Some mid and high-end units have noted rental drops of 10 per cent to 15 per cent
Abu Dhabi apartment rental rates have softened marginally – one per cent – during the second quarter of 2021, although several properties remained more or less stable due to previously recorded drops.
Whilst the higher reductions in the first quarter of 2021 occurred in the lower end of the market, the second quarter focused on mid and high-end properties, with some units noting declines of 10 per cent to 15 per cent, according to real estate consultancy Asteco.
“Incentives such as multiple cheques, rent-free periods and waived/discounted agency fees have resulted in an increase in demand for mid and high-quality buildings, particularly on Reem Island and Al Raha Beach,” it said in the quarterly report.
Similar to the first quarter of 2021, the Abu Dhabi tenant movement was dominated by residents looking to upgrade or upsize, particularly in respect of villas and townhouses. This was facilitated by the increased availability within the mid to high-end sector, it added.
Rents are now quite at a decent rate as a studio costs Dh22,000 per annum to tenants in the UAE capital.
Based on Asteco data, below are the starting annual rental rates for a studio, 1-bedroom, 2-bedroom and 3-bedroom apartments for the most affordable areas across Abu Dhabi.
>> Dh22,000 in Khalifa & MBZ City
>> Dh25,000 in Khalidiya/Bateen
>> Dh30,000 in Central Abu Dhabi
>> Dh30,000 in Corniche
>> Dh32,000 in Al Reef
>> Dh32,000 in Khalifa & MBZ City
>> Dh38,000 in Khalidiya/Bateen
>> Dh40,000 in Central Abu Dhabi
>> Dh42,000 in Corniche
>> Dh45,000 in Al Reef
>> Dh42,000 in Khalifa & MBZ City
>> Dh45,000 in Central Abu Dhabi
>> Dh50,000 in Khalidiya/Bateen
>> Dh55,000 in Corniche
>> Dh58,000 in Al Reef
>> Dh55,000 in Central Abu Dhabi
>> Dh60,000 in Khalifa & MBZ City
>> Dh65,000 in Khalidiya/Bateen
>> Dh68,000 in Corniche
>> Dh75,000 in Al Reef