Distress Deal
Available when we last checked on 3 August 2026. The asking price shown is the one published when the listing was added on 9 June 2026, 55 days before that check, and it is not re-checked against the market automatically. Confirm availability and price with us before you act on it.
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The numbers
| UNIT PRICE | AED 4,630,000 |
| Payment to seller | AED 1,965,250 |
| DLD Transfer fee 4% + 40 AED | AED 185,240 |
| DLD Registration Trustee fee + 5%VAT | AED 5,250 |
| Buyer's agent comission 2% + 5%VAT | AED 97,230 |
| 15-SEP-2026 | AED 484,500 |
| 15-JAN-2027 | AED 484,500 |
| 15-MAY-2027 | AED 242,250 |
| On Handover (15-MAR-2029) | AED 1,453,500 |
| Total on Transfer | AED 2,252,970 |
| Total remaining Payment Plan | AED 2,664,750 |
| TOTAL COST FOR BUYER | AED 4,917,720 |
Photography
Distress Deal
This 3-bedroom apartment in Bay Grove Residences, Building B6, is presented as a distress deal at AED 4,630,000. This price reflects an 8.1% discount from the original price of AED 5,038,800, equating to a saving of AED 408,800. With a built-up area of 2,060 sq.ft, the entry point stands at AED 2,248 per sq.ft. The unit is positioned on a low floor and offers a full sea view, with a balcony included. Handover is scheduled for Q1 2029, and the property is offered on a structured payment plan, with a significant portion payable on transfer and the remainder staggered through to completion. The immediate investment case is clear: this is a waterfront, off-plan asset by Nakheel, discounted against the original price, with a payment schedule that reduces upfront capital exposure. The buyer is securing a future-ready, sea-facing apartment in a master-planned island community, at a below-launch cost basis, with the flexibility of staged payments.
Bay Grove Residences is located on Dubai Islands, one of the city’s emerging master-planned coastal districts. The project is situated on Island B, which is among the closest islands to the Dubai mainland, providing more practical access compared to deeper island developments. Connectivity is supported by new road links to the Deira area and the wider Dubai road network, with direct routes to Downtown Dubai, Dubai International Airport, and the northern emirates. Public transport infrastructure is developing, but private vehicles, taxis, and ride-hailing services currently form the main transport options. For investors, the proximity to the mainland and established Deira communities means the project is not isolated, and future infrastructure improvements are likely to further enhance accessibility and tenant appeal.
Bay Grove Residences is designed as a multi-building complex with a focus on waterfront living and community amenities. Residents will have access to an adults-only infinity pool, a separate children’s pool, barbecue areas, a clubhouse, residents’ lounge, co-working spaces, and a fitness centre equipped for cardio, strength, and yoga. Additional features include a running track, cycle paths, shaded seating, sun loungers, and a pet wash station. Apartments are finished with floor-to-ceiling windows, terraces, and in-built storage, with engineered stone countertops and lacquer cabinetry in kitchens. The development is linked by a green podium, enhancing the sense of community and providing landscaped outdoor spaces. The surrounding Dubai Islands master plan is set to include retail, leisure, and hospitality offerings, supporting the long-term liveability and investment profile of the area.
At AED 2,248 per sq.ft, this unit is priced above some recent transactions in Bay Grove Residences for smaller units, but the full sea view, larger layout, and payment plan structure differentiate it from standard offerings. Recent sales in the project include 2-bedroom units trading between AED 1,393 and AED 2,295 per sq.ft, indicating a range based on size, view, and building. The 3-bedroom format with sea views is likely to attract a mix of end-users and investors seeking waterfront positioning without the premium of more established areas like Palm Jumeirah. The off-plan nature introduces construction and handover risk, but the developer, Nakheel, has a track record of delivering large-scale projects. Rentability will depend on the pace of area development and the completion of supporting infrastructure, but the waterfront setting and amenity package should underpin demand. Liquidity may be moderate in the early years, with stronger resale prospects as the Dubai Islands district matures and occupancy levels rise. The main risk points are construction timelines, service charge levels, and the speed at which the wider area achieves critical mass.
This distress deal offers an investor a discounted entry into a waterfront, off-plan asset by a recognised developer, with a payment plan that reduces initial capital outlay. The full sea view and three-bedroom layout provide both end-user and rental appeal, while the location on Dubai Islands positions the asset for future upside as the district develops. The main considerations are the long handover timeline, the evolving nature of the surrounding area, and the need to monitor service charge and infrastructure progress. For buyers comfortable with off-plan risk and seeking exposure to Dubai’s next-generation coastal district, this deal provides a below-launch entry point with flexible payment terms. The investment case is strongest for those willing to take a medium-term view, balancing the discount and payment plan against the timeline to completion and area maturity.
Illustrative model
Set your own assumptions and see how DISTRESS DEAL: 3-BR IN BAY GROVE RESIDENCES behaves as a cash purchase, the same purchase mortgaged, or a capital-only resale.
The date this listing was added to our records. The asking price below is the one published then, and was still 55 days old when we last checked this listing on 3 August 2026. It is not re-checked against the market automatically, so confirm it with us before relying on it.
As stated on this listing: the asking price measured against the original purchase price recorded for this unit. It is not a discount to current market value and not a valuation — a unit priced below what it originally sold for may still be at or above what comparable units achieve today. Check the registered comparables before treating the gap as equity. It is not used in any calculation below.
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.
As stated on this listing. Rent cannot start before handover, so on an incomplete unit the early years of the schedule below are holding cost only.
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 4,922,430 |
| 1 | −AED 37,080 | — | −AED 37,080 |
| 2 | −AED 37,080 | — | −AED 37,080 |
| 3 | −AED 37,080 | — | −AED 37,080 |
| 4 | −AED 37,080 | — | −AED 37,080 |
| 5 | −AED 37,080 | AED 4,532,770 | AED 4,495,690 |
| Years 1–5 | −AED 185,400 | AED 4,532,770 | AED 4,347,370 |
| Less the year-0 outflow of AED 4,922,430 → total profit | −AED 575,060 | ||
Exit at year 5: illustrative sale price AED 4,630,000 less selling costs AED 97,230 = AED 4,532,770 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 3.58M | −AED 1.60M | — | — |
| −3% p.a. | AED 3.98M | −AED 1.22M | — | — |
| 0% p.a.your figure | AED 4.63M | −AED 575k | — | — |
| 3% p.a. | AED 5.37M | AED 147k | — | — |
| 5% p.a. | AED 5.91M | AED 677k | — | — |
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.
BAY GROVE RESIDENCES — Dubai Islands
