44.5 %growth in the value of residential real estate sales in Dubai during the second quarter

A report of the company “JL” stated that the residential real estate market in the UAE is witnessing a strong performance, as Dubai recorded a significant increase of 44.5% on an annual basis in the total value of sales, to reach 153.7 billion dirhams in the second quarter, and sales of units on the map topped the volume of transactions in Dubai and Abu Dhabi, supported by the launch of strong new projects, and a noticeable rise in the secondary market activity.

The report, issued yesterday, indicated that the rents of the apartments in Abu Dhabi and Dubai increased by 13.9% and 7.2%, respectively, while the villas of villas increased by 4.7% and 5.3%, pointing out that the hospitality sector in the Emirates showed strength and flexibility, during the second quarter, in various categories of economic, medium and luxurious hotels, and the hotel market in Dubai maintained a positive momentum, with a high occupancy rate to 81.4%, and warehouse prices witnessed remarkable growth in the second quarter, as it increased in Abu Dhabi by 22.4%, and in Dubai by 19.9%.

Real estate scene

In detail, the main sectors in the real estate scene in the UAE have achieved a strong performance and a remarkable growth in the second quarter of 2025, supported by significant investments, development in demand and government initiatives, and with the maturity of the market, the residential, hotel and industrial real estate sectors in the UAE indicate a period of long -term sustainable growth, according to the new report issued by the JLL company about “Market dynamics.”

Selling on the map

The report indicated that Dubai recorded an amazing increase of 44.5% on an annual basis in the total value of sales, to reach 153.7 billion dirhams in the second quarter, and the unit sales on the map topped the volume of transactions in Dubai and Abu Dhabi, supported by the launch of strong new projects and a noticeable rise in the secondary market activity.

In Abu Dhabi, the prices of apartments and villas increased by 14.4% and 11.1%, respectively, on an annual basis, while in Dubai, the prices of apartments increased by 13.3% on an annual basis to reach 1769 dirhams for the square foot, and the prices of villas increased by 16% annually to reach 2200 dirhams per square foot, and it is expected that the approach of supply and demand for the pace of growth in specific sectors will reduce.

Rental markets are witnessing stability, as the tenants’ preference for renewal represents 65.7% of the total rental contracts registered in Abu Dhabi in the second quarter of 2025, and the new supply factors combined, considerations of costs, and the update of regulations in increasing the rents more disciplined, and the rents of apartments in Abu Dhabi and Dubai increased by 13.9% and 7.2% In a row, while villas increased by 4.7% and 5.3%, and there are about 32,400 thousand units under construction in Abu Dhabi and Dubai in the second half of 2025.

In Abu Dhabi, the increasing demand for luxury livelihoods with brands for investors allows higher prices and stronger retaining value, and the sales market in Dubai is expected to maintain its strong momentum, while the rent market moves to a state of balance, as the slowdown in growth rates indicates healthy progress towards long -term stability.

The report pointed out that the hospitality sector in the UAE showed strength and flexibility during the second quarter, which is usually a low season, and the strength and diversity of demand contributed to achieving strong performance in various categories of economic, medium and luxurious hotels, indicating the shift to a more sustainable and comprehensive growth model.

Abu Dhabi witnessed a strong occupancy rate of 80.3% (an increase of 2.9 percentage points), with the average daily price of the room increased by 22.7% to 693 dirhams, and the increase in the available room revenues by 26.3% to 557 dirhams, and the Dubai Hotel Market maintained a positive momentum, with the occupancy rate increased to 81.4%, and the growth of the average daily price of the room by 5.5% to 754 dirhams, which led to, which led to 10.2% increase in the revenue of the room available to 614 dirhams.

The number of hotel rooms in Abu Dhabi increased to 33,300 thousand rooms during the second quarter, while Dubai maintained the number of its rooms at about 158 ​​thousand rooms.

Industrial market

With the limited stocks available and the great demand for renewing lease contracts, the industrial real estate market in the UAE supported the power of real estate, and warehouse prices witnessed remarkable growth in the second quarter, as it increased in Abu Dhabi by 22.4% to reach 469 dirhams per square meter, and in Dubai by 19.9% ​​to reach 46 dirhams for the square foot, and achieved special main sites, such as the area “Kizad” in Abu Dhabi and Al -Hawz in Dubai, the highest prices in the market, reaching 500 dirhams per square meter, and 65 dirhams for the square foot in a row, thanks to its strategic location and its existing infrastructure.

The Dubai Industrial Leasing Market witnessed a strong activity, as the total recorded lease contracts increased by 13% on an annual basis, driven by 21.6% in new rental contracts and an increase of 9.3% in renewal contracts, and the market recorded 2790 contracts in Dubai during this quarter.

• Warehouse prices have witnessed a remarkable growth in the second quarter, high in Abu Dhabi by 22.4%, and in Dubai 19.9%.