ROI analysis of apartment in Skyz by Danube: DLD data and real deals — 12.12.2025 #13933 — 12.12.2025

1. Definition of the area and data structure

Actual location: The Skyz by Danube building (DLD name: SKYZ BY DANUBE), according to Dubai Land Department (DLD) data, is located in Al Barshaa South Third, master project Arjan. This is confirmed by a sample from the transaction registry — the analysis relies only on this fact, not on marketing or associative names.

Data volume and coverage: The DLD database records 988 transactions for SKYZ BY DANUBE across all types, including 82 transactions with two-bedroom apartments (2 b/r, Residential Flat) — these are the basis for the building-level analytics. There are currently no transactions in the rental contracts table for this building, so rental and yield indicators can only be calculated at the Al Barshaa South Third area level.

2. Deal frequency and liquidity

For two-bedroom apartments (2 b/r) in SKYZ BY DANUBE, the peak of sales activity occurred in Q1 2022 (45 transactions). After that, the transaction frequency dropped significantly; in 2024 only a few transactions have been registered per quarter. This is typical for buildings at the final sales stage or those that have just received completion/handover permits. The sample for Al Barshaa South Third is much larger and confirms strong demand: in recent years, tens of thousands of rental registrations have been recorded here.

3. Dynamics of average price per square meter (sales)

For SKYZ BY DANUBE (2 b/r):
– The average price per square meter in Q1 2022 was about 9,520 AED/m².
– In the second half of 2022 and onwards, the average level was in the range of 10,300–10,700 AED/m².
– In 2023 there were few transactions, but the average level remained around 10,300–11,700 AED/m².
– In 2024 a small number of sales showed noticeable dispersion: quarterly averages ranged from 10,000 to 15,000 AED/m², likely linked to the release of the last units or resales on the secondary market.

Over the last 12 months, the average transaction price for 2-bedroom apartments in SKYZ BY DANUBE was about 12,376 AED/m². This can be considered the current entry level for the building.

For comparison, the average price in Al Barshaa South Third (entire apartment stock):
– From 2020 to 2022 the level generally fluctuated between 8,500 and 11,700 AED/m² with gradual growth.
– Over the last 12 months the average price in the area was 14,167 AED/m².

Thus, SKYZ BY DANUBE is currently selling at roughly a 12% discount to the area average over the last 12 months (12,376 vs. 14,167 AED/m²). This reflects both the building’s relative newness (part of the sales are still “primary”) and its positioning in the mass-market segment of Arjan.

4. Rental dynamics and level per m²

The DLD rental contracts table contains no direct data for the SKYZ BY DANUBE building — apparently, the building has only just started to be occupied and rental contracts are either not yet registered in the database or are being recorded with a delay. Therefore, we use Al Barshaa South Third as a proxy (database of 52,000+ rental contracts).

The average annual rental rate per square meter in the area over the last 12 months is 919 AED/m² per year.

It is not possible to correctly isolate only two-bedroom apartments or only the new building, but this rate reflects the prevailing average rental level for apartments in Al Barshaa South Third. Quarterly dynamics show steady growth — from 550–600 AED/m² to 800–900 AED/m² by 2024. Over the last four quarters, the increase has been about 6–8% per annum.

5. Yield (ROI) calculation and investment fair price range

Since there are no certified DLD rental contracts for SKYZ BY DANUBE, yield can only be calculated at the Al Barshaa South Third level, using comparable market sales and rentals over the last 12 months:
– Average sales price in the area — 14,167 AED/m² (quarterly range 13,400–14,900 AED/m²).
– Average rent in the area — 919 AED/m²/year.

Roughly averaging: gross yield for the area = 919 / 14,167 ≈ 6.5% per annum.

Taking into account standard acquisition costs (around 7–8% of the price: DLD fee, brokerage commission, registration), after capitalising these costs the net yield decreases to ≈6.0–6.1% per annum over the first years of ownership.

Investment fair price range for a target yield of 7–8% per annum (based on the area rental level):
– For an 8% annual target: 919 / 0.08 ≈ 11,490 AED/m²
– For a 7% annual target: 919 / 0.07 ≈ 13,130 AED/m²

The current market price for the building (12,376 AED/m²) lies between these benchmarks: at this purchase price, an investor would theoretically obtain a yield of about 7.4% per annum (gross, excluding vacancy and additional expenses). However, the actual rental level specifically in SKYZ BY DANUBE may differ either way depending on occupancy and tenant demand for the property, so this calculation is indicative only.

6. Recommendations and outlook

The building’s liquidity is moderate: the main wave of transactions occurred during the initial market launch, and current activity is limited to individual resales. The area is characterised by high rental activity and a consistent increase in prices, confirmed by tens of thousands of transactions and contracts.

Both sales and rental price dynamics remain positive, but the pace of sales price growth in Al Barshaa South Third is outpacing rental growth, so entry yields are gradually compressing. The key competitive advantage of the new building is its modern concept compared to the older residential stock in the area.

A possible investment strategy: purchasing a two-bedroom apartment at the current average price (12,300–12,400 AED/m²) allows one to target a gross yield of 7–7.5% per annum, slightly above or comparable to the area average, but only provided the property is in demand on the rental market and the landlord’s pricing is realistic.

7. Conclusion

Skyz by Danube in the two-bedroom segment offers price levels slightly below the area average. In the first years of operation, the building may attract tenants with its newness and concept, but to assess achievable actual income it is important to monitor the emergence of registered DLD rental contracts within the building itself. At this stage, the property remains liquid, but absolute ROI levels and the “fair price” range require refinement as more data accumulates.