“Dubai Residences REIT” agrees to distribute 550 million dirhams in profits

Dubai REIT Residences, the Sharia-compliant real estate investment fund, announced yesterday the results of the fund’s first annual general assembly meeting. During the meeting, unitholders approved the Board of Directors’ recommendation to distribute cash dividends worth 550 million dirhams for the second half of 2025, at 4.2 fils per unit.

This brings the total cash dividends for the year ending December 31, 2025 to 1.1 billion dirhams, at 8.5 fils per unit, equivalent to a total return on dividends of about 7.7% based on the offering price in the initial public offering, and representing 86% of the net profit before changes in the fair value of investment properties.

Chairman of the Board of Directors of Dubai REIT Residences, Nabil Mohammed Ramadan, said: “Approving cash distributions amounting to 550 million dirhams for the second half of 2025 represents an important milestone for unit holders, and reflects the strength of the fund’s portfolio and its operational model, in addition to confidence in the foundations of the residential rental market in Dubai.” He added: “In the next stage, we affirm our commitment to the highest standards of governance, conservative financial leverage, and balanced distribution of capital, while continuing to make progress in implementing the committed growth portfolio, and maintaining the dividend policy that requires distributing no less than 80% of net profits.”

It is noteworthy that during the year 2025, “Dubai REIT Residences” achieved revenues of 1.95 billion dirhams, an increase of 9% on an annual basis, supported by a portfolio occupancy rate of 98.3% and a tenant retention rate of 88%. Net profit before changes in the fair value of investment properties increased by 14.5% to reach 1.28 billion dirhams, which confirms the solidity of operating profits and the sustainability of generating cash flows supporting distributions.