Fairly high supply levels should ensure prices remain within a tight band

Al Furjan

Launched in 2007, Al Furjan is a residential community currently under construction near Jebel Ali Village and Discovery Gardens. The master-developer, Nakheel, has ensured that Al Furjan is an attractive site for investors.
Azizi Developments, which came in during the first phase of the community, did its initial handover of apartments in the third and fourth quarter of 2016 and the process completed in the first quarter of 2017. Current completed and under construction units comprise of fully-furnished serviced apartments.

The average sales price for a fully-furnished two bedroom off-plan apartment in Al Furjan is Dh1.30 million, which is slightly below that of a non-furnished two-bedroom off-plan apartment in Jumeirah Village Circle, which is now selling at Dh1.32 million.
With similar specifications, Al Furjan villas are priced significantly lower than those in Jumeirah Park. According to the Property Monitor Index, in September 2017 the average sales price of a villa/town house in Al Furjan was Dh3.13 million in comparison to the average in Jumeirah Park of Dh4.6 million.
With 171 off-plan apartment transactions taking place in October so far in Al Furjan, buyers are flooding towards the community to take advantage of the lower price units. The transport links in this area may be a bit of compromise as the closest metro station is 5.59 kilometres away.

Proximity

However, under the Route 2020 project, there is upcoming infrastructure such as redesign of metro stations. There is a 15 kilometre extension of the Red Line, which will serve people living in a variety of areas including Al Furjan. There is also been a new interchange between Al Yalayis Road and Shaikh Mohammad Bin Zayed Road, easing traffic congestion to Jebel Ali and Al Furjan.
Al Furjan is close to a variety of schools, hospitals and the Ibn Battuta Mall just 3.3 kilometres away. The community thus presents an opportunity for investors and first-time buyers.
According to Property Monitor’s Supply Tracker, Al Furjan has 3,950 units scheduled to be completed in 2018. The increasing supply of apartments in Al Furjan, shown by the large number of units due to be completed in 2018, may put pressure on future sales and rental price of apartments within the community.

Source: www.gulfnews.com

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