Abu Dhabi - Mubasher: Abu Dhabi property yields continue to be attractive to investors with an average return of 5%, according to a report by Chestertons.
Following a relatively flat performance in H1-16, investors are still being rewarded with an average 5% gross yield across the city, topping out at 8.8% in some areas, the report indicated.
"Apartments in Al Reef Downtown, Al Ghadeer and Al Muneera all notched yields of 8.8%, 7.7% and 7.5% respectively,” it added.
“On average the residential rental market has dropped by 2% with the luxury end of the segment bearing downward pressure due to a reduction in spending, compounded by cuts to government spending due to lower oil prices,” said Declan McNaughton, Chestertons MENA managing director in UAE.
“The remainder of the year will see marginal declines. However, solid yields will still prove popular with investors,” he added.
