ROI analysis of apartment in Azizi Aliyah Residences: DLD data and real deals


1. Definition of the area and data structure

Actual location: According to DLD, the Azizi Aliyah Residences building is located in Al Jadaf and belongs to the Dubai Health Care City Phase 2 master project. The building name fully matches the database, so these filters were used for the analysis.

Data volume: For this building, 295 sales transactions and 1,363 rental contracts have been recorded. Among them are 137 sales and 116 rental contracts for studios (0BR) over the last 12 months (for rentals — filtered by residential, studio, area over 10 sq.m and annual rent above 1,000 AED).


2. Dynamics of transactions and sale prices for the building and the area

Price dynamics in the building (studios):

Over the past 4 years, the average price per sq.m for studio transactions in Azizi Aliyah Residences has fluctuated in the range of 11,000–14,000 AED/sq.m, with individual quarterly spikes up to 14,963 AED/sq.m and dips down to 9,700 AED/sq.m (in 2021). Over the last 12 months, the average price per sq.m stands at 14,332 AED (26 studio transactions).

Transaction dynamics in the area (Al Jadaf):

Across the area as a whole, the average sale price of studios over the last 12 months is 22,369 AED/sq.m (1,019 transactions), which is significantly higher than the averages for the building under review. In dynamics over the last two years, there is a clear upward trend in the area benchmark — price levels have risen from approximately 15–16k (2022) to 20–24k AED/sq.m at present.

Volume and liquidity: The number of transactions in the building is stable, liquidity is high; in the area, transactions are occurring at scale with steady quarterly growth.


3. Dynamics of rental rates for the building and the area

For the building (studios):

The average actual rental rate per sq.m across all contracts over the last 12 months is 1,237 AED/sq.m/year (116 studio contracts). In dynamics since 2021, rental growth has been substantial: from approximately 800–850 AED/sq.m (2020–2021) to 1,200–1,250 AED/sq.m in recent quarters.

For the area (Al Jadaf, studios):

The average rental rate in the area is even higher — 1,390 AED/sq.m/year (1,184 studio contracts), with the same upward trend over the last 2–3 years (in 2020–2021: 800–900, in 2024 — above 1,300 AED/sq.m).

The contract volumes in both samples are very large, so the statistics are robust.


4. Comparison of current sale and rental prices: building vs. area

Azizi Aliyah Residences remains significantly cheaper than the Al Jadaf market in terms of purchase price per sq.m (for studios the gap exceeds 35%). At the same time, the rental rate in the building is quite competitive, but slightly below the area average (by roughly 11%).


5. Yield (ROI) outlook and investment assessment

Calculated values for the last 12 months:
– For the building: average sale price of a studio — 14,332 AED/sq.m; average rent — 1,237 AED/sq.m/year.
– For the area: average sale price of a studio — 22,369 AED/sq.m; rent — 1,390 AED/sq.m/year.

Annual gross yield (ROI):
– For the building: about 8.6% gross (1,237 / 14,332).
– For the area: about 6.2% gross (1,390 / 22,369).

After adjusting for typical entry costs (7–8% of the purchase price):
– ROI_net for the building is approximately 8.6% / 1.07 ≈ 8.0%.
– ROI_net for the area does not exceed 5.8–5.9%.

Ranges of investment‑fair prices for a target ROI of 7–8% per annum:
– For the building: 15,463–17,671 AED/sq.m (calculated as 1,237 / 0.08; 1,237 / 0.07).
– For the area: 17,375–19,857 AED/sq.m.

The actual price in Azizi Aliyah Residences is below this range (14,332 AED/sq.m), which indicates a significant discount and investment appeal compared with the average Al Jadaf segment.


6. Final assessment and liquidity

Azizi Aliyah Residences is an asset with confirmed high liquidity. Transaction turnover is stable, units are easy to rent out — the average number of contracts and deals is substantial. Over the last three years, there has been a confident increase in market rental rates, which the building’s price per sq.m has not fully kept up with: the price gap with the area is only widening, therefore the yield potential of the building is above the area average.

The asset can be recommended for a conservative investor focused on a ready, liquid studio with 8%+ ROI and moderate competition from new developments. A reference point for a “fair price” for an investor is up to 17,600 AED/sq.m, while the market is offering a substantial discount to this level.

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