transaction price in Binghatti Gate: 9,566 AED/m².
— Average rental level in the area: 1,038 AED/m²/year.

Gross yield (ROI_brutto) according to the investment formula is: 1,038 / 9,566 ≈ 10.9% per annum (based on area market rents and the current price in the building).
If we factor in standard transaction costs on purchase (around 7%), net yield (ROI_net) falls to ~10.2% per annum.

“Investment-correct” price range for an investment yield of 7–8% per annum (based on market rent):
— at a target ROI of 7%: 1,038 / 0.07 ≈ 14,826 AED/m²;
— at an ROI of 8%: 1,038 / 0.08 ≈ 12,975 AED/m².
This is noticeably higher than the current average price in Binghatti Gate.

Thus, the current price level in the building generates a yield above the “market” target of 7–8% per annum. For an investor, this means either a 57% pricing premium versus the area average (Binghatti Gate is significantly cheaper), or that average rental rates in the area provide substantial returns against a relatively low sale price for this complex.


6. Overall assessment of liquidity and outlook

Binghatti Gate maintains good market liquidity: resales occur every quarter, and transaction volume remains present even several years after completion. The Jumeirah Village Circle/Al Barsha South Fourth area is consistently in very high rental demand, and the volume of new contracts confirms this. The increase in average area prices and rents over the past two years has been very pronounced. However, the building is still trading at a discount to the area average, creating a window of opportunity for yield-focused investors to enter.

Recommendation: Binghatti Gate appears to be an attractive asset for generating stable income with a low entry ticket and high resale liquidity. At the same time, capital appreciation potential is constrained by broader market trends: the current price level is one of the most competitive in the area.

Note: All rental and ROI estimates are based on the average rate for the area, as there is no DLD data on actual rental rates within Binghatti Gate itself. The resulting figures are indicative and cannot be taken as a guarantee of returns for any specific apartment.

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