DUBAI: Arjaan master development can provide tenants the cheapest one-bedroom apartment in Dubai, according to the Real Estate Regulatory Agency’s (Rera) rental index’s second update.
One-bed units in the development are available from Dh35,000 to Dh45,000 per annum (pa) followed by International City, Dubai Investment Park and Remraam where rents range from Dh40,000 to Dh50,000 pa, Emirates 24/7 reported.
Reportedly, lease rates in SkyCourts, Dubailand, were between Dh45,000 and Dh55,000 pa while in International Media Production Zone (IMPZ), rentals ranged from Dh50,000 to Dh 55,000 pa. In Dubai Silicon Oasis, rates ranged from Dh50,000 to Dh70,000 pa, and in Discovery Gardens rental prices were Dh60,000 to Dh75,000 pa.
Earlier this month, MoveSouq.com and FlatReviews.com said in their first quarter 2015 report that an increasing number of tenants were moving to Dubailand, driven primarily by affordable rentals, the report said.
It put rents for studio units at Dh35,000 to Dh45000 pa; one-beds Dh45,000 to Dh55,000 pa and two-beds Dh60,000 to Dh75000 pa, it added.
The costliest one-bed units, as per the second index update, are in Burj Khalifa, with rents ranging from Dh160,000 to Dh180,000 pa, followed by Palm Jumeirah which ranged between Dh130,000 and Dh160,000 pa, it was pointed out.
In Dubai Marina, a one-bedroom unit comes at a rent tag between Dh90,000 to Dh120,000 pa, while in Downtown Dubai it is between Dh100,000 and Dh120,000 pa, said the Dubai-based news portal.
Meanwhile, in December 2013, the Dubai government issued Decree No. 43 of 2013 regarding the percentages of maximum property rent increase that are allowed upon the renewal of tenancy contracts.
The rent increase slabs put a tab on rent increase if the rent of the property unit is less than 10 percent of the average rent of a similar property in the same residential area. If the rent value is between 11 and 20 percent less than the average rent of a similar property, the maximum rent increase shall be equal to 5 percent of the rent value. If the rental value of a unit is between 21 and 30 percent less than the average rent of a similar unit, the maximum rent increase shall be equal to 10 percent of the rental value, the news report said.
The average similar rental value of the property will be determined by the Real Estate Regulatory Agency’s rent index, the decree states, Emirates 24/7 reported.