ROI analysis of apartment in Bianca: DLD data and real deals


1. Definition of the area and data structure

Actual location: According to DLD, the Bianca project belongs to the Wadi Al Safa 2 area. There are no recorded sales in the database for 1-bedroom apartments (1 b/r) based on the relevant filter. At the same time, a total of 625 sales have been registered for the Bianca project as a whole (without breakdown by unit type).


2. Sales analysis

An analysis of sales prices in Bianca at the apartment level is not possible, as there are no transactions in the database filtered specifically for 1-bedroom units in this building. Therefore, the subsequent analysis is based on the Wadi Al Safa 2 area, where Bianca is located.

Historical dynamics of the average price per square metre for apartments (residences) in the area:

– In the period 2020–2021 there was a gradual correction of the average price from 8,200 AED/m² in Q1 2020 down to around 4,900–5,300 AED/m² by 2022–2023.
– From mid-2023 to the present, growth has been recorded: the latest values (2024) exceed 9,000–12,000 AED/m², with some quarters above 14,000 AED/m² (the 2025 data include completed transactions but may be partially based on projections or may not yet fully reflect the actual market).
– The average price per m² over the last 12 months in the area is 12,855 AED/m².

The transaction volume in the area is consistently high; in some quarters there are 300 or more transactions, which indicates good liquidity of the location, although a significant share of this volume comes from new projects.


3. Rental analysis

There are no registered rental contracts for Bianca, either for the building as a whole or for individual 1-bedroom apartments, which is typical for newly launched projects (rental contracts are not registered before handover).

In Wadi Al Safa 2, the number of contracts is high (more than 20,000 contracts over recent years). Dynamics of the average rental rate per m² for apartments:

– During 2022, average values were 425–460 AED/m² per year.
– In 2023, growth accelerated to 520–620 AED/m².
– Over the last 12 months (mid-2024), the average rental rate reached 726 AED/m² per year.


4. Comparison of current levels and yield calculation

Comparison with the market:
– Average sales price per m² over the last 12 months in the area: 12,855 AED/m².
– Average annual rent per m² over the same period: 726 AED/m².

Gross yield (ROI) in the area based on these indicators: 726 / 12,855 ≈ 5.7% per annum (excluding acquisition costs).

Taking into account typical upfront acquisition costs (around 7% of the transaction amount), the net yield (ROI_net) is approximately 5.3–5.4%.

To reach a target yield of 7–8% per annum, the fair price range at the current average rental rate would be:
– 726 / 0.08 = 9,075 AED/m² (for 8% per annum)
– 726 / 0.07 = 10,371 AED/m² (for 7% per annum)

Comparing these levels with the current market average (12,855 AED/m²), it can be stated that to achieve the desired 7–8% yield, an investor would need a 20–30% discount to the current price, or the rental rate would have to increase proportionally.


5. Conclusion on investment attractiveness

– Liquidity in Wadi Al Safa 2 is high; major new projects are being launched in the area.
– Sales and rentals in Bianca itself have not yet appeared in the open DLD data (most likely due to its recent launch or construction stage).
– The area has seen a sharp increase in purchase prices over the last 12–18 months, while rental growth has been slower.
– The current market price range does not provide the desired 7–8% annual yield at the average rental rate. For conservative investors, this market is currently more about capital appreciation than stable rental income.
– When buying with a rental strategy and a target payback, it makes sense to focus on the 9,000–10,300 AED/m² level. If the purchase is made above these levels, ROI will be below 7%.


6. Limitations

– The lack of specific data on rentals and sales of 1-bedroom apartments in Bianca does not allow for precise analytics for this particular building; all calculations are based on Wadi Al Safa 2. The 1-bedroom segment in the project may perform somewhat differently from the area average.
– The calculations reflect average DLD transaction values; individual apartments may deviate from the statistics depending on condition, views, and other characteristics.

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