Research by real estate portal Bayut shows Dubai South, Meydan City, Mudon and Town Square are rising in popularity
Interest is soaring in off-plan residential projects near Dubai's Expo 2020 site, according to new research by real estate portal Bayut.
Searches conducted on Bayut reveal Dubai South, Meydan City, Mudon and Town Square are some of the areas that prospective buyers and tenants are most interested in.
Bayut said the fact that these projects are backed by builders such as Emaar, Meydan, Sobha, Dubai Properties and Nshama "definitely adds to the interest".
Haider Ali Khan, CEO of Bayut, said: “We can be optimistic about the growth of areas near EXPO 2020 such as Dubai South, Meydan City, Town Square and Mudon in the next few years.
"They are well-integrated neighbourhoods which already offer a high ROI to investors. This could improve further when more handovers are completed and tenants have a wider portfolio of properties to choose from.”
He said that while a few units have been handed over in Dubai South and Meydan, investors can still find a large portfolio of reasonably priced properties in these emerging districts.
Bayut added that Dubai South also offers one of the best options in terms of ROI with rental yields of over 11 percent.
According to Bayut data, studio apartments for sale in Dubai South average AED385,000, while 3-bedroom villas are at AED1 million. In Meydan City, prices are higher with 3-bedroom villas going for an average of AED3.3 million and studios averaging AED450,000.
Bayut also noted that when it comes to rentals Town Square and Mudon are the emerging areas gaining popularity with its users, with the Arabella Townhouses in Mudon and the Hayat Townhouses in Town Square the most popular out of all sub-communities within the two areas.
The average rent for a 3-bed villa in Mudon is AED125,000 per year and in Town Square, a similar unit is priced at AED100,000.