Distress Deal
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The numbers
| UNIT PRICE | AED 1,635,000 |
| DLD Transfer fee 4% + 40 AED | AED 65,440 |
| DLD Registration Trustee fee + 5%VAT | AED 5,250 |
| Buyer's agent comission 2% + 5%VAT | AED 34,335 |
| Total on Transfer | AED 1,740,025 |
| Total remaining Payment Plan | AED 0 |
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Distress Deal
Presenting a high-floor, fully furnished two-bedroom apartment in Skyhills Residences 1, Dubai Science Park, now available at an 11.6% discount to prevailing market prices. With an asking price of AED 1,635,000, compared to a reference market value of AED 1,850,000, this 1,018 sq.ft apartment is attractively positioned at AED 1,606 per square foot. The unit is ready for immediate occupation, offering a straightforward acquisition with no remaining payment plan and a total buyer cost of AED 1,740,025 (including transfer and associated fees). The property features a pool and community view from a high floor, a balcony, and comes with one allocated parking space. For investors, the deal thesis is clear: secure a ready, fully furnished asset in a completed, modern development at a meaningful discount, with immediate rental or resale potential in a maturing submarket.
Skyhills Residences 1 is situated in Dubai Science Park, within Al Barsha South 2. The location benefits from excellent connectivity, with direct access to key arterial roads including Umm Suqeim Street, Al Khail Road, and Sheikh Mohammed Bin Zayed Road. This ensures efficient travel to major employment hubs, retail destinations, and Dubai’s central business districts. The area is also set to benefit from a forthcoming metro station, which is expected to further enhance public transport options and support future capital appreciation. For residents and tenants, the location offers a balance of urban convenience and a quieter, community-oriented environment, with proximity to Dubai Hills, Al Barsha, and other established neighbourhoods.
Skyhills Residences is a modern, multi-building complex completed in April 2026, comprising two towers with a total of 1,135 units. Residents enjoy a comprehensive suite of amenities designed for both leisure and daily convenience. Facilities include an infinity pool and lap pool, children’s pool, sky resident lounge on the 39th floor, double-height entrance lobby, and a dedicated lounge area. Fitness and wellness are well catered for, with separate gyms for men and women, an outdoor gymnasium, a jogging track, yoga room, tennis and volleyball courts. The podium level features male and female prayer halls and ablution facilities. Additional amenities include a multi-purpose room, kids’ play area, barbecue area, barber shop, beauty salon, and retail outlets at ground level. The development offers secure basement parking, with each unit allocated a space, and is serviced by multiple high-speed lifts. The surrounding area is well-developed, with supermarkets, medical clinics, schools, and community parks within easy reach, supporting both end-user and tenant appeal.
Dubai Science Park is a maturing submarket that has seen steady demand from professionals working in nearby business hubs and healthcare clusters. Skyhills Residences, with its modern specification and comprehensive amenities, is well-positioned to attract both owner-occupiers and tenants seeking quality accommodation at a competitive price point. Recent transactions in the building indicate a healthy level of liquidity, with studios trading at AED 1,579 per sq.ft and above, supporting the value proposition for larger units. The current discount to market provides a buffer against short-term market fluctuations and enhances the yield profile for investors. Rentability is supported by the project’s ready status, high specification, and strong connectivity. As with any new development, investors should be mindful of ongoing supply in the area and the potential for short-term volatility as the community matures. However, the combination of a completed building, immediate handover, and a below-market entry price mitigates several typical off-plan risks.
For investors seeking a ready, income-generating asset in a growth corridor of Dubai, this two-bedroom apartment in Skyhills Residences 1 presents a balanced opportunity. The 11.6% discount to market, coupled with a fully furnished, high-floor unit and a comprehensive amenity offering, positions this property as a practical addition to a rental portfolio or as a medium-term capital appreciation play. The area’s improving infrastructure, upcoming metro connectivity, and ongoing population growth underpin the investment case. While the local market is still evolving and may experience periods of adjustment, the fundamentals of this deal—ready status, modern amenities, and an attractive entry price—offer a compelling risk-reward profile for buyers focused on long-term value and liquidity in Dubai’s residential sector.
Illustrative model
Set your own assumptions and see how DISTRESS DEAL: 2-BR IN SKYHILLS RESIDENCES 1 behaves as a cash purchase, the same purchase mortgaged, or a capital-only resale.
The asking price divided by the stated size. Compare it against registered sales in the same building before deciding whether the asking price is competitive.
Cash back is below cash out on these assumptions: over the whole hold this purchase returns less than it costs. Read the sensitivity table before drawing a conclusion.
This is the ROI and IRR denominator: the price plus every cost of getting the keys, not the price alone.
No rental evidence is held for this unit. The rent figure is yours to set — we have not assumed one. Until you enter a gross annual rent, the yield, ROI/ROE and IRR figures reflect capital movement and costs only.
| Year | Net operating income | Sale proceeds, net | Net cash flow |
|---|---|---|---|
| 0 · today | — | — | −AED 1,744,735 |
| 1 | −AED 18,324 | — | −AED 18,324 |
| 2 | −AED 18,324 | — | −AED 18,324 |
| 3 | −AED 18,324 | — | −AED 18,324 |
| 4 | −AED 18,324 | — | −AED 18,324 |
| 5 | −AED 18,324 | AED 1,600,665 | AED 1,582,341 |
| Years 1–5 | −AED 91,620 | AED 1,600,665 | AED 1,509,045 |
| Less the year-0 outflow of AED 1,744,735 → total profit | −AED 235,690 | ||
Exit at year 5: illustrative sale price AED 1,635,000 less selling costs AED 34,335 = AED 1,600,665 net. The final column is the schedule the IRR is solved from. Rent is held flat in nominal terms — the rent-growth field is at 0% — as is the service charge, so no inflation is assumed on either side.
| Exit growth | Exit price | Total profit | ROI | IRR |
|---|---|---|---|---|
| −5% p.a. | AED 1.27M | −AED 598k | — | — |
| −3% p.a. | AED 1.40M | −AED 462k | — | — |
| 0% p.a.your figure | AED 1.64M | −AED 236k | — | — |
| 3% p.a. | AED 1.90M | AED 19k | — | — |
| 5% p.a. | AED 2.09M | AED 207k | — | — |
Each row re-runs the whole model with only the exit growth rate changed, over the same 5-year hold. The 0% and negative rows are not a worst case — they are simply what the same purchase returns if prices do not rise. Dubai prices have fallen in the past and can fall again. The return columns are shown as “—” until a gross annual rent is set; the total profit column reflects capital movement, purchase and sale costs and the service charge only.
We’ll send this scenario — your assumptions and the figures they produce — to your inbox.
An illustrative model, not a forecast, a valuation, an offer or investment advice. Every figure is generated from the assumptions on this page — some yours, the rest stated defaults, not promises. Rents, service charges, fees, vacancy, handover dates, financing terms and sale prices vary by unit and over time; past prices are not a guide to future prices. Returns are not guaranteed and capital is at risk.
Mortgage availability, loan-to-value, rate and term are subject to lender criteria and underwriting; nothing here indicates that finance will be offered. Figures exclude any tax payable in your country of residence — take independent financial, tax and legal advice before committing. Mitchell’s Realty is a trading brand; the RERA-licensed entity is The Luxury Real Estate Brokers LLC.
