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UAE property market soars to $87bn as luxury sales set records

UAE property market soars to $87bn as luxury sales set records

Arabian Business18 hours ago
The UAE's real estate sector is maintaining its strong upward momentum, recording more than 96,000 property transactions in the first half of 2025 worth a total of AED322bn ($87bn), fuelled by robust demand from both domestic and international buyers.
From luxury waterfront villas to landmark high-rises, the market's breadth reflects continued confidence in the country's property sector.
Josh Gilbert, Market Analyst at eToro, said: 'This trend is supported by robust policy initiatives, including foreign ownership reforms, which have attracted more ultra-high-net-worth individuals to the UAE than ever before.
'Tax incentives, golden visas, and the UAE's unmatched lifestyle continue to make the country a top destination for investors.
UAE real estate luxury sales records
The premium end of the market continues to deliver standout results. Aldar Properties recently closed a record AED400m ($109m) sale for a mansion at Faya Al Saadiyat in Abu Dhabi.
Developer earnings have also surged:
Emaar Properties posted a 34 per cent rise in net profit to AED10.4bn ($2.83bn), driven by a 46 per cent jump in property sales and a development backlog of AED146.3bn ($39.85bn)
Aldar Properties reported a 24 per cent year-on-year net profit increase to AED4.1bn ($1.12bn), with revenues up 42 per cent to AED15.5bn ($4.22bn) and a record development backlog of AED 62.3bn ($16.96bn)
Both companies have seen strong share price performance in 2025, with Aldar up 29 per cent and Emaar up 15 per cent, alongside attractive dividend payouts.
Investor sentiment is shifting decisively toward property. eToro's latest Retail Investor Beat survey found 52 per cent of UAE retail investors now view real estate and construction as the most promising sectors for the next 12 months — surpassing technology.
Developers are riding a wave of booming off-plan sales, strong rental demand, and sustained infrastructure investment. Supported by favourable macroeconomic policies, rising tourism, and deep investor appetite, UAE real estate stocks are offering a rare mix of growth, stability, and yield.
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Solidarity Bahrain reports $16.18mln profit for H1 2025
Solidarity Bahrain reports $16.18mln profit for H1 2025

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Solidarity Bahrain reports $16.18mln profit for H1 2025

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Kuwait mulls controlled foreign property rights
Kuwait mulls controlled foreign property rights

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Kuwait mulls controlled foreign property rights

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'Controlled permission for foreign ownership could also boost both the tourism and real estate sectors, while improving Kuwait's image as an attractive destination for investment— especially in light of the government's ongoing efforts to diversify income sources and reduce reliance on oil,' he explained. He stressed the importance of implementing strict regulations, including designating specific areas for ownership, setting investment thresholds, and limiting the types of properties available for purchase. 'These measures would protect citizens' access to property and prevent unintended price increases,' he asserted. He suggested starting with alternative ownership models like long-term usufruct rights or ownership restricted to commercial and tourism purposes, to strike a balance between fostering investment and preserving national interests. 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RAK Properties delivers robust H1 2025 performance
RAK Properties delivers robust H1 2025 performance

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RAK Properties delivers robust H1 2025 performance

Exceptional financial performance for the half year ended June 30th is indicative of a high-performing developer deeply embedded in a rapidly evolving real estate destination with evolving global reach KEY HIGHLIGHTS H1 2025 revenue increased by 27% to AED774.79 million Net Profit soared to 80% AED160.60 million Sales Value increased by 101% to reach AED1,411 million Sales backlog grows 42% YoY to AED 2,624 million giving clear visibility on future cashflow Operating Profit jumped 47% to AED204.15 million 42% increase in EBITDA to AED239.25 million showcases healthy cash generation and operational strength Strong financial position reflected in 3.5% total assets growth to AED8,290 million coupled with 3% boost to Capital and Reserves Ras Al Khaimah, UAE: RAK Properties (ADX: RAKPROP), Ras Al Khaimah's leading publicly listed property developer, today announced its financial results for the first six months of 2025, highlighting a clear upwards trajectory driven by solid growth and strong sales across its rapidly evolving Mina flagship destination. This period was defined by exceptional financial performance, a significant increase in sales value, and continued progress across RAK Properties' development pipeline. Underpinned by a robust balance sheet and an efficient business model that attracts global brands and partners, RAK Properties has balanced growth across its asset range. As Ras Al Khaimah solidifies its position as a global investment and lifestyle hub, RAK Properties continues to demonstrate its pivotal role as a high-performing developer with a long-term strategic outlook, deeply embedded in the emirate's economic ambitions ROBUST H1 2025 FINANCIAL PERFORMANCE RAK Properties recorded revenue of AED774.79 million for the H1 period, with Net Profit soaring by a remarkable 80% to AED160.6 million – compared to AED89.06 million registered for the first half last year. The newly released figures also resonated with a 101% increase in Sales Value to AED1,411 million – up from AED703 million last year. As a result, RAKP Properties' development backlog – a clear indicator of future revenue and cashflow certainty – stands at AED2,624 million, up 42% year on year. This was fueled by a 59% surge in the number of units sold – reaching 788 – a core indicator of both demand and consistently positive traction across RAK Properties' ecosystem of assets and projects. Overall, this clearly demonstrates RAK Properties' strong operational efficiency, expanding appeal, and market capture that continues to attract buyers and investors to one of the UAE's fastest moving real estate sectors. RAK Properties' consistent progress across its portfolio of residential and hospitality projects is revealed in a jump in Operating Profit for H1, which increased 47% to AED204.15 million – up from AED138.51 million last year. This is further underscored by a 42% increase in Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) with H1 figures showing AED239.25 million – a reflection of the developer's operational strength. With this solid financial foundation propelling continued growth, RAK Properties' balance sheet remains robust. Recorded total assets grew by 3.5% reaching AED8,290.00 million, with this stable financial position, coupled with a 3% increase in Capital and Reserves to AED5,701million, this provides clear and positive visibility into the developer's revenue funds for future expansion plans and sustained investment. Investor confidence remains solid, reflected in RAK Properties' share price rising by 26.3% YTD to AED1.44 and Market Capitalisation reaching AED4,320 million by H1 2025 end. Abdulaziz Abdullah Al Zaabi, Chairman of RAK Properties, said: ' RAK Properties' robust H1 results are a testament to the remarkable growth and strategic vision that is driving both the company, and Ras Al Khaimah as a whole. As RAK Properties celebrates its 20th year, these impressive figures underscore a consistent plan that is yielding tangible success – a plan closely aligned with the visionary leadership of His Highness Sheikh Saud bin Saqr Al Qasimi. Our performance highlights Ras Al Khaimah's unprecedented appeal as a real estate destination and investment hub. The emirate's diversified economy, investor-friendly regulations, and growing population reflect an increasing demand for a new kind of modern, urban-beachfront community with Mina as its vibrant heart. Already home to world-class resorts, and with more branded hotels and residences taking shape, its success mirrors the emirate's broader vision to attract top-tier hospitality and investment from around the world – investment that continues to reshape both the emirate's coastline and skyline.' Sameh Muhtadi, CEO of RAK Properties, commented: 'Our H1 results show a successful six months for RAK Properties. We continue to see our success shaped by a steady stream of assets coming online, rising sales figures, and international interest in RAK as a place to live, invest, and thrive. So far this year, RAK Properties has solidified its role as a driver of the emirate's economic growth, with strong financial results supported by disciplined and expertly managed operations across diverse projects, from newly launched residential projects to landmark hotel announcements. The timely and steady growth of Mina – from new homes to critical infrastructure – signals our status as trusted and high-performing developer with the scale, vision, and expertise to achieve even more in the months and years ahead.' DELIVERY MILESTONES AND CONSTRUCTION UPDATES The delivery of high-profile projects at the Mina development will continue for the rest of 2025 and into 2026. Landmark projects, such as Bay Residences, Granada II and Cape Hayat are moving ahead steadily, while Bay Views, Edge, and Quattro Del Mar have also registered significant progress, moving through key construction phases, with major contracts awarded and site works underway. With progress across the RAK Properties' Mina development continuing at pace, over 800 units are scheduled to be delivered before year end – further, definitive proof of RAK Properties' strict adherence to its construction and delivery commitments and continued appeal to diverse stakeholders. MINA: FROM VISION TO DESTINATION With the earlier release of the luxury branded and serviced Anantara Mina Ras Al Khaimah Residences, which will consist of 19 villas and 84 apartments on the Hayat Island waterfront, RAK Properties has also expanded its range of five-star resort-level developments. This was followed by the launch of the ENTA residential concept in partnership with HIVE, a design-focused live-and-work residential concept, strengthens RAK Properties' expanding portfolio. The H1 results are built upon on solid foundations and reflect Mina's ongoing growth as part of RAK Properties' comprehensive master plan. Backed by a substantial AED5 billion development pipeline for 2025, Mina's transformative growth is driving ahead with the goals of the RAK Vision 2030 plan with ongoing investment in infrastructure and facilities to empower the emirate's long-term goal to evolve the key residential, retail, and hospitality sectors across the Mina waterfront development. Throughout the first half of this year, RAK Properties solidified landmark projects, including collaborations with Four Seasons – a pioneering project for the emirate – alongside ongoing agreements for the Nikki Beach Resort & Spa Ras Al Khaimah at Mina, and Porto Playa by Ellington, which are also taking shape. H1 also saw the launch of Solera, a new apartment community located on Raha Island. Representing the highly anticipated first stage of the Downtown Mina district, Solera will bring to market 451 units across three architecturally distinct buildings. A vibrant new urban hub, it will seamlessly link with the wider Mina master plan's ecosystem of amenities, including dedicated retail and F&B hubs, landscaped parks, and community spaces. ORGANISATIONAL STRENGTH AND LEADERSHIP GROWTH The Company's internal strength and long-term planning are critical components that proved key in achieving H1's positive overall results. 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With Arqaam Capital, appointed earlier this year, as the liquidity provider for RAKP stock, as well as to partner for capital market initiatives, and audience engagement, the Company will continue to integrate organizational performance with enhanced communication and transparency As Ras Al Khaimah accelerates its transformation into a globally competitive destination for investment, lifestyle, and tourism, RAK Properties remains firmly at the forefront of the emirate's development – activating new, integrated communities, shaping new economic hubs, and contributing to the emirate's global appeal. POST PERIOD NEWS - GLOBAL BRAND PARTNERSHIPS The Armani Beach Residences Ras Al Khaimah, a landmark collaboration with Giorgio Armani and SIE Group, stands out as a pivotal moment in Mina's development. This exclusive partnership will feature the world's first Armani branded villas, setting new standards for luxury and further enhancing the global reputation of RAK Properties. A groundbreaking collaboration, the partnership announcement coincided with the 25th anniversary of Armani/Casa, the Giorgio Armani brand's 50th anniversary, and RAK Properties 20th anniversary. The development will take shape within a serene bay location on Raha Island – Mina's prime residential district. Each of the Armani Beach Residences Ras Al Khaimah's 41 villas and 32 apartments will embody the iconic designer's signature design and deep-rooted aesthetic, while also reflecting Mina's ultra-lux urban island living proposition. RAK Properties recently announced the official appointment of renowned hotel and hospitality architecture firm Denniston – responsible for many of the world's most luxurious hospitality and branded residential projects – as the lead design partner. This aligns with the project's clearly defined style and aesthetic, while also reflecting its status, its expansive appeal, and its central role within Mina's, and Ras Al Khaimah's, continuing growth.

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