Tag: Emaar Properties

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.