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  • Dubai Property Market Has Nothing to Fear, Says Emaar Founder

    Dubai Property Market Has Nothing to Fear, Says Emaar Founder

    The UAE’s real estate sector continues to demonstrate exceptional confidence amid geopolitical uncertainty, according to one of its most prominent figures. Mohamed Alabbar, CEO and founder of Emaar Properties, one of the world’s largest real estate developers, expressed absolute certainty that Dubai’s property market will weather both regional tensions and the wave of new supply expected in 2026 and 2027.

    “We are not here for the short run. We are here for a long, long time to do business,” Alabbar said in a recent interview with CNBC. He characterized the incoming supply as a natural feature of a market built on decade-long ambitions rather than short-term speculation. While acknowledging that a brief cooling-off period is possible, he dismissed concerns about structural problems ahead.

    Market Sentiment Remains Firm

    To illustrate current confidence levels, Alabbar shared a telling anecdote from his personal property search. Currently looking for a seafront apartment for his own use, he noted that after two days of viewing, not a single seller was willing to negotiate on price.

    “Nobody wants to budge. Nobody wants to give a discount. That’s a true situation.”

    The observation serves as a quiet but powerful signal of where sentiment stands on the ground, reflecting sustained demand despite external pressures.

    Structural Resilience Built on Prudent Lending

    Alabbar highlighted a fundamental characteristic that distinguishes Dubai from other global property markets: its real estate sector is not built on bank borrowing. Lending to buyers remains tightly restricted, insulating the market from credit-driven collapses seen elsewhere during financial crises.

    “Our real estate business is not built on bank borrowing. Bank borrowing is very restricted in this market,” he explained, adding that while consumer confidence may experience temporary dips, the UAE’s policy environment has a proven track record of restoring it quickly.

    This assessment aligns with recent market performance. Dubai real estate continues processing deals exceeding $100 million, with developers reporting uninterrupted operations despite some buyers adopting a cautious stance.

    Long-Term Capital Recognizes Stability

    On the broader question of geopolitical uncertainty and Dubai’s reputation as a refuge for global wealth, Alabbar expressed unwavering confidence. He argued that investors who study the trajectory of UAE policy over years and decades will consistently find the same qualities: consistency, sustainability, wisdom, and stability.

    “A country like this, with all these principles and stable leadership and the safety, it has shown that it can deliver,” he stated.

    Alabbar reserved particular admiration for the UAE’s leadership and its capacity for long-range strategic planning. While acknowledging he is not versed in military affairs, he said he was genuinely moved by the country’s demonstrated capabilities during recent tensions.

    “People with true capital understand this, they appreciate this, and they will double down on investing.”

    The sentiment echoes statements made earlier this week, when Alabbar noted that recent attacks have ultimately reinforced confidence in the country’s stability, pointing to decades of consistent policy and institutional strength.

    Market Context and Performance

    Alabbar’s confidence comes as Dubai’s property sector maintains strong fundamentals. The emirate’s real estate market recorded 874 transactions worth AED2.46 billion on March 2, 2026, demonstrating sustained investor confidence as economic fundamentals continue to outweigh short-term geopolitical sentiment.

    The debt-free structure of Dubai’s real estate market, combined with prudent lending restrictions and long-term government planning, positions the emirate to absorb new supply without the leverage-driven volatility that has characterized property cycles in other global cities. As regional tensions persist, Dubai’s market continues to attract capital seeking stability, transparency, and proven governance frameworks.

  • Alabbar: UAE Proves Safety Credentials Amid Regional Tensions

    Alabbar: UAE Proves Safety Credentials Amid Regional Tensions

    Speaking in a CNBC interview that aired on Friday, Alabbar said the UAE’s ability to intercept incoming threats has underscored its reputation as a global safe haven.

    The past days have proven that we are really a safe country.

    The developer emphasized that the UAE’s long-term policy consistency and stability have been built over decades and cannot easily be undermined.

    “If you were to look and study the trajectory of UAE policies, you will see consistency, you will see sustainability, you will see wisdom, you will see stability — all for one purpose: to create an incredible life for the people who live here,” he said. “You don’t build this over one year, two years: it took us over 40 years for the leadership to establish this.”

    Alabbar added that recent developments are unlikely to weaken investor confidence in the UAE, noting that Dubai’s property market continues to attract strong interest.

    “Success does not happen by luck,” he said. “Because of years of great policies, stability, competence and fairness that exist in this country, that really have pushed tremendous belief in this country and what the future holds.”

    Alabbar also dismissed concerns about a major correction in Dubai’s property market, despite regional tensions. “I know my business well. I know the banking system. I know the business environment,” he said. “I have no concerns.”

    He pushed back against predictions made by global ratings agency Fitch in 2025 about a 15% property price correction, calling the forecast “very unrealistic” based on his analysis of business data.

    High Interception Rate Demonstrates Defense Capability

    Alabbar’s comments come as figures released by the UAE Ministry of Defence on March 5 show that the country’s air defence systems have intercepted the vast majority of missiles and drones launched toward the UAE since the escalation began.

    According to the ministry:

    • 1,072 drones were detected, with 1,001 intercepted
    • 196 ballistic missiles were detected, with 181 intercepted
    • Eight cruise missiles were detected, with all eight intercepted

    A total of 71 drones impacted on land, while two ballistic missiles struck inside the country and 13 fell into the sea, according to the ministry’s latest update. The figures highlight the scale of the attacks but also the effectiveness of the UAE’s layered air defence systems.

    Meanwhile, the intensity of strikes across the region appears to be declining. Iranian ballistic missile launches were down 90% from the first day of fighting, while drone attacks have fallen 83%, according to reporting by The Wall Street Journal on Friday.

    Institutional Strength Reinforces Investor Confidence

    Analysts say the UAE’s response to the crisis may ultimately reinforce investor confidence. Simon Wolfe, co-founder and managing partner of Marlow Global, said the country’s institutions and communications have remained strong despite the scale of the attacks.

    “In the short term, there is a physical reality here that optimism cannot shortcut. Airports, ports and energy infrastructure will take weeks to come back online, and the disruption to trade flows and aviation connectivity is real and immediate,” Wolfe told Gulf Business this week.

    However, Wolfe said the UAE’s response demonstrates the strategic qualities that attracted global investors to the country in the first place.

    “Look at what the UAE has actually done in the face of an extraordinary assault: its institutions have held, its government has communicated with clarity, and it has called for negotiated resolution within days of being targeted,” he said. “And perhaps most importantly, the air defences have, in large part, held. This demonstrates exactly the kind of strategic maturity that made it attractive to global capital in the first place.”

    The UAE real estate sector has demonstrated operational resilience in early March 2026, with Dubai recording sustained transaction activity despite heightened regional tensions.

  • Alabbar: Dubai Property Market Remains Strong Despite Regional Tensions

    Alabbar: Dubai Property Market Remains Strong Despite Regional Tensions

    Dubai’s real estate sector remains fundamentally strong as global capital continues to flow into the emirate, according to Mohamed Alabbar, who told CNBC that the UAE’s long-term development strategy and stable leadership have created an environment that withstands external pressures.

    “It’s the global business hub, and its success, its limelight, its reflection of what life should be and what success should be, what prosperity should be, what positive you should be is this place,” Alabbar said, adding that attempts to undermine that success will ultimately fail.

    Fundamentals Built Over Four Decades

    Alabbar acknowledged that social media speculation can amplify fears during periods of geopolitical tension but emphasized that the UAE’s track record demonstrates consistency and wisdom. “If you were to look and study the trajectory of UAE policies, you will see consistency, you will see sustainability, you will see wisdom, you will see stability,” he stated.

    According to the Emaar founder, the country’s leadership has spent more than 40 years building systems designed to deliver prosperity for residents and investors. Recent events have only reinforced confidence in the nation’s safety and infrastructure, he noted.

    “I promise you what happened will only strengthen what this country is all about.”

    Capital Flows Accelerate, Not Reverse

    Addressing concerns that capital moved to the UAE during global crises could now begin to leave, Alabbar pointed to recent market performance as evidence of sustained confidence. “If you were to look at the past two years, just look at our business, the real estate business alone, we had an increase of almost 70% in 2023, we had 40% in 2024, we have another 40% in 2025,” he said.

    The developer said sophisticated investors recognize the strength of the UAE’s fundamentals and are likely to deepen their commitments rather than pull back. Dubai’s real estate market recorded AED2.46 billion in transactions on March 2, 2026, demonstrating sustained activity levels.

    “Smart capital understands that a country like this, with all these principles and stable leadership and the safety that it has shown that it can deliver,” Alabbar said. “People with true capital understand this and they appreciate this and they will double down on investing anyway.”

    No Signs of Market Weakness

    Alabbar said current demand shows no indication of softening. He recounted his own recent experience searching for an apartment in Dubai: “Myself, I’m looking for one building, one apartment overlooking the sea that I didn’t buy in, and the past two days I’ve been looking and it seemed like nobody want to budge. Nobody want to give a discount.”

    That reflects a market where sellers remain confident and demand stays firm. While consumer confidence may soften temporarily during periods of uncertainty, the country’s policies tend to restore confidence quickly, he added.

    Correction Forecasts ‘Unrealistic’

    Some analysts have warned that Dubai’s property market could face a correction as new supply enters the market, with Fitch Ratings recently suggesting prices could decline by up to 15%. Alabbar dismissed that scenario as unlikely.

    “I know my business well. I know the banking, I know the business environment, because I operate in multi industries,” he said. “The banking system is so strict, amazing discipline. Government policies are just getting better and better. I have no concerns.”

    Asked directly whether a 15% correction was realistic, Alabbar was unequivocal: “In my opinion, the way I do, the way I look at my business and listen, I look at so much data, I think it’s very unrealistic.”

    Recent high-value transactions support his assessment. Dubai recorded a Dh422 million apartment sale at Aman Residences on March 5, 2026, marking the third most expensive apartment transaction in the emirate’s history.

    New Supply Could Stabilize Growth

    Dubai is preparing for a wave of new property supply expected in 2026 and 2027. Alabbar said additional inventory could benefit the market by preventing prices from rising too quickly and maintaining the city’s competitiveness.

    “I said this a year ago. The supply that’s coming in in 2026 and 2027 will be good for the market,” he stated. “We are not here for the short run. We are here for a long time to do business.”

    The developer said he prefers a market where property prices rise gradually—around 5% to 6% annually—rather than experiencing sharp spikes that could undermine long-term stability. “Jacking up prices too high doesn’t benefit anybody,” he said.

    Real estate costs play a significant role in inflation, contributing approximately 50% to 52% of overall price increases, Alabbar noted. Maintaining balanced growth helps both investors and residents. “We don’t also want investors and people who come here for their jobs to really feel that the city is too expensive,” he added.

    Long-Term Stability Over Short-Term Gains

    Alabbar said the goal for Dubai’s property sector should be stability rather than aggressive price increases. Developers are already generating strong returns at current price levels, and maintaining balanced growth will help sustain Dubai’s appeal as a global destination.

    “Developers are making enough money with these prices. We should not shoot too high,” he said. “I want stability. I want long term.”

    A modest adjustment driven by new supply could help ease pressure on housing costs without undermining the broader market, he concluded. Emaar recently confirmed that UAE property sales reached Dh17.2 billion in the first two months of 2026, marking a 118% increase year-on-year.

  • Dubai Records Dh422 Million Apartment Sale Amid Regional Tensions

    Dubai Records Dh422 Million Apartment Sale Amid Regional Tensions

    A luxury apartment spanning 31,201 square feet at Aman Residences Dubai on the Jumeirah Peninsula has been sold for Dh422 million ($115 million), marking one of the most significant property transactions in the emirate’s history amid heightened regional uncertainty.

    The deal, confirmed by fäm Properties, was completed off-plan and valued at Dh13,525 per square foot according to DXBinteract, the data platform developed in partnership with Dubai Land Department.

    Firas Al Msaddi, CEO of fäm Properties, said the transaction reflects fundamental structural strength in Dubai’s real estate sector.

    “The sale of an ultra-luxury unit at this level is particularly relevant in the current circumstances. It underlines the fact that the Dubai real estate market is structurally stronger than it has ever been. Over 70 per cent of transactions are now end-user driven, not speculative. The buyer base is globally diversified,” Al Msaddi stated.

    He emphasized that mortgage activity has doubled in four years and the regulatory environment has matured, with market fundamentals remaining unchanged despite regional events.

    The transaction comes as Dubai’s ultra-prime segment continues to demonstrate resilience. The sale represents the third most expensive apartment ever recorded in the emirate.

    Market analysts point to shifting buyer dynamics supporting the sector’s evolution. End-users transitioning from rental to ownership, continued international capital participation, and expansion of freehold corridors across strategic districts have broadened the participation base.

    Al Msaddi noted that UAE authorities’ commitment to safety and security sends a powerful message to investors globally. “It’s a sale which says so much about the UAE as a whole, and in this case, in particular, about Dubai as one of the world’s leading destinations for wealthy real estate investors,” he added.

    The market’s momentum is supported by disciplined supply pipelines and phased project launches that continue to reinforce pricing stability across key communities. More than 70 per cent of current transactions are driven by end-users rather than speculation, with a globally diversified buyer base providing additional market stability.

    This transaction reinforces Dubai’s position as a safe-haven real estate market, demonstrating that high-value property activity continues despite external pressures, with investors maintaining confidence in the emirate’s long-term prospects and governance framework.

  • Emaar Confirms Normal Operations as Sales Double in Early 2026

    Emaar Confirms Normal Operations as Sales Double in Early 2026

    Dubai’s largest property developer assured investors and residents that comprehensive business continuity planning and coordination with relevant authorities ensure uninterrupted operations across all its assets.

    The statement, posted on the Dubai Financial Market where Emaar is listed, comes as the company reported exceptional momentum entering 2026 following record-breaking 2025 results.

    “With diversified income streams, strong liquidity, and disciplined cost management, Emaar remains well-positioned to sustain growth and contribute to the continued strength and resilience of Dubai’s capital markets,” the company stated.

    Record 2025 Performance Sets Foundation

    Emaar achieved its highest-ever property sales of AED80.4 billion ($21.9 billion) in 2025, alongside record revenue of AED49.6 billion and net profit before tax of AED25.7 billion. The company’s revenue backlog reached AED155 billion as of December 31, 2025, providing strong visibility over future earnings and cash flows.

    Recurring income streams across malls, hospitality, leisure, entertainment and commercial leasing accounted for 32% of total EBITDA, reflecting the strength of Emaar’s diversified and resilient operating model.

    “Emaar’s performance reflects the strength of Dubai’s economic vision and the confidence investors place in its stability and long-term prospects,” said Mohamed Alabbar, Founder of Emaar. “The city continues to demonstrate resilience, supported by effective leadership, sound regulation and a dynamic business environment.”

    Strong 2026 Start Signals Sustained Demand

    The developer’s UAE property sales reached AED17.2 billion in the first two months of 2026, compared to AED7.9 billion during the same period in 2025, representing a 118% year-on-year increase. This performance aligns with broader market trends showing sustained transaction volumes across Dubai’s property sector.

    Supported by strong cash generation and consistent performance, Emaar’s Board of Directors recommended maintaining dividends at 100% of share capital for 2025, reinforcing the company’s commitment to delivering sustainable value to shareholders.

    Strategic Position for Long-Term Growth

    Emaar’s strong balance sheet includes a substantial land bank of approximately 618 million square feet, positioning the company to navigate evolving regional developments while maintaining disciplined expansion. The developer emphasized that Dubai’s clear regulatory environment, diversified economy and proactive governance continue to reinforce investor confidence.

    The company’s performance comes as Dubai’s real estate market transitions toward more structured capital allocation, with major developers expanding their portfolios to meet growing demand driven by population growth exceeding four million residents.

    Emaar’s operational continuity and financial strength underscore the resilience of Dubai’s real estate sector, which recorded nearly Dh900 billion in transactions during 2025, reinforcing the emirate’s position as a leading global property investment destination.

  • UAE Real Estate Shows Resilience as Dubai Records $670 Million in Transactions

    UAE Real Estate Shows Resilience as Dubai Records $670 Million in Transactions

    The UAE economy and real estate sector remain resilient amid rising regional tensions, according to a report released by Provident Estate on March 4, 2026. Recent geopolitical developments following escalation between the United States and Iran over the weekend of March 1 triggered precautionary measures across several Gulf states, including the UAE.

    While such developments naturally created short-term uncertainty among investors and market observers in Dubai, Abu Dhabi, and Ras Al Khaimah, the operational reality across the country remained stable with underlying fundamentals unchanged.

    Market Activity Rebounds Quickly

    Following a temporary sentiment-driven slowdown over the weekend, the UAE real estate market resumed momentum as the new week began. Official figures from the Dubai Land Department confirmed that 874 real estate transactions worth AED2.46 billion ($670 million) were recorded on Monday, March 2.

    These numbers highlight continued market liquidity and sustained investor confidence. Across the sector, operations remained fully active: holiday homes continued operating at high occupancy levels, hotel bookings remained strong, and property handovers, snagging services, contract renewals, and secondary market viewings proceeded consistently across key communities.

    “Dubai’s real estate market has proven time and again that it is built on strong fundamentals rather than short-term sentiment. What we are seeing now is a brief moment of caution, not a shift in investor confidence. Activity across transactions, rentals and hospitality clearly shows that the market continues to operate with resilience and stability,” said Loai Al Fakir, CEO of Provident Estate.

    The performance aligns with broader market trends documented earlier in 2026. Emaar Properties reported doubled sales in the first two months of 2026, with UAE property sales reaching Dh17.2 billion—a 118% year-on-year increase.

    Government Response Ensures Continuity

    The UAE government responded swiftly to developments, implementing enhanced security measures across air, sea, and land infrastructure to ensure operational continuity. Authorities acted immediately to safeguard infrastructure, supply chains, utilities, and public services.

    As a result, daily life across the country continued uninterrupted. Airports remained fully operational, roads and transportation networks functioned normally, and retail and hospitality venues stayed open. Major destinations including Dubai Mall, Downtown Dubai, and other central commercial districts remained active, reinforcing the stability of the UAE’s economic environment.

    Despite heightened media attention, the difference between perception and reality on the ground proved significant. Over the 48 hours following the initial weekend tensions, no further escalation occurred, with public spaces remaining busy and daily routines continuing normally.

    Structural Strengths Underpin Market Confidence

    Real estate remains a cornerstone of the UAE’s long-term economic strategy, playing a central role in the country’s positioning as a global hub for investment, tourism, aviation, and financial services. The resilience of the market is supported by several structural strengths:

    • Strong banking liquidity
    • Advanced institutional crisis management
    • Diversified national economy
    • Long-term urban development strategies
    • Continued global investor confidence

    These foundational pillars represent permanent features of the UAE’s economic model rather than temporary advantages. The broader market context supports this assessment: Dubai’s February 2026 transactions totaled AED60.60 billion ($16.5 billion), marking an 18.14% value increase year-on-year.

    The commercial sector has shown particular strength, with commercial property sales reaching Dh17.1 billion in early 2026—an 82% year-on-year increase driven by limited Grade A office supply.

    Market Outlook Remains Positive

    Based on current developments, market expectations remain positive for continued operational stability. The absence of further escalation reinforces confidence that the situation remains contained.

    “The UAE has repeatedly demonstrated its ability to navigate regional tensions while maintaining economic continuity and investor trust. Short-term headlines may shift sentiment, but they do not alter long-term fundamentals. Operations continue. Confidence remains. The market is functioning,” the Provident Estate report concluded.

    The resilience demonstrated in early March 2026 reflects the maturation of the UAE real estate sector from speculation-driven dynamics to a more institutionalized market structure, with strategic capital now accounting for approximately 40% of transactions.

  • Wasl Group Plans to Double Affordable Housing Portfolio by 2031

    Wasl Group Plans to Double Affordable Housing Portfolio by 2031

    Wasl Group currently manages one of Dubai’s largest affordable housing portfolios, comprising approximately 45,000 residential units across the emirate. These communities accommodate nearly 180,000 residents, over 90% of whom are families, positioning Wasl as a central player in supporting stable, community-driven living.

    The expansion plan follows a Memorandum of Understanding signed in May 2025 with the Roads and Transport Authority and Dubai Municipality. The coordinated effort will span a total planned area of 1.46 million square metres, with delivery phased over multiple stages to ensure infrastructure readiness and long-term community viability.

    Wasl’s current developments include Wasl Village in Al Qusais, which comprises about 6,200 residential units ranging from studios to three-bedroom apartments, and Wasl Green Park, offering around 2,527 units set within landscaped surroundings. Both projects exemplify the integration of affordability with quality urban living standards.

    The initiative directly supports the Dubai 2040 Urban Master Plan, which calls for a balanced housing ecosystem encompassing luxury, mid-income, and affordable segments. In August 2025, Dubai’s population crossed 4 million, with nearly 567 new residents settling in the emirate daily.

    The programme additionally advances the Dubai Economic Agenda D33, supporting workforce stability and economic productivity by diversifying housing supply amid the city’s rapidly growing population. With property market momentum continuing into 2026, the focus on affordable housing addresses a critical segment of market demand.

    Wasl’s developments are designed around connectivity, community infrastructure, greenery, and access to premium amenities, reflecting a commitment that quality living should be accessible across all income levels. The phased delivery approach aims to ensure infrastructure readiness and sustainable community development as the emirate’s residential market evolves.

  • UAE Short-Term Rental Market Among World’s Fastest Growing

    UAE Short-Term Rental Market Among World’s Fastest Growing

    The UAE’s short-term rental sector is experiencing unprecedented expansion, driven by pro-investment policies, streamlined licensing frameworks, and surging tourist arrivals, according to Anna Skigin, founder and CEO of Frank Porter.

    “We see this momentum daily, with both international investors and returning guests choosing apartments over traditional hotel stays,” Skigin said.

    Frank Porter, which manages over 650 properties across the UAE, primarily in Dubai, identified strong demand in established areas including Dubai Marina, Downtown Dubai, Business Bay, and Palm Jumeirah. Emerging lifestyle districts such as Dubai Design District also show significant future potential.

    Performance Metrics Signal Market Strength

    The firm analyzed two key indicators highlighting the UAE’s robust short-term rental performance: Average Daily Rate (ADR), measuring the average nightly guest payment, and Revenue Per Available Room (RevPAR), assessing overall revenue performance.

    Rising ADR reflects sustained demand and increased confidence in accommodation quality, while higher RevPAR indicates properties achieve stronger pricing alongside high booking levels.

    “The upward movement in both ADR and RevPAR demonstrates a market that is expanding in both value and performance,” Skigin explained. “Operators are successfully increasing returns while sustaining strong demand.”

    UAE cities are outperforming global markets due to rapid growth in licensed short-term rental units, high occupancy rates, rising visitor numbers, and sustained real estate investment flows. The synergy between the private sector and UAE government has created an environment where “the sector can expand sustainably,” Skigin noted.

    This growth aligns with broader market trends, as Dubai’s rental market stabilizes following years of rapid appreciation.

    Design and Guest Expectations Evolve

    Frank Porter’s in-house design team reported growing demand for aesthetically pleasing hotel-inspired interiors. Guests increasingly seek high-speed Wi-Fi for work-from-home functionality, outdoor living spaces, and Instagram-worthy design details.

    Short-term rentals must deliver a home-like atmosphere while appearing upgraded to compete effectively, the firm emphasized.

    “Professional management is key. Performance increasingly depends on dynamic pricing, hotel-grade housekeeping, guest communication speed, high-quality listing content and strict regulatory compliance—all of which we manage day-to-day for our clients.”

    Complementing Traditional Hospitality

    While short-term rentals gain popularity, Skigin emphasized they complement rather than replace hotels.

    “Hotels continue to dominate corporate and event-driven stays, while short-term rentals capture families, couples, long-stay professionals, remote workers and group travellers,” she said.

    The short-term rental boom reflects broader dynamics in the UAE property sector, where population growth exceeds four million and rental contracts reached Dh126 billion in 2025, demonstrating sustained accommodation demand across all segments.

  • School Proximity Drives 35% Villa Price Surge in Dubai

    School Proximity Drives 35% Villa Price Surge in Dubai

    Mature villa neighborhoods with easy access to top-tier educational institutions are significantly outperforming the broader Dubai property market, with genuine end-user demand from families replacing speculative investment as the primary driver of growth.

    The latest Property Monitor Dynamic Price Index, tracking three-month moving average median prices per square foot across 42 master communities, reveals that education proximity has become a primary decision-making filter for villa buyers planning five to ten years ahead.

    Victory Heights leads the surge, with non-renovated villas posting annual price increases between 25% and 35%, while renovated properties rose 15% to 20%. Townhouses around the Dh5 million mark saw more modest gains of approximately 10%, partly due to mortgage loan-to-value restrictions on properties above this threshold.

    Matthew Bate, founder and CEO of BlackBrick, emphasized the fundamental shift in buyer behavior:

    Dubai’s villa market is being led by families planning five to ten years ahead, and education is central to that decision. School proximity is no longer a secondary consideration—it has become one of the primary decision-making filters.

    Arabian Ranches demonstrates similar pricing resilience, driven by sustained demand from families seeking proximity to Jumeirah English Speaking School (JESS). Non-renovated villas in the community have delivered annual gains of 20% to 25%, with high-end properties above Dh15 million achieving rental yields up to 7-8% when fully renovated.

    Annual tuition fees at leading British and International Baccalaureate schools in Dubai typically range from Dh95,000 to over Dh105,000, reinforcing the profile of buyers who prioritize convenience and long-term lifestyle planning over short-term investment returns.

    The trend mirrors patterns in mature global real estate markets such as London and Singapore, where properties near top schools consistently command price premiums. Knight Frank reported that Dubai’s prime villa market recorded double-digit growth through 2025, driven largely by expatriate families relocating for long-term residency.

    Faisal Durrani, partner and head of Middle East research at Knight Frank, observed:

    The shift toward end-user driven buying is making the market more stable and sustainable. Communities offering lifestyle infrastructure such as schools, parks and retail are seeing the strongest and most resilient price growth.

    CBRE data supports the education-driven narrative, reporting that average villa prices in Dubai rose by more than 20% in 2025, significantly outpacing apartment price growth as family buyers sought larger homes in well-established neighborhoods.

    Taimur Khan, head of research for the Middle East and Africa at CBRE, noted that villa communities with strong schooling options and established infrastructure continue to outperform, supported by limited supply and a growing base of long-term residents.

    The growing importance of education-linked property decisions is reinforcing long-term market stability. With many buyers committing to five- to ten-year ownership horizons, transaction volumes in mature villa communities are increasingly driven by end users rather than short-term investors, reducing volatility and supporting sustained capital appreciation.

    Industry analysts expect school proximity to remain a defining factor in villa pricing as Dubai continues to attract global talent and high-income families seeking long-term residency. With limited new supply in mature neighborhoods and strong demand from families prioritizing education and lifestyle, the emirate’s established villa communities are likely to maintain upward momentum through 2026 and beyond.

  • UAE to Add 390,000 New Homes by 2030

    UAE to Add 390,000 New Homes by 2030

    Dubai will account for the majority of this pipeline, with apartment-led mixed-use communities continuing to dominate new launches, while Abu Dhabi focuses more on premium villas and waterfront neighbourhoods.

    Across the broader Gulf region, residential supply is expected to increase from approximately 6.26 million units in 2025 to 7.28 million units by 2030, with Saudi Arabia and the UAE accounting for the bulk of new supply. Saudi Arabia’s residential stock is estimated to grow by 499,000 units during this period, reaching 3.45 million by 2030, driven by giga projects in Riyadh and Jeddah.

    “Dubai has led this transformation, establishing itself as a global metropolis fuelled by foreign ownership, massive infrastructure investments and ambitious strategies,” said Sameena Ahmad, Managing Director, Alpen Capital.

    According to Ahmad, the region’s real estate industry is expected to witness steady supply across residential, commercial, hospitality and retail segments over the next few years, largely supported by continued government spending and investments in world-class infrastructure.

    What This Means for Rental Prices

    A supply increase of this scale typically shifts the balance between landlords and tenants. The report stated that supply growth in the GCC is becoming more “structured” and increasingly aligned with demand rather than speculative expansion, which could reduce the risk of sharp corrections.

    However, with nearly 390,000 additional homes entering the UAE market over five years, rental growth is likely to moderate if deliveries outpace new household formation. The study highlights that population growth, expatriate inflows and urbanisation remain strong demand drivers.

    The UAE’s population has surpassed 11 million in 2025, according to Worldometer, with continued inflow of expatriates and high-net-worth individuals supporting both mid-tier and luxury segments. If those inflows remain steady, the additional supply may ease pressure without triggering a widespread rent correction. But in sub-markets where deliveries cluster heavily, tenants could gain greater negotiating power.

    Property Price Outlook

    The report from Alpen stated that supply across the GCC is entering a more disciplined phase, with greater emphasis on mixed-use developments, asset quality and long-term livability.

    “Over the coming years, we expect supply–demand dynamics across the GCC to become more balanced. Large-scale developments are being phased more strategically, with a clear emphasis on quality, mixed-use formats, and demand-led execution,” said Sharmin Karanjia, Executive Director, Alpen Capital.

    Karanjia noted that development trends are shifting towards master-planned, sustainable, and technology-enabled communities focused on long-term liveability. While certain sub-markets may experience short-term oversupply pressures, well-located and high-quality projects are likely to continue seeing strong absorption and pricing support.

    “As major development zones reach operational maturity, investors will have a broad base of high-quality assets maintaining interest from both regional and international buyers,” Sharmin added.

    Future Development Drivers

    High disposable incomes, steady population growth, expatriate inflows, and a favourable tax environment will remain key demand drivers across the region. Future development pipelines will feature mixed-use projects, enhanced asset quality, sustainability, and the integration of residential, commercial and lifestyle components.

    In the commercial segment, office supply across the GCC is estimated to expand from 33.3 million sqm in 2025 to 42.4 million sqm by 2030, with over 65 per cent of new supply delivered in Saudi Arabia and the UAE, according to the existing pipeline.

    The findings align with broader market trends, as GCC real estate markets sustain growth momentum driven by infrastructure investment and easing monetary conditions. Meanwhile, property buyers shift to value-driven approaches, prioritizing developer credibility and rental yields over speculative gains.