Building Confidence Through Reliable Market Insights

Abu Dhabi continues to solidify its position as one of the world’s most attractive and resilient real estate markets. According to the Abu Dhabi Real Estate Centre (ADREC) H1-2025 Market Report, the Emirate achieved another record-breaking performance—reaching AED 54 billion in total real estate transactions, 38% growth in residential sales, and 6% growth in leasing values.

This marks a new phase for the capital—where real estate is not just a sector of investment, but a driver of sustainable economic and social growth.

Leadership Vision

H.E. Mohamed Ali Al Shorafa, Chairman of the Department of Municipalities and Transport (DMT), emphasized that Abu Dhabi’s real estate has become a key pillar of the economy.
He highlighted that tax-friendly policies, investor-friendly laws, and a secure, inclusive environment are continuously attracting residents and global investors from over 200 nationalities.

Meanwhile, Eng. Rashed Al Omaira, Director General of ADREC, underlined the Centre’s mission to create a transparent, data-driven, people-centric ecosystem.
ADREC’s strategic framework focuses on nine pillars — liveability, affordability, foreign investment, sustainability, transparency, technology, compliance, transaction growth, and service excellence.

Executive Summary – H1 2025 Highlights

These figures show that Abu Dhabi’s property market remains strongly underpinned by population growth, FDI inflow, and high-quality supply in master-planned communities.

Supply & Demand Overview

Abu Dhabi’s residential landscape reached ~400,000 units by H1 2025, growing at an annual average rate of 2.6% since 2022.
Demand, however, grew faster at 6%, showing clear room for additional supply—especially in mid- and affordable-income segments.

Future pipeline (2025–2028):

• Projected annual supply growth: 4.6%
  
  
• Estimated new units: 64,000
  
  
• Investment zone share of total stock: 21% → rising to 25% by 2028
  
  
• 77% of upcoming supply by 2028 driven by 7 major developers
  
  

Top Districts by Residential Stock (H1 2025)

These 10 key districts represent over 50% of Abu Dhabi’s total housing supply, with the majority concentrated in the Abu Dhabi Region.

Market Transactions & Sales Performance

Real Estate Transactions

• 2024: AED 98 Bn (+12% YoY)
  
  
• H1 2025: AED 54 Bn (+42% YoY)
  
  
• 81% of all transactions were paid in cash.
  
  
• 45% (AED 11 Bn) of H1 2025 sales came from the top 10 projects—led by Al Hidayriyat Island (AED 2.1 Bn).
  
  

Residential Unit Sales Breakdown – H1 2025

The strong off-plan momentum reflects investor confidence in high-end, master-planned destinations like Saadiyat, Yas, and Hidayriyat Islands.

 International Investment and Buyer Trends

Between 2019 and 2024:

• Residential sales tripled, with off-plan sales up 7×.
  
  
• 80% of value growth came from expatriate and foreign buyers.
  
  
  • Resident foreign purchases ↑ 4×
    
    
  • Non-resident FDI purchases ↑ 12×
    
    

Top Nationalities (2024):

• Resident Foreign: India, UK, Jordan, Russia, Egypt, Syria, USA, Canada, Pakistan, France
  
  
• Non-Resident Foreign: Russia, UK, China, USA, France, Germany, Kazakhstan, Azerbaijan, Canada, India
  
  

Price & Segment Dynamics

Pricing by Area (H1 2025)

Top Performing Projects

2024 – AED 24 Bn (50%+ of total)

1. Saadiyat Lagoons (5.7 Bn)
   
   
2. Al Hidayriyat Island (3.5 Bn)
   
   
3. Saadiyat Grove (2.9 Bn)
   
   
4. Nobu Residences (1.4 Bn)
   
   
5. Bloom Living (2.7 Bn)
   
   
6. Yas Riva (1.4 Bn)
   
   
7. Reem Hills (1.8 Bn)
   
   
8. Jubail Island (1.3 Bn)
   
   
9. Gardenia Bay (1.6 Bn)
   
   
10. Noya (1.3 Bn)
    
    

H1 2025 – AED 13 Bn

1. Al Hidayriyat Island (2.4 Bn)
   
   
2. Bal Ghaiylam (1.7 Bn)
   
   
3. Saadiyat Lagoons (1.3 Bn)
   
   
4. Mamsha Gardens (1.5 Bn)
   
   
5. Saadiyat Grove (0.9 Bn)
   
   
6. Faya Al Saadiyat (0.9 Bn)
   
   
7. Gardenia Bay (1.0 Bn)
   
   
8. Manarat Living (0.8 Bn)
   
   
9. Fountain View Residences (1.0 Bn)
   
   
10. W Residences (0.8 Bn)
    
    

Projected Supply (2025–2028)

Abu Dhabi will add around 64,000 new units by 2028, with the following key contributors:

56% of all new supply will come from these five districts.
42% of upcoming supply lies within investment zones.

Leading Developers (2025–2028 Pipeline)

ADREC projects 32 K–39 K new developer-built units by 2028, primarily in investment zones.

Leasing Market Insights

• Total Lease Value (2024): AED 15.9 Bn (+7%)
  
  
• Lease Volume: 232 K (+6%)
  
  
• H1 2025 Lease Value: AED 8.2 Bn (+6%)
  
  
• Apartments: 74% of lease value
  
  
• Villas/Townhouses: 26%
  
  
• 92% of all leases concentrated in the Abu Dhabi Region.
  
  

Average Lease Growth (2019–2024):

• Villas/Townhouses +7% annually (1.5× faster than apartments)
  
  
• Apartments +4% annually
  
  

Off-Plan vs Ready Market

• 70% of residential sales in 2024 were off-plan.
  
  
• Off-plan apartments recorded 27% annual growth (2019–2024).
  
  
• Ready-unit sales grew 38% in 2024, signaling rising end-user and investor appetite for immediate occupancy.
  
  

Price Bands & Market Segments

Apartments

• Luxury (> AED 20K /sqm) share doubled from 2023 to H1 2025.
  
  
• 57% of apartment sales in H1 2025 came from the luxury segment, led by Saadiyat Island.
  
  
• Only ~6% of sales were in low/mid segments (< AED 14K /sqm), mainly Masdar City.
  
  

Villas/Townhouses

• 70% of total sales volume in mid-to-high-range segments.
  
  
• Noya (Yas Island) and Bloom Living (Zayed City) accounted for 40% of mid-range sales.
  
  
• Only 6% of villa/townhouse off-plan sales were luxury (> AED 25K /sqm).
  
  

Regulatory & Legal Developments

In June 2025, DMT issued major amendments to the Abu Dhabi Real Estate Law, led by ADREC:

1. Balanced Off-Plan Resolution: Termination mechanism without litigation.
   
   
2. Transparent Compliance Framework: Clear penalties for violations.
   
   
3. Empowered Owners’ Committees: Structured governance and representation.
   
   
4. Broader Regulation: All real estate activities now formally regulated by ADREC.
   
   

Madhmoun Platform Launch

Abu Dhabi’s first verified Multiple Listing Service (MLS) — ensuring:

• Real-time verified listings
  
  
• No fake advertisements
  
  
• Transparent property data for all stakeholders
  
  

Market Outlook Toward 2028

• Demand (+6%) > Supply (+4.6%) → Continued upward pressure on prices and rents.
  
  
• Luxury segment to dominate new launches (Yas & Saadiyat).
  
  
• Cash-driven transactions (~80%) → Resilient to interest-rate cycles.
  
  
• Affordable & mid-income housing remain key growth opportunities.
  
  
• ADREC focus: Transparency, innovation, sustainable growth, and global investor confidence.
  
  

Conclusion

Abu Dhabi’s real estate market in H1 2025 underscores the emirate’s remarkable momentum.
With record transactions, surging FDI, premium new projects, and a modern regulatory ecosystem, the capital continues to stand as the safest, most stable, and most rewarding real estate destination in the region.

From waterfront towers on Saadiyat Island to luxury villas on Yas and Hidayriyat, Abu Dhabi offers not just investment opportunities — but a lifestyle powered by innovation, culture, and enduring value.