What is the projected ROE for a 1-bedroom unit at Siora, and how is it calculated?

A 1-bedroom unit in Siora (approx. 1,151 sqft) costs roughly AED 3.6 million. Using a 50/50 payment plan over four years until the Q3 2029 handover, an investor pays approximately AED 1.85 million. If prices converge with established beachfront icon…

The full explanation

A 1-bedroom unit in Siora (approx. 1,151 sqft) costs roughly AED 3.6 million. Using a 50/50 payment plan over four years until the Q3 2029 handover, an investor pays approximately AED 1.85 million. If prices converge with established beachfront icons like Palm Jumeirah (currently north of 5,000 AED/sqft), the unit would be worth AED 5.77 million, representing a Return on Equity (ROE) of 211%. Even using a conservative annual growth estimate of 10% for this young, upcoming location, the value at handover would reach AED 5.21 million, yielding an ROE of 177%. This highlights the "Double Bite" potential of buying into a nent area at 3,000 AED/sqft—half the price of other beachfront developments.

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