1. Definition of the area and data structure
Actual location: DLD data confirms that the building Azizi Riviera 63 is located in the Al Merkadh area, within the Meydan One Community master project. The query by building name is unambiguous; no additional filters or adjustments are required.
Data structure:
– For 2-bedroom apartments (2BR) in Azizi Riviera 63, 8 transactions are officially registered in the DLD (153 transactions in total for the building).
– There are no registered rental contracts for 2-bedroom apartments in this building or in the master project (Meydan One Community); therefore, further analysis of the rental market and yields is carried out at the Al Merkadh area level, where the sample size is large (more than 10,000 contracts over 12 months), and the rental rate data is representative.
2. Price dynamics per square meter: building and area
Azizi Riviera 63 (2-bedroom apartments):
– Transactions are concentrated in 2024–2026; the price level is consistently above the area average.
– Average price per m² over the last 12 months: 24,312 AED for the building (2BR).
– By quarter in 2024–2026, prices range from 24,064 to 26,317 AED/m², with a moderately downward trend.
Al Merkadh area (2-bedroom apartments):
– From 2020 to 2026, the average price per m² increased from ~14,400 to ~20,000+ AED/m². Over the last 12 months — around 20,235 AED/m².
– Prices in the area have grown faster than in the building: over three years, average values have increased by roughly 45%.
– Over the last four quarters, prices in Al Merkadh have remained in the 19,000–21,000 AED/m² range (2BR), which is noticeably below Azizi Riviera 63 levels.
3. Rental rate dynamics in the area
For Azizi Riviera 63 and for the master project there are no registered rental contracts over the last 12 months for 2-bedroom units or for “residential apartments” in general. Therefore, the market rental level was assessed based on the Al Merkadh area.
– Average rental rate per m² over the last 12 months: 1,524 AED/m²/year for the area (sample — over 10,000 transactions).
– Area trend: in 2020–2021 rents were at 600–900 AED/m²/year; from 2022 a sharp acceleration is observed, with the last quarters showing stabilization at 1,340–1,550+ AED/m²/year.
– Rental rates have more than doubled over 3 years.
4. Liquidity, transaction activity, comparison with the area
– Azizi Riviera 63 is a new and fairly liquid asset: 153 sale transactions across the entire building, 8 transactions for 2-bedroom apartments during the active sales period (2024–2026).
– In Al Merkadh overall, transaction volumes are very high for both sales and rentals; the area is characterized by strong liquidity in the new development segment.
– Important: prices in the building are about 20% higher than the area average (for 2-bedroom units), which indicates a premium/unique location within the master project.
5. Analysis of current price levels, yields and investment appeal
– Average purchase price per m² (2BR, Azizi Riviera 63): 24,312 AED (over the last 12 months), which is above the area level (20,235 AED/m²).
– Current market rental level (by area): 1,524 AED/m²/year. There is no data for the master project/building to make a more precise estimate.
– Gross yield (ROI) for the building cannot be reliably calculated due to the absence of rental contracts for this tower. Gross yield for Al Merkadh (a benchmark for new developments) is around 7.5% per annum, based on market rents and prices over the last 12 months.
– After deducting all conservative transaction costs (7–8% on entry), the effective annual yield (net ROI) for the area is about 6.9–7.0% per annum when buying at the average area price. For Azizi Riviera 63, the expected net yield will be lower due to the higher entry price (around 6.3%).
Range of “investment fair value” (targeting a 7–8% annual yield):
– For the area: for a rental level of 1,524 AED/m²/year, the fair purchase range is 19,050–21,770 AED/m² (assuming achievement of such yield).
– Azizi Riviera 63 is trading above this mark: the current price of 24,312 AED/m² is outside the 7–8% ROI band; to reach 7–8% per annum, either rental rates must increase or a 10–20% discount to the current market price is required.
6. Summary and conclusions for the investor
– A property with good liquidity and strong demand in the new Meydan One Community district, but with a substantial price premium to the wider area.
– The current price level in the building is about 20% above the market benchmark and is not yet supported by actual rental yields (no registered contracts).
– For an investor targeting a net yield of 7–8%, buying at current prices implies either taking a view on outpacing rental growth or waiting for a purchase discount.
– The area as a whole is characterized by steady demand and high growth rates in both prices and rents, but for new buildings the actual yield still needs to be confirmed by operating history and registered rental contracts.
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