Dubai Metro Blue Line to reduce traffic and boost business

The 30km route will cost Dh18bn and is set to serve 320,000 passengers a day

The new Dubai Metro Blue Line will lead to a surge in local property prices, while contributing to a “substantial” reduction in road traffic, experts have said.

The Dh18 billion ($4.9 billion) 30km project, which will include 14 new stations, is expected to open in 2029.

New stations will be built in Mirdif, Al Warqa, International City 1 and 2, Dubai Silicon Oasis, Academic City, Ras Al Khor Industrial Area, Dubai Creek Harbour and Dubai Festival City.

The route is expected to serve 200,000 passengers a day by 2030, increasing to 320,000 a decade later.

Property boom The real estate market in the areas where the Blue Line is being developed will also experience growth. The RTA said the value of land and properties near the stations was expected to increase by up to 25 per cent.

“Usually the demand is higher in the areas near the Metro lines,” said Arta Gashi, a real estate expert with RE/MAX Valor.

The demand will come from different demographic groups, including families, students and Dubai residents who do not own cars.

“A big boost to the return on investment starting from 15 to 30 per cent is also expected,” she said.

Ms Gashi said off-plan purchases were currently among the more favourable options, because people could make their payment plans according to prices before the expected surge.

Long-term views The Blue Line could also lead to an increase in the populations of the areas it passes through, owing to the improvement in access and boost to businesses and facilities in those neighbourhoods.

“Interconnectivity and ease of access is so important in Dubai,” said Leigh Wilmot, area manager for Treo Homes.

“If you look at the location of the new Blue Line, it is going to provide a lot of convenience for a lot of people and I do think that it will provide a small, perhaps 5 per cent, bump in property values in the areas that are mainly apartments.

“But the real effect is that the new line will also provide better access to facilities in that area. This will in turn allow for more amenities and businesses to open.”

Mr Wilmot said he expected property prices to rise sharply once there was more on offer in the areas along the route.

“It’s one of those yes and no situations. Will [the new Metro line] affect property prices directly? Not too much,” he added. “Will it affect prices long term once the area has transformed? Definitely, yes.”