Executive Towers Dubai

Property Description:

Executive Towers , Business Bay Dubai
We have pleasure in introducing the 29 storey Apartment Residence Tower in Business Bay. Executive Towers E is a 5 star quality luxury 106 room hotel style apartment residence tower that will be managed by an international hotel chain which will provide guests and owners with top quality services and facilities as well as maximum occupancy and returns utilizing its worldwide reservation system. The Executive Tower E in Business Bay is second to none and located on the Sheik Zayed Road in the heart of dubai, which will again ensure maximum demand for room nights. The professional management of an international hotel combined with the high quality finish of this development will provide a safe and reliable investment opportunity.

Construction Progress:

The Executive Towers development is now nearing completion and most tower structures are now almost complete and the internal rendering is taking place. The completion date is on target for November 2007.

Key Features:

• 5 star hotel style
• 29 floors 106 rooms (48 2 bedroom, 48 3 bedroom, 4 Garden Apartments, 4 Loft apartments and 2 Penthouses).
• Luxury suites & penthouses
• Restaurants, Coffee shops, Boutiques, Health club and Spa

Investment Features:

• The room will be leased back to the developer for a period of 20 years with automatic renew.
• Managed by a 5 Star Hotel Brand, no management charges
• 60% revenue income for the 1st 20 years with rental yields of up to 26% per annum
• 8% Rental Guarantee for the 1st 3 years
• Fully furnished inc. TV
• Parking Bay included (worth 100,000 AED)
• 99 years lease with automatic extension for 1USD. When Dubai laws change this year, contract will be for full freehold.
• Automatic residency with all purchases.
• No Transfer fees to other buyers before completion
• Owner has up to 30 days personal use per year
  

Spanning 64 million square feet from the famed Dubai Creek to Sheikh Zayed Road, Business Bay offers office and residential units surrounded by beautiful landscaped gardens, fascinating canals, retail shops and fine dining. Overlooking the new creek, The Executive Towers kick off the first phase of the epoch-making Business Bay. It's an impressive cluster of towers that feature 11 residential towers, one luxury hotel tower, a two-level shopping mall, clinics and health clubs and is brought to you by the team behind Jumeirah Beach Residence, Dubai Media City, and Knowledge Village, to name a few. The design is an embodiment of the architectural theme of the future Dubai and exudes modernity.

A Plaza Level or 'Courtyard' acts as the hub of community life. Offering communal facilities, landscaped plazas, children's play areas, fountain yards, courtyards, and covered walking arcades, the Plaza level will keep residents and visitors alike coming back for more. Other facilities like swimming pools, health clubs, and other recreational amenities are located on this floor.

Everything you need to live comfortably is within walking distance. On the side facing Sheikh Zayed Road sits a series of shops that house supermarkets, laundry, pharmacies and other retail outlets, while our two-level shopping strip facing the creek has world-class retail outlets, the finest restaurant and cafes and a lot more. All of which ensure that there's never a dull moment.

Business Bay has been referred to as the “Manhattan” of Dubai. Located just next to Dubai’s DIFC in the heart of Dubai, this area will be the height of luxury living. MED has 1, 2, and 3 Bedroom Apartments, Garden Apartments and Penthouses, at Executive Tower E, and, at prices from only AED 1185 per square foot pre-launch, now is the time to invest. These rates won’t last long!

Available Units & Pricing

Unit Type	Floor	Sq. Ft.	AED Price	Approx. GBP	Per ft2
2 Bed				SOLD OUT
3 Bed	12	1766	2,472,400	££343,389	1400AED/£194

 

Investment Appeal

There is an annual 8% minimum rental guarantee or 60-40 rental split in favour of the owner, whichever is greater for the first three years. Thereafter, the rental splits will be on a 60-40 basis, but without a guarantee. Take a look at the Rental Yield Forecast below to see what this actually means in real terms.

The hotel group responsible for running the Kensington is known as Interstate hotels and resorts, America's largest independent hotel management company, one of it's subsidiaries is Bridgestreet worldwide, one of the largest corporate housing provider. With a wealth of experience and a world wide reservation system, they will ensure that the occupancy levels remain the highest possible.

Rental Yield Forecast

The table below illustrates three type of scenario based on occupancy levels generated by the hotel in Dubai; 90% being the highest forecast and 70% being the lowest. Currently Dubai is achieving 85% occupancy and the trend is set to continue for many years to come. The room rates have been provided by the developer as the average rate throughout the year and reflect a quite conservative view which should be easily achievable for this standard of hotel. By factoring this forecast data into the table it can be seen that at even the lowest expectation, rental yields still reach an impressive net value of 13%!.

Room Type	Investment Scenario	Purchase Price	Room Rate	Occupancy Level	Total Revenue	Gross Return	Net Return	Net Yield
3 Bed	Best	£343,389	£319	90%	£104,938	£62,963	£56,666	16%
3 Bed	Average	£343,389	£319	80%	£93,278	£55,967	£50,370	15%
3 Bed	Worst	£343,389	£319	70%	£81,618	£48,971	£44,074	13%

** please note all information regarding rental yields are for illustration purposes only and cannot be guaranteed. The figures regarding room rates and occupancy levels are however very realistic as they are based on real figures being achieved in Dubai over the last five years.

Notes:

• Room rates are very conservative and well below the current rates for 5 star hotels in Dubai.
• Occupancy Levels are currently running to 87% the highest in the world (read our latest news article)
• Net Return is the Gross Return minus the Total Charges (see below)
• Net yield is the percentage yield based on the final price

Charges:

Room Type	Investment Scenario	Maintenance Charge	Service Charge	Annual Utilities	Total Charges
3 Bed	Best	£3,148	£1,574	£1,574	£6,296
3 Bed	Average	£2,798	£1,399	£1,399	£5,597
3 Bed	Worst	£2,449	£1,224	£1,224	£4,897

Notes:

• Maintenance is taken as 5% of the Total Revenue to be used to cover all damages that a unit maybe incurred during occupancy.
• Service is the service charge per annum used to cover the upkeep of the hotel (communal areas, gardens etc)
• Utilities are for electricity and water for the unit per annum.
• Total charges are approx 10% of the Gross return

 

Financing & Payment Schedule

Option 1:

50% Finance is available from the developer. If 50% can be paid in a lump sum up front, then no further payment is required until completion (finance before completion is interest free). At completion the mortgage will start at a rate of 7.95% over a 5 or 10 year period.

Option 2:

If the purchaser decides to follow the usual payment schedule laid out below and requires finance then this will be available once 50% has been paid (4th instalment). The remaining payments will be interest only until completion at which point the mortgage will commence at a rate of 7.95% over a 5 or 10 year period.

DEPOSIT	20%	Payable within 7 days of signing Irrevocable Intent form
1st Installment	20%	Within 30 days of Irrevocable Intent form
2nd Installment	20%	Within 90 days of Irrevocable Intent form
3rd Installment	20%	On completion of structure (July 07)
4th Installment	20%	On completion date (November 07)

 

Please note: The prices provided above are accurate at the time of publication and are fixed in AED. The prices may change according time, availability and exchange rates, so please contact us for the latest details.

For further information including the latest availability and prices for this development please contact one of our sales team: Contact us