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Dubai is a fantastic destination for investors, with its tax free economy, low inflation, a high standard of living, high rental yields and high capital appreciation.
The main type of properties that Dubailand Investments currently feature are serviced hotel apartments in Dubai Sports City, which enable buyers to purchase a luxury holiday home in a world class resort and receive rent revenue whenever they are not using their residence, helping to offset the cost of ownership.
As a destination for investment, Dubai Sports City is second to none. At present, properties are extremely undervalued and investors getting in at Phase One can be certain that this is the perfect time to invest in order to generate maximum returns.
The apartments are not your typical holiday home. They are fabulously furnished, serviced apartments and suites which will be operated as a hotel by some of the biggest names in the hospitality industry, such as Hilton, Ritz Carlton, Le Meridien etc. Owners have access to all of the luxury amenities and services of the property, ranging from first class, full service spas and fitness centres to fine dining and concierge services”.
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These are not timeshare apartments. Owners have deeded, freehold ownership to their apartment and use it when they want (within the guidelines of the rental programme agreement). For the remainder of the year, the professional management company handles the renting out of the unit when it is not in use by the owner. The management company also maintains the units and the properties common areas, operates the amenities and provides all guest services.
By capitalising on the hotel’s name recognition, advertising, national affiliations, central reservation system and management expertise, owners of serviced hotel apartments typically receive a much higher level of rental income than they would from ownership of a typical second home abroad.
Dubai hotel occupancy levels are second only to New York. 85% occupancy in 2006
Dubai room rates are amongst the highest in the world
The income that you can expect to receive from your Dubai property depends on variants such as rental rates and occupancy, but extremely conservative estimates predict net profits to be around 15%. This takes into account all management costs and building maintenance, and all apartments benefit from porterage, room and maid services.
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