ROI analysis of apartment in Sapphire Residence: DLD data and real deals

1. Definition of the area and data structure

Actual location: According to DLD data, Sapphire Residence is attributed to the Nad Al Shiba area and the Silicon Oasis master project. For the analysis, filters for 1-bedroom apartments (1BR) were applied at the building level and at the Nad Al Shiba area level, as this is the only area where Sapphire Residence transactions include apartment deals.

In total, 51 sales transactions for 1-bedroom apartments in Sapphire Residence have been recorded for the entire period.

2. Liquidity of the property and the area

Over the past 6 years, the volume of transactions with 1-bedroom apartments in Sapphire Residence has been distributed as follows:
– 2020: 2 transactions
– 2021: 3 transactions
– 2022: 7 transactions
– 2023: 13 transactions
– 2024: 13 transactions
– 2025: 13 transactions

Since 2022, activity in the building has increased significantly — there is stable liquidity, as evidenced by the consistent number of transactions in recent years (an average of 13 deals per year for 1BR, which is considered a good indicator for this segment).

In Nad Al Shiba over the same period, the number of transactions is significantly higher — hundreds of deals per quarter, indicating high liquidity at the location level.

3. Price dynamics over 3–5 years. Comparison of Sapphire Residence 1BR and the area

Dynamics of the average price per square metre (AED/m²) in Sapphire Residence (1BR) for 2020–2025:
– 2020: 4,800–5,400 AED/m²
– 2021: around 4,900 AED/m²
– 2022: 4,900–9,000 AED/m² (the spread is due to a low number of transactions in some quarters)
– 2023: increase to 5,400–6,900 AED/m²
– 2024: 6,200–6,800 AED/m²
– 2025 (Jan–Jun): 7,400–8,700 AED/m²

Prices in the building have been consistently rising for the third year in a row. Over the past 12 months, the average transaction price (1BR) amounted to 8,216 AED/m² (13 relevant transactions).

Dynamics in Nad Al Shiba:
– 2020: around 5,100–5,900 AED/m²
– 2021: 5,500–6,900 AED/m²
– 2022: 6,000–7,700 AED/m²
– 2023: 6,300–7,000 AED/m²
– 2024: 7,500–7,700 AED/m²
– 2025 (according to DLD): 7,900–9,400 AED/m²

The area market also shows an upward trend, with the current average transaction level for apartments at about 8,654 AED/m² over the past 12 months (more than 200 transactions in the sample).

In comparison: Sapphire Residence is currently selling slightly below the area level (the difference in average price per m² is about 5% in favour of more affordable prices in the building).

4. Rental statistics and ROI calculation

For Sapphire Residence and even for the Silicon Oasis master project, there is not a single valid DLD rental contract for 1-bedroom apartments over the past 12 months, and in general there is not a single confirmed DLD rental contract for the building. At the Nad Al Shiba area level, only 1 contract was found, with a start date in Q2 2022, at a rate of 143 AED/m²/year (gross). This is an extremely small and outdated dataset, which does not allow for well-founded conclusions on the current market rental rate and yield based on DLD statistics.

Accordingly:
– It is not possible to calculate the current average yield (ROI) for Sapphire Residence or for the entire area — there is no recent DLD data on actual rental rates for 1BR apartments.
– It is not possible to calculate a recommended fair price range for an investor targeting a 7–8% annual yield.
– Fixation: any numerical estimates of yield for Sapphire Residence or Nad Al Shiba at this moment are impossible without additional verified information on actual rental rates.

5. Conclusions and outlook

Sapphire Residence is a liquid asset with solid market activity for 1-bedroom apartments (a stable 13 transactions per year, with good granularity by time and price).
Prices in the building have been rising for the third consecutive year, but are still slightly below the average market level in Nad Al Shiba (a difference of ~5%), which may indicate an attractive entry point on price for an investor or end user.
At the Nad Al Shiba area level, there is a high density of transactions, and price dynamics are also positive; the current price per square metre in the area is slightly higher than in Sapphire Residence.

The absence of up-to-date DLD rental contracts does not allow for an objective assessment of the property’s achievable yield — a potential investor should clarify rental rates for Sapphire Residence with the management company or via listing aggregators in order to correctly calculate yield and a fair price range in line with the target ROI.

The investment potential of the building and the area is high in terms of liquidity, but to properly assess yield and overall investment attractiveness, verification of current rental rates is required.