Dubai’s real estate market has boomed in recent years. Rents and property values are skyrocketing across the emirate. However, one area stands out for keeping options affordable despite the city-wide surge – Dubai South.
Covering a massive 145 square kilometers, Dubai South is a mixed-use urban development. It is between Dubai and Abu Dhabi, close to the Al Maktoum International Airport. With a resident base of over 25,000 humans, it aims to draw another 5,000 citizens through 2024.
Keeping Property Affordable
In a city where rents have been rising by double digits annually, Dubai South has firmly positioned itself as an affordable option through its mandate of “offering spacious properties for affordable prices,” according to Nabil Al Kindi, CEO of Dubai South Properties.
While other master developments in Dubai have focused on luxury options, Dubai South caters to middle-income residents. It offers ample choices for first-time home buyers and tenants priced out of other areas.
Al Kindi notes that Dubai South will stay committed to this ethos even with massive upcoming supply. The developer itself plans to complete 2,500 units by 2025. In addition, private developers in Dubai South aim to add around 5,500 more homes in the next few years.
Recent land deals also show the focus on affordability will persist. Dubai South sold a 26 million square foot plot for Discovery Dunes, a mid-market project. Another 15 million square foot plot was sold to Azizi Developments for the Azizi Venice targeting mid-range buyers.
Rental Rates Defy Gravity
Dubai South’s rental rates have remained relatively flat even as rents skyrocketed elsewhere in 2023. Listings show 2-bedroom apartments available to rent from AED 60,000 to AED 90,000 annually. The majority fall in the mid-AED 80,000 range.
These rates are far more affordable than comparable options along Sheikh Zayed Road and in developing areas like Dubai Creek Harbour . Proximity to the Jebel Ali Port and Free Zone makes Dubai South ideal for budget-conscious tenants employed in logistics, manufacturing, and related sectors.
First-time renters and tenants employed further away also find Dubai South attractive. Rapid road links via Emirates Road connect the development to the rest of Dubai. Metro expansion to the Expo 2020 site has further improved connectivity.
Dubai South offers options for buyers seeking villas clustered around its Signature golf course. The ample open spaces allow for lower-density, landed communities that are walkable and family-friendly.
Below AED 1 Million Options for Buyers
On the sales side, too, Dubai South caters to middle-income home buyers with options priced under AED 1 million. Townhouses and apartments in this budget-friendly segment see strong demand from first-time buyers.
Al Kindi notes that upcoming projects like South Bay will add over 800 villas and townhouses over 200 luxury waterfront mansions. The first two phases are already progressing rapidly.
However, the upcoming supply of mid-priced apartments will cement Dubai South’s accessibility. Thousands of new flats priced between AED 500,000 to AED 1 million are slated for completion by 2025.
These affordable flats will attract young professionals and new families struggling to buy property in popular areas like Dubai Marina and Downtown Dubai . With mortgage caps still low, buyers have limited budgets. Dubai South allows them to own property in a quality master development.
Building A Well-Rounded Community
As a massive mixed-use project, Dubai South does not just offer homes – it is planning to be a comprehensive community. Al Kindi notes, “We have big plans for the Residential District, including developing shopping malls and educational institutions.”
A new school project broke ground last year, answering the need for family-oriented amenities. The flagship South Bay development will also have extensive retail, dining, and entertainment options.
Parks, bike trails, and waterfront property encourage a healthy outdoor lifestyle. The existing Aloft Dubai South Hotel and Signature Golf Course cater to hospitality and recreation.
As more residents move in, Dubai South will build medical clinics, community centers, and entertainment options to complete the live-work-play environment.
Accessible, Well-Connected Location
Along with affordable prices, Dubai South also appeals due to its location. The area is easily accessible via the Emirates Road, Sheikh Zayed Road and Sheikh Mohammed bin Zayed Road. These highways connect directly to central Dubai, Abu Dhabi, and beyond. Bus stops in Dubai South are serviced by Buses F55, N55, and 56.
The Expo 2020 Metro Station on the Red Line is the nearest option for those traveling through the Dubai Metro. This improves transport links for Dubai South residents working at or visiting the Expo.
For air travel, Al Maktoum International Airport is just minutes away. It offers cargo flights plus budget passenger services through carriers like Flydubai and WizzAir. Dubai International Airport is 30 minutes away via the highway.
Proximity to the Jebel Ali Port and Free Zone provides logistics and manufacturing job opportunities. Multi-national aviation, defense, technology, and more companies operate in the surrounding area.
The Next Big Thing in Dubai Real Estate
Whether you are a first-time renter, buyer, or investor, Dubai South warrants a look. The perfect scale of the 145 square kilometer development means it can continue expanding without running out of land. And its location near a global transit hub ensures strong demand from businesses and residents alike.
If Dubai South stays for the middle class, it could become the next big thing in Dubai real estate. The affordable apartments and community amenities make it ideal for young professionals, families, and retirees.
The development’s promise of spacious, quality living without breaking the bank cannot be ignored. As rents and prices rise around Dubai, Dubai South may be the last support of accessible housing for the middle class in the emirate.
