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Etihad Rail to boost Fujairah property market as investors eye price growth
Real estate industry executives say the improved connectivity could transform Fujairah from a weekend destination into a viable place to live, work and invest
- PUBLISHED: Thu 13 Aug 2026, 8:54 AM
Etihad Rail's passenger network is expected to reshape Fujairah's property market, with developers and real estate experts forecasting stronger demand, rising property values and fresh investment as the emirate becomes more accessible from the rest of the UAE.
Industry executives say the improved connectivity could transform Fujairah from a weekend destination into a viable place to live, work and invest, while opening new opportunities for residential, retail and mixed-use developments around the new rail stations.
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Property values expected to rise
Nasar Tajalli, general manager of Fujairah Real Estate Agency, said demand is likely to emerge first around the Fujairah and Sakamkam station areas.
"I expect healthy interest first in residential plots and villas near the Fujairah and Sakamkam station areas, followed by appealing retail and mixed-use developments as those neighbourhoods thrive," he told Khaleej Times.
Over the longer term, Tajalli expects well-located properties near the stations to appreciate by 20 to 30 per cent between 2029 and 2031, alongside improvements in quality of life through shorter commutes, better amenities and increased employment opportunities.
Having observed Fujairah's real estate market for more than two decades, he said the emirate has long been undervalued despite its lifestyle appeal.
Fujairah is the UAE's only emirate located entirely on the eastern coast, bordering Oman and facing the Gulf of Oman. Known for its mountains, beaches and diving spots, it has become a popular destination for residents seeking a quieter lifestyle.
Search activity already picking up
Already, searches for property sales in Fujairah climbed to the strongest single month search in July to 8,337, according to Property Finder. Enquiries also climbed, with rent leads up 11.1 per cent to 1,306 and sale leads up 2.2 per cent to 92 between June and July 2026.
One of Etihad Rail’s inaugural stations was opened in Al Hilal City, which Cherif Sleiman, chief revenue officer at Property Finder, said is worth watching over as the map of where residential demand already runs ahead of supply and the map of new inter emirate infrastructure start aligning.
"That overlap is worth watching closely, because the map of where residential demand already runs ahead of supply and the map of new inter-emirate infrastructure are starting to align," he said.
Beyond housing demand
Fibha Ahmed, vice-president of Sales at Bayut and dubizzle Property, said the impact of Etihad Rail is expected to extend well beyond residential demand.
"The launch of Etihad Rail's passenger services could be a major turning point for Fujairah's real estate market," Ahmed said, noting that improved connectivity makes previously overlooked markets more attractive to both residents and investors.
She said Fujairah already offers relatively affordable homes, larger properties and a distinct lifestyle, with rail connectivity strengthening that proposition for buyers who want better value while remaining connected to the country's major employment centres.
Ahmed added that improved accessibility can also support tourism, attract business activity and encourage investment in infrastructure and mixed-use developments, creating the foundations for sustained real estate growth. However, she noted that expanding freehold ownership opportunities will be equally important to attracting long-term investors.
"Connectivity may bring people into the market, but investors also need access to the right properties, clear ownership structures and the confidence that they can hold an asset over the long term," she said.
Hind Aldah is a business reporter based in Sharjah. In her spare time, you will find her playing classical guitar, painting amateur oil paintings, or crocheting the same old scarf that leads nowhere.