Weekly Insights for Dubai Property Investors: December 13, 2025
- Stephen James Mitchell MBA
- Dec 12
- 5 min read
Updated: 6 days ago
Dubai’s real estate market carried its momentum into December with a staggering AED 26 billion ($7.1 billion) worth of transactions recorded last week alone. That included a landmark AED 550 million ($150 million) deal at Bugatti Residences, further cementing Dubai’s position at the epicenter of global luxury real estate.
November ended strong, with 19,019 transactions valued at AED 64.7 billion ($17.6 billion), marking a 30% surge in volume and a 50% increase in value year-on-year. Off-plan sales led the charge, powered by aggressive launches and flexible payment plans, accounting for over 70% of all deals. Villas in Emaar Oasis (66 units, AED438.9 million) and Sobha Hartland 2 (62 units, AED186.4 million) dominated first-sale activity.
The mid-market segment remained particularly robust. Properties priced between AED 1 million and AED 3 million represented more than half of all November transactions. Meanwhile, commercial real estate also gained traction, with 1,197 transactions totaling AED 18.44 billion—driven by business districts such as DIFC, Business Bay, Jebel Ali, and Dubai South.
As we close out the year, the UAE’s real estate sector—valued at AED 302.65 billion in 2024—is projected to reach AED 486.2 billion by 2030, growing at a compound annual rate of 8.06%, driven by investor demand, government-backed development, and rapid digital transformation.
If you’re looking to position yourself ahead of the next wave — whether in commercial, luxury, or off-plan segments — reach out now. I’ll send you a curated shortlist of high-performing, data-backed opportunities tailored to your investment goals, drawing on 18+ years of hands-on experience in the UAE market. Click here to speak with me directly.
From Cash Buyers to Capital Inflows — A Cycle Built to Last
The UAE’s real estate surge isn’t speculative. Over 54% of residential property transactions in H2 2025 were cash-based, shielding the market from global rate volatility. Buyers are targeting value and stability, not leverage. This structural strength continues to draw institutional capital amid tightening global monetary conditions.
With demand outpacing supply and a robust pipeline of launches, Dubai and Abu Dhabi remain magnets for long-term investment, particularly in commercial, industrial, and off-plan residential segments.
Mubadala and Aldar Unveil AED 60 Billion Al Maryah Island Expansion
In Abu Dhabi, a bold new plan is taking shape: Mubadala and Aldar are jointly investing AED 60 billion ($16.3 billion) to transform Al Maryah Island into a world-class mixed-use financial district.
The development will add 1.5 million sq. m. of GFA, including:
3,000+ luxury homes
40,000 sq. m. of retail and dining
Waterfront marina and branded hospitality assets
Expanded office and institutional infrastructure within Abu Dhabi Global Market (ADGM), the capital’s premier international financial centre
Demand in ADGM is booming, with over 11,000 active business licenses and nearly 40,000 professionals now working in the zone. This move aligns with Vision 2030 and Abu Dhabi’s ambition to become a global financial hub. Notably, hedge fund giant Brevan Howard has already outgrown its current premises in ADGM, highlighting the rising demand for institutional space within Abu Dhabi’s financial ecosystem.
Aldar Capital—a new joint investment platform with Mubadala—will launch a $1 billion fund in 2026 to channel global capital into regional real estate and infrastructure.
UAE Industrial Sector Enters Golden Phase
The UAE’s industrial sector is entering a high-growth phase, driven by strategic investment and global demand. Economic zones are at the centre of this momentum, with Khalifa Economic Zones Abu Dhabi (KEZAD) now accounting for 55% of the country’s industrial footprint.
More than AED 1 billion in recent land deals—spanning over 574,000 sq. m.—are expected to generate 2,300+ jobs, reinforcing KEZAD’s role as a manufacturing and logistics hub of national importance.
Key figures include:
4.9% GDP growth projected in 2025, with non-oil GDP at 4.7%
Foreign trade exceeding AED 3 trillion
Record land agreements in KEZAD topping AED 1 billion, adding 2,300+ jobs
Occupier demand is surging. Rents in KEZAD have jumped 50% in two years, while Dubai South and JAFZA continue to attract high-spec warehousing and logistics tenants. Institutional capital is flowing in, with Blackstone and Lunate’s $5B GLIDE platform and the SC GCC Real Estate Industrial Fund setting the tone for 2026.
ValuStrat & JLL: Off-Plan and Tight Supply Dominate
According to JLL and ValuStrat, Q3 and November data confirm that Dubai’s growth is now being driven by fundamentals:
JLL: AED 139.7B in Dubai residential sales in Q3 alone
ValuStrat: AED 1,755 PSF avg. price, +14% YoY for apartments, +30.7% for villas
Rental values: Up 11.9% YoY for apartments and 7.5% for villas (as of November)
Off-plan transactions made up 75.4% of all Q3 deals in Dubai and 113% YoY growth in Abu Dhabi. This is a structural cycle—not a speculative spike. Villa prices surged ~15% across both emirates, and developers are moving quickly to meet demand.
Mid-Market Strength and Commercial Uptick
Springfield’s November report showed AED 45.79B in transactions across 17,777 deals, led by:
JVC: 1,330 transactions
Dubai South: 896
Business Bay: 857
Homes under AED 3 million made up 79.5% of all transactions. The commercial sector clocked nearly AED 18.5B in deals, highlighting strong demand in warehousing, logistics, and prime offices. With 43,893 rental contracts worth AED 3.9B signed in November, occupancy across mid-market communities remains tight.
Explore commercial listings and insights at Mitchell’s Commercial Realty — featuring premium office and retail properties across Dubai, along with market intelligence to help you identify emerging trends.
UAE Ranks Among Top 10 for Project Management
The UAE now ranks 8th globally for Project Management Professional (PMP) certifications, according to the Project Management Institute (PMI).
It also holds:
4th place globally for Risk Management certifications
5th place globally for Project Scheduling certifications
This aligns with the country’s digital transformation strategies and Vision 2031. Project management capability is becoming a core enabler across energy, infrastructure, tourism, and tech sectors.
IMF: UAE Leads the Gulf in Economic Growth for 2025
The IMF confirmed that the UAE is the fastest-growing economy in the GCC this year, with Abu Dhabi growing at 6% and Dubai at 3.4%.
Drivers include:
Strong non-oil sector performance
Investment in AI and tech
Expanding financial services
Despite global caution, the UAE continues to outperform on diversification, governance, and fiscal resilience.
Falling Global Rates Reinforce Dubai’s Position as Safe-Haven Market
In the US, the Federal Reserve cut rates by 25bps, bringing the target range to 3.5–3.75%. The Dow surged 650 points to a record close, while the S&P 500 touched 6,900. While the Fed signaled fewer cuts ahead, Powell emphasized confidence in the economy and cooling inflation.
Wall Street is pricing in stable conditions for 2026, with forecasts for the S&P 500 ranging from 7,100 to 8,000.
Meanwhile, falling mortgage rates in the US and Europe are supporting global investor appetite—especially for high-transparency, low-tax jurisdictions like Dubai.
UAE Emerges as Key Player in $35 Trillion Global Trade Landscape
UNCTAD reported that global trade will surpass $35 trillion this year, with volumes rising even as prices fall—a sign of healthy demand. East Asia, Africa, and the Global South led the way in trade expansion, while manufacturing grew 10% globally. Notably, agriculture exports also saw strong gains.
The UAE continues to rank among the top re-export hubs globally, supported by its AED 1.7 trillion in non-oil trade in H1 2025 and expanded logistics infrastructure.
Final Takeaway: A Market Moving with Purpose
From record-breaking property transactions to industrial growth and re-export dominance, the UAE isn’t just riding a boom — it’s advancing a fundamentals-driven investment cycle. With high cash participation, robust off-plan demand, and institutional capital inflows, this is a structurally sound, strategically planned phase of expansion.
This isn’t a moment to pause. It’s the lead-in to a more deliberate, capital-backed chapter.
Let’s Talk
If you’d like to unpack where the most resilient opportunities are emerging — in stabilised residential areas or income-generating commercial zones — I’m happy to share a focused, data-driven shortlist based on your investment goals.
📞 No pressure, no sales pitch—just a focused, informed conversation about your investment goals. Let’s talk.
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