The residential rents in the Jumeirah Beach Residence (JBR) master community have not plunged. In fact, they are on the increase with average lease rates for double and triple bedroom apartments having grown by more than 20 percent during first quarter of this year, in comparison to last quarter of 2011, thereby indicating recovery in the real estate market in Dubai.
The data by the Dubai-based Harbour Real Estate indicates that double bedroom apartments are being leased for Dh.100,000 to Dh.120,000 per annum during the first quarter, in comparison to Dh.80,000 to Dh.110,000 during September 2011. Three bedroom units are available in the range Dh.130,000 to Dh.150,000 per annum, while the rentals for single bedrooms are Dh.75,000 to Dh.90,000.
The information provided by PropSquare Real Estate reveals that rentals for double bedroom units are in the range Dh.100,000 to Dh.120,000 per annum as against Dh.80,000 to Dh.90,000 per annum in Q4 2011, while rates for triple bedrooms are in the range Dh.135,000 to Dh.145,000 per annum. Rentals for single bedroom units now, are in the range Dh.70,000 to Dh.80,000 per annum, in comparison to the earlier Dh.60,000 to Dh.70,000 per annum.
Asteco's first quarter report revealed that the rentals in Jumeirah Beach Residence grew four percent in first quarter, and single, double and triple bedroom rentals are in the range Dh.70,000, Dh.90,000 and Dh.115,000 p.a. respectively.
Jumeirah Beach Residence is one of the prime freehold localities in Dubai, featuring luxury hotels, restaurants, retail outlets and houses 36 residential towers.
According to the latest report on GCC real estate sector by Global Investment House (GIH), rentals have begun to increase in select areas in Dubai, following considerable decline in rental income last year. The pace of decline in Dubai rentals have decreased considerably thereafter, and is now gradually on the rise in chosen areas with higher quality and demand.
According to GIH, the market is now 20 percent oversupplied, indicating vacancy of 67,000 at present.