ROI analysis of apartment in Trafalgar Central: DLD data and real deals

ROI analysis of apartment in Trafalgar Central: DLD data and real deals

Updated: 5 April 20264 min read


1. Definition of the area and data structure

Actual location: according to DLD, Trafalgar Central belongs to the Al Warsan First area, master project International City Phase 1. The subsequent analysis is based on validated data using these filters.

ROI analysis of apartment in Trafalgar Central: DLD data and real deals Continental Club Property LLC


2. Assessment of the liquidity of the property and the area

The actual number of studio apartment sales in Trafalgar Central is 20 transactions over the past years, with deals recorded almost every quarter since 2020. This indicates the presence of liquidity, though not ultra‑high activity. In the rental market, more than 200 studio lease contracts have been registered in the building over several years, which points to stable demand both for purchase and for rent.

ROI analysis of apartment in Trafalgar Central: DLD data and real deals Continental Club Property LLC


3. Price dynamics per m² (purchase) — building and area

For Trafalgar Central (studio apartments):

– Unit‑level prices per m² ranged from 5,300 AED/m² (end of 2020) to 9,200 AED/m² (2025), meaning an increase of almost 1.7x over 5 years.
– Over the last 12 months (current period): the average price is 9,210 AED/m², with annual growth of around 15%.

For Al Warsan First overall (studios):

– The average price over the last 12 months is 7,750 AED/m², i.e. Trafalgar Central is selling at a premium of roughly 19% to the area average.
– Since 2021 the area has shown a consistently upward trend after the 2020–2021 stagnation; prices have increased 1.5x over 3 years.


4. Rental rate dynamics per m² (annual) — building and area

For Trafalgar Central (studios):

– Over the last 12 months the average annual rental rate is 850 AED/m².
– The increase in rents from 2020 (600–700 AED/m²) to the current level has been steady; over 4 years rents have grown by roughly 40%.
– Over the last year, the rental rate in the building has exceeded the area average by 15%.

For Al Warsan First (studios):

– The average rent over the last 12 months is 740 AED/m².
– The area also shows a gradual increase from the post‑pandemic lows of 2020–2021.


5. Comparison: building versus area

– The sale price of a studio in Trafalgar Central is 19% above the area average. Similarly, rental rates in the building are 15% higher.
– Such a premium is justified for newer/popular buildings with stable demand — which is the segment this building belongs to.


6. Yield (ROI) and fair price range

Yield estimate (all values averaged for studios, last 12 months):

– For Trafalgar Central: ROI_brutto = 0.085 (8.5% per annum, calculated as 850 / 9,210).
– For Al Warsan First: ROI_brutto = 0.095 (9.5% per annum).
– If we factor in all initial transactional costs (DLD, agency fee, registration, vacancy, etc.) ≈ 8% of the effective purchase price, then ROI_net for the building will fall to ~7.9% per year, and for the area — to ~8.8%.

The “fair price range” for a buy‑to‑let investor targeting 7–8% per annum in this building is 10,600–12,140 AED/m² (based on the current annual rent of 850 AED/m²). The current market price in the building (9,210 AED/m²) is below the upper boundary of the “investment fair range”, which means: the premium to the area is evident, but the current average deal level does not look overstated given stable rental performance.


7. Investor outlook and liquidity

– The property is consistently rented out, with no signs of oversupply; liquidity for studios is good.
– Growth in both sale prices and rents over the last 3 years has been steady, but the pace started to slow by 2024; most likely, further increases in price and yield will be more moderate.
– For buyers with a 3–5 year horizon, a scenario of gradual capital appreciation is realistic, especially against the backdrop of area trends, but pushing ROI to 10% and above without a market discount on the purchase price is no longer realistic.

Related Articles

Read next

Get more information

Need advice on property in Dubai?
Leave your details and we will answer your questions and match options to your budget.
By submitting the form you agree to the processing of your contact details.

Look more