Key takeaways
- City of Arabia is a Dubailand master plan anchored by IMG Worlds of Adventure and its Dinosaur Gallery — a uniquely entertainment-driven position in Dubai, drawing ~2 million visitors per year (IMG Worlds, operator communications) and sitting next to Global Village (~10 million visitors in the 2024–2025 season).
- The Yards covers several sub-projects, including Arancia Yards — handover scheduled for Q1 2029, available in our projects.
- Mid-2026 pricing: AED 13,000–15,000/sqm at City of Arabia, versus AED 16,000–18,000 at DLRC and AED 11,000–13,000 at Dubai South — a value window still open (REIDIN + broker surveys Q2 2026).
- Projected gross yield: 7–8% on studios and 1BR units post-handover, at the top of the Dubailand range (DLD Rental Index Q2 2026).
- Target profile: yield-driven investor with a ticket below AED 1M, willing to carry around thirty months to handover.
- Rental income and capital gains remain taxed at 0% in the UAE for individuals — no fiscal drag at entry or exit.
What is City of Arabia, and where does the build stand in 2026?
City of Arabia is a ~7 km² master plan in the Dubailand district, developed by the Ilyas & Mustafa Galadari Group. The project rests on three anchors: Wadi Walk (a promenade along an artificial wadi), Mall of Arabia (a regional shopping centre), and several residential clusters currently being handed over. The Yards — a low-rise/mid-rise development including Arancia Yards — sits within one of these clusters.
Location and connectivity
The site borders Sheikh Mohammed Bin Zayed Road (E311). Drive times run to approximately 25 minutes to DIFC and 20 minutes to Al Maktoum International Airport (DWC) — a tangible advantage when targeting professional tenants.
Construction status as of August 2026
Several blocks within The Yards have their structure complete. Arancia Yards, the first chapter of the masterplan, is scheduled for handover in Q1 2029. Immediately neighbouring projects reinforce the area's appeal:
- IMG Worlds of Adventure (1.5M sqm) — one of the world's largest indoor theme parks
- Dubai Autodrome — a permanent circuit active year-round
- Global Village — running October to April, with approximately 10 million visitors in the 2024–2025 season
IMG Worlds of Adventure, the primary anchor of City of Arabia, claims approximately 2 million visitors per year.
This entertainment ecosystem generates structural rental demand — particularly for short and medium-term stays — a key input for the post-handover yields analysed below.
Why the "entertainment-anchored" positioning changes the equation
City of Arabia is not built around a golf course or a logistics hub. It is anchored by two massive traffic generators — already operational — that continuously feed short and medium-term rental demand.
IMG Worlds of Adventure claims approximately 2 million visitors per year. That tourist flow translates directly into short-stay demand within a 5-minute walk.
Global Village, a direct neighbour of The Yards, welcomed approximately 10 million visitors in the 2024–2025 season. Its structured seasonality — October to April — creates predictable rental demand aligned with the winter calendar of tourists and resident families.
In the pipeline, the master plan still includes the Dinosaur Gallery and Restless Planet — two differentiating assets that strengthen the rental narrative and support premium positioning in listings.
Impact on the rental mix
This blend of leisure and family residential living sets City of Arabia apart from the two other comparable Dubailand zones. DLRC is built on golf and pure residential living — long-term demand, no tourist rotation. Dubai South plays the airport and logistics card — professional tenants, few vacationing families.
City of Arabia captures both: the permanent resident (schools, supermarkets, community) and the short-stay visitor. In practice, a well-positioned studio can rotate between a standard lease in the low season and short-term rentals from November to March, optimising overall annual yield.
7–8%Projected gross yield — City of Arabia studios · DLD Rental Index Q2 2026For francophone investors accustomed to 3–4% net in Paris — and with no tax on rental income in the UAE — this differential is immediately legible. Our yield calculator lets you run the numbers against your own budget and asset type.
How does price per sqm at City of Arabia compare to DLRC and Dubai South?
City of Arabia sits mid-2026 as the intermediate entry point between an under-developed Dubai South and an already-premium DLRC. The price gap is clear and quantified.
The average off-plan price at City of Arabia stands at around AED 13,000–15,000/sqm mid-2026, versus AED 16,000–18,000/sqm at DLRC and AED 11,000–13,000/sqm at Dubai South.
What that means in terms of entry ticket
At The Yards (Arancia), observed ticket prices range from AED 650,000 to AED 780,000 for a studio and AED 950,000 to AED 1,200,000 for a 1BR. These thresholds remain accessible compared to DLRC, where 1BR units routinely exceed AED 1.4M.
Dubai South shows the lowest price per sqm, but its urban fabric is still immature in 2026. The gap versus City of Arabia does not compensate for the absence of retail, transport, and amenities already operational around IMG Worlds and Global Village.
Payment plans
Neighbouring projects typically offer 40/60 or 50/50 plans, with projected delivery between 2026 and 2027. Buying direct from the developer — accessible via our developers page — carries no agency fee, which directly reduces total acquisition cost.
AED 650,000–780,000Studio price range at The Yards (Arancia) · Broker surveys Q2 2026What rental yield can you target once the development is delivered?
Investors securing a studio at City of Arabia today can target 7–8% gross yield post-handover, based on the DLD Rental Index for Q2 2026. 1BR units sit in the 6.5–7.5% range, with Dubailand rents driven by demand from families and workers in the entertainment-logistics sector.
After deducting costs — service charges estimated at AED 14–18/sqft, property management at 5%, structural vacancy at 8% — net yield lands around 5.2–6.0%. That is a solid net return on an asset not yet delivered.
5.2–6.0%Projected net yield (post-charges) · Level8 estimate — DLD Rental Index Q2 2026The zone-by-zone comparison speaks for itself:
| Zone | Estimated gross yield |
|---|---|
| Dubai Marina | ~5% |
| JVC | ~7% |
| Dubai South | ~7.5% |
| City of Arabia | 7–8% (studios) |
City of Arabia sits at the top of the Dubailand range — ahead of JVC, comparable to Dubai South — with an entry price that remains accessible.
Tax leverage
The UAE maintains 0% tax on rental income and real estate capital gains for individuals in 2026. (Source: u.ae — UAE official portal)
For investors based in France, Belgium, or Switzerland, this advantage must be weighed against domestic reporting obligations. The France–UAE tax treaty provides an exemption on UAE property income, but filing requirements with the DGFiP remain mandatory. A bilateral tax adviser is recommended before any purchase.
A personalised simulation is available via our net yield calculator.
Risks to factor in
Several factors can weigh on projections:
- Extended vacancy at launch: City of Arabia is still densifying. The 8% assumption in the model is conservative, but vacancy could reach 10–12% in the first year post-handover.
- Delivery delay: a 6–12 month delay (common in UAE off-plan) pushes back the first rental income and increases the opportunity cost of carry.
- Service charges: provisions remain uncertain in the early years. Budget for the upper end (AED 18/sqft) in your model.
- Secondary market liquidity in Dubailand: the resale market is thinner than Downtown or Marina. The recommended holding period is 5 years minimum.
Which investor profile fits City of Arabia?
City of Arabia is not a universal market. The target profile is specific: a yield-driven investor with a ticket between AED 650,000 and AED 1.2M and a 5–7 year horizon.
This profile accepts two real constraints: carrying around thirty months to handover and funding a 40/60 payment plan without immediate cash-flow pressure. In return, they access an entry price that still embeds the emerging-zone discount — before the E311 metro extension and master-plan densification feed through into secondary prices.
7–8%Projected gross yield post-handover (studios, City of Arabia) · DLD Rental Index Q2 2026The Golden Visa threshold of AED 2M is reachable by combining two units — a structure we regularly set up for clients from France, Belgium, Israel, and the US (see our services).
What City of Arabia is not
City of Arabia is less suited to two distinct profiles. The first: the trophy-asset investor seeking a waterfront property (Palm, Marina, DIFC) where location matters more than yield. The second: the secondary-market buyer looking for immediate cash flow on an already-delivered asset.
In our projects, Arancia Yards is our catalogue entry for this zone. It is precisely the price-to-yield arbitrage we structure for francophone, Israeli, and US profiles drawn to the AED 13,000–15,000/sqm entry price and 7–8% projected gross yield — with zero tax on rental income or capital gains, in line with UAE tax regulations.
2026 verdict: Dubai, and City of Arabia in the right corner of the portfolio
Dubai remains the clearest yield-to-tax arbitrage on the planet in 2026. 0% tax on rental income and capital gains, an AED pegged to the USD, and a Dubai Land Department that confirmed in Q2 2026 the depth of a market capable of absorbing record transaction volumes without a price correction. No European or North American capital offers this equation simultaneously.
City of Arabia is not a trophy asset. It is a yield-plus-appreciation play post-handover, driven by the IMG Worlds entertainment anchor and Global Village footfall. The risk profile differs from Marina or Palm — secondary liquidity is thinner. That is precisely why it belongs as a complement, not a substitute.
7–8%Projected gross yield — City of Arabia studios · DLD Rental Index Q2 2026Concrete recommendation: keep Marina or Palm for prestige and exit liquidity; add The Yards for top-of-Dubailand gross yield. The typical allocation we structure for clients at Level8 balances both logics without pitting them against each other.
On the exit side, a UAE asset can be quietly unwound through our Sell in 48h programme — a firm offer within 48 hours, off-market, no agency fee. The option exists; it simply needs to be activated at the right point in the cycle.
Further reading
Three complementary pieces from the Level8 journal:
- Etihad Rail Al Yalayis: the station reshaping southern Dubai — The Etihad Rail Al Yalayis station opens 30 September 2026, two months ahead of schedule. What it concretely changes for investors in south-west Dubai.
- Lulu Island Abu Dhabi: Eagle Hills awakens 400 dormant hectares — Eagle Hills launches the development of Lulu Island, 400 ha facing Abu Dhabi's Corniche. What it means for investors in 2026.
- Abu Dhabi Livability by Design: the new mandatory filter for master plans — Abu Dhabi makes a quality-of-life filter mandatory for its master plans. Direct impact on off-plan project values and premium rental yields.
FAQ
What gross yield can you realistically expect on a studio at City of Arabia post-handover?
The DLD Rental Index for Q2 2026 projects a gross yield of 7–8% on studios and 1BR units at City of Arabia, at the top of the Dubailand range. This level is driven by dual rental demand: permanent residents and short-stay visitors to the parks (IMG Worlds, Global Village). Rental income remains taxed at 0% in the UAE for individuals, preserving the full yield.
How does UAE tax treatment apply to French or Belgian investors buying this type of asset?
The UAE levies no tax on rental income or capital gains for individuals — the effective rate is 0% at entry and exit. For fiscal residents of France or Belgium, the France–UAE tax treaty (or the absence of a treaty for Belgium) must be verified with an adviser, as foreign-source income may be declarable in the country of residence. The key point: no UAE-side tax drag erodes the yield.
What entry ticket should you budget to invest in The Yards at City of Arabia in 2026?
With off-plan prices around AED 13,000–15,000/sqm mid-2026 (REIDIN, Q2 2026), a typical 40–50 sqm studio falls between AED 520,000 and AED 750,000 — below the AED 1M threshold. Developer payment plans generally allow 40–60% of the price to be spread across the construction phase, reducing capital tied up in the months before handover.
Does a purchase at City of Arabia qualify for the UAE Golden Visa?
A real estate investment of at least AED 2M in an eligible completed or off-plan property qualifies for the 10-year Golden Visa under ICP regulations in force in 2026. For units at City of Arabia priced below this threshold, it is possible to combine several properties or target a larger unit to reach the required ticket. The property must be registered with DLD, and in the case of off-plan, the amount actually paid to the developer must reach AED 2M.
What specific risks come with buying off-plan at City of Arabia versus a ready-to-rent property?
The main off-plan risk is delivery delay: Arancia Yards is scheduled for handover in Q1 2029, a carry period of around thirty months generating no rental income. In return, the purchase price is lower than a delivered unit, and payment plans ease the initial cash commitment. Funds paid to the developer are mandatorily held in an escrow account supervised by DLD, which limits developer default risk.
How do City of Arabia, DLRC, and Dubai South compare when choosing the best zone in 2026?
Mid-2026, DLRC sits at AED 16,000–18,000/sqm and targets an upscale residential clientele (golf, long-term leases), while Dubai South remains at AED 11,000–13,000/sqm but still lacks mass-market traffic generators. City of Arabia, at AED 13,000–15,000/sqm, combines an intermediate entry price with two already-operational tourist flows — IMG Worlds (~2M visitors/year) and Global Village (~10M visitors in the 2024–2025 season) — supporting both rental yields and resale liquidity.
