Al Reem Island has firmly established itself as the top residential investment destination in Abu Dhabi, posting an impressive 38 percent year-on-year increase in off-plan property weighted average prices in Q2 2025, according to an analysis by international real estate developer MERED, using comprehensive transaction data from Quanta.
This performance places Al Reem Island at the forefront of the capital’s property market, outpacing other key areas such as Khalifa City and Jubail Island, which recorded growth rates of 24 percent and 20 percent, respectively. The figures highlight the overall resilience of Abu Dhabi’s real estate sector and underscore Al Reem Island’s strong competitive edge.
In addition to sales momentum, the island has seen a notable rise in rental demand. Apartment rents increased by 21 percent year-on-year in Q2 2025, based on Quanta’s rental indices, reflecting continued interest from both investors and residents.
The sustained demand is underpinned by Al Reem Island’s premium infrastructure and amenities, including waterfront living, Grade-A office space, diverse retail offerings, advanced healthcare services, and the expansive 1 million-square-foot Reem Central Park.
Positioned strategically between Abu Dhabi’s mainland business district and the cultural attractions of Saadiyat Island, Al Reem Island delivers a self-contained, “live-work-play” environment that appeals to a broad spectrum of residents.
Building on these strengths, MERED has announced plans for a new design-led waterfront development on two prime plots totaling over 23,400 square meters within the Abu Dhabi Global Market (ADGM). Created in collaboration with award-winning architects, the upcoming project aims to redefine super-prime living in the capital.
A major catalyst for this growth has been the April 2023 expansion of ADGM’s jurisdiction to include Reem Island. Since then, over 1,100 new businesses have registered with ADGM, bringing the total to more than 11,000.
The influx of high-earning professionals has reinforced Al Reem Island’s role as the residential hub of choice for those working within ADGM’s financial ecosystem.
Al Reem Island’s long-term investment opportunities
“Al Reem Island has unequivocally established itself as Abu Dhabi’s premier residential destination. Average prices in waterfront projects have exceeded AED 1,800 per square foot, with new projects launched at even higher prices,” said Artemiy Marinin, project director at MERED.
“We’re proud to contribute to this dynamic market with our forthcoming project, offering direct sea views and architectural distinction crafted by Pritzker Prize-winning visionaries.”
With a rapidly growing population, strong investor confidence, and expanding community infrastructure, Al Reem Island continues to stand out as one of Abu Dhabi’s most attractive long-term investment opportunities.
MERED’s ongoing projects reflect the island’s future as a thriving center for luxury living and dynamic business activity.
