Al Warsan Projects: 6 Affordable Property Options With VAT Free Potential

REAL ESTATE3 months ago

Al Warsan, a rapidly emerging community in Dubai’s southeast, offers a refreshing blend of affordability and modern living, making it a magnet for first time buyers and savvy investors. Nestled near Dubai International City and adjacent to Al Warqa and Nad Al Sheba, this mixed use development by Meraas Properties is transforming from an industrial hub into a vibrant residential haven. With easy access to Sheikh Mohammed Bin Zayed Road (E311) and Ras Al Khor Road (E44), Al Warsan is just 20 minutes from Downtown Dubai and 15 minutes from Dubai International Airport.

Its proximity to Dragon Mart, Dubai Safari Park, and Academic City adds to its appeal for families and professionals. Dubai’s tax structure, with 0% personal income tax, 0% capital gains tax, and 0% VAT on residential leases and first sales, creates a compelling investment landscape. Qualifying Free Zone Persons (QFZPs) in nearby Jebel Ali Free Zone enjoy 0% corporate tax on qualifying income, provided non qualifying mainland income stays below 5% or AED 5 million.

SMEs are exempt from the Domestic Minimum Top up Tax (DMTT), effective January 2025. The First Time Home Buyer Program, launched in July 2025, offers 5% discounts and flexible financing for properties up to AED 5 million, while the Golden Visa provides 10 year residency for investments over AED 2 million. With 30 to 50% R&D tax credits for sustainable designs, Al Warsan’s six affordable property options, priced from AED 450,000 to 2.5 million, deliver 6 to 8% rental yields and VAT free potential, making them ideal for 2025 investors.

Green Oasis Residences: Budget Friendly Modern Living

Green Oasis Residences, set for completion in Q3 2025, offers studios to 2 bedroom apartments starting at AED 450,000. These 400 to 1200 sq.ft. units feature smart home systems, energy efficient lighting, and views of lush community parks. Located near Warsan Lake, residents enjoy access to green spaces, a gym, and a communal pool, perfect for young professionals.

With a 80/20 payment plan and the First Time Home Buyer Program’s 5% discount, entry is affordable. Investors can expect 6 to 8% yields, up to AED 36,000 annually on a AED 450,000 unit, and 8 to 12% capital gains by 2027, driven by Al Warsan’s 20% price growth since 2022. Tax benefits include 0% VAT, 0% income tax, 0% capital gains tax, and 0% corporate tax for QFZPs, with R&D credits for eco friendly designs. Green Oasis is a VAT free starter home haven.

Warsan Village: Family Centric Comfort

Warsan Village, launching in Q4 2026, provides 1 to 3 bedroom apartments from AED 700,000, designed for families seeking affordability and space. These 600 to 1800 sq.ft. units offer sustainable finishes, smart appliances, and balconies overlooking green courtyards. Proximity to schools in Academic City and retail at Dragon Mart makes it ideal for family living.

The 70/30 payment plan and First Time Home Buyer discounts enhance accessibility. Investors can anticipate 6 to 8% yields, around AED 56,000 yearly on a AED 700,000 unit, with 8 to 12% capital gains by 2027. Tax perks include 0% VAT, 0% income tax, 0% capital gains tax, and 0% corporate tax for QFZPs, plus 30 to 50% R&D credits for green tech. Warsan Village is a VAT free family retreat.

Petalz by Danube: Urban Affordability

Petalz by Danube, set for Q2 2026, offers studios to 2 bedroom apartments from AED 600,000 in Al Warsan 4. These 450 to 1300 sq.ft. units feature modern architecture, smart security, and views of community gardens. With 25 amenities like a rooftop lounge and kids’ play areas, it’s perfect for young couples.

The 80/20 payment plan and First Time Home Buyer discounts make it budget friendly. Investors can expect 6 to 8% yields, up to AED 48,000 annually on a AED 600,000 unit, and 8 to 12% capital gains by 2028. Tax benefits include 0% VAT, 0% income tax, 0% capital gains tax, and 0% corporate tax for QFZPs, with R&D credits for sustainable tech. Petalz is a VAT free urban gem.

Olivz Residence: Modern Simplicity

Olivz Residence, completed in Q2 2022 with upgrades planned for Q1 2027, offers 1 to 3 bedroom apartments from AED 800,000. These 600 to 1600 sq.ft. units boast eco conscious designs, smart automation, and parkland views. Located near Dubai Plants Souq, it’s ideal for professionals and small families.

The 70/30 payment plan and First Time Home Buyer discounts add appeal. Yields range from 6 to 8%, around AED 64,000 yearly on a AED 800,000 unit, with 8 to 12% capital gains by 2028. Tax perks include 0% VAT, 0% income tax, 0% capital gains tax, and 0% corporate tax for QFZPs, plus 30 to 50% R&D credits for green designs. Olivz Residence is a VAT free modern haven.

Warsan Greens: Spacious Suburban Living

Warsan Greens, launching in Q3 2026, offers 2 to 4 bedroom apartments and townhouses from AED 1.2 million. These 1200 to 2500 sq.ft. units feature private balconies, smart home tech, and views of Warsan Lake. With jogging tracks, a clubhouse, and proximity to Dubai Safari Park, it’s perfect for families.

The 70/30 payment plan and First Time Home Buyer discounts ensure affordability. Investors can expect 6 to 8% yields, up to AED 96,000 annually on a AED 1.2 million unit, and 8 to 12% capital gains by 2028. Tax benefits include 0% VAT, 0% income tax, 0% capital gains tax, and 0% corporate tax for QFZPs, with R&D credits for eco tech. Warsan Greens is a VAT free suburban retreat.

Al Warsan Villas: Premium Affordability

Al Warsan Villas, set for Q4 2027, offers 3 to 5 bedroom villas from AED 2.5 million. These 2500 to 4500 sq.ft. homes feature private gardens, smart systems, and lush greenery views. With gated communities and proximity to Dragon Mart, it’s ideal for high net worth families.

The 60/40 payment plan and Golden Visa eligibility enhance allure. Yields hit 6 to 8%, up to AED 200,000 annually on a AED 2.5 million unit, with 10 to 15% capital gains by 2028. Tax perks include 0% VAT, 0% income tax, 0% capital gains tax, and 0% corporate tax for QFZPs, plus R&D credits for sustainable designs. Al Warsan Villas is a VAT free premium gem.

Why Al Warsan Is a VAT Free Investment Hub

Al Warsan’s transformation from an industrial zone to a residential hotspot offers a serene yet connected lifestyle. Its six projects Green Oasis Residences, Warsan Village, Petalz by Danube, Olivz Residence, Warsan Greens, and Al Warsan Villas range from AED 450,000 to 2.5 million, delivering 6 to 8% rental yields and 8 to 15% capital gains, fueled by 20% price growth since 2022 and 90% occupancy rates.

The UAE’s tax framework, with 0% VAT, 0% income tax, 0% capital gains tax, and 0% corporate tax for QFZPs, alongside DMTT exemptions for SMEs, maximizes returns. R&D credits of 30 to 50% for green tech align with Dubai’s Net Zero 2050 goals. The First Time Home Buyer Program and Golden Visa ease entry, while a 4% DLD fee and flexible payment plans enhance affordability. Risks like ongoing construction are mitigated by RERA’s escrow protections and high demand.

Tax Optimization Strategies

Leverage the First Time Home Buyer Programme for 5% discounts on properties up to AED 5 million. Establish a QFZP in Jebel Ali Free Zone for 0% corporate tax on qualifying income. Use DIFC or RAK ICC entities to avoid 9% rental tax. Claim 30 to 50% R&D credits for eco tech. U.S. investors can use the U.S. UAE Double Taxation Agreement via IRS Form 1118, consulting a tax advisor for $130,000 Foreign Earned Income Exclusion. Muslim investors should account for 2.5% Zakat on rental income.

Al Warsan’s Investment Outlook

Al Warsan’s growth, driven by Dubai’s Economic Agenda D33 and 25 million projected tourists in 2025, ensures strong demand. Connectivity via E311 and proximity to Dragon Mart fuel its appeal. Challenges like limited nightlife are offset by affordable pricing and infrastructure growth. Al Warsan is a VAT free wealth builder.

Conclusion

Green Oasis Residences, Warsan Village, Petalz by Danube, Olivz Residence, Warsan Greens, and Al Warsan Villas offer 6 to 8% yields and VAT free potential. With 0% taxes, R&D credits, and buyer incentives, Al Warsan is a prime destination for affordable investments in 2025.

read more: Jumeirah Bay Island: 5 Ultra Luxury Villas With Tax Efficient Structures

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