Abu Dhabi’s real estate sector is experiencing record-breaking growth in the luxury and branded residences segment so far this year, with branded residence launches increasing fourfold compared to the previous year.
Driven by rising demand from high-net-worth individuals (HNWIs), international investors and long-term residents, the market has seen a 5 percent increase in luxury transactions valued at AED7 million and above, reaching AED6.3 billion ($1.72 billion) in just the first four months of the year. Over half of these deals were in the AED10 million and above segment, reflecting growing confidence in Abu Dhabi’s premium real estate segment.
25 branded residences to be announced in 2025
According to Metropolitan Capital Real Estate (MCRE), the rise of branded residences has been one of the strongest growth engines in 2025, with developers actively launching new lifestyle-centric communities across Saadiyat Island, Al Reem and Mariah Island.
With at least 25 branded residences expected to be announced in 2025, up from just a handful in 2024, Abu Dhabi’s real estate sector is undergoing a major transformation. Branded projects such as Jacob & Co Beachfront Residences, Brabus Residences by Cosmo, Waldorf Astoria Residences, Elie Saab Waterfront, SHA Wellness Residences, Mandarin Oriental Residences and Nobu Residences, which achieved a record-breaking penthouse sale of AED137 million, the highest residential transaction in Abu Dhabi to date, are raising the bar for luxury real estate in the region.
“Abu Dhabi has firmly positioned itself as a premier destination for luxury and lifestyle-led investments. We have witnessed investors initially seeking to purchase a single property, ultimately expanding their portfolios due to a strong belief in the market’s potential. We are also seeing an increase in the number of long-term residents who are opting to purchase properties in Abu Dhabi instead of renting, reflecting the growing confidence in the city’s real estate market,” stated Evgeny Ratskevich, CEO of MCRE.
Secondary luxury market posts 158 percent growth
In addition to branded residences, Abu Dhabi’s secondary luxury real estate market has also had a standout performance in 2025, with a 158 percent increase in transaction volume year-on-year.
The secondary luxury market saw nearly AED3 billion in resale activity until April of this year, with super-luxury properties accounting for over AED2.6 billion, or 60 percent of the total secondary market volume.
In just four months, secondary super-luxury transactions have already reached 22 percent of 2024’s full-year total, a sign of increasing investor confidence in ready-to-move-in, high-end inventory.
Competitive property prices attract global investors
Property prices in branded projects across Abu Dhabi now average AED2,500 to AED4,000 per sq. m., depending on location, which is significantly lower than comparable properties in Dubai and Ras Al Khaimah, making it very attractive for investors from around the world.
The Abu Dhabi real estate market has witnessed a significant shift in investor demographics in 2024, according to MCRE. While Russian and CIS investors remained prominent at the beginning of the year, their interest waned in Q2, paving the way for a surge in demand from U.K., U.S., UAE nationals and citizens from other GCC countries.
Almost half of the buyers are end users, with investors looking to diversify their portfolio to take advantage of the bargain prices.
Key locations continue to shape Abu Dhabi’s high-end real estate market, including Saadiyat Island, Al Hidayriyyat, a rapidly maturing hotspot that has already surpassed 20 percent of its full-year sales from last year, Yas Island and Reem Island.
