Jumeirah Village Circle faces pressure from huge influx of apartments

Jumeirah Village Circle, better known as JVC, is currently one of the most discussed neighbourhoods in Dubai when it comes to off-plan investments. The district, which was once popular with new residents due to its relatively low rental prices, now appears to be reaching its limits. In the next three years, 98,000 new apartments will be delivered across Dubai, with a significant 11% of them located in JVC.

That means over 10,000 new apartments in a district already known for its busy roads and complex road network. Anyone who has driven there knows it feels like navigating a maze.

With so many additional homes, a substantial increase in traffic is also expected, which will put further pressure on liveability.

High prices without demand: a risky combination

Although prices per square metre in JVC have risen by 13% in the past year and now stand at around AED 13,900 per m², there is a catch. This price increase is primarily driven by off-plan sales. Some new apartments have even sold for over AED 19,600 per m².

The problem: these high prices are not representative of the true market value. Many of these properties will not be able to be resold for a profit upon completion. Renting them out is often the only option, or owners may have to sell at a loss. Furthermore, in an area where many people only live temporarily until they can afford something better, demand is limited.

The combination of oversupply and relatively low appeal makes JVC a risky area in 2025 for buyers hoping for rapid capital appreciation.