Start with the tower itself. Over the past year, 111 of its 956 apartments changed hands, 11% fewer than the year before. The median sale was AED 5.0 million, at 2,940 per square foot, down 2% on the year. The median rent was AED 256,000, which makes a gross yield of 5%.
Now walk two minutes to the Address Residences. Fountain Views sells at a median of AED 5.7 million and 4,410 per square foot, rents at AED 275,000, and yields 6%. Sky View sells at AED 7.2 million and 4,090 per square foot, rents at AED 363,000, and yields 7%. Both trade 40 to 50% above the Burj per square foot, and both rent for more.
Our read: a tenant paying AED 363,000 a year is paying for a hotel-run building, a fountain view and an address, not for height. Fame brings visitors. Service, layout and management bring tenants, and tenants are what an investor is buying.
What we tell a buyer looking at this postcode: the 5% and 7% are gross. Service charges here are among the highest in Dubai, and they come off first, then vacancy, maintenance and the cost of buying and selling. The net figure is the one that decides, and we work it out unit by unit before we recommend anything. If you want a trophy to hold rather than an income, say so, and we will look at it as one.
Source: Dubai Land Department transaction data, last 12 months. Medians across all unit sizes; figures rounded.