As the new metro line, Route 2020, rapidly takes shape, dubizzle Property, one of the UAE’s most prominent property platforms, reveals price insights on the three most popular areas along the line.
With stations in five key areas, the 15-kilometer long metro extension is designed to cover populated areas in the city and make the commute for residents and visitors easier. The Route 2020 is set to be completed before the EXPO 2020 kicks off in October this year. In light of the changing infrastructure, dubizzle Property reviewed the demand and supply of apartments for rent across these five key areas and discovered that Discovery Gardens, Dubai Investment Park and Jumeirah Golf Estates were the most popular residential communities in 2019. The momentum continued into the first two months of 2020 and user data has revealed that 1-bedroom apartments in these communities were preferred over 2-bedroom apartments.
Given the closest access to the current metro line, Discovery Gardens was the most sought-after community among tenants. Renting a 1-bedroom apartment in the community has become more affordable throughout the year with rents softening by 8% in 2019. The prices have softened further this month (February 2020), with the prices now averaging at AED 46,000. The average annual rent for 2-bedroom apartments in the community softened by 5% in 2019, with the prices now at an average of AED 76,000.
The residential community in Dubai Investment Park has become increasingly affordable, with prices for 1-and 2-bedroom apartments softening by 18% and 14% respectively through 2019. While access via public transport is limited at the moment, the community is self-contained, with a blend of commercial, residential, industrial and recreational areas. Rents for 1-bedroom apartments are currently at an average of AED 43,000 and 2-bedroom apartments stand at AED 60,000.
Jumeirah Golf Estates, a luxury residential golf community located close to the EXPO 2020 site and Al Maktoum International airport, was the third most popular area along the new metro line. Rents for 1- and 2-bedroom apartments in the community softened by 5% and 11% respectively through 2019. Rents for 1-bedroom currently average at AED 52,000, while 2-bedroom apartments in the premium location landed at an affordable AED 80,000.
“The price trends for the three areas that we’ve explored are not surprising as they are in line with the overall market trends. However, as the new Route 2020 metro line nears completion, we can assume that these areas will become more popular among UAE residents given the ease of accessibility. Those who have moved into these communities over the last year have had a first mover’s advantage, as once the metro line is fully functional, naturally the rents in these communities will rise in line with demand,” commented Matthew Gregory, Director, dubizzle Property.