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UAE’s property market is entering 2026 with unprecedented momentum
Market is being driven by sustained investor confidence, strong population inflows, and a maturing regulatory environment, and shows no sign of slowing down
- PUBLISHED: Tue 17 Feb 2026, 11:20 PM
The UAE’s property market is entering 2026 with unprecedented momentum, driven by sustained investor confidence, strong population inflows, and a maturing regulatory environment. Dubai, long the bellwether of regional real estate, closed 2025 with a record 215,700 residential transactions and a total sales value exceeding Dh686.6 billion , marking 30.9% year‑on‑year growth . Average prices reached Dh1,692 per sq ft , supported by steady end‑user demand and a well‑balanced supply pipeline.
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To cater to this rising trend, Urban Capital Real Estate Development, based in Abu Dhabi, has announced its official and major entry into the UAE real estate market.
This launch is supported by a key strategic partnership with Al Dhafra International Projects Group, which has been a major pillar in the construction and infrastructure sector since its founding in 1973. Urban Capital gains its strength and credibility from this group’s long heritage that spans over 50 years, filled with achievements that contributed more than Dh100 billion to the economic output. The group has successfully finished more than 100 diverse projects with a record delivery rate of 97%, supported by a specialized team of more than 3,000 employees.
Ibrahim Jaffal, Chairman of Urban Capital Real Estate Development, confirmed that the successful track record of the strategic partner, Al Dhafra International Projects Group, is the practical and real guarantee of the company’s ability to fulfill all its commitments and promises to its clients and investors. He noted that this long history clearly proves that excellence for the company is not just an option, but the basic standard and the starting point for all its projects.
Urban Capital Real Estate Development announced its full readiness to launch a distinguished residential and commercial project on Al Reem Island in Abu Dhabi soon.
Abu Dhabi, meanwhile, continued to build on its reputation as a stable, end‑user‑driven market. In the first half of 2025, the emirate recorded Dh54 billion in property transactions—a 38% surge in residential sales —as demand persistently outpaced supply across key districts. Rental markets remained strong, with apartment rents rising 13% year‑on‑year , reflecting robust population growth and limited availability of high‑quality stock.
Ras Al Khaimah (RAK) has emerged as one of the UAE’s fastest‑accelerating real estate markets, with the Northern Emirates collectively experiencing one of their most active periods in years. RAK recorded a notable rise in both new launches and pricing, with coastal developments driving quarterly rental and sales growth of around 5% QoQ , underscoring its growing appeal as an affordable yet high‑potential alternative to the larger emirates.
In this regard, following its strategic collaboration agreement with Marriott International, ATARA Development has officially launched The Residences at Sheraton Al Marjan Island Resort. The development represents the GCC’s first Sheraton-branded residences, featuring 159 branded apartments scheduled for completion in Q3 2028.
Located on Al Marjan Island, the project blends a refined island lifestyle with exclusive hotel privileges. Positioned near the UAE’s first integrated resort, it places residents at the center of a premier entertainment hub. With sales now officially open, prices for these exclusive waterfront residences start from Dh2.4 Million.
Arch. Abdullah Al Abdouli, Group CEO of Marjan, said, “The launch of The Residences at Sheraton Al Marjan Island Resort represents another significant milestone for Al Marjan Island’s evolution as a premier coastal destination. Developments of this calibre reinforce Ras Al Khaimah’s growing global appeal and demonstrate how branded residential concepts are shaping the future of waterfront living. By bringing together ATARA’s development expertise and Sheraton’s hospitality legacy, this project offers a compelling proposition for residents.
Umid Bazarov, Chief Operating Officer of ATARA Development, added, “With the launch of The Residences at Sheraton Al Marjan Island Resort, we are introducing more than a residential project, we are delivering a complete lifestyle ecosystem. Every element, from design and amenities to services and location, has been curated to reflect what today’s discerning buyers expect from branded living. This project is a defining step in ATARA’s journey, strengthening our presence in Ras Al Khaimah while setting new standards for resort-style residences in the region.”
Tissoli, the luxury real estate collective, has announced that following the rapid 100% sell-out of Phase 1 of its Dh1.2 billion flagship development, Palazzo Tissoli, it has officially opened sales for Phase 2 and appointed GRID Properties as its Strategic Development Manager.
Palazzo Tissoli, the first residential development in Ras Al Khaimah to be designed by the iconic Italian design house Pininfarina, has quickly established itself as one of the most coveted addresses in the Northern Emirates.
Pooja Rathore, COO of Tissoli, said: “As we enter the execution phase and launch Phase 2, we’ve partnered with GRID, whose proven track record aligns perfectly with our commitment to excellence. The response from investors confirms that residents are seeking curated, meaningful living experiences. This collaboration is strategically planned to ensure Pininfarina’s 'Italian DNA' and Tissoli’s promise to create an elevated residential masterpiece is perfectly delivered from concept to completion. With GRID’s expertise in ideation, efficient and timely delivery, we are confident that this partnership will support us strategically in bringing this masterpiece to life."
As 2026 unfolds, Dubai, Abu Dhabi, and Ras Al Khaimah are redefining the UAE’s real estate trajectory. Dubai’s record‑setting liquidity, Abu Dhabi’s sustained end‑user momentum, and RAK’s accelerating growth—driven by rising demand in its coastal and master‑planned communities—all point to a market anchored in real fundamentals rather than cyclical surges. With rental values climbing across key segments and off‑plan activity dominating nationwide, investor confidence remains strong. Collectively, the UAE’s leading markets are not just expanding but maturing, diversifying, and laying the foundation for another year of resilient performance.
