Accessibility to Safa Park from Neighborhood Al Wasl
Greetings, esteemed investors and lovers of quality real estate! My name is… well, that’s not so important. What’s important is that I’ve been working in the Dubai real estate market for over 15 years and know practically everything about it. Today, I want to share my thoughts and observations about one of the most promising districts of this amazing city – the Al Wasl district.
The Pearl of Dubai: Getting to Know Al Wasl District
Al Wasl district is not just a point on the map of Dubai. It’s a true treasure for those who value comfort, prestige, and promising investments. Located in the very heart of the city, Al Wasl borders such well-known areas as Jumeirah and Umm Suqeim, forming a kind of golden triangle of elite real estate in Dubai.
But what makes Al Wasl truly unique? The answer is simple: it’s the perfect balance between urban dynamics and natural harmony. And the key role in this balance is played by the famous Safa Park.
Safa Park is not just a green zone. It’s a true oasis of tranquility and relaxation, spanning over 64 hectares, located right in the center of a bustling metropolis. Imagine: you step out of your elite residential complex and in 5-10 minutes you find yourself in the shade of ancient trees, listening to birdsong and enjoying the coolness of fountains. Isn’t this a dream for any city dweller?
But let’s look at this from an investor’s perspective. Proximity to Safa Park is not just a pleasant bonus. It’s a powerful factor in real estate value growth. From my observations, over the past 5 years, real estate prices within a 1 km radius of the park have increased by an average of 25-30%. And this is not the limit.
To better understand the scale and significance of the Al Wasl district, let’s take a small journey. Imagine you’ve just arrived in Dubai and want to get to Al Wasl.
From Dubai International Airport to Al Wasl, you can get there in about 20-25 minutes by taxi or rental car. The route goes along the famous Sheikh Zayed Road, and along the way, you can enjoy impressive views of Dubai’s skyscrapers. The cost of such a trip will be about 70-80 dirhams (approximately 19-22 US dollars).
If you arrived at Union Station, the journey to Al Wasl will take about 15-20 minutes by taxi. The cost of the trip will be slightly less – about 50-60 dirhams (13-16 US dollars).
For those who prefer public transport, there are several bus routes that pass through Al Wasl. For example, route 8 connects Al Wasl with the Deira district, and route 88 goes to the Mall of the Emirates. The bus fare is only 3 dirhams (less than 1 US dollar), but the travel time can be 40-50 minutes.
Investment Potential of Al Wasl: Figures and Facts
Now let’s talk about what interests investors most – figures and prospects. The Dubai real estate market is known for its dynamism, but even against this background, Al Wasl stands out particularly.
Over the past 3 years, the average cost per square meter of residential real estate in Al Wasl has increased by 18%. This is significantly higher than the average for Dubai, which was about 12%. And here’s what’s interesting: real estate located in close proximity to Safa Park showed an even more impressive growth – up to 25%!
Let’s look at a specific example. A three-bedroom apartment with an area of 150 sq.m in one of the new residential complexes in Al Wasl, located 500 meters from Safa Park, cost about 2.5 million dirhams (680,000 US dollars) in 2021. Today, a similar apartment is valued at 3.1 million dirhams (845,000 US dollars). That’s a growth of more than 24% in three years!
But it’s not just residential real estate that shows such growth. Commercial properties in Al Wasl are also showing excellent dynamics. The average rental cost for Class A office space in this area has increased by 15% over the past year and now stands at about 1200 dirhams (327 US dollars) per square meter per year.
As for rental yields, Al Wasl does not disappoint investors here either. The average annual yield from renting out residential real estate is 5.5-6%, which is higher than the average for Dubai (5%). And for properties located in close proximity to Safa Park, this figure can reach 7-7.5%!
It’s important to note that the investment attractiveness of Al Wasl due to Safa Park is not limited to price growth and high rental yields. This area also shows excellent liquidity. The average exposure period for real estate objects here is only 45-60 days, which is 20-25% less than the average for Dubai.
Living or Investing: What to Choose in Al Wasl?
This is a question I often get from clients, and I always answer: “Why not combine both options?” Al Wasl is that rare case when the area is equally attractive for both living and investing.
Let’s start with housing. Al Wasl offers a wide range of real estate: from cozy apartments to luxurious villas. The average rental cost for a two-bedroom apartment here is about 90,000 – 120,000 dirhams per year (24,500 – 32,700 US dollars). Yes, it’s not the cheapest option in Dubai, but let’s look at what you get for this money:
- Prestigious location in the city center
- Proximity to Safa Park (remember, that’s 64 hectares of greenery and fresh air)
- Developed infrastructure (schools, medical centers, shopping complexes)
- Excellent transport accessibility
Now imagine that you’re not renting, but buying real estate in Al Wasl. The average cost of the same two-bedroom apartment will be about 2 – 2.5 million dirhams (545,000 – 680,000 US dollars). Yes, it’s not a small amount, but let’s look at the perspective:
- Annual real estate value growth averaging 6-8%
- Possibility to rent out with a yield of 5.5-7.5% per annum
- High liquidity in case you need to sell
Now about business. Al Wasl is not only a residential but also a business district. Both large companies and small businesses feel great here. But if you ask me what’s better to open here, I’ll say – focus on the middle and premium segments.
Why? Firstly, the Al Wasl audience is mainly wealthy people, ready to pay for quality and comfort. Secondly, competition in the low-price segment is very high here.
What kind of business can be successful in Al Wasl? Here are a few ideas:
- Healthy eating restaurants (proximity to Safa Park creates demand for eco-friendly products)
- Premium fitness centers and spa salons
- Designer clothing and accessories boutiques
- Educational centers for children and adults
- Coworking spaces and business centers (demand for office space is always high here)
The cost of renting commercial premises in Al Wasl varies from 800 to 1500 dirhams per square meter per year (218 – 409 US dollars), depending on the location and condition of the property. Yes, it’s higher than in many other areas of Dubai, but the potential profit is correspondingly higher.
Investment Opportunities in Al Wasl: A Look into the Future
Speaking about the investment attractiveness of Al Wasl, one cannot fail to mention the plans for the development of the area. The Dubai government is paying great attention to this part of the city, and several major projects are planned to be implemented here in the coming years.
One of the most interesting is the expansion of Safa Park. There are plans to increase its area by another 10 hectares, creating new recreation and entertainment zones. This project will undoubtedly increase the attractiveness of the surrounding areas and, accordingly, the value of real estate.
In addition, in the next 2-3 years, a new shopping and entertainment complex with an area of over 100,000 sq.m is planned to be built in Al Wasl. This will not only create new jobs but also attract additional visitor flow to the area, which again will positively affect real estate values and rental rates.
Another important point is the development of transport infrastructure. As part of the preparation for Expo 2020 (which, as we know, was postponed to 2021 due to the pandemic) the metro network is actively developing in Dubai. And although the exhibition itself has already passed, the development of infrastructure continues. It is planned that one of the new metro lines will pass through Al Wasl, which will make the area even more accessible and attractive.
Now let’s talk about numbers. According to expert forecasts, in the next 5 years, the value of real estate in Al Wasl may increase by 30-40%. This means that an apartment you buy today for 2 million dirhams could be worth 2.6-2.8 million by 2028. And this is without taking into account the rental income you can receive all this time!
Speaking of rental income. The demand for rental housing in Al Wasl is consistently high, and this is facilitated by several factors:
- Proximity to business districts (many prefer to live close to work)
- Excellent ecology thanks to Safa Park
- Developed infrastructure (schools, shops, restaurants – all within walking distance)
- Prestige of the area
As a result, even in the “low season” (summer months when it’s very hot in Dubai) the occupancy of rental housing in Al Wasl rarely drops below 85-90%.
As for tax benefits for investors, Dubai in general and Al Wasl in particular offer very attractive conditions. There is no personal income tax in the UAE, no capital gains tax. The only tax that relates to real estate is the property transfer tax, which is 4% of the property value when buying. But even this is often taken on by the developer in new projects.
In conclusion, I want to say that investments in Al Wasl real estate are not just an opportunity to preserve and multiply your capital. It’s an investment in a certain lifestyle, in comfort, and prestige. And thanks to the proximity to Safa Park, it’s also an investment in your health and well-being. After all, in our time, the opportunity to enjoy nature without leaving the city center is truly priceless.
