ROI analysis of apartment in CLUB VISTA MARE: DLD data and real deals

Updated: 5 April 20265 min read


1. Definition of the area and data structure

According to the DLD database, the CLUB VISTA MARE building is formally located in the Palm Jumeirah area (the area and master project coincide: Palm Jumeirah). Sales data for apartments (type — Flat) is available, with a total of 36 transactions recorded in the building since 2020. There is also a substantial volume of rental contracts in the DLD (104 records); however, for two-bedroom apartments (2BR), no separate rental transactions stand out over the last 12 months, so the rental analysis will be carried out at the level of the entire building for all apartments.


2. Dynamics and liquidity: deals and sales

Transaction frequency
Transactions in CLUB VISTA MARE have been registered since 2020, and demand has strengthened over the last 12 months: from the beginning of 2023 to date, around 14 deals have been concluded. This confirms stable liquidity and sustained interest in the property against the backdrop of growing demand for Palm Jumeirah as a whole.

Price per square metre dynamics
Average price per m² (methodology — only DLD-registered transactions, residential apartments of type Flat):

– In 2020, average values in the building ranged from 10,600 to 19,000 AED/m².
– By 2023–2024, the average had increased: over the last 12 months the average price in the building is 24,962 AED/m².
– For comparison: the average level across Palm Jumeirah over the last 12 months is 32,376 AED/m².
– Thus, CLUB VISTA MARE is trading 23–25% below the area average, which may reflect either the specific characteristics of the building or a potential upside in case of favourable market trends.

The price range within the building has varied from 10,600 to almost 30,000 AED/m² by quarter, indicating significant differences between individual units/transactions. Over the last 5 quarters, the average price has consistently remained in the 23,000 – 29,000 AED/m² range.


3. Rental rate analysis

Over the last 12 months, the average annual rental rate in CLUB VISTA MARE (across all apartments) amounted to 1,534 AED/m²/year. This roughly corresponds to (and is slightly below) the area average for Palm Jumeirah, where the average rate for the same period is 1,585 AED/m²/year.

Rental rate dynamics:
– Since 2020, rents in the building have increased from ~1,100 AED/m²/year to 1,540 – 1,570 AED/m²/year in 2024.
– In the area, the dynamics have been more pronounced: the area average has risen from ~750–800 AED/m² to 1,400–1,600 AED/m² over the last 5 quarters.

Thus, rental growth in CLUB VISTA MARE is catching up with, but still slightly lagging behind, the premium market of the area.


4. Price comparison and yield assessment

– Average purchase price over the last 12 months (CLUB VISTA MARE): 24,962 AED/m².
– Average purchase price over the last 12 months (Palm Jumeirah): 32,376 AED/m².
– Average annual rent over the last 12 months (CLUB VISTA MARE): 1,534 AED/m².
– Average annual rent over the last 12 months (Palm Jumeirah): 1,585 AED/m².

Gross yield:
– For the building: ROI_gross ≈ 6.1% (1,534 / 24,962).
– For the area: ROI_gross ≈ 4.9% (1,585 / 32,376).

Net yield estimate, including initial costs (~7% added to the entry price):
– For the building: ROI_net ≈ 5.7% per annum.
– For the area: ROI_net ≈ 4.6% per annum.


5. Fair price range for an investor (for a 7–8% annual ROI)

To achieve a 7–8% annual ROI in CLUB VISTA MARE (based on the current average rental rate in this building), the “investment price” range should be approximately:
– from 19,175 AED/m² (1,534 / 0.08) to 21,914 AED/m² (1,534 / 0.07).

The current market transaction level in the building (24,962 AED/m²) is 14–30% above this range, and therefore, when buying at the latest confirmed prices, the ROI declines to around 5.7–6.1% gross/net.


6. Liquidity and prospects

CLUB VISTA MARE demonstrates stable liquidity: transactions occur regularly and rental demand is solid. However, at current prices the yield does not reach the target “investor” levels of 7–8% — meaning that prices in the building already reflect the premium nature of the location. To reach a 7–8% ROI for this asset, an additional 14–30% discount to recent transaction levels would be required (or rental growth above current levels), which is unlikely in a rapidly growing area without major market shocks.

For long-term investors, CLUB VISTA MARE is a balanced asset with stronger liquidity than yield: there is potential upside from speculative resale if Palm Jumeirah continues to grow, and for a rental strategy the ROI in the building is higher than the area average, but still clearly below the “ideal targets” for professional investors.

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