ROI analysis of apartment in DAMAC HILLS – GOLF GATE: DLD data and real deals

1. Definition of the area and data structure

Actual location: According to DLD, the DAMAC HILLS – GOLF GATE building is located in the Al Hebiah Third area and is part of the DAMAC HILLS master project.

Sample size: DLD records show 570 sales for the building, as well as 206 rental contracts over the past 12 months (by master project/building). There are no studio transactions for the analysed property. All further calculations are given for the building as a whole (without a separate 0BR/Studio breakdown due to the absence of transactions).

2. Liquidity of the building and the area

Over the past 12 months, 139 sale and purchase transactions were concluded in the building, with an average price of 13,261 AED/m² (house). For comparison, in Al Hebiah Third there were 1,722 similar apartment transactions with an average price of 14,866 AED/m².

Leasing activity in the building is very strong: 206 contracts over 12 months (GOLF GATE), which indicates stable demand from tenants.

The area as a whole is one of the most dynamic in Dubai in terms of both sales and rentals (hundreds to thousands of transactions/contracts per quarter).

3. Sale price dynamics

The average price per m² in DAMAC HILLS – GOLF GATE since 2022 has ranged from 13,200 to 14,500 AED/m², with some softening in the second half of 2024 and early 2025 to around 12,700–14,500 AED/m² (outliers excluded by filters). The area shows a similar pattern: over the same period prices increased from around 11,500–12,200 AED/m² (2023) to 15,584 AED/m² at the beginning of 2024, followed by some decline to around 13,300 AED/m² by autumn 2024.

DAMAC HILLS – GOLF GATE has almost always been cheaper than the area average by 8–15% over the last 12 months.

4. Rental rate dynamics

Over the past 12 months, the average rental rate per m² in the building was 1,163 AED/m². In the area, the level is slightly lower at 1,039 AED/m². Rental growth across the area has been very dynamic: below 800 AED/m² in 2023, then a sharp jump to 1,000–1,100 AED/m² in the second half of 2024 and continued growth in 2025.

The building itself shows outpacing growth: the average rate since the beginning of 2025 has been 1,110–1,220 AED/m² by quarter.

5. Comparison of the building and the area, yield indicators (ROI)

– Sale prices per m² over the last 12 months:
– Building (GOLF GATE): 13,261 AED/m² (139 transactions)
– Area: 14,866 AED/m² (1,722 transactions)

– Annual rent per m² over the last 12 months:
– Building: 1,163 AED/m² (206 contracts)
– Area: 1,039 AED/m² (3,910 contracts)

– Gross ROI (last 12 months, both indicators based only on actual DLD data):
– Building: 8.8% (1,163 / 13,261)
– Area: 7.0% (1,039 / 14,866)

– Projected net yield (taking into account one-off entry costs of ~7%):
– Building: ~8.2% per annum (8.8 / 1.07)
– Area: ~6.5% per annum (7.0 / 1.07)

– Investment fair price range for an investor targeting 7–8% per annum:
– For the building: fair price per m² = 1,163 / 0.08 = 14,538 AED (at 8%) and 1,163 / 0.07 = 16,614 AED (at 7%), i.e. a range of 14,540–16,610 AED/m²
– the current actual level (13,260 AED/m²) is noticeably below these marks, which indicates strong income potential for a buyer (even if prices continue to rise or rents remain elevated).
– For the area: fair price 1,039 / 0.08 = 12,987 AED, 1,039 / 0.07 = 14,843 AED – the current average prices in the area (14,866) are now almost at the upper boundary of this range, so yields here are closer to the typical 6–7%.

6. Key conclusions and outlook

DAMAC HILLS – GOLF GATE is one of the most liquid buildings in the area: high transaction frequency, accelerating rental dynamics, and resilient leasing demand. Over the past year, purchase prices in the building have been 8–10% below the area average, while rents are 10–12% higher, which allows investors (even after entry costs) to achieve around 8% net annual yield – one of the strongest results for new business-class buildings in Dubai. By comparison, the average net yield across the area is around 6.5%.

Quarterly dynamics show that 2023–2024 saw strong growth in both prices and rents, followed by a period of stabilisation, but so far without signs of weakening demand.

This level of yield implies an investor premium (the fair value of the building is about 10% above the current market level). Given its potential and liquidity, the asset looks promising on a 2–3 year horizon – at this stage there are no prerequisites for a significant decline in either rental rates or sale prices.