Dubai: Property prices for buildings in 10-15 minutes walking distance from metro jump up to 77%
Dubai: Property prices for buildings in 10-15 minutes walking distance from metro jump up to 77%
Properties located within 10-15 minutes of walking distance from Dubai Metro stations recorded up to 77 per cent increase in prices in the past five years.
According to a study released by real estate consultancy CBRE on Tuesday, properties which were within a 15-minute walk of a Dubai Red Line metro station saw prices increase by 26.7 per cent on average between Q1 2010 and Q4 2022, outpacing Dubai’s average increase of 24.1 per cent over the same period.
The highest rate of price growth was recorded by properties which fell into the 10 to 15-minute walking distance category, which saw prices increase by 43.8 per cent on average.
According to CBRE, Barsha Heights (77%), Jumeirah Beach Residence (50.1%), Downtown (47.4%), Dubai Marina (33.1%) and Jebel Ali Free Zone (25.7%) saw the highest increase in property prices located within 15 minutes of walking distance to a metro station.
While property prices within 0-5 minutes of metro station grew by 35.8 per cent.
However, properties within the 5-10 minutes proximity category with modern amenities and quality urban infrastructure, such as JBR and Dubai Marina, bucked this trend and recorded price growth of 40.5 per cent and 35.9 per cent, respective, said Taimur Khan, head of research at CBRE.
Rentals
In terms of rentals, CBRE data showed that buildings located within 10 to 15 minutes of walking distance from Dubai Metro stations recorded the highest growth in rents as compared to those located closer to the stations.
Average residential rents in buildings located within 10-15 minutes of walking distance of Metro station saw an 11.7 per cent increase between the first quarter of 2018 till the end of 2022. This is compared to a 0.5 per cent drop in buildings located within 5-to-10 minute walking distance and a 0.9 per cent increase in buildings located within 0-to-5 minute walking distance. While average rents in the emirate fell 4.1 per cent during the period.
The top areas which saw the highest increase in rentals located within a 15-minute distance were Al Kifaf, City Walk, Downtown, Jumeirah Beach Residence, Business Bay, Dubai Marina and Trade Centre Second. While Green Community East, Discovery Gardens, Barsha Heights, Jebel Ali Downtown, Jumeirah Lake Towers and Al Barsha First saw the highest drop in rentals.
“Developments within a 15-minute proximity to metro stations can outperform the wider market, but only if the development encompasses the right amenities and suitable urban infrastructure,” Khan said.
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source: khaleejtimes
