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1. Definition of the area and data structure
Actual location: according to open DLD data, the building “360 Riverside Crescent” is located in the Bukadra area. No master project is specified for this asset in the database — all benchmark analyses are therefore based specifically on the Bukadra area.
Data volume: 878 sales transactions have been recorded for the building, of which 566 are for 1-bedroom layouts (1 b/r). There is no data on registered rental contracts for the building itself (which is typical for off-plan or newly completed properties), but the Bukadra area as a whole shows a substantial volume of rental contracts (529 units recorded; however, there is no separate sample for 1BR apartments, so the analysis is carried out for all types of residential apartments in the area).
2. Dynamics of transactions and prices
Over the past 12–18 months, “360 Riverside Crescent” has clearly been a project with strong demand: quarterly sales volumes for 1BR units reached up to 280 transactions per quarter (with a high concentration in Q3 and Q4 2024). Afterwards, volumes decline — it is evident that most apartments in the project were sold at the early launch stages.
The average price per square metre for 1BR transactions in the building by quarter is as follows:
– Q2 2024: about AED 26,900 per m²,
– Q3 2024: about AED 26,700 per m²,
– Q4 2024: about AED 26,500 per m²,
– in 2025 — a slight downward trend to the AED 25,700–25,900 range, then in Q4 2025 a renewed increase to AED 27,800 per m² (note: if this period refers to the future, these data should not be interpreted as a forecast, but as the structure of transactions being submitted for registration).
The Bukadra area shows similar movements: the range of quarterly average prices for 1BR units is from AED 24,700 to AED 26,000 per m² over the entire available period.
Average values over the last 12 months:
– for the building (1BR): AED 25,970 per m²,
– for Bukadra (1BR): AED 25,550 per m².
The difference between the building and area prices is around 1.5%, which indicates that the pricing of the new residential complex is broadly “in line with the market”.
3. Rental dynamics and rental levels
There are no rental transactions for the building itself (not a single contract has been registered in DLD_rent_contracts), which is unsurprising for new buildings during the construction phase or initial handover. Therefore, to assess market rent and calculate yield, we have to use averaged data for Bukadra across all residential apartments, regardless of layout.
Dynamics of the average annual rental rate per m² in the area (Bukadra, all residential apartments) over three years:
– In 2021 — AED 430–490 per m² per year,
– In 2022 — AED 440–550 per m²,
– In 2023 — AED 490–560 per m²,
– In 2024 (Q1–Q2) — AED 630 per m²,
– Over the last four quarters — a range of AED 586–655 per m².
The average rental rate over the last 12 months (for the area): AED 624 per m² per year.
For 1BR units in this area there have been no registered contracts with valid inputs in the DLD database over the past year, so the rent_psm indicator is taken at the area level for residential apartments as a whole.
4. Comparison of building vs. area market, yield calculation (ROI)
Average purchase price per m² in the building over the last 12 months: AED 25,970. Benchmark for the area over the same period: AED 25,550.
Average rent for the area over the past year: AED 624 per m².
The current gross yield (brutto-ROI) for the area is calculated as the ratio of average rent to average purchase price:
– ROI_brutto (Bukadra area): 624 / 25,550 ≈ 2.4% per annum.
– ROI_brutto (360 Riverside Crescent): 624 / 25,970 ≈ 2.4% per annum.
This is an extremely low level for Dubai, indicating a substantial excess of purchase prices over rental potential, typical for new “hyped” projects at launch. Based on current quarterly data, an average investor would need an entry price of around AED 7,800–8,900 per m² to achieve a typical target yield of 7–8%, which is almost three times lower than the current market.
Taking into account all transactional costs (around 7–8% of the entry price), the effective net yield is even lower — ROI_net would be around 2.2–2.3% per annum and would not exceed a bank deposit rate.
Thus, the fair price range to reach a 7–8% yield is AED 7,800–8,900 per m². Current sales in 360 Riverside Crescent are taking place at a significant premium to this range.
5. Liquidity and investment outlook
The project has demonstrated excellent primary liquidity in terms of transaction volume; however, the current yield level — even taking into account the average area rent — is extremely low: rental income does not match the asking purchase prices. For an investor targeting a 7–8% annual yield, this is unattainable without a significant reduction in market prices.
In Bukadra overall, there are numerous rental transactions, which indicates demand both for ownership and for leasing. However, rental rates have not grown fast enough to “catch up” with the price growth of new projects.
6. Conclusions
– The building’s price level is in line with the market range for Bukadra.
– Yield (ROI_brutto and ROI_net) is extremely low — around 2.3–2.4% per annum.
– The market price significantly exceeds the “investment fair value” for a 7–8% yield benchmark.
– Without accelerated rental growth, one should not expect a substantial increase in apartment capital values over a 3–5 year horizon.
– For a buy-to-let strategy, this asset and this area currently show low attractiveness in terms of yield.
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