1. Definition of the area and data structure
Actual location: according to DLD, MAG218 is located in the Marsa Dubai area (as per DLD classification) and is part of the Dubai Marina master project.
The sales database contains 423 transactions for MAG218, of which 191 are 2-bedroom apartments over the entire period. In Marsa Dubai as a whole, 55,446 transactions have been recorded. This is a sufficient data volume for a confident analysis of the building’s level, its comparison with the wider area, and its dynamics by year and by quarter.
The rental database also contains a substantial number of contracts: for MAG218 (all apartment types) there are 1,969 lease agreements, of which 253 were signed in the last 12 months. This allows for a reliable analysis of average market rents and their dynamics.
2. Liquidity and transaction volumes
Since 2020, the volume of transactions for 2-bedroom apartments in MAG218 has demonstrated stable liquidity: from 13–16 deals per year (2020–2021) to 48–49 in 2023–2024 (judging by the year-to-date volume, 2024 may become a record year). Specifically, over the last 12 months, 26 two-bedroom apartments have been sold in the building, indicating steady demand.
Rental activity is similarly high: in the last year alone, more than 250 contracts have been signed in the building, and overall it is in strong demand among tenants.
At the Marsa Dubai area level, transaction volumes are very large, but MAG218 maintains its share, confirming its status as one of the consistently liquid buildings in Dubai Marina.
3. Purchase price dynamics
Over the past 5 years, the average price per square metre (after filtering outliers) for 2-bedroom apartments in MAG218 has been as follows:
– In 2020: 6,600 – 8,500 AED/m².
– In 2021: mainly 7,100 – 7,600 AED/m².
– In 2022: a noticeable increase — from 7,500 AED/m² at the beginning of the year to 10,200 AED/m² by year-end.
– In 2023: growth continued, with quarterly averages ranging from 9,500 AED/m² to 10,900 AED/m².
– In 2024: substantial growth — average quarterly levels of 11,300 – 12,800 AED/m².
Over the last 12 months, the average sale price of 2-bedroom apartments in MAG218 amounted to 12,889 AED/m² (based on 26 transactions).
For comparison, in Marsa Dubai the average sale price over 12 months is 19,960 AED/m², which is 55% higher than in MAG218. This price lag for MAG218 has been a persistent trend throughout the entire analysis period.
4. Rental dynamics and market levels
Rental contracts in MAG218 show a smooth increase in average annual rent per m²:
– At the beginning of 2020 — 600–720 AED/m²,
– In 2021 values fluctuated around 590–650 AED/m²,
– In 2022 growth started — from 660 to 770 AED/m² by year-end,
– In 2023 rents increased steadily — quarterly values from 770 to 890 AED/m²,
– In 2024 quarterly rates exceed 950 AED/m².
The average annual rental rate over the last 12 months in MAG218 was 974 AED/m² (more than 250 active contracts — high market representativeness).
Across Marsa Dubai as a whole, average rent is noticeably higher at 1,318 AED/m² per year over the last 12 months (based on more than 16,000 transactions).
Thus, MAG218 significantly trails the area both in sale prices and rental rates, but demand remains stable.
5. Comparative analysis, yield and fair value
Yield (ROI) calculated at current market levels (MAG218, 2-bedroom, last 12 months):
– Gross yield (simple ratio of average rent to average price): 974 / 12,889 = 7.6% per annum for the building.
– For Marsa Dubai, ROI_gross = 1,318 / 19,960 = 6.6% per annum (approximate).
Taking into account typical entry transaction costs of 7–8%, the adjusted net yield (ROI_net) for MAG218 is around 7.0–7.1% per annum. For the area, this figure is estimated in the range of 6.1–6.2% per annum.
The investment fair value range for MAG218 at a target ROI of 7–8% is 12,175 – 13,914 AED/m² (calculated based on actual average rent). The current average purchase price (12,889 AED/m²) is close to the upper boundary of this range, meaning the building is not trading at a deep discount to the market, and the current price level justifies a target yield of 7–8% per annum given current demand.
For Marsa Dubai, the fair price range for an investor is 16,478 – 18,833 AED/m². The current area average (19,960 AED/m²) is slightly above this range — a premium to the level at which an investor can expect a net yield of 7–8%. This confirms the relatively lower yields on new transactions in the area as a whole.
6. Investor conclusions
– MAG218 is a liquid building with consistently strong tenant demand in Dubai Marina (Marsa Dubai).
– Purchase prices and market rents in the building are below the area averages, yet they provide a yield of 7.0–7.6% gross/net at current market levels.
– Over the past three years both sale prices and rents in the building have shown confident growth, although sale price growth has outpaced rental growth.
– Demand for 2-bedroom apartments is strong — in the last year more than 20 sales have been completed and over 250 rental contracts signed.
– Formally, MAG218 is trading within the fair investment range for a 7–8% yield, without the need for an additional discount.
– For a long-term investor, the key parameters of the asset are reasonable — it is likely that stable rental demand will persist, and the purchase price relative to the rental income stream is currently competitive versus the Marsa Dubai median.
7. Outlook and risks
– The main risk is slower future rental growth in MAG218 compared with the growth in price per square metre, especially against the backdrop of faster price growth in Marsa Dubai.
– The upper boundary of the investment-justified price range is already quite close to the market — buying at market price provides a net yield slightly above 7%. This looks attractive against the backdrop of expensive transactions in the area, but long-term yield expectations may be constrained if rental growth slows.
Related Articles
- ROI analysis of apartment in Taraf 2 Residence: DLD data and real deals
- How to sell a property in Dubai in Hartland Greens – analysis 2026
- ROI analysis of apartment in LIVA: DLD data and real deals
- How to buy a home in Dubai in Skyhills Residences – analysis 2026
- ROI analysis of apartment in THE BRIDGE: DLD data and real deals
