Abu Dhabi’s real estate market has entered a defining chapter. As the Emirate closed H1 2025 with exceptional growth and visionary infrastructure announcements, now is the time for investors to act, says Oia Properties.
The first half of 2025 witnessed strong demand across secondary, ready and off-plan residential sales, accompanied by major announcements over government-backed mega initiatives, and a growing appetite from regional and international investors. Abu Dhabi is now firmly in the spotlight, with future growth on the horizon.
“We believe H1 2025 marks a tipping point for Abu Dhabi. While others talk about future potential, we feel strongly that the moment has presented itself. Whether it’s new global partnerships, transport infrastructure, or sustainability-led communities, the vision is no longer abstract. It’s concrete, funded, and under construction. Abu Dhabi has proven itself to be stable, secure, and increasingly sophisticated. These aren’t speculative spikes, we’re witnessing a market maturing in real time,” said Riyad Magdy, founder and chairman, Oia Properties.
Property prices rise by over 10 percent
Abu Dhabi’s real estate market recorded a robust increase in residential transactions across key communities, including Saadiyat, Yas Island, Al Reem, Al Raha Beach and Al Hudayriyat Island, with major new launches including Al Fahid Island.
According to Oia Properties’ data, average prices per square foot have risen between 10-35 percent year-on-year, while off-plan sales have also risen a similar level compared to H1 2024, signalling deep confidence in long-term real estate asset value.
Rental yields also remained strong, particularly in mid to high-end communities, as population growth and job creation continue across professional sectors. Average apartment and villa rental prices are expected to continue to grow in the second half of the year.
5 trends driving Abu Dhabi’s real estate future
From future transport to entertainment mega-projects, Abu Dhabi has moved beyond vision and into execution. Five transformational trends are redefining the real estate investment landscape in Abu Dhabi, including:
1. Disneyland Abu Dhabi: The announcement of Disneyland, the first in the Middle East, positions Abu Dhabi as the region’s most family-focused destination and drives demand for second homes and lifestyle-led communities.
2. Electric air taxis: In addition to major announcements like Disneyland, the introduction of air taxis across the UAE is expected to make Abu Dhabi more accessible to investors. For instance, electric vertical take-off aircraft (eVTOL) will cut travel between Dubai and Abu Dhabi to 20 minutes by 2026. This will open new residential corridors and reshape commuter and investor behavior.
3. Etihad Rail activation: With construction progressing steadily, Etihad Rail will soon link Abu Dhabi to the UAE’s key economic hubs, making outer developments more accessible and desirable to real estate investors.
4. Branded residences on the rise: Luxury operators like Ritz-Carlton, Nobu and Six Senses are entering Abu Dhabi, marking the city’s growing appeal among global UHNWIs.
5. Sustainability and wellness: Developments built around wellness, sustainability and ESG credentials are outperforming their peers, including the recent launch of Al Fahid Island, the first island in the world to receive Fitwell certification and LEED Cities and Communities Platinum pre-certification.
Read| Dubai real estate: Apartment prices rise 19.1 percent in June 2025
Where smart capital is moving this summer
The report identifies standout residential projects that reflect Abu Dhabi’s investment momentum and future-forward planning, including Al Fahid Islan, a recent launch from Aldar with world-class eco credentials and strong long-term potential, Saadiyat Lagoons, a flagship eco-luxury community surrounded by mangroves and designed for nature-connected living, and Al Hudayriat Island, a fast-emerging active lifestyle destination, combining sport, wellness and waterfront living, with government-led infrastructure on the horizon.
Other standout projects include Yas Golf Collection, Bayn by Ora and Nobu Residences Abu Dhabi.
