Waterfront properties command up to 30% annual return, say experts
Rising Demand for Waterfront Projects
Waterfront real estate in Dubai continues to attract strong interest, with returns reaching up to 30% annually. A surge in newly launched projects is addressing the limited supply of prime properties along the coast, according to developers and brokers.
Among the top-performing destinations, Dubai Islands remains one of the most attractive, alongside Maritime City and Palm Jebel Ali, all of which are reshaping the emirate’s luxury and lifestyle property market.
Investor Hotspots in Focus
Manpreet Kaur, CEO and founder of Kirpa Properties, highlighted Dubai Islands and Dubai South as two of the busiest areas currently drawing investor attention.
“These two locations are hot cake at the moment. For any investor who invests in these locations, there is no no-brainer. If you look at any island or waterfront property in Dubai, prices have appreciated between 100 per cent and 1,500 per cent. Average capital appreciation in waterfront properties is around 20-30 per cent annually. If the construction period is three to four years, you’re expecting 70 per cent to 100 per cent appreciation, depending on where your plot is, how close it is to the water,” Kaur said. She further explained that Dubai Islands and Dubai South cater to both affordable and luxury segments, while Palm Jebel Ali primarily targets the ultra-luxury buyer base.
Dounia Fadi, Managing Director at eXp Realty Dubai, echoed this sentiment, noting the continued appeal of waterfront projects.
“We have seen that some people have accumulated up to 70 per cent or more and others around 30 per cent return on investment (RoI), depending on the time of entry,” said Fadi.
Sustaining Growth in 2025
Both Kaur and Fadi shared their views during a panel discussion and masterclass organized by AYS Developers, which previously set a Guinness World Record for the Largest Real Estate Training in May.
The event also featured insights from Dr. Salwa Arfoui, CEO and Co-Founder of Women of Vision and Regional Director at Next Level Real Estate Dubai; Marc Walters, Managing Director at Allsopp & Allsopp; and Mariam AlQubaisi, CEO and Founder of Real al Qubaisi Properties. The panel explored Dubai’s market outlook for 2025 compared to 2024, opportunities linked to the Dubai 2040 vision, growth in Dubai Islands and Jumeirah Village Circle (JVC), as well as the role of women in shaping the emirate’s property landscape.
Yulia Loshchukhina, CEO of AYS Developers, praised the supportive ecosystem in the UAE.
“The UAE is an incredibly pleasant and efficient country to work in as a woman. From government authorities to private vendors, the level of support, cooperation, and proactiveness we experience makes the development process seamless and well-structured. It’s a place where ambition is met with opportunity,” said Loshchukhina.
Dr. Arfoui added that the diversity of Dubai’s market fosters innovation and excellence.
Developers Share Their Outlook
Developers remain optimistic about Dubai Islands’ future, seeing it as a prime hub for growth. Samer Ambar, co-founder and CEO of Reef Luxury Developments, said the area will experience major expansion in the next one to two years.
“We launched a project in this area because it has a strong growth potential. We see 20-30 per cent price and rental appreciation,” Ambar said during the unveiling of Reef 997, the company’s first development on Dubai Islands. He also revealed plans to roll out more projects in the district, supported by a solid landbank.
“There are a lot of hot places and Dubai Islands is one of them. Dubailand and Al Furjan have strong potential too,” he added.
Rahul Chaudhary, Managing Director and CEO of CG Corp Global and CG Hospitality Holdings, compared Dubai Islands’ growth momentum to Palm Jumeirah.
“Dubai Islands has taken a lot of traction in terms of attracting investment. Also, we see the market is focusing on the new airport side as well,” he said.