ROI analysis of apartment in RUFI GARDENS: DLD data and real deals

1. Definition of the area and data structure

Actual location: According to the DLD database, the building RUFI GARDENS is located in Al Warsan First and is part of the master project International City Phase 1. The building and project names in the database match: RUFI GARDENS.
Data availability: The DLD database records 65 sale transactions and 348 lease contracts for RUFI GARDENS. The analysis focuses on 2-bedroom apartments (“2 b/r” for sales and “2 bed rooms” for rentals). The volume of data is sufficient for a meaningful comparison both for the building itself and for the Al Warsan First area.

2. Sales dynamics and liquidity

For RUFI GARDENS (2-bedroom units):
– Transaction volume in recent years: deals are recorded in 2021–2025 (for 2025 there are first transactions, but they may include re-registrations; the main conclusions are based on 2021–2024).
– Over the past 12 months, a small number of 2-bedroom sales have been registered in the building, but it is sufficient to calculate average values.
– Average price per square metre for a 2-bedroom over the last 12 months: around AED 6,200/m².
– Quarterly dynamics for 2021–2024 show a smooth increase: from AED 4,400–5,500/m² in 2021–2022 to AED 5,600–6,200/m² by the end of 2024.
– The quarterly price range is relatively stable, but it should be borne in mind that a low number of deals in a given quarter can cause fluctuations in the average price.

For Al Warsan First (2-bedroom units), for comparison:
– The transaction volume in the area is significantly higher (~40–70 2-bedroom deals per quarter).
– The average price per square metre is higher: over the last 12 months about AED 7,450/m²; by quarter in 2023–2024 the average price ranged from AED 6,000 to 8,500/m².
– RUFI GARDENS trades at a discount to the area: the difference is roughly 15–20% lower.

3. Rental market dynamics

For RUFI GARDENS (all apartments, as there is too little annual data for 2-bedroom units):
– Average annual rental rate per m² over the last 12 months is AED 612/m².
– Rental dynamics for the building from 2021 to 2024: from AED 400–460/m² in 2020–2021 to AED 540–590/m² in 2023–2024. During 2024, rents stabilised at AED 560–590/m², and in 2025 a further upward trend is emerging.
– The volume of concluded contracts is high, indicating good liquidity in the rental market.

For Al Warsan First (all apartments, as there are no recent 2-bedroom contracts):
– The average rent in the area over the last 12 months is AED 678/m².
– Thus, RUFI GARDENS rents out 10–12% cheaper than the average level for comparable apartments in Al Warsan First.

4. Comparison of prices and rates. ROI and fair entry price

Over the last 12 months:
– Average market purchase price per square metre (2-bedroom) in the building: ~AED 6,200/m².
– Average annual rent per square metre in the building: ~AED 612/m².

Gross yield (ROI) for the building at current price levels:
– Approximate calculation: 612 / 6,200 ≈ 9.9% per annum.
– For the area (price ~AED 7,450/m², rent ~AED 678/m²): ROI ≈ 9.1% per annum.
– RUFI GARDENS, despite a discount to the area in both price and rent, delivers a slightly higher current yield.

Adjustment for transaction costs:
– If we factor in entry and related costs (around 7% for DLD + broker + registration), the effective net yield for the building is roughly 9.9% / 1.07 ≈ 9.2% per annum.
– For the area: around 8.5% net per annum.

“Fair price range” for a target yield of 7–8% (for an investor):
– For RUFI GARDENS: the price that would provide a 7–8% annual yield at the current rental level is AED 7,650–8,740/m².
– The actual current average market price is below this range (~AED 6,200/m²), meaning the asset currently offers a yield above the standard investment corridor, which increases its appeal for income-focused investors. Potentially, this also indicates relative undervaluation or a specific positioning of the asset within the area.

5. Conclusions on liquidity, outlook and market positioning for an investor

– RUFI GARDENS has high liquidity both in sale transactions and in rentals. Transaction volumes are comparable to the area average.
– The asset consistently trades at a discount to Al Warsan First (~15–20%) in sale prices and about 10–12% cheaper in rents, yet this results in a yield above the area average.
– Price and rental dynamics for RUFI GARDENS show steady growth over 3–4 years without signs of sharp spikes or weakening.
– The current yield (9–10% gross, around 9% net including costs) is attractive for an investor focused on maximising cash flow, but it is important to recognise that potential capital appreciation is limited due to the above-mentioned discount to the area. Actual operating expenses (repairs, maintenance) should also be considered, as they can reduce net yield.
– For a typical investor targeting a 7–8% annual return, RUFI GARDENS already offers a premium to the area and the wider market, which creates either potential for further gradual price growth as local disparities even out, or a stable, above-average income stream.

Conclusion: For 2-bedroom apartments, RUFI GARDENS is a liquid asset with a transparent market track record, a notable discount in both sale and rental prices versus the area, high current yield, and a low risk of sharp drawdowns in the coming years, provided overall demand for this part of International City remains in place.