The Abu Dhabi Real Estate Centre (ADREC) has unveiled remarkable statistics highlighting the emirate’s property market development over the past year. Foreign direct investment (FDI) reached a record AED 7.86 billion ($2.14 billion), reflecting an extraordinary 125% year-on-year growth.
The sector witnessed contributions from 2,302 investors representing 105 countries, including the United States, the United Kingdom, Kazakhstan, Russia, France, and China.
This impressive growth is particularly noteworthy, occurring amidst global economic uncertainty. According to experts at Morgan Stanley, Abu Dhabi’s property market showcases exceptional resilience due to several key factors:
- The emirate’s strategic location as a global transport hub
- A favorable tax regime with no income tax
- Political stability in the region
- World-class infrastructure
Market dynamics and key indicators
In 2024, total property transactions reached an impressive AED 96.2 billion ($26.19 billion), marking a 24.2% year-on-year growth. A total of 28,249 transactions were recorded, comprising 16,735 sales worth AED 58.5 billion and 11,514 mortgage transactions totaling AED 37.7 billion.
Read also: Dubai Development Giant on the Verge of a Major Transformation.
According to Knight Frank, the average value of premium properties in Abu Dhabi rose by 15% year over year, significantly outpacing the global growth rate of 8.5%. Large-scale infrastructure projects, including the expansion of Abu Dhabi International Airport and the development of tourism infrastructure on Yas Island, drove this growth.
Promising projects and investment opportunities
In 2024, 38 new property projects were launched for sale during construction, while 12 major projects were completed. Return on investment (ROI) analyses have highlighted the most attractive areas for investment:
Affordable segment:
- Al Reef: 8.64% ROI for apartments
- Al Ghadeer: 8.41% ROI for apartments
- Hydra Village: 8.09% ROI for villas
Premium segment:
- Yas Island: 7.07% ROI for apartments and 6.28% ROI for villas
- Al Raha Beach: 6.09% ROI for luxury apartments
- Saadiyat Island: Average ROI of 6.5% for luxury properties
Emerging sustainable development projects like Masdar City also deserve special attention. Touted as the world’s first zero-carbon city, it represents a burgeoning eco-property market. According to ADREC’s forecasts, the Abu Dhabi real estate market is expected to enhance its investment appeal further in 2025, bolstered by the Abu Dhabi Economic Vision 2030, a comprehensive economic diversification program. Did you find this publication insightful and informative? If you’d like to stay updated on property developments in Dubai and beyond, subscribe to our property news updates and receive the latest notifications from the Lyukos website.
Read also: Global Real Estate Network IQI Strengthens Its Position in the UAE Market.
